Comparative advantage model founded on enterprise architecture in Japanese firms

  • Authors:
  • Takaaki Kamogawa;Hitoshi Okada

  • Affiliations:
  • Department of Informatics, School of Multidisciplinary Sciences, The Graduate University for Advanced Studies 2-1-2 Hitotsubashi, Chiyoda-ku, Tokyo, Japan.;National Institute of Informatics, 2-1-2 Hitotsubashi, Chiyoda-ku, Tokyo, Japan

  • Venue:
  • International Journal of Business Information Systems
  • Year:
  • 2011

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Abstract

This paper proposes a structural model founded on enterprise architecture (EA) for firms listed on the Japanese stock market. The model examined whether firms with an EA effort had an advantage compared to firms without an EA effort. The advantage of interest was business performance exemplified by profitability and business growth. We identified management of the information technology (IT) portfolio as a key factor that contributes to the business value linked with IT governance mechanisms for the model. We examined whether the model has advantages by analysing not only financial data from the Japanese firms but also macro data in the public domain through the Japanese Government. Results reveal that IT governance based on organisational abilities affected factors which influence the effects of EA, and that the model is associated with business performance.