The role of IT in organizational innovation – A systematic literature review

Abstract

Information technology (IT) is broadly recognized as an important element in organizational innovation, however there has been relatively little integration of Information Systems (IS) research on the role of IT in organizational innovation. Such integration is particularly important in view of recent calls to examine the evolving ontological nature of IT, wherein IT artifacts are now shaping physical reality. We systematically examine innovation-related literature published in the leading IS journals in the period between 2009 and 2020 and we identify and summarize the core theoretical discourses in this domain. We find that extant literature largely examines the role of IT in innovation at a high level of abstraction, focusing on IT investments and IT capabilities, and consequently precluding granular insights on who, what, when, where, how, and why in relation to organizational innovation. To address this limitation and to provide a structuring lens for future research, we develop the organizational innovation system framework which posits that actors, IT artifacts, actions and organizational context are the key elements in organizational innovation systems that require more granular examination to yield deeper insights on how information technology contributes to organizational innovation. We re-examine the literature through the organizational innovation system lens and we identify gaps in extant research. We also outline potential directions for expanding the scope of future research.