Purpose This study argues that strategic information systems (SISs) are necessary for organizations’ survival and corporate performance in turbulent economic environments. Applying Miles and Snow’s strategy typology, the purpose of this paper is to explore how SIS supports business strategy and corporate performance. Design/methodology/approach This study uses quantitative survey data from 389 Brazilian companies during economic crises and analyzes them using structural equation modeling. Findings There is strong evidence that SIS promotes capacity and flexibility to create competitive strategies in response to environmental changes. SIS significantly and positively predicts firms’ use of prospector strategies, reducing the need to sacrifice efficiency for innovation. SIS can predict corporate performance more strongly than firms’ strategic orientations can. Practical implications The results provide organizations insights on how SIS enables strategic planning processes to create competitive strategy and improve performance during economic turbulence. Originality/value This research demonstrates SIS’s positive effects during economic turbulence on competitive strategy and performance, revealing that corporate performance is influenced more by SIS (strategic process) than strategic orientation (content). Hence, this study fills a research gap in the information systems strategy literature by contributing new insights about SIS.
Few studies have investigated the influence of "information capital," through IT-enabled dynamic capability, on corporate performance, particularly in economic turbulence. Our study investigates the causal relationship between performance perspectives of the balanced scorecard using partial least squares path modeling. Using data on 845 Brazilian companies, we conduct a quantitative empirical study of firms during an economic crisis and observe the following interesting results. Operational and analytical IT-enabled dynamic capability had positive effects on business process improvement and corporate performance. Results pertaining to mediation (endogenous variables) and moderation (control variables) clarify IT's role in and benefits for corporate performance.KEYWORDS | Corporate performance, information technology, dynamic capability, business process improvement, economic turbulence. RESUMO Poucos estudos já investigaram a influência do "capital de informação", através da analítica teve efeitos positivos na melhoria dos processos de negócios e no desempenho corporativo; os resultados relacionados à mediação (variáveis endógenas) e à moderação (variáveis de controle) esclarecem o papel da TI e seus benefícios para o desempenho corporativo. PALAVRAS-CHAVE | Desempenho corporativo, tecnologia da informação, capacidade dinâmica, melhoria de processos de negócios, turbulência econômica. RESUMEN Pocos estudios han investigado la influencia del
PurposeThe paper aims to establish the role of enterprise information systems strategies (ISS) enabled by business strategies for attaining organizational innovativeness (ORIN) mediated by performance (decision-making and business processes) under environmental turbulence.Design/methodology/approachThe research framework is developed based on theoretical grounding and validated with the help of 408 responses from Brazil using SmartPLS path modeling.FindingsThe results of the research suggest that the resource orchestra of enterprise information systems strategy-enabled strategy-making can be a viable alternative to enhance innovation activities in the organizations through the mediated role of performance (decision-making and business process).Practical implicationsThe research demonstrates the role of business function (information systems) strategy enabled overall business strategy-making for achieving innovations in the organization. Fortune organizations are exploiting the information systems strategy enabled business strategy for innovations in the organization; such as Amazon, Walmart, Costco, etc.Originality/valueThe proposed and validated model is a contribution to the enterprise information systems strategy theory. This model presents the role of resource orchestras in achieving innovations in organizations.
Purpose: the objective of this study was to analyze innovation in Brazilian organizations when enabled through SIS, in the strategy-as-practice approach, on the influence of moderating environmental dynamism. Methods: we performed structural equation modeling using the statistical technique of partial least squares path modeling (PLS-PM) and post hoc analysis to identify unobserved heterogeneity, with a sample of 256 Brazilian companies from different sectors. Results: the results revealed that the SIS had a strong and significant influence on the innovation of exploitation and exploration. The environmental uncertainty of dynamism moderation was not present in the relationship between SIS and the innovation of exploitation. However, SIS showed a strong and significant influence on innovation of exploration in high levels of dynamism. The existence of unobserved heterogeneity was identified for two segments of the sample, demonstrating a strong path effect between SIS and innovation of exploration and exploitation on the high presence of dynamism in service companies with a size greater than 500 employees. Conclusions: the study contributed to the extension of the strategy-as-practice and innovation literature, by identifying SIS as an alternative in the planning process to enable innovation in the organization, in environments with a high rate of change and unpredictability.
The study investigates how the alignment at the processing levels between information systems (IS) strategy, through strategy-as-practice approach, and innovation influences corporate performance (CP) under environmental uncertainty from 856 Brazilian firms by PLS-SEM. The results indicated that all approaches of alignment between IS strategy and innovation have strong influences on CP. The alignment with ambidextrous innovation had a 62% higher contribution on CP than alignment between exploitative innovations. Additionally, exploitative innovations had positive effects on CP under high hostility environments; and explorative and ambidextrous innovations had positive large and strong effects on CP under high dynamic environments.
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