IT assimilation is regarded as an important outcome in the efforts of firms to leverage the potential of information technologies in their business activities and strategies. Despite significant investments in information technology, considerable diversity exists in how well firms have been able to assimilate IT and leverage the business value of IT. This research draws upon the emerging knowledge-based and resource-based views of the firm to examine the influence of three factors on IT assimilation: (i) quality of senior leadership, (ii) sophistication of IT infrastructures, and (iii) organizational size. Drawing upon a large-scale sample survey where responses were obtained from CIOs and senior business executives who were members of the firms' top management teams, the study examines a variety of mostly normative prescriptions. The findings provide robust evidence about the impacts of CIOs' business and IT knowledge on IT assimilation. Further, we find that CIOs' membership in top management teams and their informal interactions with TMT members enhance their knowledge, particularly their business knowledge. We find that the intensity of the relationship between CIO's interactions with the top management team and their level of IT and business knowledge is much stronger in firms that articulate a transformational IT vision. The sophistication of IT infrastructures was also found to significantly impact IT assimilation. Surprisingly, the IT knowledge of senior business executives was not found to be a significant influence on IT assimilation. The implications of these findings for evolving a deeper understanding of the dynamics underlying IT assimilation are presented.

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The literature is abundant with articles extolling the importance of change as a necessity for business survival and growth. Specifically, business change means the redesigning of business processes, the improvement of the company's products and/or services, and organizational changes to organizational structure and/or culture deemed necessary for better performance. Despite the importance of the topic, the existing literature contains little empirical evidence. Mostly superficial analyses and personal opinions have been published in this basic area. A field test of how effectively business organizations are implementing business changes, and use IS technology to do so, was undertaken to understand the important characteristics of the business change processes involved and to empirically test the relationships among these constructs. Despite the relatively small sample size, the results provide clear evidence about the importance of effectively managing business change for business success. The items used for measuring the main constructs provide further insights into how managers should go about managing necessary business changes, including IS department support for the change process to improve business performance.The authors are grateful to Mark Boshart, Melena Brackins and Jane Wall for their invaluable assistance with this project.

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