Complementary effects of information systems strategic assets and enabling roles of information systems on innovation performance of banking organizations

Abstract

Banking organizations improve innovation performance by recognizing rare strategic assets and efficient use of information systems. This study explored the role of information systems in enhancing internal operational effectiveness and leveraging firm capabilities for strategic positions. Using a mixed‐method design, 11 participants in six banking organizations in Ghana were interviewed to gather data. The results indicate IT contribution, organizational learning, and IS‐related human are the most significant attributes that positively impact innovation performance. Corroborating qualitative and experimental results identified new products, improved operational processes, improved product functionalities, and innovation strategy as the key innovation performance factors. While the information systems strategic assets have minimal effect, the enabling role of information systems has a moderate impact on innovation performance. In contrast to either information systems strategic assets or the enabling role of information systems alone, the results show their complimentary effect on innovation performance is considerably higher.