Information Technology and the Search for Organizational Agility: A Systematic Review with Future Research Possibilities

Organizations are increasingly turning to information technology (IT) to help them respond to unanticipated environmental threats and opportunities. In this paper, we introduce a systematic review of the literature on IT-enabled agility, helping to establish the boundary between what we know and what we don’t know. We base our review on a wide body of literature drawn from the AIS Basket of Eight IT journals, a cross-section of non-Basket journals, IT practitioner outlets, and premier international IS conferences. We review the use of different theoretical lenses used to investigate the relationship between IT and organizational agility and how the literature has conceptualized agility, its antecedents, and consequences. We also map the evolution of the literature through a series of stages that highlight how researchers have built on previous work. Lastly, we discuss opportunities for future research in an effort to close important gaps in our understanding

THE IMPACT OF EMPLOYEE COMPETENCE ON ORGANIZATIONAL AGILITY: THE MEDIATING ROLE OF IT ALIGNMENT

Scholars have proposed that IT enables organizational agility by extending the reach and richness of firm knowledge and processes. However, this relationship is still open to debate. Based on the dynamic capabilities perspective, this paper proposes a model to investigate how employee competence (i.e., IT competence of business people and business competence of IT professionals) affects organizational agility through IT alignment. Data analysis results show that IT alignment fully mediates the influence of IT competence of business people and partially mediates the influence of business competence of IT professionals on organizational agility. In addition, the two kinds of competence are also positively interacting with each other to enhance IT alignment. We summarize with implications and suggestions for future research

Digital Agility: Conceptualizing Agility for the Digital Era

It goes without saying that digital technologies have been forming an increasingly crucial component of companies’ value offerings in recent times. In many industries, this trend has led to converging markets, where traditional firms compete and collaborate with software firms and digital startups. One central competitive factor in these markets is the ability to capitalize on digital options faster than the competition. Prior research on agility in this context has advanced our knowledge on managerial and employee behaviors, as well as structures supporting such behaviors, to enable agility both in traditional and software firms. The challenge for firms in digitally converging markets is that agility now requires a combination of organizational and IS development agility—perceiving these concepts as separate entities is no longer appropriate or instructive. Building on prior work on agile behaviors and structures, and published cases on digital firms, we develop an integrative conception of digital agility in line with the realities of the digital era

The co-evolutionary relationship between digitalization and organizational agility: Ongoing debates, theoretical developments and future research perspectives

This study is the first to provide a systematic review of the literature focused on the relationship between digitalization and organizational agility (OA). It applies the bibliographic coupling method to 171 peer-reviewed contributions published by 30 June 2021. It uses the digitalization perspective to investigate the enablers, barriers and benefits of processes aimed at providing firms with the agility required to effectively face increasingly turbulent environments. Three different, though interconnected, thematic clusters are discovered and analysed, respectively focusing on big-data analytic capabilities as crucial drivers of OA, the relationship between digitalization and agility at a supply chain level, and the role of information technology capabilities in improving OA. By adopting a dynamic capabilities perspective, this study overcomes the traditional view, which mainly considers digital capabilities enablers of OA, rather than as possible outcomes. Our findings reveal that, in addition to being complex, the relationship between digitalization and OA has a bidirectional character. This study also identifies extant research gaps and develops 13 original research propositions on possible future research pathways and new managerial solutions

Global Integration and Local Flexibility: Managing Contradictions in a Global Company - A Case Study of a Multi-National Service-Oriented Manufacturing Company

This dissertation addresses strategic change from the viewpoint of managing strategic dualities in the growth and internationalization of a company. The theoretical framework builds on theories of international business, organizational capabilities, and managing contradictions in organizations. The overarching theme of this research is the management of strategic dualities. Based on a cross-theory review, I frame a qualitative single case study, which produces a research narrative of a long-term strategic change, introducing various perspectives to provide a description of the research phenomenon in its context: a multinational service-oriented manufacturing company going through a strategic change. The data for the single case study were drawn primarily from a set of documentary data. The documentary data consisted of in-house employee magazines, company internal presentations and memos, annual reports, and articles and books on the company. This monograph starts with a review of existing literature. The literature review draws a line from traditional internationalization theories and managing the liability of foreignness to globalization and the needs to balance between global integration and local flexibility. A historical single case study follows the Finland-based multinational service-oriented manufacturing company and its growth and change. The research interest lies in the company’s attempts to harmonize its ways of working globally across the company. The results describe the various harmonization efforts and their impact on the growth and productivity of the company. The results shed light on how the company has managed tensions arising from the conflicting demands between global integration and local flexibility, between productivity and innovation, and between company internal and external views. These contradictions are addressed from three different aspects: structures and processes and adaptation thereof: technologies and products and innovation thereof: and short-term and long-term view and renewal thereof. The findings of this study explicate how the case company has developed its global operating model, the “company way” and what choices the company has made in managing tensions it has faced in the integration efforts. The key findings of this case study are the following. First, involving geographical business areas in global decision making has been helping the prioritization and allocation of scarce global resources across the network of local companies. Involving these businesses has also supported the global strategy – and the global mindset – of the company. Second, technological innovations have had a key role in developing global products and have thus supported the renewal from local to global business, differentiating the case company from many of its competitors. Third, harmonized ways of working are seen as key for agility and renewal, because the harmonized baseline enables faster changes. Fourth, the case company have chosen different approaches to manage the conflicting demands between global and local requirements. In many cases, the question has been about choices between global and local, and therefore about accepting possible trade-offs. However, in the case of an exceptional market situation in the emerging China market, local demands and pressure led to conflicts that in turn led to transformation and creation of even better ways of working by combining the global and local views. Finally, the results indicate how the drivers for harmonization have changed over time. The focus appears to have shifted from ensuring operational efficiency and economies of scale, towards making it possible for the company to integrate with external networks, especially as technological development has accelerated, and the locus of innovation has been moving outside companies. The main theoretical contribution of this dissertation is to examine international management theories with a historical long-term case study, where the need for harmonization remains but the drivers for a global strategy change. Through an empirical case study, this dissertation demonstrates the role of harmonization in a global company. It applies the existing theories to practice and illustrates how the case company has been managing the tensions that it has faced during the harmonization programs. This research complements existing international business research with a real-life case study on the global integration process of one company operating in a traditional industry

BUILDING IT AMBIDEXTERITY IN PARADOXICAL TIMES: THE ROLE OF IT PROJECT AMBIDEXTERITY

IT ambidexterity, the ability to simultaneously explore and exploit IT resources, is becoming increasingly important because it influences the organizational agility and helps organizations deal with growing levels of paradoxical tensions. In response to the opportunities and threats in the digital world, firms implement IT projects that face decision paradoxes which confront aspects such as control and autonomy, stability and change, and short- and long-term view. Extant theories describe how certain IT components contribute to IT ambidexterity; however, the literature is silent on how effectively managing these paradoxes in IT projects influences IT ambidexterity. To address this gap, this paper proposes a new construct, IT project ambidexterity, the ability to ambidextrously deal with paradoxes in IT projects, evaluate its influence on IT ambidexterity with a sample of 132 Brazilian IT executives, and found a relevant effect of IT project ambidexterity on IT ambidexterity

Disentangling the Concept and Role of Continuous Change for IS Research – A Systematic Literature Review

To ensure their business success in the digital age, organizations must continuously adapt to an increasingly hypercompetitive environment. Although the topic of continuous change has been addressed by previous research, we perceive a lack of attention on continuous change as an appropriate organizational change approach to tackle the challenges of digital business in the IS domain. Thus, our research goal is to analyze what IS research can learn from extant literature on continuous organizational change in today’s business environments. By carrying out a systematic literature review and analyzing 34 relevant papers, we identify and describe five major research streams which explore continuous change from different perspectives. Furthermore, we discuss links to well-known theoretical concepts to stimulate interdisciplinary exchange and we present a research agenda to transfer the identified results into the IS domain. Finally, we provide organizations with guidance to manage the challenges of digital business

A resource-advantage perspective on the orchestration of ambidexterity

Strategic resources are key inputs to strategy that can form the basis of superior service performance, yet there is scarce research on the strategic resources used by managers to realise ambidexterity: the simultaneous pursuit of alignment and adaptability. In this article, we draw on a qualitative case study of a leading European airline and examine the resource bundles used by managers in their orchestration of ambidexterity. Adopting a resource-advantage perspective, the study illustrates elements of human, organisational, and informational capital that are mobilised by managers in their incorporation of alignment-oriented and adaptability-oriented activities. By moving beyond a linear association between strategic resources and ambidextrous organisations, we argue that managers' orchestration of ambidexterity is central to how service organisations manage their strategic resources and enhance competitiveness. Overall, we highlight the micro managerial level as an important point of observation to extend current thinking on the ‘how’ of ambidexterity in service organisations

Dynamic Capabilities to Evolve an Ambidextrous IT Organization

Digital disruptions are changing the healthcare ecosystem, requiring organizations to rethink IT strategies and develop new IT competencies. This study focuses on the exploitation and exploration tension that managers face within an IT organization of a global pharmaceutical company, and their response to the related environmental exigencies in healthcare. Dynamic capability theory (DC) provides the overall framing, while ambidexterity provides an understanding of top management’s response to the exploit–explore tensions that arise. This engaged scholarship longitudinal case study takes a shifting stories methodological approach to elicit participants’ reflections and interpretations of significant events, including their own role in evolving the ambidextrous posture of the IT organization. Through rich description stories, process related decisions have been revealed, and have provided an understanding into organizational reconfiguration of IT resources. Subsequently, this resulted in a situated grounded model for understanding DC and OA for this case. Practical insights are offered on how dynamic capability theory could be applied for IT management to be smarter at becoming more ambidextrous