IT FLEXIBILITY AND COMPETITIVE PERFORMANCE: THE MEDIATING ROLE OF IT-ENABLED DYNAMIC CAPABILITIES

Patrick Mikalef, Adamantia Pateli, R. van de Wetering

Research output: Chapter in Book/Report/Conference proceedingConference article in proceedingAcademicpeer-review

Abstract

A question of central importance for researchers and practitioners is whether Information Technology (IT) can help build a competitive advantage in constantly changing environments. One characteristic of a firm’s IT infrastructure in particular, flexibility, has been posited as being a critical enabler in attaining competitive performance gains. Yet, despite this suggestion, there is scarce empirical evidence to support this claim, and even more, a lack of understanding of the mechanisms through which flexible IT infrastructure add value. Grounded on modular systems theory and the dynamic capabilities view of the firm, the notion of IT-enabled dynamic capabilities is put forth which emphasizes the key areas in which IT investments must be leveraged. A conceptual model is then developed to explain how IT flexibility leads to competitive performance gains. To test our hypotheses, a PLS-SEM analysis in performed on a sample of 274 international firms. Outcomes suggest that IT flexibility acts as an antecedent of IT-enabled dynamic capabilities, and that this association is positively moderated by decentralizing IT governance. The formation of IT-enabled dynamic capabilities is found to be an important driver for competitive performance. Results are discussed, while theoretical and practical implications are highlighted.
Original languageEnglish
Title of host publicationProceedings of the 24th European Conference on Information Systems
Subtitle of host publicationECIS 2016 Research Papers
PublisherAIS Electronic Library
Publication statusPublished - 2016
Event24th European Conference on Information Systems (ECIS) - Istanbul, Turkey
Duration: 12 Jun 201615 Jun 2016
http://www.ecis2016.com/

Conference

Conference24th European Conference on Information Systems (ECIS)
Abbreviated titleECIS2016
CountryTurkey
CityIstanbul
Period12/06/1615/06/16
Internet address

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