Abstract. Shadow IT is relatively new and emerging phenomenon which is bringing number of concerns and risks to the organizational security. Past literature has mostly explored the "negative" effects of the Shadow IT phenomenon, including, for example, the security aspect where Shadow systems are said to undermine the official systems and endanger organizational data flows. However, the question of how Shadow IT can contribute to leverage user's innovation has not been adequately addressed. We used three methods to understand if Shadow IT can be an important source of innovation for firms: 1) Single case study with international firm that adopted Shadow IT; 2) Interviews with 15 IT executives and 3) Focus group using twitter as enabling tool to interact with 65 IT professionals. We offer a new perspective on how Shadow IT practices can leverage user's innovation. The study offers novel insights on the role of Shadow users in the organizational innovation process and how they contribute to new innovations by using Shadow IT. Not only this user led innovation through Shadow IT brings positive outcomes for the employee, but it also reveals the path to follow for organizations to increase their innovation capabilities.

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The objective of this paper is to explore the use of the integrated business planning (IBP) process, and its applicability to managing higher education institutions. Many higher education institutions require a new approach to planning activities, and thus the appropriateness of IBP is examined. The paper utilizes the case study methodology. The benefits of integrated business planning are illustrated through the example of a Croatian manufacturing company. The results indicate that the benefits include improved planning, better portfolio management, a better understanding of the market, higher profitability, and so on.

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