IT Alignment and Organizational Performance in Small Firms

This study focused on the alignment of business strategy and IT strategy among 256 small UK manufacturing firms. IT alignment was explored using both the matching and moderation approaches, leading to a measure of alignment for each firm. The group of firms with high IT alignment achieved better organisational performance than firms with low IT alignment. As well as confirming prior findings in large firms, the study extended our understanding of IT alignment in small firms

Comparing alignment factors in SMEs and large organizations: a planning integration perspective

Measurement of the alignment between business strategies and information systems (IS) has demonstrated positive impact for the organizational performance. The factors that have proved relevant when assessing the maturity level of alignment are: communication, competency/value measurement, governance, partnership, architecture & scope, and skills. Existing research, however, has focused on the assessment of these factors on large organizations and has barely explored their impact on Small and Medium Enterprises (SME). This paper uses the data provided by 127 participants from large and SMEs in order to identify whether the aforementioned factors are also relevant for assessing the level of alignment maturity in SMEs. The results from this research suggest that there are not significant differences between large organizations and SMEs when assessing those factors. In addition, this research also explored the relation between different planning integration of alignment (independent, sequential and simultaneous) in order to measure the perceived relevance of the factors. The results suggest that the planning integration identified on SMEs and large organizations has a positive correlation on how these factors are ranked. For both SMEs and large organizations where the formulation is simultaneous, the relevance of the factors is higher perceived than it is for those where the formulation is independent or sequential

IT strategizing of small firms in Malta: a grounded theory approach.

The contribution of small firms towards the creation of economic value in a countrys Gross Domestic Product, employment and innovation is widely acknowledged. Relatively little is known on how small firms are adopting IT strategically to acheive business-IT alignment and how alignment changes over time. This study examines from a dynamic perspective IT adoption actions undertaken by owner-managers, in relation to business-IT alignment in small firms in the island state of Malta. To attain its research objectives, the methodological stance adopted in this research study is that of grounded theory. Moving away from a deductive approach, this study embraces a constructivist approach using a combination of inductive and abductive thought. No fewer than thirty-one in-depth interviews are conducted with owner-managers to observe alignment patterns of IT adoption behaviour in their respective small firms operating in Malta and employing up to 49 employees. Four business-IT alignment equilibrium states are identified, serving as markers to map out the common IT alignment paths that each firm pursued, not necessarily in linear form, during their operational years. A substantive model, which identifies four distinct IT alignment patterns, denotes each common path that a group of firms took in their movement from one alignment equilibrium state to another, throughout their life-cycle stages. This study has substantive application and comprises several implications for the development of IT adoption behaviour when small firms endeavour to strategically align business with IT. It provides policy-makers, academic researchers and small firms owner-managers with a theoretical framework that can provide them with factors that can predict the kind of alignment patterns that are likely to occur. Findings indicate that the quality of IT related technological solutions that are taken up by each small firm are reliant on the owner-managers characteristics that focus mainly on the knowledge of internal IT expertise and the project management capabilities to manage IT outsourcers. Given that few studies have been conducted to study and establish patterns of IT alignment in small firms, this research provides an important contribution to knowledge and to the existing academic literature

Web 2.0 and micro-businesses: An exploratory investigation

This is the author's final version of the article. This article is (c) Emerald Group Publishing and permission has been granted for this version to appear here. Emerald does not grant permission for this article to be further copied/distributed or hosted elsewhere without the express permission from Emerald Group Publishing Limited.This article was chosen as a Highly Commended Award Winner at the Emerald Literati Network Awards for Excellence 2013.Purpose – The paper aims to report on an exploratory study into how small businesses use Web 2.0 information and communication technologies (ICT) to work collaboratively with other small businesses. The study had two aims: to investigate the benefits available from the use of Web 2.0 in small business collaborations, and to characterize the different types of such online collaborations. Design/methodology/approach – The research uses a qualitative case study methodology based on semi-structured interviews with the owner-managers of 12 UK-based small companies in the business services sector who are early adopters of Web 2.0 technologies. Findings – Benefits from the use of Web 2.0 are categorized as lifestyle benefits, internal operational efficiency, enhanced capability, external communications and enhanced service offerings. A 2×2 framework is developed to categorize small business collaborations using the dimensions of the basis for inter-organizational collaboration (control vs cooperation) and the level of Web 2.0 ICT use (simple vs sophisticated). Research limitations/implications – A small number of firms of similar size, sector and location were studied, which limits generalizability. Nonetheless, the results offer a pointer to the likely future use of Web 2.0 tools by other small businesses. Practical implications – The research provides evidence of the attraction and potential of Web 2.0 for collaborations between small businesses. Originality/value – The paper is one of the first to report on use of Web 2.0 ICT in collaborative working between small businesses. It will be of interest to those seeking a better understanding of the potential of Web 2.0 in the small business community.WestFocu

Predicting business/ICT alignment with AntMiner+.

In this paper we report on the results of a European survey on business/ICT alignment practices. The goal of this study is to come up with some practical guidelines for managers on how to strive for better alignment of ICT investments with business requirements. Based on Luftman's alignment framework we examine 18 ICT management practices belonging to 6 different competency clusters. We use AntMiner+, a rule induction technique, to create an alignment rule set. The results indicate that B/ICT alignment is a multidimensional goal which can only be obtained through focused investments covering different alignment aspects. The obtained rule set is an interesting mix of both formal engineering and social interaction processes and structures. We discuss the implication of the alignment rules for practitioners.Alignment; Artificial ant systems; Business; Business/ICT alignment; Data; Data mining; Framework; Investment; Investments; Management; Management practices; Managers; Practical guidelines; Processes; Requirements; Rules; Structure; Studies; Systems;

Achieving business and IT alignment from organisational learning perspectives

Business and IT alignment has continued as a top concern for business and IT executives for almost three decades. Many researchers have conducted empirical studies on the relationship between business-IT alignment and performance. Yet, these approaches, lacking a social perspective, have had little impact on sustaining performance and competitive advantage. In addition to the limited alignment literature that explores organisational learning that is represented in shared understanding, communication, cognitive maps and experiences. Hence, this paper proposes an integrated process that enables social and intellectual dimensions through the concept of organisational learning. In particular, the feedback and feed- forward process which provide a value creation across dynamic multilevel of learning. This mechanism enables on-going effectiveness through development of individuals, groups and organisations, which improves the quality of business and IT strategies and drives to performance

IT strategy in Singapore: the Case of Small and Medium Sized Enterprises in Singapore.

This paper discusses the initial results of the investigations IT strategy in Singapore industry. Previous researchers have identified various barriers to exploitation of IT. These have been relevant to western industries. In this research the authors have undertaken the research to identify how Singaporean industries are looking at IT implementation. A series of interviews were conducted in Singapore SMEs. It was concluded typically small companies had misconceptions and misgivings about IT strategy. Current research mainly focusses on large companies and thus there was gap between existing approaches and those relevant to small companies. IT decisions were delegated to the middle management in a significant proportion of small companies that had a business-aligned IT strategy. Funding of IT remained elusive to small companies especially with emergence of new tools. This research has paved way for further research and analysis on the IT strategy and adoption in SMEs

Aligning Business and IT from Multi-level Learning Perspectives

Business and IT alignment is increasingly acknowledged as a key for organisational performance. However, alignment research lack to mechanisms that enable for on-going process with multi-level effects. Multi-level learning allows on-going effectiveness through development of the organisation and improved quality of business and IT strategies. In particular, exploration and exploitation enable effective process of alignment across dynamic multi-level of learning. Hence, this paper proposes a conceptual framework that links multi-level learning and business-IT strategy through the concept of exploration and exploitation, which considers short-tern and long-term alignment together to address the challenges of strategic alignment faced in sustaining organisational performance

An Integrated Information System to Support Supply Chain Management & Performance in SMEs

Purpose: This study aims to examine the relation between the level of supply chain management (SCM) adoption and small & medium enterprises (SMEs) performance. SCM adoption level it is expected to facilitate SMEs in improving their efficiency, thus they can obtain their competitive advantage. Design/methodology/approach: This study uses primary data in the form of questionnaires. This study only takes the SMEs engaged in commerce (retail) business in order to avoid bias in IT usage. The questionnaires are given to 88 SMEs owners whom responsible for the IT development in their companies. Findings: The result proves that SCM adoption significantly affects SMEs performance. The hypotheses testing is performed using one-way ANOVA, the result shows that there are significant differences between level initiation, diffusion, and integration with SMEs performance. Originality/value: This study explains the relation between supply chain management (SCM) adoption level and SMEs performance that has never been performed before.Peer Reviewe