Impacts of essential elements of management on IT application maturity - A perspective from firms in China

Authors:
Jianping Peng;Guoying Zhang;Rui Chen;Yong Tan
Affiliations:
School of Business, Sun Yat-sen University, Guangzhou 510275, China;Dillard College of Business Administration, Midwestern State University, Wichita Falls, TX 76308, United States;School of Business, Sun Yat-sen University, Guangzhou 510275, China;Michael G. Foster School of Business, University of Washington, Seattle, WA 98195-3226, United States
Venue:
Decision Support Systems
Year:
2011

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Abstract

This paper explores the impacts of essential elements of management on IT application maturity (ITAM). A game theoretical model is established to show that a firm's IT application maturity should match with its essential elements of management. In order to further validate the analytical result, a data set with 137 firms was collected via a survey instrument. Using reliability and factor analysis on the dataset, a four-dimension measurement construct of IT application maturity is proposed together with a three-dimension measurement construct of essential elements of management. Empirical analysis is then conducted to address research questions on the impacts of essential elements of management on IT application maturity. It is found that while a firm's strategic cooperation capability has no significant effect on IT application maturity, its internal coordination capability positively influences all four dimensions of IT application maturity. For the firm's execution capability, although it shows no significant effect on the overall IT application maturity, it does positively affect the technology and man-machine synergy dimensions of IT application maturity. The findings of this study offer practical guidance for organizations to better align their IT application maturity with essential elements of management.