The application of performance measures in the UK retail sector: an exploratory analysis

Abstract: An empirical investigation of the use of performance measurement by small and medium sized online retailers in the UK. The purpose of the study is to investigate type and range of performance measures applied and extent to which measures are likely to affect business performance and strategy development. The key findings are that whilst a good range of measures are applied, the measures are more likely to be used for checking strategy implementation rather than strategy formulation or for informing corrective action to ensure longer term strategic success. Further work is required to explore relationships between strategy and business performance

Factors influencing the alignment of accounting information systems in small and medium sized Malaysian manufacturing firms

The concept of alignment or fit between information technology (IT) and business strategy has been discussed for many years, and strategic alignment is deemed crucial in increasing firm performance. Yet few attempts have been made to investigate the factors that influence alignment, especially in the context of small and medium sized firms (SMEs). This issue is important because results from previous studies suggest that many firms struggle to achieve alignment. Therefore, this study sought to identify different levels of alignment and then investigated the factors that influence alignment. In particular, it focused on the alignment between the requirements for accounting information (AIS requirements) and the capacity of accounting systems (AIS capacity) to generate the information, in the specific context of manufacturing SMEs in Malaysia. Using a mail questionnaire, data from 214 firms was collected on nineteen accounting information characteristics for both requirements and capacity. The fit between these two sets was explored using the moderation approach and evidence was gained that AIS alignment in some firms was high. Cluster analysis was used to find two sets of groups which could be considered more aligned and less aligned. The study then investigated some factors that might be associated with a small firm’s level of AIS alignment. Findings from the study suggest that AIS alignment was related to the firm’s: level of IT maturity; level of owner/manager’s accounting and IT knowledge; use of expertise from government agencies and accounting firms; and existence of internal IT staff

Small Business IT Sophistication Defined

The development of small business research has been a very slow process, but following the lead of such researchers as DeLone, Cragg, King and Mahmood the understanding of small business is being expanded. Each of these researchers have offered models that suggest that organizational success is based in part on information technology (IT) and its impact on financial measures. Many reseachers including those cited above have also expressed the need to develop an understanding of the non-financial components of organizational success. In a current research project the questions of IT and its relationship to non-financial success are being studied, specifically if there is a direct and postitive relationship between IT and non-financial success. In a previous paper by Brownmiller and King, it was argued that if the motivator for the small business was not financial then the measures of success should also be non-financial. Early findings reported by Brownmiller and King were that financial issues were not the most important motivator of the small business owner. In developing this research a number of organizational success measures were examined and the basic finding was that there existed a lack of common definition of terms among researchers. In order to develop the foundation for this research, the development of a research model that focused on definition was undertaken. This model consisted of five major components, motivators, measures of success, organizational success, user sophistication and information technology. The relationship of the components outline the foundation of theresearch. The full definition of the model will be presented in future papers

The consideration of organizational issues during the systems development process: an empirical analysis

The lack of consideration of organizational issues in systems development can lead to project failure. A review of the literature and a pre-test survey suggested classifying organizational issues into five categories and examining how these are considered by IT managers. A postal survey with responses from 64 senior IT specialists over a cross section of industry and commerce showed that there is a general awareness of the importance of organizational issues but there was little consensus on how they should be addressed in the development process. These IT managers were consistent in spending most effort on the issues perceived as most important from the list of 14 issue provided, but there was considerable variation in which specific issues they rated most important. In general those organizational issues with a `technical’ aspect were given more prominence than those which are less tangible, but which may be more critical to a system’s success

THE ROLE OF PERFORMANCE MEASUREMENT ON BUSINESS PERFORMANCE: A COMPARATIVE STUDY OF SMALL AND MEDIUM-SIZED INTERNET RETAILERS BASED IN THE UNITED KINGDOM AND INDONESIAN

This study investigates the application of performance measurement and considers how its use might affect the business performance of small and medium-sized retail businesses in the United Kingdom and Indonesia, which are using the Internet a as channel to market. In both countries, retailers were surveyed and the study has produced some interesting results, which have theoretical, practical and managerial implications. At the outset of the study, little was known about the extent of Internet adoption by retail businesses in Indonesia and it was not surprising to find that in the United Kingdom, Internet retailing is well established but in Indonesia, it is in the early stages of development. Nevertheless, there was sufficient Internet activity by Indonesian retailers to enable comparison of the use of performance measures by retailers in a mature economy and its use in a developing economy. The findings revealed similarities and differences in the number and type of performance measures used by retailers but more interestingly found evidence of different strategic orientations, which suggested that certain types of organizational behavior could be used to predict the type of performance measures that might be applied by a retailer. More specifically, in both countries, retailers adopting a conservativeness-oriented strategy were more likely to make greater use of performance measurement than those classified as applying an aggressiveness-oriented strategy but level of aggressiveness, was found to be an indicator of financial performance. In the United Kingdom low aggressiveness was an indicator of better financial performance whereas in Indonesia high aggressiveness was an indicator of better financial performance. This study has explored complex issues, by investigating strategic orientation and performance measurement and made suggestions as to how these constructs might affect business performance in Internet retailing within developed and less-developed countries. The findings have important managerial implications for Internet retailers about how performance measures might be used effectively to enhance business performance

The importance of organisational issues in systems development

Abstract: A survey of senior and influential IT managers explored the related questions of why some senior IT professionals perceive organisational issues to be more important than technical issues, and whether this has a concomitant impact on the treatment of organisational issues. An overall response rate of 63% was achieved from a combined survey of two distinct groups. The results show that there are significant differences in managers’ perceptions about the importance of organisational issues which can, to some extent, be explained in terms of organisational size, and to a lesser extent by the favoured development approach. However, these differences in perception appear to have no identifiable relation to the significant differences in the approaches adopted for treating organisational issues. It is suggested that this is due to the difficulties in treating such issues and further research to resolve these difficulties is proposed

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

An investigation of the factors affecting the successful treatment of organisational issues in systems development projects

A review of the relevant literature confirms the importance of treating organisational issues in order to avoid information systems development failures. To investigate how such issues are treated in practice and the factors associated with their successful treatment, a large-scale survey was conducted. A questionnaire was mailed to senior IS executives and over 600 responses were received. A majority of the respondents (60%) perceived that organisational issues were more important than technical issues and a similar proportion reported treating these issues explicitly, although there was noticeable variation in the frequency with which specific types of issues were treated. However, only 50% felt that organisational issues were successfully dealt with in more than 30% of the projects for which they were responsible. This proportion seems to be independent of the type of organisation or the general development approach adopted, but the results also indicate that using an approach to treating organisational issues which is explicit, frequent and covers a wide range of specific issues is associated with higher levels of success. These results suggest that senior IT executives need to go further in ensuring that the treatment of organisational issues is given greater time, resource and level of priority