Abstract
Purpose –This article proposes an integrated three-stage model, which tests the impact of IT capabilities at the firm level. Design/methodology/approach – The measurement model was constructed from the following research phases: i) assessment of the variables by experts in the fields of IS and business; ii) survey pretest; and iii) pilot survey. The full survey was applied to managers from IT and business fields in Brazil’s largest organizations, and was analyzed through Structural Equation Modelling. Findings – The results of the full survey allow us to conclude about the relationships that exist between IT capabilities, information quality and performance processes. Performance processes partially mediate the impact of IT capabilities on firm performance. Originality/value – The results presented contribute to the academic and management aspects, for they allow: i) to replicate the model in other research contexts (national, international) and evaluating incremental improvements of IT capabilities on firm performance; ii) the identification of intermediate performance indicators, associated with the use of IT, and the concentration of energy of organizations in the measurement of IT effects on business processes; iii) the adoption of the model for horizontal analysis of IT performance in large companies, from the perspective of business and IT managers.
Highlights
The application of technological and organizational resources in building IT capabilities by firms assumes that such capabilities significantly contribute to business performance (Cano & Baena, 2015; Chen et al, 2014)
From the results that associate information quality and performance (e.g Gorla et al, 2010; Hartono et al, 2010), and the demand to relate resources linked to IT and performance processes (Chen & Tsou, 2012), we present the following hypothesis: H2: Higher levels of information quality (IQ) improve performance at the processes level (PPL)
We found that IT capabilities are positively associated with information quality (H1), which converges with the assumptions of Dynamic Capabilities with regard to its role in the reconfiguration of the resource base (Augier & Teece, 2008; Chen et al, 2008)
Summary
The application of technological and organizational resources in building IT capabilities by firms assumes that such capabilities significantly contribute to business performance (Cano & Baena, 2015; Chen et al, 2014). In one of the research streams on IT, recent studies based on archive data – directly linking IT capabilities (binary measurements) and aggregate performance measures of the company (book and market) – presented null and mixed results for IT value (Chae, Koh, & Prybutok, 2014; Oliveira, Maçada & Oliveira, 2015) These results support other research stream that considers IT capabilities as multidimensional constructs [infrastructure, management, people, knowledge] (Kim, Shin, Kim, & Lee, 2011) and which analyzes IT value on intermediate performance (Garrison, Wakefield, & Kim, 2015), namely: business processes (Chen et al, 2014) and information quality (Hartono, Li, Na, & Simpson, 2010)
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