• Title/Summary/Keyword: Strategic Alignment

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The Impact of Strategic Alignment of Accounting Information Systems on a Firm's Performance (회계정보시스템 전략적 연계의 기업성과에 대한 영향)

  • Choe, Jong-Min
    • Journal of the Korean Operations Research and Management Science Society
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    • v.31 no.4
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    • pp.13-33
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    • 2006
  • Using structural equation modeling, this study empirically examined the causal relationships among the level of advanced manufacturing technology (AMT), facilitation of alignment, the degree of strategic alignment of management eccounting Information systems (MAIS), and the improvement of production performance. The causal relationships between MAIS strategic alignment and information characteristics of MAIS were also investigated. The results showed that the level of AMT has a significant and positive impact on alignment facilitation. A significant causal relationship between alignment facilitation and MAIS strategic alignment was also found. It was shown that under high degrees of MAIS strategic alignment, MAIS must provide broad-scope and integrated types of Information. The causal relation-ships between MAIS strategic alignment and organizational performance were significant and positive. Thus, it is concluded that under high levels of AMT, a high degree of MAIS strategic alignment positively contributes to the improvement of production performance.

The Effect of Strategic Alignment on the Performance of Electronic Commerce (전략적 연동이 전자상거래의 성과에 미치는 영향)

  • Kang, Tae-Gyung;Hwang, Sang-Gyu
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.25
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    • pp.123-163
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    • 2005
  • The strategic alignment between internet marketing's strategic orientation and EC system's strategic orientation is an important concept in Electronic Commerce. This study measured internet marketing's strategic orientation, EC system's strategic orientation, strategic alignment, and strategic EC performance based on previous studies. Analysis of data gathered in mail survey of korea firms in KOSPI and KOSDAQ. The findings suggest that companies with high strategic alignment are better performing EC strategically, and internet marketing and EC system's strategic orientation are positive related to strategic alignment and performance of EC. This study supports that the level of the EC executive's participation in internet marketing planning influences strategic alignment of the EC plan with the internet marketing plan. Further, high levels of that alignment are associated with increased use of EC for strategic performance.

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The Effects of MAIS Strategic Alignment on Production Performance: The Consideration of AMT (생산기술 첨단화에 따른 관리회계정보시스템 전략적 연계가 생산성과에 미치는 영향)

  • Choe, Jong-Min
    • The Journal of Information Systems
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    • v.26 no.2
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    • pp.25-42
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    • 2017
  • Purpose This study empirically examined the causal relationships among the level of advanced manufacturing technology(AMT), facilitation of alignment, the degrees of strategic alignment of management accounting information systems(MAIS), and the improvement of production performance. Design/methodology/approach Data for this study were drawn from a survey of the current status of AMT used in Korean manufacturing firms. At the beginning, 131 organizations responded to the request for information. However, during the survey, 5 firms withdrew from the survey, and as a result, 126 manufacturing firms were included in the research. In order to collect data, this study administered questionnaires with the participating firms. The survey was conducted during a 4-month period between November 2015 and March 2016. Findings The results showed that the level of AMT has a significant impact on alignment facilitation. A significant causal relationship between alignment facilitation and MAIS strategic alignment was also found. It was shown that under high degrees of MAIS strategic alignment, MAIS must provide broad-scope and integrated types of information. The causal relationships between MAIS strategic alignment and organizational performance were significant and positive. Thus, it is concluded that under high levels of AMT, a high degree of MAIS strategic alignment positively contributes to the improvement of a firm's production performance.

The Effects of IS Strategic Alignment on the Development of IT Infrastructure: The Roles of Strategic Performance Measurement Systems (정보화 전략과 기업 전략의 연계가 정보기술 하부구조 구축에 미치는 영향: 전략적 성과평가시스템의 역할)

  • Choe, Jong-Min
    • The Journal of Information Systems
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    • v.22 no.1
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    • pp.89-116
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    • 2013
  • The influence factors on the development of information technology(IT) infrastructure for knowledge management(KM) were not empirically investigated and identified. This study empirically examines the relationships among strategic performance measurement systems(SPMS), organizational learning, the strategic alignment of business strategy with information systems(IS) strategy, which is the necessary condition to provide the kinds of knowledge required for the successful realization of business strategy, and the active construction of IT infrastructure for KM. This study demonstrates that SPMS directly affects the organizational learning, with which the members of an organization acquire the types of knowledge about strategic goals or objectives and the ways attaining these goals, and indirectly influences the IS strategic alignment through organizational learning. Thus, the alignment between business strategy and IS strategy can be facilitated and activated by the adoption and implementation of SPMS. According to the results of this study, it is observed that the IS strategic alignment and organizational learning positively affect the activation of the development of KM IT infrastructure in a firm. The results of this study also shows that the construction of KM IT infrastructure, which supports the realization of KM activities, such as knowledge creation, transfer and sharing, can enhance the strategic position of a firm, and the intensified competitiveness of a firm can lead to the improvement of performance.

The Influence of IT Governance Implementation Factor on Information Systems Effectiveness and the Moderating Effect of Strategic Alignment (IT거버넌스 실행요인과 정보시스템(IS) 효과성, 그리고 전략적 연계의 조절효과)

  • Choi, Sang-Min;Moon, Tae-Soo
    • The Journal of Information Systems
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    • v.20 no.2
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    • pp.207-228
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    • 2011
  • IT governance is an integral part of enterprise governance and consists of the leadership, organizational structures, and processes that ensure organization's IT decision making for achieving organizational goal. Most firms have failed to resolve the balance in building IT governance. The challenge is to align IT strategy with business strategy in establishing and implementing effective IT governance. The purpose of this study is to find out the relationship between IT governance implementation factors and IS effectiveness, and the moderating effect of strategic alignment of IS strategy with business strategy on IS effectiveness. IT governance implementation factors consist of IT vendor management, IT human resource management, and IT infrastructure. Strategic alignment was measured as the alignment between business strategic orientation and IS strategic orientation that used in the research of Chan et al.(1997). In the relationship between three IT governance implementation factors and IS effectiveness, the results of multiple regression analyses showed that IT human resource management is an important determinant to influence IS effectiveness. The additional analysis using multiple regression showed that strategic alignment of IS strategy with business strategy has moderated the relationship between IT governance implementation factors and IS effectiveness.

A Case Study on Strategic Alignment for e-Transformation of Pulmuone (e-Transformation을 위한 풀무원의 전략적 연계 사례연구)

  • Yoon, Cheol-Ho;Kim, Sang-Hoon
    • Information Systems Review
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    • v.7 no.2
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    • pp.183-194
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    • 2005
  • This study validated the strategic alignment approach for e-Transformation of the traditional firm through the case analysis of e-Transformation practices performed in Pulmuone Inc., which had been managed and operated in a traditional mode. The e-Transformation approach identified in this study was focused upon the strategic alignment among 4 domains of business strategy, organizational infrastructure and processes, IT strategy, and IT infrastructure and processes, and was performed in the following process: 1) developing IT strategy to perform business strategy, 2) building IT infrastructure and processes to support IT strategy, and then 3) transforming organizational infrastructure and processes based on IT infrastructure and processes. The theoretical implication of this study is to empirically verify the Strategic Alignment Model hypothesized by Henderson and Venkatraman(1994) through the case analysis on e-Transformation of Korean traditional firm, and the practical contribution is to provide a feasible and effective guideline in carrying out e-Transformation of the typical traditional organization.

Globalizing Information Systems Alignment : Strategic Thrust and Local Responsiveness

  • Kim, Gyeung-Min;Cho, Namjae
    • Journal of Information Technology Applications and Management
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    • v.22 no.1
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    • pp.131-152
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    • 2015
  • Environmental differences across countries such as socio-cultural, political, economic, and technological differences require business strategies of multinational corporations to vary business practices across regions. Despite the keen awareness of the necessity for strategic adaptation to local context, IS management and strategy tend to remain similar across countries. One of the reasons is to maintain the stability and compatibility of information technology infrastructure. After a careful observation of retail business practice, this study finds IS strategy should also be highly responsive to the local context. This study shows how information resources including systems architecture, processes, human resources, and national context are interlinked together. Despite global excellence in general systems management, failure in such alignment can be a serious problem in extending competitive advantages across regions. This study aims to reveal issues to be taken care of in order to accomplish global technological alignment. Results of this study provide senior management with guidelines and a framework for aligning IT with regional strategic thrust that can improve local responsiveness of multinational companies.

The Impact of the Knowledge Management Strategic Alignment on the Innovation of Manufacturing Firms (기업전략과 지식경영 전략의 연계가 제조기업의 혁신에 미치는 영향)

  • Choe, Jong-Min
    • Journal of the Korean Operations Research and Management Science Society
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    • v.36 no.2
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    • pp.67-88
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    • 2011
  • This study empirically investigated the effects of knowledge management(KM) strategic alignment on the KM activities as well as the product and process innovation of manufacturing firms. Based on the framework, which employs the usage levels of target costing systems(TCS) and information technology(IT) infrastructure, four types of KM strategies were identified and proposed:mixed, explorative, exploitative and negative strategies. In this research, these four types of KM strategies were empirically validated. According to the results of this study, it was found that when a explorative KM strategy is aligned with a low-cost strategy, KM activities are activated and the degree of a process innovation is increased. It was observed that in the case of the alignment between a differentiation strategy and a exploitative KM strategy, both KM activities and the level of a product innovation are enhanced. The results also demonstrated that for the enhancement of both a process and a product innovation through the activation of KM activities, a mixed KM strategy must be aligned with a composite business strategy, which focuses on a low-cost as well as a differentiation strategies. Accordingly, it is concluded that the KM activities and the levels of the product and process innovation can be activated or improved with the alignment of the KM strategies and business strategies.

Case Study of Business Innovation of Agriculture Venture Firm through Strategic Alignment between Strategy and Infrastructure (전략과 인프라의 전략적 연계를 통한 농업벤처기업 경영혁신 사례 연구)

  • Park, Sang Hyeok;Han, Man Sun;Jeon, Hyoung Kwang
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.9 no.2
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    • pp.35-43
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    • 2014
  • Strategic link, to develop the business strategy and to build the infrastructure of the organization, is an important challenge to management activities of the company, it is a major study of management academia. Effective strategy and information systems influence the success of the organization. Strategic alignment model for analyzing linkage was introduced in this study. Strategic alignment model, is composed of business strategy, organization infrastructure, information technology strategy, and information technology infrastructure. We have studied that this models appear in some form in the field of actual companies. Our research subject is a agricultural venture in Chungnam province.

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Strategic Information Systems Alignment: Alignment of IS/IT with Business Strategy

  • Issa-Salwe, Abdisalam;Ahmed, Munir;Aloufi, Khalid;Kabir, Muhammad
    • Journal of Information Processing Systems
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    • v.6 no.1
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    • pp.121-128
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    • 2010
  • Using information systems effectively requires an understanding of the organisation, management, and the technology shaping the systems. All information systems can be described as organisational and management solutions to challenges posed by the environment. The advances in information systems have affect on our day-to day lives. As the technology is evolving immensely so are the opportunities in a healthy way to prepare the organisation in the competitive advantage environment In order to manage the IS/IT based systems, it is important to have an appropriate strategy that defines the systems and provide means to manage them. Strategic Information Systems Alignment (SISA) is an effective way of developing and maintaining the IS/IT systems that support the business operations. Alignment of the IS/IT plans and the business plans is essential for improved business performance, this research looks at the key features of SISA in the changing business circumstances in Saudi Arabia.