Understanding the impact of strategic alignment on the operational performance of post implemented technological innovations
Santa, Ricardo, Vemuri, Ram, Ferrer, Mario, Bretherton, Phil, & Hyland, Paul (2010) Understanding the impact of strategic alignment on the operational performance of post implemented technological innovations. In Kobe, Carmen & Goller, Ina (Eds.) Proceedings of the 11th International CINet Conference : Practicing Innovation in the Times of Discontinuity, CINet, Zurich, Switzerland, pp. 902-916.
Purpose – The purpose of this paper is to examine the role of three strategies - organisational, business
and information system – in post implementation of technological innovations. The findings reported in
the paper are that improvements in operational performance can only be achieved by aligning
technological innovation effectiveness with operational effectiveness.
Design/methodology/approach – A combination of qualitative and quantitative methods was used to
apply a two-stage methodological approach. Unstructured and semi structured interviews, based on the
findings of the literature, were used to identify key factors used in the survey instrument design.
Confirmatory factor analysis (CFA) was used to examine structural relationships between the set of
observed variables and the set of continuous latent variables.
Findings – Initial findings suggest that organisations looking for improvements in operational
performance through adoption of technological innovations need to align with operational strategies of
the firm. Impact of operational effectiveness and technological innovation effectiveness are related
directly and significantly to improved operational performance. Perception of increase of operational
effectiveness is positively and significantly correlated with improved operational performance. The
findings suggest that technological innovation effectiveness is also positively correlated with improved
operational performance. However, the study found that there is no direct influence of strategiesorganisational,
business and information systems (IS) - on improvement of operational performance.
Improved operational performance is the result of interactions between the implementation of strategies
and related outcomes of both technological innovation and operational effectiveness.
Practical implications – Some organisations are using technological innovations such as enterprise
information systems to innovate through improvements in operational performance. However, they often
focus strategically only on effectiveness of technological innovation or on operational effectiveness. Such
a focus will be detrimental in the long-term of the enterprise. This research demonstrated that it is not
possible to achieve maximum returns through technological innovations as dimensions of operational
effectiveness need to be aligned with technological innovations to improve their operational performance.
Originality/value – No single technological innovation implementation can deliver a sustained
competitive advantage; rather, an advantage is obtained through the capacity of an organisation to
exploit technological innovations’ functionality on a continuous basis. To achieve sustainable results,
technology strategy must be aligned with organisational and operational strategies. This research
proposes the key performance objectives and dimensions that organisations should focus to achieve a
Research limitations/implications – The principal limitation of this study is that the findings are based
on investigation of small sample size. There is a need to explore the appropriateness of influence of scale
prior to generalizing the results of this study.
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|Item Type:||Conference Paper|
|Keywords:||Technological Innovation Effectiveness, System Effectiveness, Operational Effectiveness, Information Systems Alignment, Strategic Alignment|
|Subjects:||Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > BUSINESS AND MANAGEMENT (150300) > Innovation and Technology Management (150307)|
|Divisions:||Current > QUT Faculties and Divisions > QUT Business School|
Current > Schools > School of Management
|Copyright Owner:||Copyright 2010 CINet|
|Deposited On:||12 Nov 2010 10:51|
|Last Modified:||01 Mar 2012 00:23|
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