Business value of IT capabilities: effects on processes and firm performance in a developing country

Abstract

Purpose:  This article proposes an integrated three-stage model, which tests the impact of IT capabilities at the firm level.

Design/methodology/approach:  The measurement model was constructed from the following research phases: i) assessment of the variables by experts in the fields of IS and business; ii) survey pretest; and iii) pilot survey. The full survey was applied to managers from IT and business fields in Brazil’s largest organizations, and was analyzed through Structural Equation Modelling.

Findings:  The results of the full survey allow us to conclude about the relationships that exist between IT capabilities, information quality and performance processes. Performance processes partially mediate the impact of IT capabilities on firm performance.

Originality/value:  The results presented contribute to the academic and management aspects, for they allow: i) to replicate the model in other research contexts (national, international) and evaluating incremental improvements of IT capabilities on firm performance; ii) the identification of intermediate performance indicators, associated with the use of IT, and the concentration of energy of organizations in the measurement of IT effects on business processes; iii) the adoption of the model for horizontal analysis of IT performance in large companies, from the perspective of business and IT managers.

Keywords: IT benefits; IT return; Performance variables; Process and firm level; Value measurement

Resumo

Objetivo:  Este artigo propõe um modelo integrado de três estágios para testar o impacto das capacidades de TI ao nível da firma.

Metodologia:  O modelo de avaliação foi construído a partir das seguintes fases de pesquisa: i) avaliação das variáveis por especialistas das áreas de TI e de negócios; ii) pesquisa pré-teste; e iii) pesquisa piloto. A pesquisa completa foi aplicada a gerentes das áreas de TI e de negócios nas maiores organizações do Brasil, e foi analisada por meio de Modelagem por Equações Estruturais.

Resultados:  Os resultados da pesquisa completa nos permitem tirar conclusões sobre as relações que existem entre as capacidades de TI, a qualidade da informação e o desempenho de processos. O desempenho de processos intermedeia parcialmente o impacto das capacidades de TI no desempenho da firma.

Contribuições:  Os resultados apresentados contribuem para aspectos acadêmicos e de gestão, pois permitem: i) replicar o modelo em outros contextos de pesquisa (nacional e internacionalmente) e avaliar as melhorias incrementais das capacidades de TI no desempenho da firma; ii) identificar indicadores de desempenho intermediários, associados ao uso de TI, e a concentração de energia das organizações na mensuração dos efeitos de TI nos processos de negócios; iii) adotar um modelo de análise horizontal do desempenho de TI em grandes firmas, a partir da perspectiva de gerentes de negócios e de TI.

Palavras-chave: Benefícios de TI; lucros de TI; variáveis de desempenho; nível de processo e de firma; mensuração de valor

Texto completo disponível apenas em PDF.

Full text available only in PDF format.

Acknowledgement

The authors are grateful for the support provided by CAPES (Coordenação de Aperfeiçoamento de Pessoal de Nível Superior - Brazil), CNPq (Conselho Nacional de Desenvolvimento Científico e Tecnológico - Brazil).

Contribution of each author:

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• 9
  Evaluation process: Double Blind Review

• 1
  We used the following keywords in this research:“IT-capabilit*” or “technology-capabilit*” or IT-competenc* or technology-competenc* AND “performance*” or “benefit*” or “impact*” AND “RBV” or “RBT” or “resource”.

• 2
  Bharadwaj’s (2000) study has 847 citations in the Web of Science database and 895 citations in all other databases. Santhanam and Hartono’s (2003) research has 218 citations in the Web of Science database and 229 citations in all other databases (2015, September).

Publication Dates

• Publication in this collection
  Apr-Jun 2016

History

• Received
  05 Oct 2015
• Accepted
  07 June 2016