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An integrative study of the impact of socio -technical alignment between business and IT groups on business performance

Kihyun Kim, University of Nebraska - Lincoln

Abstract

Due to the rise of the technology-driven knowledge age, top managers are directly involved with decision-making regarding IT investment. In order to strategically utilize competitive advantage that information technology (IT) can provide, managers must understand how the entire spectrum of IT-driven business values leveraged by business-IT alignment are created and transferred to business performance. ^ The primary research question addressed in this study was; “What is the spectrum or framework that explains the business-IT alignment in an organization?” More specifically, (1) what are the factors (antecedents) that influence business-IT alignment in an organization, (2) what is the consequence of business-IT alignment, and (3) what is its potential impact on business performance? ^ The proposed integrative framework of business-IT alignment could fill the theoretical gap in previous business-IT alignment research. The research model is based on the socio-technical system framework that explains how the business-IT alignment can be accomplished socially and materially through strategic decisions and technical arrangements among people in an organization. ^ Contemporary statistical techniques, especially the structural equation modeling (SEM) approach, were employed to test the proposed hypotheses and the research models. The results indicated that business-IT alignment includes socio-technical managerial activities such as business-IT partnership, shared vision, and functional integration, which result increased IS effectiveness and business performance directly or indirectly. ^

Subject Area

Business Administration, Management

Recommended Citation

Kim, Kihyun, "An integrative study of the impact of socio -technical alignment between business and IT groups on business performance" (2004). ETD collection for University of Nebraska - Lincoln. AAI3142089.
http://digitalcommons.unl.edu/dissertations/AAI3142089

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