Special Issue Editorial: Enterprise Systems Frontiers

Issue editorial

Microfinancing Influence on Micro-Entrepreneurs Business Growth: Mediating Role of Psychological and Social Capital

This paper is set out to uncover the phenomena of micro-enterprises business growth by hypothesizing microfinancing, social and psychological capital as factors. This research is important due to the fact that the paucity of information on how microfinancing, social and psychological capital relate to micro-enterprises business growth would obscure the ways in which they survive. In Malaysia, microfinance is used as one of the tools to alleviate poverty, as well as to improve the livelihood and standards of living of the poor and those who are financially excluded.  However, almost three decades after the introduction of microfinancing programmes, the performance of microfinancing recipients’ i.e. micro-enterprises in Malaysia is not satisfactory. Besides providing loans to these micro-entrepreneurs, other aspects of facilitation, including the inculcation of the entrepreneur’s intangible resources, need to be addressed. Therefore, this research examines the mediating effect of micro-entrepreneurs’ psychological and social capital on the relationship between microfinance provisions and the business growth of micro-enterprises. The samples are identified from two microfinance providers, i.e., Amanah Ikhtiar Malaysia (AIM) and the National Entrepreneur Group Economic Fund (TEKUN) micro credit financing scheme recipients’ databases. A total of 250 useable survey questionnaires was collected and analysed to test the hypothesised relationship. The data was analysed using Partial Least Square-SEM and the structural model was examined to test the hypotheses. The findings show that micro-entrepreneurs’ psychological and social capital have a significant mediating effects on the relationship between provision of microfinance and the business growth of micro-enterprises in Kelantan. This research offers the practical implication that the effects of micro finance provision on the business growth of micro-enterprises are better exerted through micro-entrepreneurs’ psychological and social capital. This theoretically supports the applicability of the Resource-based View (RBV) theory to explain the mediating effect of psychological and social capital on the relationship between microfinance provisions and business growth. Research paper Keywords: Micro-enterprise, Business growth, Psychological capital, Social capital, Mediation, Microfinance institutions Reference to this paper should be made as follows: Nordin, N., Siti-Nabiha, A.K., & Kamalia, Z. (2019). Microfinancing Influence on Micro-Entrepreneurs Business Growth: Mediating Role of Psychological and Social Capital, Journal of Entrepreneurship, Business and Economics, 7(2), 130–161

Does Organizational Structure influence IT investment and its effects on Operational Capability?

The effects of IT (Information Technology) have been examined extensively through various theoretical foundations and distinct disciplines. Most of these studies suggest that IS (Information Systems) plays a critical role in operational activities and performance, whereas IT facilitates a firm’s capability to deal with large amounts of information within and between organizations. It has been widely believed that IT enables an organization to improve its information capability, which in turn, enhances its operational efficiency and effectiveness. Prior research has assessed the effects of IT on operational performance. In order to provide an overview of how IT effects improve operational performance, we reviewed prior studies within the field of operations management including organizational factors such as organizational structure (centralization vs. decentralization) and business process. However, few studies have focused on the role of organizational structure in the relationship between IT investment and operational performance. Since organizational structure has been recognized as one of the key factors affecting operational improvement, this present research seeks to explore how organizational structure influences the relationship of IT investment on operational performance throughout IT capability at the organizational level

Modeling IT Value based on Meta-Analysis

Over the last two decades, research about IT value has been done. The main purpose of IT values research is to determine how IT investment gives impact and value to organization performance. Because of vital role and function of IT, the organization required to understand how IT could create business value. Therefore, an understanding of IT value is needed. Systematic literature review in meta-analysis is required to determine the relationship between IT resources, organization capabilities, organization core competencies, and organization performances. The research was conducted on 53 publications which generate the classification matrix components that have an impact on organization performance. Hypothesis testing results that organization has the best performance on financial, efficiency, and other performance through external capability and core competence. So, indirect effect model is better than direct effect model in explaining IT value

Resource-based View in Information Systems Research: A Meta-Analysis

Resource-based view is the theory that has been applied to analyze the impact of informa-tion technology on business performance. Its main argument is that competitive advan-tages are determined by the unique valuable resources controlled by an organization. IT as a valuable asset will have positive effect on firm performance. However, previous re-search on the issue is inconsistent. This paper reports a meta analysis of 42 papers pub-lished in major journals in information systems. Our findings indicate that the capability mediated model is better than the direct effect model and the major impact of IT is on ef-ficiency indicators

Aligning IT Assets to Maximize Healthcare Organizational Performance

This study examines the efficiency impact of healthcare information technology assets on organizational performance. Using an econometric approach with data envelopment analysis, both individual IT assets and IT asset clusters are measured relative to an efficient peer group. The results provide insight to organizational structuring of IT asset portfolios

Developing a Big Data-Enabled Transformation Model in Healthcare: A Practice Based View

Healthcare organizations are looking for opportunities to create new business model and value that can be implemented through information technology (IT) enabled transformation. Big data, an overwhelming phenomenon which has been addressed through various new and old data management technologies, hold the key to healthcare transformation. To address this, we developed a big-data-enabled transformation model based on practice-based view showing that the relationships among big data capability, big-data-enabled transformation practice, benefit dimensions, and firm performance. We tested this model by analyzing secondary data regarding big data in the healthcare context. Our results not only conceptually defined four big data capabilities but also found two significant path-to-performance chains. The contributions of this study are twofold. For management research, we establish a big-data-enabled transformation model to explain how big data leads to firm performance. For practitioners, we identify potential patterns that will help understanding big data\u27s potentials and capabilities

AN INITIAL EMPIRICAL EVALUATION OF THE INFLUENCE OF ERP POST-IMPLEMENTATION MODIFICATIONS ON BUSINESS PROCESS OPTIMISATION

In this research in progress paper, we present and discuss an initial empirical evaluation of a model on ERP post-implementation modifications. The theoretical foundation and derivation of a set of propositions from the model were reported recently (citation withheld); it categorises post-implementation modifications to ERP systems and relates it to business process optimisation. While ERP systems can improve the efficiency, effectiveness and flexibility of business processes, the relationship between these measures of business process optimisation and post-implementation modifications is not adequately understood. By drawing on the post-implementation experience of a large Australian manufacturing company, we report several post-implementation modifications, and empirically classify them in light of our model. The model and empirical evidence together provide a convincing theoretical foundation for research into the impact of post-implementation modifications on business process optimisation, an important area for achieving competitive advantage. With empirical evidence (though initial), we are able to support the utility of our model as a useful managerial tool for clarifying differences amongst various modifications and guiding modifications and its implications to deliver business process optimisation

ERP PROJECT IN SMES: A MATTER OF RISKS, A MATTER OF COMPETENCIES. A QUANTITATIVE ANALYSIS

The paper proposes to assess the salient topics related to ERP systems implementation in the context of small firms: do the risks occurrence and the competencies used during the project influence the success of the ERP project in SMEs? A survey investigated the IT policy of 2000 representative SMEs. The results are analyzed from a final sample of 81 firms which effectively adopted an ERP. Multiple projects patterns are observed, but no \u27one best way\u27 is found: no specific modality offers a higher rate of success for the project. Among external supports, the integrator appears to play a key role in the resolution of operational difficulties. Although the projects may encounter multiple risks, they are ? most of the time - not allowed to fail. This quantitative analysis offers a first confirmation and generalization of the existing case studies on ERP projects in SMEs

Assimilation of Enterprise Mashup Systems − The Impact on Changes in Work Processes

A number of Enterprise 2.0 collaboration platforms are beginning to proliferate. By leveraging typical Web 2.0 attributes, these platforms provide enterprises with a collaborative environment to develop capabilities by collectively generating, sharing and refining business knowledge (including information, functionality and business processes). Deductively deriving from the assimilation literature stream, this article conceptually discusses a quantitative research model to constitute a deeper understanding of Enterprise 2.0 technology assimilation on an individual level. Our research contributes to the existing assimilation and adoption theory by integrating the social exchange theory as well as emphasizing the impact of Enterprise Mashup system assimilation towards changes in work processes. Furthermore, we include several object-related constructs like user perceptions about technology-specific aspects and work characteristics as well as moderator effects which are emphasized to have an impact on usage behavior of work-productivity systems and the resulting work processes