Impact of Information Technology Integration and Lean/Just‐In‐Time Practices on Lead‐Time Performance*

Ward, Peter T.; Zhou, Honggeng

doi:10.1111/j.1540-5915.2006.00121.x

Cited by 250 publications

(198 citation statements)

References 62 publications

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“…A similar study was conducted amongst 1757 manufacturers to assess the effect of IT integration and lean/just-in-time practices on lead-time performance (Ward and Zhou, 2006). However, results of this study indicated that the customer lead-time was not directly reduced by within-firm IT integration or between-firm IT integration.…”

Section: It Integrationmentioning

confidence: 83%

Innovation Capability and Performance Of Manufacturing SMEs: The Paradoxical Effect of IT Integration

Raymond

Bergeron

Croteau

2013

Journal of Organizational Computing and Electronic Commerce

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In theory, IT integration through applications such as ERP, MRP-II and EDI provides an organization with the ability to exploit innovation capabilities. Based on survey data obtained from 309 Canadian manufacturing SMEs, this study aims to identify the enabling effect of IT integration upon the innovation capability of manufacturing SMEs, that is, in terms of growth and productivity outcomes, and to verify if this effect is subject to industry influences. While the firm's innovation capability was found as expected to be positively related to the growth and productivity of manufacturing SMEs, the results underline paradoxical effects of IT integration in this regard. While IT integration was seen to enable the innovation capability of manufacturing SMEs in terms of growth, it was also seen to have a disabling effect on this same capability with regard to productivity.Keywords: innovation capability, product innovation, process innovation, IT integration, R&D, growth, productivity, innovation, SME, paradox 2 Innovation Capability and Performance of Manufacturing SMEs:The Paradoxical Effect of IT Integration AbstractIn theory, IT integration through applications such as ERP, MRP-II and EDI provides an organization with the ability to exploit innovation capabilities. Based on survey data obtained from 309 Canadian manufacturing SMEs, this study aims to identify the enabling effect of IT integration upon the innovation capability of manufacturing SMEs, that is, in terms of growth and productivity outcomes, and to verify if this effect is subject to industry influences. While the firm's innovation capability was found as expected to be positively related to the growth and productivity of manufacturing SMEs, the results underline paradoxical effects of IT integration in this regard. While IT integration was seen to enable the innovation capability of manufacturing SMEs in terms of growth, it was also seen to have a disabling effect on this same capability with regard to productivity.Keywords: innovation capability, product innovation, process innovation, IT integration, R&D, growth, productivity, innovation, SME, paradox IntroductionInnovation has long been considered as the key factor for the survival, growth and development of small and medium-sized enterprises (SMEs) (Acs and Audretsch, 1990;Becheikh, Landry and Amara, 2006). Developing their capacity to innovate is a mission-critical task for all organizations. Given the specificities of SMEs with regard to their environment, strategy, structure and technology, more research in this specific context is thus needed, including information technology (IT) in particular (Gable and Stewart, 1999;Premkumar, 2003). These specificities also imply that research findings in the large enterprise context do not automatically extend to small companies (Thong, Yap and Raman, 1996;Pflughoeft et al., 2003). As SMEs differ from large organizations, a greater innovation capacity is deemed to counterbalance their greater vulnerability in a global business environment and in ...

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Section: It Integrationmentioning

confidence: 83%

Innovation Capability and Performance Of Manufacturing SMEs: The Paradoxical Effect of IT Integration

Raymond

Bergeron

Croteau

2013

Journal of Organizational Computing and Electronic Commerce

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“…To help clarify the impact of IS integration on firm profitability, we first follow Fayard et al (2012), Bergeron and Raymond (1992), and Ward and Zhou (2006) by categorizing IS integration into two distinct, but closely related, capabilities: internal IS integration and external IS integration. Internal IS integration refers to a firm's electronic links in information technology applications to data acquisition and storage systems that facilitate the sharing of accurate and timely information in support of cross-functional processes (Hammer, 2001).…”

Section: Introductionmentioning

confidence: 99%

Relationships between internal and external information systems integration, cost and quality performance, and firm profitability

Maiga

Nilsson

2015

International Journal of Production Economics

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a b s t r a c tThis paper proposes that the impact of information systems (IS) integration on manufacturing firm profitability is underestimated as a result of inadequate attention to indirect effects. The study uses structural equation modeling to investigate the associations among internal and external information system integration, quality and cost performance, and firm profitability. Overall, the results from a mail survey of 263 member firms of the Institute for Supply Management support the theoretical model. Results indicate that (a) internal IS integration has a significant positive association with external IS integration, (b) both internal IS integration and external IS integration are significantly positively associated with cost and quality performance, (c) quality performance is significantly positively associated with cost performance, and (d) both quality and cost performance have significant positive associations with firm profitability. However, the direct effects of internal and external IS integration on firm profitability are not significant. Rather, the association is through cost and quality performance, suggesting that both cost and quality performance act as intervening variables. This study extends the literature on IS integration by providing insights into a set of interrelationships that matters for the attainment of firm profitability from IS integration.

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“…Besides mitigating the bullwhip effect and its consequences, information sharing also assists the adoption of lean and just-in-time production (Ward & Zhou, 2006), which prevents disruptions (Chopra & Sodhi, 2004) and promotes agility (White et al, 2005). Businesses are gradually recognising the need agility in today's global economy to be competitive (Pujawan, 2004).…”

Section: Information Sharing and Bullwhip Effectmentioning

confidence: 99%

Understanding Intra-organisational Information Dependency: An Empirical Network Analysis of Vietnamese Freight Forwarding Industry

Teo

Dang-Pham

Nkhoma

et al. 2018

OSCM: An Int. Journal

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The use of timely, accurate, and relevant information is crucial for supply chain performance. Within business firms, executives and managers depend on demand and inventory data to make decisions for business operations. In this technological era, many firms are reliant on technological platforms to share mission critical information between their business units to prevent bullwhip effect due to information lag, and to improve coordination and collaboration among the units. Extant literature reveals that there is a strong research emphasis on information sharing practices between firms, and little on the information sharing practices within the firms for supply chain efficiencies. There is also limited research done to understand the impacts of information quality e.g. sharing mechanism, accuracy, timeliness and relevance have on the management of supply chains. Research often tend to focus on information sharing practices in modern businesses that utilises sophisticated IT systems for supply chain management, and neglects the business firms that operating in less developed environments. To investigate implications of information quality on supply chain efficiencies, this paper utilises social network analysis (SNA) to study information flows in the firms that operate in the Vietnamese freight forwarding industry.

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Impact of Information Technology Integration and Lean/Just‐In‐Time Practices on Lead‐Time Performance*

Cited by 250 publications

References 62 publications

Innovation Capability and Performance Of Manufacturing SMEs: The Paradoxical Effect of IT Integration

Innovation Capability and Performance Of Manufacturing SMEs: The Paradoxical Effect of IT Integration

Relationships between internal and external information systems integration, cost and quality performance, and firm profitability

Understanding Intra-organisational Information Dependency: An Empirical Network Analysis of Vietnamese Freight Forwarding Industry

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