scan the environment and create new products and services through IT

Scan the environment and create new products and

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scan the environment and create new products and services through IT applications, such as customer relationship management, big data and customer analytics, rather than through operational support systems. However, among defenders, the effects of SIS use are different to those among prospectors. These organizations use SIS with available data and information to make better decisions and improve operational efficiency (productivity and scale economies). 2036 IJPPM 67,9
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Meanwhile, this kind of firm focuses on operational efficiency by reneging on innovation initiatives; in the long run, it may have difficulty staying in the market. Hence, these results suggest that it is important for planners to be aware that components of the strategic planning process are supported by SIS, because mechanisms used to attain effective SIS depend on the organization s business strategy orientation. Assuming that each strategic orientation requires specific organizational capabilities to achieve superior performance, each company must align IT/IS resources that enable key processes to be effective in achieving strategic initiatives. Another important observation is that effective use of SIS is more strongly related to exploration activities (prospector and analyzer) than to exploitation strategy (defender) in turbulent economies. In other words, the effective use of SIS in this scenario contributes to mitigating the risk of launching new products and services in a recessionary market by innovation strategy. Hence, this research confirms past studies (Chen et al. , 2010; Leidner et al. , 2011) that when SIS is effectively employed, it may create distinguish between firms performance and strategic business improvements attributable by use of SIS. In agreement with past studies (Conant et al. , 1990; Moore, 2005), the direct effects of Miles and Snow s strategic types are equal to corporate performance by firms with defender, analyzer and prospector strategic orientations. Reactors showed inconsistent behavior, but other studies in developing countries (Parnell et al. , 2012) demonstrate a significant negative effect on corporate performance. It is believed that reactor firms find it extremely difficult to survive in turbulent economies without a strategic planning process. In the context of this turbulent environment, SIS was demonstrated as a better alternative to support the strategic planning process and competitive strategy content. Finally, this study s results suggest that effective use of SIS ensures a stronger impact of the competitive prospector strategy and corporate performance in turbulent economic environments. The results show that it is important for firms to understand how SIS supports the strategic planning process and enables competitive strategy in periods of economic crises.
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  • Spring '14
  • DanielL.Schisler
  • Sis

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