The relationship between information and communication technologies adoption and management

Abstract

This paper examines the impact of information and communication technologies (ICT) adoption on management praxis. The study, building on the theoretical framework developed by Scott Morton and his colleagues, attempts to identify the dynamic relationships between ICT adoption and management efforts towards modernization and reorganization. Using data from leading Greek firms, we report evidence as to how changes in strategy, organizational structure, management systems, and human skills link with the current and prospective level of use of various types of advanced ICT. Findings generally appear to suggest that Greek firms are in a process of recognizing the potential of ICT to enable and support changes that are necessary for successfully competing in a hyper-competitive environment. In particular, ICT adoption is shown to affect strategy by supporting long-term strategic objectives and the quest for profitability. Indirectly, it also links to strategic planning systems. ICT is found to be related to an internal environment characterized by open organization and flexibility. Finally, the results show that the sample firms recognize the need for multi-skilled personnel to exploit the advantages stemming from ICT adoption.