Information Technology Alignment Research Articles

THEORETICAL FRAMEWORKS SUPPORTING IT AND BUSINESS STRATEGY ALIGNMENT FOR SUSTAINED COMPETITIVE ADVANTAGE

In today's dynamic business environment, the alignment between information technology (IT) and business strategy is critical for organizations seeking sustained competitive advantage. This paper presents a comprehensive examination of theoretical frameworks supporting this alignment, aiming to provide insights into how organizations can effectively integrate IT capabilities with strategic objectives. The theoretical foundations explored include the Resource-Based View (RBV), which emphasizes leveraging unique resources and capabilities to achieve competitive advantage. Additionally, the Dynamic Capabilities Framework underscores the importance of an organization's ability to adapt and innovate in response to changing market conditions, highlighting the role of IT in facilitating agility and flexibility. The Strategic Alignment Model offers a structured approach to ensuring coherence between business strategy, IT strategy, and organizational infrastructure, enabling seamless integration and alignment. Value Chain Analysis provides a framework for understanding how IT can add value across different stages of the value chain, informing strategic decision-making and resource allocation. Moreover, IT Governance Frameworks, such as COBIT and ITIL, offer guidelines for effective management and governance of IT resources to support strategic objectives. Business Process Reengineering (BPR) is also examined as a methodology for redesigning business processes to align with strategic goals and leverage IT capabilities. Through an exploration of these theoretical frameworks, this paper aims to equip organizations with the knowledge and tools necessary to achieve sustained competitive advantage through the strategic alignment of IT and business strategies. Keywords: Theoretical Frameworks, IT, Business Strategy Alignment, Sustained Competitive Advantage.

Designing enterprise architecture for a global company

This case is about applying the Enterprise Architecture (EA) approach to align Information Technology to the business goals of a global company. ENMARK, the company has presence in four continents and many countries with multiple legal entities. The company has major product divisions that operate independently around the globe. As a result, there are multiple ERPs and other applications having heavy cost implications. There is a need to use the Enterprise Architecture (EA) approach to understand the overall businesses and remove redundancy across IT. The case can be used to understand how EA helps to bring about integration of Strategy, Business and Information Technology, as well as using the EA approach to develop business, data and application architecture for the global company.

Pre- to post-adoption of blockchain technology in supply chain management: Influencing factors and the role of firm size

Blockchain technology (BT) provides secure, fast, and confidential distributed systems that can solve many complex issues in supply chain management (SCM). Drawing on the technology, organization, and environment framework, institutional theory, and information system success model, this study proposes a pre- to post-adoption framework for BT in SCM. Data were collected online from 272 upper-level management of Chinese supply chain organizations. The results reveal that pre-adoption factors, including traceability, transparency, organizational readiness, coercive pressure, and normative pressure, positively influence BT adoption, whereas security concerns negatively affect it. The findings further indicate the positive impact of actual use on infusion and performance, and information technology alignment moderates these associations in the post-adoption stage. Interestingly, the moderating results of firm size demonstrate a significant difference in security concerns and organizational readiness, where large organizations have higher readiness and lower security concerns than smaller firms.

Effect of IT Alignment on Employee Performance and the Operating Role of Operating Environment

The thesis was about the information technology alignment and employee performance in private service sector a case of Umeme Uganda limited. The study set out to: examine the IT Alignment practices in Umeme (U) Limited; to analyses the relationship between IT Alignment and employee performance; and to examine the moderating role of the operating environment on the relationship between IT Alignment and employee performance. The study was cross-sectional in nature, using both qualitative and quantitative approaches. Data was collected using self-administered questionnaires, and interviews with top management of Umeme limited central Uganda. Out of a population of 290, the study targeted a sample size of 165 respondents. The study applied Statistical Programmed for Social Scientists (SPSS) to test all four hypotheses. The results were presented as descriptive statistics and inferential statistics specifically correlation, regression analysis and hierarchical regression analysis models. The study confirmed a positive significant predictor relationship between information technology alignment and employee performance in Umeme this was done by Exploratory Factor Analysis (EFA).
 The moderating role of the operating environment on the relationship between IT Alignment and employee performance at Umeme (U) Limited Central Uganda using a hierarchical regression analysis where interaction term (ITA*OP) appeared a significant predictor of employee performance The study designed a model, the Information Technology Alignment Innovative Preference Model (ITAIP) to build capacities and conduct research activities that would result in long-term and sustainable improvements in employee performance in private service sector. The study concluded that since ITA influence employee performance, the management of Umeme in support of IT needs to build a dynamic ITAIP, that will enable them cope with continuous improvement for greater efficacy and increased productivity as protocols are more strictly followed when orienting new employees. The study suggests that in order to build and install new IT governance the firm needs a detailed knowledge of how to improve efficiency, Costs optimization, Collaboration, collective decision, commitment, time management, creativity and digital work to release new services to customers, Transformational of ITA and improve the overall quality of the IT services provided in UMEME limited Uganda.
 Purpose: The purpose of this study was to empirically establish the relationship between IT alignment practices and employee performance in the Private Service Sector particularly in Umeme Limited.
 Design/methodology/approach: The study took a cross-sectional descriptive and analytical design. Out of a sample size of 165 employees, a total of 165 usable questionnaires were identified implying a response rate of 100%. The paper applied Statistical Programme for Social Scientists (SPSS) to test four hypotheses. The results are presented in terms of correlation and simple regression analysis models.
 Findings: Results indicate that of the four hypotheses developed in literature review, three were positive and significant predictors of employee performance. IT governance, IT implementation and IT investment were found to be significant positive precursors of employee performance. The authors did not test the Integration of IT activities – employee performance association as Integration of IT activities was eliminated during Exploratory Factor Analysis.
 Practical implications: This study is relevant and useful to private service entities as it provides them with a blue print on how to implement IT alignment practices with the aim of improving employee performance. To policy makers at National level, the study outcomes will be helpful in collecting, analyzing, and disseminating economic data that will serve private decision makers at all levels, on fiscal and monetary policy, business finance and investment strategy, and personal household economic matters.
 Originality/value: This study demonstrates that the proper implementation of IT alignment practices leads to improvements in employee performance in terms of collaboration, collective decision making, commitment, time management, creativity and digital work within the workplace.

LIDERANÇA ESTRATÉGICA DE PESSOAS COMO PRÁTICA DE ENGAJAMENTO NA ÁREA DE TECNOLOGIA DA INFORMAÇÃO

This article is the result of a research whose theme addressed the strategic management of people and organizational leadership applied in the area of Information Technology (IT), and which discussed the practices identified to obtain greater engagement of employees in the IT area and alignment with the strategic objectives aiming at the best return for the organization. This return can occur financially or by raising the levels of collaboration, creativity and satisfaction of employees in the organizational environment. Strategic people management introduces concepts of organizational culture and leadership, direction and planning that are essential to promote a functional environment of cooperation and integration. The general objective of the research was to identify and present people management practices applied in the IT area of organizations that have led them to a change of attitude in relation to the management of work teams. The study was qualitative, descriptive and was developed in the form of field and bibliographical research based on books and scientific articles. The result achieved was the indication of best leadership and people management practices that promote engagement and the best performance of IT professionals to achieve organizational objectives, based on the intersection between the concepts taken from the theoretical content and the data obtained through search.

Implementing Cybersecurity In DefTech Sdn Bhd using DoDAF

A company's architecture significantly affects how much it is worth. Enterprise Architecture (EA) is the term used to describe the ideas and standards that guide the execution of information, technology, and business mission in defence companies. The main objective is to align information technology and business strategy better. For this project, we selected Defence Technologies Sdn Bhd (DefTech) for the case study in implementing the EA. the purpose of this research is to include the as-is and to-be scenarios in detail of each division in the organisation by using DoDAF. DefTech is in the security and defence industry. The main aim is to implement Cybersecurity for data security and asset planning since they supply and produce armoured and logistic vehicles specifically for military and homeland security. The As-Is and To-Be scenarios for DefTech were explained, and data leak protection has been added as the future architecture for the organisation. The component will increase cybersecurity protection and traceability during data leakage. Implementing and enforcing a DoDAF standard reduces inefficiencies in enterprise security and identifies weaknesses. EA has shown potential utility for designing integrated architectures for a business on its own. Still, it can also act as the hub for other initiatives to govern the collaborative enterprise, particularly those centred on security.

Perencanaan Strategi Manajemen pada Kasus Perusahaan Distributor Spare Part Motor

<em>Several Motor Spare Part Distributor Companies have problems in planning management strategies to increase marketing. Therefore the authors conducted this research so that the company has a strategic management plan by utilizing technology, namely by implementing an information system, especially in the field of marketing, therefore a management strategy is needed to align information technology strategy with the company's business activities and strategy by adjusting the company's internal conditions. Researchers carry out various activities in research, namely literature review, collecting data from companies, Internal and external business analysis and making enterprise architecture blueprints and information technology portfolios that will be used. The research results show that the company has adequate information system planning for current and future business processes by mapping them into the application portfolio. The company's e-commerce website shows very strategic results in increasing the marketing of the distributor company.</em>

The Moderating Role of the Organizational Climate on the Relationship between IT alignment and Employee Performance

Purpose: The purpose of this study was to empirically establish the moderating role of the organisational climate on the relationship between IT alignment and employee performance at Umeme Limited. Design/methodology/approach: The research used a cross-sectional approach. To test their theories, the authors use hierarchical regression modeling. A sample of 165 respondents with a 100% response rate was selected from among the 290 employees of Umeme Limited using proportionate simple random and sampling procedures. Findings: Multiple regression results indicate that Information technology alignment is a significant predictor of Employee Performance in UMEME ltd (Beta = .534, p < 0.001). This implies that Information technology alignment explains 53.4% of the variance in Employee performance. When testing for moderating role of the organisational climate on the relationship between IT alignment and employee performance at Umeme Limited, the interaction term was positive and significant, resulting in the hypothesis “organisational climate moderates the association between IT alignment and employee performance at Umeme Limited” being accepted. Practical implications: The organisational climate in which Umeme employees operate is dynamic and rapidly changing, requiring constant modification of strategies and operations to reflect these changing circumstances if employee performance is to be increased. Originality/value: This is one of the few studies that focus on testing the moderating effects of organisational climate on the relationship between IT alignment and employee performance in the Service Sector in Uganda

Strategic alignment maturity assessment on conventional bank’s information technology

Strategic alignment between information technology and business strategy is needed to achieve an organization's performance excellence. Bank X is a bank that focused on serving the micro, small and medium enterprise (MSME) market segments. Bank X provided a variety of banking services which are generally grouped into activities of raising and distributing funds. Banking services are carried out conventionally. At the end of 2019, Bank X was acquired by an investment holding company. The objective of the acquisition is to develop Bank X into a bank with a digital platform. This study aims to measure the maturity level of strategic alignment of information technology with business strategies at Bank X. A conceptual framework is developed based on relevant literature. The level of strategic alignment is measured based on Luftman's Strategic Alignment Maturity Model (SAMM) framework. The results of the analysis show that the strategic alignment maturity level of Bank X is at level 3. Several recommendations are given to improve the maturity level of Bank X's strategic alignment.

Conceptualizing organizational culture and business-IT alignment: a systematic literature review

For decades, business and information technology alignment has fascinated scholars and practitioners. However, understanding these alignment mechanisms is challenging. The significant role of information technology (IT) in digitalization and agile transformation calls for targeted management of the readiness and capability of IT as an enabler and strategic business partner. This paper assumes that organizational culture is a success factor for business-IT alignment. Therefore, it aims to explore the culture-alignment relationship by the following research questions: What are typical IT management organizational culture characteristics, and how do they contribute to business-IT alignment? The study conducts a systematic literature review. First, after defining the critical terms, it searches the databases indexed in the Web of Science, Scopus, and Google Scholar. Then, the study uses bibliometrics to get quantitative insights into the research topic. Finally, it investigates the key arguments and findings of the selected papers. The analyzed literature depicts the relationship between an IT management culture and business-IT alignment elements. However, the research lacks concrete modeling and conception. This article contributes to a better culture-alignment relationship interpretation and closes a gap in the body of knowledge by combining quantitative and qualitative literature review methods.

Impact of information and communications technology alignment on supply chain performance in the Industry 4.0 era: mediation effect of supply chain integration

ABSTRACT With the advent of the Industry 4.0 era, the manufacturing industry realizes the importance of developing information and communications technology (ICT). Based on organizational information processing theory and resource-based view, this study constructs the conceptual model with the framework of “information-integration-performance,” uses survey data from Chinese manufacturing enterprises, and investigates the impact of ICT alignment on supply chain performance using a structural equation model with supply chain integration as the mediation variable. The study found that ICT alignment has no direct effect on supply chain performance, but its indirect effect is significant under the mediation effect of supply chain integration. In the relationship between supply chain integration and financial performance, operational performance plays a good mediation effect. These findings help companies to implement Industry 4.0 and ICT strategies that apply ICT alignment rationally and innovatively to ensure good organizational operations and improve supply chain performance.

A qualitative system dynamics perspective on the contribution of information technology credibility towards business and information technology alignment

Purpose: The dynamic interdependence between the deployment of technological assets and organisational performance remains a challenge for modern enterprises. Organisations reinforce competitiveness and improve performance when business activities and information technology (IT) efforts are aligned. The credibility of the IT organisation is an important influence on alignment. This research guides managers and directs future research to improve IT credibility.Design/methodology/approach: Interviews with senior leaders about factors influencing IT credibility provided rich data for analyses. The dynamic complexity of creating a credible IT function to ensure alignment was captured using qualitative system dynamic diagrams. A causal loop diagram was constructed to identify feedback loops and leverage points.Findings: The analysis confirms the impact of three factors identified by prior research. It provides a new perspective on portfolio-level IT governance’s contribution to establishing credibility. The value of using past failure to develop credibility through ownership and resolution emerged from the analysis.Practical implications: The results provide guidelines to improve the IT organisation’s credibility to improve business and IT alignment. Leverage points to improve credibility are provided, and research into resolving past failure as a mechanism to success is suggested.Originality/value: While most of the extant literature focused on static alignment factors, causal loop diagrams provided insight into IT credibility’s systemic nature. A new factor (resolving past failure), a new perspective (portfolio level governance), and confirmation of existing factors and identifying leverage points contribute to practice and science.

A qualitative system dynamics perspective on the contribution of information technology credibility towards business and information technology alignment

Purpose: The dynamic interdependence between the deployment of technological assets and organisational performance remains a challenge for modern enterprises. Organisations reinforce competitiveness and improve performance when business activities and information technology (IT) efforts are aligned. The credibility of the IT organisation is an important influence on alignment. This research guides managers and directs future research to improve IT credibility. Design/methodology/approach: Interviews with senior leaders about factors influencing IT credibility provided rich data for analyses. The dynamic complexity of creating a credible IT function to ensure alignment was captured using qualitative system dynamic diagrams. A causal loop diagram was constructed to identify feedback loops and leverage points. Findings: The analysis confirms the impact of three factors identified by prior research. It provides a new perspective on portfolio-level IT governance’s contribution to establishing credibility. The value of using past failure to develop credibility through ownership and resolution emerged from the analysis. Practical implications: The results provide guidelines to improve the IT organisation’s credibility to improve business and IT alignment. Leverage points to improve credibility are provided, and research into resolving past failure as a mechanism to success is suggested. Originality/value: While most of the extant literature focused on static alignment factors, causal loop diagrams provided insight into IT credibility’s systemic nature. A new factor (resolving past failure), a new perspective (portfolio level governance), and confirmation of existing factors and identifying leverage points contribute to practice and science.

Leveraging COBIT 2019 to Implement IT Governance in SME Context: A Case Study of Higher Education in Campus A

Achieving business and Information Technology (IT) alignment has become the aspiration of most organizations nowadays. Small and Medium Enterprises (SMEs) are not exempt as they also thrive to survive in a competitive market using IT. However, implementing all IT control and management components will be excessive, with a lack of justifiable cost-benefit for SMEs. A tailored governance system based on the specificities of SMEs is necessitated to help the organization to focus on its main objectives and strategies. By leveraging COBIT 2019 design toolkit, the researchers support Campus A in establishing healthy governance and IT management. Both qualitative and quantitative approaches are applied to select relevant governance/ management objectives. The toolkit has been designed with a semi-automated quantitative approach in which users will get scoring for each objective based on the associated value inputted for each design factor. Through a series of discussions with the management team, it concludes the governance design and recommends several improvements to increase its capability level, from the current level of 1.05 (initial stage) to the desired level of 2.33 (repeatable stage). Then, since the toolkit is practical to use, it is also rigid by design with its predefined and protected formula. To some extent, the resulting score or importance level of certain governance/management objectives is questionable and lacks justification. Flags or indicators to ‘should-have’ governance/management objectives, regardless of the organization’s size and type, will be useful to prevent the omission of essential objectives.

Formulary management guiding principles for automated systems.

Structural and financial changes in US healthcare are the driving forces reshaping care delivery and the technologies that clinicians use in their practice. Structural-level changes in healthcare organizations bringing facilities varying in size, systems, and complexity under the new integrated care delivery networks create unprecedented challenges. This paper develops guiding principles for formulary management in automated systems that facilitate medication management and alignment of medication information technology (IT) solutions in healthcare organizations ranging in size from a single facility to very large enterprise/multifacility networks. This paper describes formulary management best practices for healthcare organizations as they follow crucial medication management processes: formulary item builds, urgent and nonformulary medication requests, and formulary item build testing and maintenance. As medication management practices are embedded in automated technologies that are similar yet nuanced, we pay special attention to practices and change control processes that maximize coordination among systems while preserving medication data integrity and reducing medication errors. For increasingly complex healthcare systems with multiple medication management system demands, formulary drug database builds and maintenance are challenging and time-consuming. Formulary item build, testing, and maintenance processes involve multifunctional teams collaborating to ensure the integrity of data, prevent unexpected system incompatibilities, and improve patient safety by reducing medication errors. Ideally, formulary item build, testing, and maintenance processes produce consistent final drug records in IT systems meeting user needs.

Prioritizing IT Management Issues and Business Performance

ABSTRACT We use a novel dataset extracted from the Society of Information Management's (SIM) survey of chief information officers (CIOs) and top information technology (IT) executives to examine organizations' most critical IT management issues during 2014–2017 and their effect on firm profitability. According to the SIM surveys, the top two IT issues management prioritizes are security/cybersecurity/privacy and IT alignment with the business. We find that firms that prioritize these two IT management issues exhibit higher profitability than firms that do not. Our study contributes to the Information Systems (IS) and Accounting Information Systems (AIS) literature on IT business value by providing empirical evidence on IT-business alignment—and to some extent IT security—positively affecting firm financial performance.

Information Technology Governance: Lessons Learned from The Covid-19 Crisis

IT governance focuses on how to align Information Technology with the organization's goals and strategy so that the organization can deliver value from IT. During the Covid-19 crisis, many lessons and insights for ITG have come to light. As the new reality imposed by the ongoing pandemic forced businesses to continuously adopt new technologies, it has also highlighted their need for a stronger IT Governance framework to face the uncertainties and the risks that go hand in hand with IT. This paper aims to reflect on Covid-19 implications for IT Governance. Lessons learned from this crisis can help us envision and adopt an improved Information Technology Governance approach that is even more resilient to deal with future disruptions.

Validation of a Developed Enterprise Architecture Framework for Digitalisation of Smart Cities: a Mixed-Mode Approach

To support smart cities in aligning information technology (IT) and business strategies to achieve urban digitalization, this study aims to present an Enterprise Architecture Framework (EAF) to facilitate the digitalization of urban environments. Technology Acceptance Model (TAM) was employed to design a research model, and a mixed-mode methodology was employed. Quantitative data from survey questionnaires was used to gather data from practitioners in enterprises within Norway and Ireland that currently adopt Enterprise Architecture (EA) in a smart city project to empirically validate the developed EAF. Additionally, the developed EAF layers were validated through a qualitative focus group workshop with participants that utilize the developed EAF to provide digital services in smart cities. The findings suggest that the developed EAF can aid enterprises that provided digital services in identifying and assessing their digitalization initiatives and how EA benefits can be realized. Drawing on the TAM, the developed research model presents factors that influence practitioner’s adoption of EA towards the digitalization of urban environments. More importantly, this study provides empirically validated research on EAF adoption which is scarce.

The impact analysis of information technology alignment for information sharing and supply chain integration on customer responsiveness

The supply chain is a collection of businesses that collaborate to generate and distribute goods to customers (providers, manufacturing plants, wholesalers, stores, retail, and supporting organizations like logistics service companies). Supply chain management must be used to manage the company’s network effectively. According to prior research, information sharing, which information technology has facilitated, is one of the necessities for the excellent supply chain management. However, the discoveries from Western nations disregard the implicit impact of information technology on supply chain capabilities via information sharing. As a metric of supply chain performance, customer responsiveness should be reviewed alongside the connection between information technology alignment, information sharing, and supply chain integration. This study aims to develop a new conceptual model of the connection between information technology alignment, information sharing, supply chain integration, and customer responsiveness. This research also intends to determine the explicit impact of information technology alignment on customer responsiveness and the implicit impact of information sharing and supply chain integration on customer responsiveness in the supply chain. The connection between information technology alignment, information sharing, supply chain integration, and customer responsiveness is explored in this study, which develops a new conceptual model. This research discovered that information technology alignment significantly impacts customer responsiveness, both explicitly and implicitly, through information sharing and supply chain integration.

Enhanced digital transformation supporting capabilities through enterprise architecture management: A fsQCA perspective

The rapid development of novel, innovative digital technologies significantly impact organizations and their business ecosystem. Organizations must stay abreast of the latest developments and respond to them continuously to remain competitive. Many organizations make significant investments in enterprise architecture management (EAM) to manage the transformation of their complex information technology (IT) and information systems (IS) landscape and to guide their digital transformation. However, empirical research on EAM benefit realization is limited. This research conceptualized EAM as a particular type of dynamic managerial capability. Survey data (N = 110) was used in a set-theoretic approach (fsQCA) to identify EAM configurations that lead to a presence of technical IT capabilities and strategic IT alignment. The results indicate the importance of system changes induced by the EAM function itself to improve technical IT capabilities. Furthermore, setting up clear standards and rules, and developing and planning the migration to target architectures is particularly important to align business and IT in larger organizations. This research contributes to the academic knowledge base on EAM benefit realization and supports the needed reconceptualization and evolution of EA and EAM to better support organizations' digital transformations. Furthermore, the outcomes can help decision-makers justify and guide their EA investments while implementing a digital strategy.