Seminar: Understanding IT Innovation Assimilation by Firms - An Absorptive Capacity Perspectiv
| Seminar: Understanding IT Innovation Assimilation by Firms - An Absorptive Capacity Perspectiv |
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DEPARTMENT OF MANAGEMENT SEMINAR Understanding IT Innovation Assimilation by Firms – An Absorptive Capacity Perspective by Edward W. N. Bernroider Senior Lecturer in Technology and Information Management School of Management Royal Holloway, University of London DATE: December, 14 2009, Monday TIME: 3:00 pm PLACE: IB ROOM# 203 ABSTRACT Motivated by rising concerns on delivering sustained value and organisational agility from IT investments, this research project applies the theoretical lens of dynamic capabilities and absorptive capacities to IT adoption. I argue that firms need to develop dynamic IT capabilities to effectively absorb and exploit IT innovations, and, accordingly, more refined approaches than currently available in literature are needed to model, measure and control related success rates. This research suggests some methodological contributions and organizational factors instrumental for IT adoption exemplified by Enterprise Resource Planning investments to generate desirable business process related benefits and subsequent firm performance. Empirical data suggests in particular that organizational abilities to obtain and evaluate information and to govern IT significantly affect success of ERP adoption. IT governance is seen as strong contributor to business process improvements and subsequent organisational performance. The attempt to link empirical findings into absorptive capacity theory has received scant prior attention. More practical implications may feed into commonly applied IT service management frameworks to help practitioners focus on management practices for developing the needed IT related dynamic capabilities and according performance management systems. |