Performance measurement due to IT adoption

Abstract

Purpose – The purpose of this paper is to provide an analysis on the relationship between information technology (IT) adoption and its usage and firm performance (banking and software firm) in India. Firm performance was measured with the help of three important variables: efficiency, effectiveness and productivity. Each one of the above has been described with a set of pretested questionnaires. Banks in India, in particular are geared for comprehensive banking solutions with extensive branch networks. Result from statistical analysis was validated with that achieved from ANN modeling. Design/methodology/approach – Survey instrument was pilot tested. The pilot survey was administered to 20 randomly selected Indian service firms, whose Standard Industrial Classification codes were 6,021 (nationalized commercial Banks) and 7,371 (software firms). A 50 percent response rate was received. Internal reliability using Cronbach’s α was carried out for the entire set of responses from the pilot study. In addition, qualitative follow up from respondents was done. Unreliable items were deleted and modifications wherever necessary were made. Findings – The research finds two important results with respect to IT adoption and firm performance. The first result is that service firms who implemented IT tools and techniques early achieved more turnover thereby greater market share from innovation/adoption (world-first and, to some extent India-first). These firms are able to better commercialize their service even if their most important innovations/adoptions supported by vendor’s to some extent. The second result is that service firms, which introduce new services, even if the service is already on the national or international front, derived more commercial sales from innovation, thus achieving more firm performance. Therefore, late followers (firm-first) would have higher sales from innovation by introducing services with high original content. Originality/value – Performance is measured due to IT adoption.

Use and Efficacy of Information Technology in Innovation Processes: The Specific Role of Servitization

“…The degree of servitization may also have an impact on IT tools' use intensity. Previous research reported that servitized firm's performance benefits from implementing IT tools (e.g., Behera, Nayak, and Das, ; Nakata, Zhu, and Kraimer, ), although service innovation research has not provided empirical evidence of this. However, the characteristics of services and service innovation may explain servitized firms' lower IT use intensity.…”

The Impact Of Retail 4.0 Technologies Adoption On Retailers’ Performance In Malaysia

“…Bharadwaj (2002) states that the main difference between successful firms and less successful firms is the efficient use of information technology. Behera et al (2015) agree with Bharadwaj's (2002) statement by saying that IT adoption by a firm is very profitable for its stakeholders and this enables the growth of the organization. To strengthen Bharadwaj's (2002) and Behera et al (2015) findings, many studies have shown that IT adoption has helped to improve firm performance.…”

“…Behera et al (2015) agree with Bharadwaj's (2002) statement by saying that IT adoption by a firm is very profitable for its stakeholders and this enables the growth of the organization. To strengthen Bharadwaj's (2002) and Behera et al (2015) findings, many studies have shown that IT adoption has helped to improve firm performance. Neirotti and Paolucci (2011)…”

“…Organizational effectiveness for retailers include Out-Of-Stock or OOS issues (Aastrup & Kotzab, 2010), price discrepancy problems (Riquelmi, Roman, Cuestas, & Iacobucci, 2019), good service from staff (Behera, Nayak, & Das, 2015) and waiting time at the checkout counters (Dahm, Wentzel, Herzog, & Wiecek, 2017).…”

Conceptual Framework for the Strategic Management: A Literature Review—Descriptive

“…e functional strategy depends and must be well defined and aligned with the corporative and the business strategies. According to Sharma and Fisher [107], the main types of functional strategies are: production strategies [108], I + D strategies [109], marketing strategies [110], human resources strategies [111,112], technological strategies [113], organizational strategies [114], and financial strategies [115]. It is considered that the production strategy has been the most effective in the past and will continue to receive the maximum priority in the next years.…”