AI Acquisition in Question: Process Improvement and Process Innovation

2022 | Americas Conference on Information Systems | Citations: 0

Authors: Bogodistov, Yevgen; Moormann, Jürgen

Abstract: We investigate the capacity of firms to acquire and assimilate artificial intel ... Expand

Abstract: We investigate the capacity of firms to acquire and assimilate artificial intelligence (AI) technology. AI has become a magic term for digital innovation in all industries worldwide. Therefore, we first focus on antecedents which foster the development of the capacity to acquire and assimilate AI. We hypothesize that strong capabilities with regard to process improvement and process innovation should help absorb AI. Second, we hypothesize a mediation relationship. We assume that the capability of a firm to innovate processes arises from the capability to improve processes and allows for a better AI absorption. With a quantitative study, we show the strength of the proposed model. Our empirical data collection reveals that process improvement has a positive impact on AI absorption, whereby process innovation capability is a mediator. We show that uncertainty avoidance matters: it directly and indirectly impacts process improvement, process innovation, and AI absorption. Collapse

Topics: artificial intelligence innovation management business process innovation business process improvement absorptive capacity

Methods: survey data transformation principal component analysis chi squared test statistical hypothesis test

Theories: absorptive capacity theory

How health care delivery organizations can exploit eHealth innovations: An integrated absorptive capacity and IT governance explanation

2022 | International Journal of Information Management | Citations: 0

Authors: Wu, Jen-Her; Lin, Li-Min; Rai, Arun; Chen, Yi-Cheng

Abstract: Because health care delivery organizations (HDOs) increasingly rely on informati ... Expand

Abstract: Because health care delivery organizations (HDOs) increasingly rely on information technology (IT) in their delivery of health care services, recognition of how to exploit innovative electronic health (eHealth) technologies is crucial. We integrated absorptive capacity and governance perspectives to theorize that an HDO’s eHealth absorptive capacity is a dynamic IT capability to exploit eHealth innovations through the appropriate use of IT governance mechanisms. Drawing on absorptive capacity theory, we conceptualized an HDO’s eHealth potential absorptive capacity as consisting of eHealth entrepreneurial alertness and assimilation. We draw on the theo­ retical perspectives of IT governance to identify two modes of eHealth governance—relational and con­ tractual—and theorize how each of them affected the relationship between eHealth potential absorptive capacity and eHealth exploitation. Valid empirical data were gathered from 182 senior executive representatives in 111 HDOs; we discovered that (1) eHealth potential absorptive capacity can be formatively conceptualized as a second-order construct consisting of eHealth entrepreneurial alertness and eHealth assimilation, (2) eHealth potential absorptive capacity affects eHealth exploitation, and (3) relational governance significantly moderates the influence of eHealth potential absorptive capacity on eHealth exploitation. We discussed the implications of our work for how HDOs can govern eHealth initiatives to expand absorptive capacity for eHealth innovations and effectively exploit them. Collapse

Topics: electronic health potential absorptive capacity innovation management IT governance absorptive capacity

Methods: survey survey design theory development descriptive statistic data transformation

Theories: absorptive capacity theory dynamic capabilities theory

Impact of IT integration on the firm’s knowledge absorption and desorption

2020 | Information & Management | Citations: 0

Authors: Braojos, Jessica; Benitez, Jose; Llorens, Javier; Ruiz, Laura

Abstract: This paper examines the impact of the integration of IT systems with other organ ... Expand

Abstract: This paper examines the impact of the integration of IT systems with other organizations (IT integration) on the knowledge absorption and desorption of the focal firm. We ran an empirical study in Spain and found that IT integration enables the firm to absorb and desorb knowledge with other organizations, which in turn improves firm performance. This research provides two key contributions to the IS discipline: 1) We introduce the concept of desorptive capacity in the IS research and provide a scale for its measure, 2) we provide a theory of IT in­ tegration impact on the firm’s knowledge absorption and desorption. Collapse

Topics: desorptive capacity absorptive capacity system integration organizational productivity knowledge sharing

Methods: theory development survey partial least squares regression mediation analysis archival research

Theories: ambidexterity theory

KNOWLEDGE SHARING AND KNOWLEDGE PROTECTION IN INTER-ORGANIZATIONAL COLLABORATION: UNCOVERING THE UNDERLYING RELATIONSHIPS THAT INFLUENCE INNOVATION

2020 | European Conference On Information Systems | Citations: 0

Authors: Oliveira, Mirian; Curado, Carla; Balle, Andrea; Nodari, Felipe; Garcia, Plinio Silva de

Abstract: ... Expand

Abstract: Collapse

Topics: knowledge sharing innovation management absorptive capacity realized absorptive capacity strategic management

Methods: survey literature study qualitative interview

Leveraging CSR-related Knowledge for Firm Value: the Role of IT-enabled Absorptive Capacities

2020 | International Conference on Information Systems | Citations: 0

Authors: Xu, Junmin; Leung, Alvin; Yue, Wei Thoo; Su, Qin

Abstract: To better address social concerns, many companies embrace CSR strategies that ar ... Expand

Abstract: To better address social concerns, many companies embrace CSR strategies that are believed to exert a profound influence on firm performance. However, limited research explores whether and how IT plays a role in various types of CSR initiatives. To shed light on this question, we posit how well the firms leverage CSR-related knowledge for value creation heavily depends on their IT-enabled absorptive capacities, which strongly enable knowledge-related processes. Drawing upon the theory of absorptive capacity, we further theorize distinct types of CSR initiatives need to be complemented by different ITenabled absorptive capacities to enhance firm performance. To test our hypotheses, we have collected detailed archival panel data of the S&P 500 companies and mapped their IT-enabled absorptive capacities to specific IT applications. Our research will not only contribute to the ongoing debate on the business value of CSR by justifying IT-enabled capabilities as significant but long-neglected contingencies, it will also highlight the importance of strategic use of IT to create firm value. Collapse

Topics: absorptive capacity organizational value organizational productivity database system advertising management

Methods: theory development statistical hypothesis test longitudinal research archival research regression analysis method

Theories: absorptive capacity theory

Business intelligence and analytics for value creation: The role of absorptive capacity

2019 | International Journal of Information Management | Citations: 18

Authors: Božič, Katerina; Dimovski, Vlado

Abstract: Firms continuously report increased competitive value gains from the use of busi ... Expand

Abstract: Firms continuously report increased competitive value gains from the use of business intelligence and analytics (BI&A), however, little is known about how insights from BI&A are transformed to added value to date. We have conducted fourteen in-depth, semi-structured interviews with a sample of informants in CEO positions, IT managers, CIO, Heads of R&D, as well as Market Managers from nine medium or large-sized European firms. Applying the absorptive capacity’s theoretical lens, we have provided evidence that absorptive capacity’s capabilities are an underlying foundation in the process of transforming BI&A triggered insights into valuable knowledge. Moreover, this process is supported by technological, human, and relationship assets. Collapse

Topics: analytical information system absorptive capacity value creation knowledge creation decision making

Methods: qualitative interview personal interview field study machine learning theoretical contribution

Theories: dynamic capabilities theory absorptive capacity theory resource based view of the firm

Strategic Intellectual Property Sharing: Competition on an Open Technology Platform Under Network Effects

2018 | Information Systems Research | Citations: 23

Authors: Niculescu, Marius F.; Wu, D. J.; Xu, Lizhen

Abstract: In this paper, we explore the strategic decision of an incumbent to open a propr ... Expand

Abstract: In this paper, we explore the strategic decision of an incumbent to open a proprietary technology platform to allow same-side co-opetition in a market characterized by network effects. We propose a game-theoretic model that analytically conceptualizes the interplay among the degree of same-side platform openness, the absorptive capacity of the entrant, and the intensity of network effects. Our analysis uncovers interesting new results. First, when entrant product quality is exogenous, under very strong network effects, the incumbent closes the technology. Moreover, we discuss various interesting open-platform co-opetition outcomes that arise under a fully covered market. When the entrant chooses the quality level and the incumbent is strategic in its platform opening decision, we find that intense network effects make new players shun the market, so intellectual property (IP) sharing is not possible in equilibrium. When the network effects are of intermediate intensity, the incumbent opens the technology to the entrants who have a sufficiently high absorptive capacity, calibrating the amount of sharing to the entrant’s absorptive capacity level to ensure that the duopoly setting is mutually beneficial. Our key findings and insights are robust to several model extensions, including scenarios when the incumbent is uncertain of the entrant’s absorptive capacity, or when the entrant incurs a general non-linear development cost structure. We also compare and contrast bounded versus unbounded market scenarios. We further explore the ability of the incumbent to engineer the strength of network effects in the market and uncover non-trivial alternating-monotonicity patterns for the optimal intensity of network effects with respect to the entrant’s absorptive capacity. We also show that a model with exogenous network effects could drastically underestimate the range of entrants’ absorptive capacity values for which the incumbent should open its platform, causing the latter to miss valuable co-opetition opportunities. We also discuss various managerial implications of our theoretical framework.The online appendix is available at https://doi-org.tudelft.idm.oclc.org/10.1287/isre.2017.0756. Collapse

Topics: network effect absorptive capacity price management digital platform potential absorptive capacity

Methods: mathematical model robustness check

Theories: game theory

The Enabling Role of IT in Frugal Innovation

2014 | International Conference on Information Systems | Citations: 13

Authors: Ahuja, Suchit; Chan, Yolande

Abstract: In this conceptual paper, we examine IT-enabled frugal innovation from the lens ... Expand

Abstract: In this conceptual paper, we examine IT-enabled frugal innovation from the lens of absorptive capacity theory (ACAP). The practice of frugal innovation in emerging economies is rooted in low cost approaches, constrained resources, and flexible improvisation. As frugal innovation is an emergent phenomenon, there is little theoretical development and empirical investigation with respect to the enabling role of IT. We address this gap by examining the conceptual underpinnings of frugal innovation and its antecedents, such as IT leveraging capability, dynamic knowledge capabilities, and organizational learning. We develop a research model and provide testable propositions. This paper contributes to ACAP literature by providing a look inside the “black box” of the relationships between three different types of learning (according to ACAP) and their effects on the underlying dimensions of frugal innovation. Furthermore, based on our findings, implications for theory and practice are provided along with guidance for future empirical research. Collapse

Topics: innovation management absorptive capacity digital innovation information technology capability information system use

Methods: personal interview literature study theory development

Theories: dynamic capabilities theory absorptive capacity theory knowledge based theory of the firm innovation theory

Understanding the Different Priorities of Web 2.0 Technologies for Knowledge Acquisition and Assimilation for Developing an Organization's Potential Absorptive Capacity

2013 | Americas Conference on Information Systems | Citations: 0

Authors: Limaj, Everist; Bernroider, Edward W N

Abstract: The aim of this paper is to explore the relative importance of web 2.0 tools for ... Expand

Abstract: The aim of this paper is to explore the relative importance of web 2.0 tools for an organizations' ability to identify and assimilate valuable external information. Theoretically, we relate these knowledge processing abilities to organizational absorptive capacity. As the usage of Web 2.0 tools to manage knowledge in organizations is becoming common practice, we need to understand which tool supports what kind of knowledge processing activity best. For this purpose, we developed a research model linking a Web 2.0 taxonomy with multiple criteria feeding into Potential Absorptive Capacity (PACAP). Based on the Analytical Hierarchy Process (AHP), we allowed experts with different roles and backgrounds to assess the relative importance of different Web 2.0 tools. Our results offer valuable implications for conducting effective knowledge-acquisition and assimilation practices in organizations based on peer-driven networking and knowledge sharing in the Web 2.0 world. Collapse

Topics: web 2.0 knowledge acquisition potential absorptive capacity wiki knowledge management

Methods: survey literature study analytic hierarchy process trade-off analysis method

INTER-FIRM COOPERATOIN AND IOS DEPLOYMENTS IN BUYER-SUPPLIER RELATIONSHIPS: A RELATIONAL VIEW

2012 | European Conference On Information Systems | Citations: 0

Authors: Lu, Ying-Kuang; Wang, Eric

Abstract: Inter-firm cooperation has gained importance in the context of buyer-supplier re ... Expand

Abstract: Inter-firm cooperation has gained importance in the context of buyer-supplier relationships. Trading partners often build inter-firm relationships to combine valuable resources and knowledge in order to achieve superior long-term performance. Inter-firm relationships require trading partners make relation-specific investments and build initiatives that facilitate and maintain buyer-suppler cooperation. They also need inter-organizational systems (IOS) to electronically support inter-firm transactions. Drawing on the relational viewpoint, this study explores the roles of four types of relation-specific investments that facilitate buyer-supplier partnerships: relational capital, collaborative know-how, partner-specific absorptive capacity and IOS deployments. A research model is developed and empirically tested using data collected from Taiwanese manufacturing industries. With a Partial Least Square (PLS) analysis, this study finds that: 1) both partner-specific absorptive capacity and IOS deployments have direct enhancing effects on cooperative performance; 2) relational capital directly benefits partner-specific absorptive capacity as well as directly and indirectly promote cooperative performance; 3) apart from having a strong, indirect impact on cooperative performance, collaborative know-how has strong, direct effects on various factors, including relational capital, IOS deployments and partner-specific absorptive capacity. Collapse

Topics: absorptive capacity knowledge sharing competitive advantage procurement management potential absorptive capacity

Methods: survey partial least squares regression Student's t-test parametric test survey design