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Article
Publication date: 30 June 2020

Taxonomy of organizational alignment: implications for data-driven sustainable performance of firms and supply chains

Jose Celso Contador, Walter Cardoso, Jose Luiz Contador and Mauro de Mesquita Spinola

The purpose of this paper is to identify, characterize, classify and conceptualize different perspectives on strategic alignment still in use, propose a taxonomy and…

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Abstract

Purpose

The purpose of this paper is to identify, characterize, classify and conceptualize different perspectives on strategic alignment still in use, propose a taxonomy and definitions that allow understanding the various coexisting concepts, as well as investigate the implications of strategic alignment for data-driven sustainable performance of firms and supply chains.

Design/methodology/approach

Bibliographic review was used.

Findings

The taxonomy proposes two classes of strategic alignment: (1) Align – more rigorous types of alignment: structure alignment, strategic congruence and strategy alignment; (2) Fit – less rigorous types of alignment: contingency strategic adjustment, strategic coalignment and strategic consistency. Companies are accumulating large amounts of data, which relevance varies widely. The strategic alignment can define criteria to select only the data that have strategic value, which restricts the amount of data to be analyzed. Each of the six types of strategic alignment is appropriate for a given situation in companies and/or supply chains.

Research limitations/implications

The limitations stem from the exclusive use of the taxonomy of strategic alignment, without considering the most diverse perspectives of strategy.

Practical implications

Decision makers will be able to identify more objectively which classes of data should be explored in each situation.

Social implications

Theoretical implications – The taxonomy proposal and the definition of each of the strategic alignment perspectives solve generalized misunderstandings resulting from the lack of a clear delimitation between the perspectives and the conceptual divergence between authors, who use them as equivalent or synonymous.

Originality/value

From 1961 to 2019, no paper was found proposing taxonomy, typology, systematization, ranking, distribution or classification of strategic alignment. The strategic alignment can define criteria to select, within the large amount of data accumulated by the company, only those that have strategic value, what restricts the quantity of data to be analyzed and facilitates the decision of the leaders.

Details

Journal of Enterprise Information Management, vol. 34 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/JEIM-02-2020-0046
ISSN: 1741-0398

Keywords

  • Alignment
  • Fit
  • Strategy
  • Taxonomy
  • Data-driven sustainable performance
  • Environmental sustainability

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Article
Publication date: 11 October 2019

Exploring patterns of organizational capability alignment: a contingency approach

Saurabh Srivastava and Derrick E. D’Souza

The purpose of the study is to investigate whether the alignment between organizational capabilities is idiosyncratic to an organization or a predictable pattern of…

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Abstract

Purpose

The purpose of the study is to investigate whether the alignment between organizational capabilities is idiosyncratic to an organization or a predictable pattern of alignments can be identified across organizations.

Design/methodology/approach

Survey design is used to collect data from upper- and mid-level managers of organizations operating in the software industry. A total of 219 responses are used to test the study hypotheses. Partial least squares structural equation modeling and regression analysis are used for data analysis and hypotheses testing.

Findings

Results suggest that the alignment between strategic thinking and absorptive capacity is different for organizations with a prospector-type strategic orientation compared to organizations with other types (defenders and analyzers) of strategic orientations. The study also finds that the pattern of alignment holds for each dimension of absorptive capacity.

Originality/value

There is limited research on the alignment between the three types of organizational capabilities (metaphysical, dynamic and ordinary). This may have transcended from arguments that if organizational capabilities are truly idiosyncratic, they should not be expected to follow a predictable pattern of alignments across organizations. To the best of the authors’ knowledge, this study is the first to empirically investigate and provide evidence that the alignment between organizational capabilities is contingent on the strategic orientation of the organizations. The findings offer hope for the development of a generalizable theory of organizational capability alignment in organizations.

Details

Management Research Review, vol. 43 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/MRR-03-2019-0115
ISSN: 2040-8269

Keywords

  • Strategic thinking
  • Absorptive capacity
  • Organizational capabilities
  • Alignment
  • Strategic orientation
  • Prospectors

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Article
Publication date: 14 January 2019

Facing disruptive technologies: aligning purchasing maturity to contingencies

Britta Søgaard, Heather Dawn Skipworth, Michael Bourlakis, Carlos Mena and Richard Wilding

This paper aims to explore how purchasing could respond to disruptive technologies by examining the assumptions underlying purchasing strategic alignment and purchasing…

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Abstract

Purpose

This paper aims to explore how purchasing could respond to disruptive technologies by examining the assumptions underlying purchasing strategic alignment and purchasing maturity through a contingency lens.

Design/methodology/approach

This study uses a systematic review across purchasing maturity and purchasing strategic alignment literature. This is supplemented with exploratory case studies to include practitioners’ views.

Findings

This research demonstrates that neither purchasing maturity nor purchasing strategic alignment are suitable approaches to respond to disruptive technologies. Purchasing maturity does not allow purchasing managers to select relevant practices. It also shows no consideration of any contingencies, which practitioners highlight as important for the selection of practices. Purchasing strategic alignment includes the company strategy as a contingency but does not provide any practices to choose from. It does not include any other contextual contingencies considered important by practitioners. The findings indicate that linking the two research streams may provide a more suitable approach to responding to disruptive technologies.

Research limitations/implications

This research demonstrates the requirement to develop a new approach to responding to disruptive technologies, by linking purchasing maturity and purchasing strategic alignment to contextual contingencies. This is a currently unexplored approach in academic literature, which refutes the generally accepted premise that higher maturity unilaterally supports a better positioning towards technological disruption. This research also highlights a requirement for practitioners to shift their approach to “best practices”.

Originality/value

This is the first research to systematically review the relationships between purchasing maturity and purchasing strategic alignment. It adds to contingency theory by suggesting that purchasing maturity models can support the achievement of strategic alignment. Also, future research directions are suggested to explore these relationships.

Details

Supply Chain Management: An International Journal, vol. 24 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/SCM-03-2018-0087
ISSN: 1359-8546

Keywords

  • Technology
  • Maturity model
  • Purchasing
  • Alignment

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Article
Publication date: 17 February 2012

Impact of owner's knowledge of information technology (IT) on strategic alignment and IT adoption in US small firms

Chia‐An Chao and Aruna Chandra

This study seeks to examine the impact of owner's knowledge of information technology (IT) on business and IT strategic alignment, as well as on IT use in the small firm…

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Abstract

Purpose

This study seeks to examine the impact of owner's knowledge of information technology (IT) on business and IT strategic alignment, as well as on IT use in the small firm context, using the resource‐based view as a theoretical foundation.

Design/methodology/approach

A random sample of 217 small manufacturers and financial services firms in the USA answered a two‐page survey containing questions pertaining to the company's business strategies, the extent IT supported each business strategy, types of IT used, and the level of owner's IT knowledge.

Findings

Owner's knowledge of IT was found to be a significant predictor of IT strategic alignment, as well as adoption of traditional IT and internet technologies, while controlling for differences in firm attributes (size, age, industry affiliation, and strategic focus).

Practical implications

Small firm owners are well advised to seek ways of improving their knowledge of IT, integrating IT use in firm‐level business planning, as well as reexamining their business strategy and IT use to detect and correct misalignments, if any.

Originality/value

From the resource‐based view, the owner's IT knowledge is a critical resource that cannot be easily codified, hence less susceptible to competitive erosion, since it is embedded in the owner's tacit knowledge and expressed in the unique but complementary use of IT in support of the firm's strategic goals. This study confirmed small firm owner's knowledge of IT as an important, knowledge‐based capability and a vital component of business‐IT strategic alignment.

Details

Journal of Small Business and Enterprise Development, vol. 19 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/14626001211196433
ISSN: 1462-6004

Keywords

  • Owner's knowledge of information technology
  • Communications technology
  • User studies
  • Business – information technology strategic alignment
  • Information technology use
  • Resource‐based view
  • Small enterprises
  • United States of America

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Article
Publication date: 10 October 2016

Strategic performance through inter-firm networks: Strategic alignment and moderating role of environmental dynamism

Zahid Yousaf and Abdul Majid

The purpose of this paper is to examine and develop a strategic performance model for small and medium enterprises linking with inter-firm networks, strategic alignment…

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Abstract

Purpose

The purpose of this paper is to examine and develop a strategic performance model for small and medium enterprises linking with inter-firm networks, strategic alignment and environmental dynamism.

Design/methodology/approach

Drawing on the live experiences of 757 respondents, including managing directors/owners and CEOs of different SMEs, the authors proposed a theoretical model representing how firms could attain strategic performance through inter-firm networks with a mediating role of strategic alignment.

Findings

The current study demonstrated that SMEs with strong inter-firm networks have the ability to align business activities with strategies and get earlier strategic performance. Strategic performance looks skeptical to ever gain acceptance until strategic alignment is adopted by small and medium enterprises. The findings of this study indicated that environmental dynamism strengthens the relationship between strategic alignment and strategic performance.

Originality/value

This research extended the understanding about the inter-firm networks, strategic alignment and environmental dynamism surrounding strategic performance. This study identified and empirically tested how the inter-firm networks impact on strategic performance through the mediating effect of strategic alignment.

Details

World Journal of Entrepreneurship, Management and Sustainable Development, vol. 12 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/WJEMSD-03-2016-0015
ISSN: 2042-5961

Keywords

  • Pakistan
  • SMEs
  • Strategic alignment
  • Environmental dynamism
  • Inter-firm networks
  • Strategic performance

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Article
Publication date: 6 February 2009

Managing the process of channel alignment: Model‐driven strategy development in a multinational corporation

Kai Wehmeyer, Alexander Kipp and Kai Riemer

The purpose of this paper is to develop a framework and a reference process for achieving channel alignment in companies that use traditional and electronic marketing…

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Abstract

Purpose

The purpose of this paper is to develop a framework and a reference process for achieving channel alignment in companies that use traditional and electronic marketing channels. Instruments for gathering and structuring of information on channel deployment are proposed and integrated in the process of strategy formulation.

Design/methodology/approach

The research grounds on a conceptual model of strategic channel alignment (MSCA) that is a recently proposed modification of the well‐established strategic alignment model (SAM). Framework, instruments, and reference process were developed by drawing on results from literature analysis and experiences gathered in a research and consulting project at a large multinational corporation. The case context is explicated.

Findings

The developed management tools were successfully applied in strategic business units of the case company. They were found to be useful for facilitating strategic channel alignment by fostering processes of communication and collaboration between managers across organizational units. The framework helps to implement a common “strategy language” on multi channel management. The instruments support the creation of a shared information base on a company's multi channel strategy and operations.

Research limitations/implications

The paper contributes to research on strategic alignment processes and discusses model‐driven alignment as social process that aims at the construction of a common understanding of multi channel issues. The beneficial role of management tools in such processes is spelled out.

Practical implications

The generic nature of the proposed management tools makes further practical applications possible. Companies that strategically address the alignment of their marketing channels can utilize the methodology and adapt it to their specific needs.

Originality/value

The paper translates a conceptual management model into a practical methodology. Models like the SAM and the MSCA are frequently discussed but research and reports on their practical value has been scarce. This paper contributes to filling this gap and develops tools of practical value in a particular domain of strategic management.

Details

Business Process Management Journal, vol. 15 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/14637150910931460
ISSN: 1463-7154

Keywords

  • Supply chain management
  • Strategic alignment
  • Strategic management

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Article
Publication date: 6 August 2020

The dynamics of IT-business strategic alignment: evidence from healthcare information systems implementation

Xiqing Sha, Jing (Elaine) Chen and Say Yen Teoh

This study intends to reveal how to manage the dynamic process of information technology business (IT-business) strategic alignment; managing this alignment is an unknown…

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Abstract

Purpose

This study intends to reveal how to manage the dynamic process of information technology business (IT-business) strategic alignment; managing this alignment is an unknown yet critical issue that must be addressed by any firm trying to unleash the business value of their IT investments.

Design/methodology/approach

This study presents our case study of a healthcare organization after healthcare information systems (HIS) implementation and investigates the strategic alignment between the implemented HIS and the organizational strategy from a dynamic perspective.

Findings

Two different patterns of alignment (i.e. an IT-strategy–driven pattern and a business-strategy–driven pattern) are identified, and a process model of the IT-business strategic alignment is developed. Moreover, this study focuses on the social dimension of strategic alignment and examines the role of this dimension, which is critical and fundamental with respect to other dimensions, in achieving strategic alignment.

Research limitations/implications

This paper makes important theoretical contributions to the understanding of strategic alignment by taking a dynamic view of alignment, identifying different patterns of alignment, emphasizing the role of social alignment and developing a comprehensive process model.

Practical implications

From a managerial perspective, managers should periodically scrutinize the IT-business alignment patterns of their organizations and develop dynamic capabilities for strategic alignment.

Originality/value

While most of the literature on the dynamics of strategic alignment have focused on confirming the dynamics of strategic alignment and identifying the factors that create dynamics in alignment, this study examines IT-business alignment as a continuous process over time, thus providing a novel perspective. Moreover, while the role of social alignment and its impact on downstream performance remain unclear in the current literature, this study incorporates the social dimension of alignment to investigate the role of this dimension in achieving IT-business strategic alignment.

Details

Information Technology & People, vol. 33 no. 5
Type: Research Article
DOI: https://doi.org/10.1108/ITP-08-2019-0414
ISSN: 0959-3845

Keywords

  • Strategic alignment
  • IT-business alignment
  • Healthcare information systems
  • Implementation
  • Management practices
  • Case study

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Article
Publication date: 4 June 2019

How does business-IT strategic alignment dimension impact on organizational performance measures: Conjecture and empirical analysis

Aboobucker Ilmudeen, Yukun Bao and Ibraheem Mubarak Alharbi

Despite the conceptual, empirical and theoretical advances in alignment–performance relationship, there is a limited research on the alignment dimensions and…

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Abstract

Purpose

Despite the conceptual, empirical and theoretical advances in alignment–performance relationship, there is a limited research on the alignment dimensions and organizational performance measures. Though strategic alignment is believed to improve organizational performance, the purpose of this paper is to develop conjectures for understanding how different alignment dimensions influence organizational performance measures.

Design/methodology/approach

The data were acquired from 161 senior IT and business managers paired responses in China and were analyzed by using a structural equation modeling technique.

Findings

The hypothesized relationships are largely supported. Thus, quality-oriented strategic alignment dimension has a significant relationship with all performance measures. Contrary to expectations, both product and marketing-oriented strategic alignment dimensions do not show a significant impact on financial return. The marketing-oriented strategic alignment dimension also has an insignificant relationship with operational excellence.

Practical implications

This study suggests that the business–IT alignment can be dimensioned to better combine business strategy and IT strategy. Hence, managers can focus specific alignment dimension instead of entire strategies of a firm for a better decision making.

Originality/value

Findings suggest guidance for formulating combined business and IT strategic alignment into dimensions and proposing insightful and practical implications.

Details

Journal of Enterprise Information Management, vol. 32 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/JEIM-09-2018-0197
ISSN: 1741-0398

Keywords

  • Organizational performance
  • Strategic alignment
  • Dimensions

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Article
Publication date: 13 November 2019

Organizational culture and information systems strategic alignment: Exploring the influence through an empirical study from Tunisia

Nesrine Chtourou Ben Amar and Randa Ben Romdhane

Information systems (IS) strategic alignment is a significant chief information officers (CIO) and top management issue because of its impact on a firm’s performance and…

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Abstract

Purpose

Information systems (IS) strategic alignment is a significant chief information officers (CIO) and top management issue because of its impact on a firm’s performance and profitability. Previous studies have primarily examined informal dimension’s influence on IS strategic alignment. Nevertheless, a few research works have emphasised cultural dimension’s effect. The purpose of this paper is to empirically investigate and bring out organisational culture’s influence on IS strategic alignment. Notably, it highlights the most significant culture types, according to the Competing Value Framework (Cameron et al., 2006).

Design/methodology/approach

Empirical setting comprises a quantitative approach using a survey based on a sample of 160 business managers (BMs) of 53 large companies located in Tunisia with international activities and being in the post-implementation operational use phase of their enterprise resource planning (ERP) systems. The partial least square (PLS) method has been used for data analysis.

Findings

The results provide an empirical evidence supporting a positive and significant organisational culture’s influence on the IS strategic alignment. The findings also show that “Clan Culture” (Internal/Flexibility-oriented culture) positively influences IS alignment along with the strategic priorities. These findings provide guidance and help understand how, through clan culture, the company can contribute significantly to the success of its ERP systems strategic alignment during the most critical phase, namely, post-implementation.

Originality/value

Despite abundant work related to IS alignment topic, little research, to the authors’ knowledge, has been undertaken in considering organisational culture’s influence. Thus, this research aims to fill this gap and to raise new questions about IS alignment. First, this study puts together organisational culture (through the Competing values Framework) and strategic alignment (through the IS use dimension) in a single research model to analyse four culture types’ direct effect on IS alignment. Second, this study is innovative in its use of the ERP post-implementation as an empirical framework. The post-implementation phase is often played down in research work in favour of the upstream pre-implementation phases. Furthermore, the findings bring together theoretical and practical insights on both IS-business strategic alignment and ERP post-implementation. Thus, future research could emphasise the role of clan culture in the efficiency of ERP systems strategic alignment during the usage phase. Building on these findings, BM, CIO and top management are advised to promote this culture type based on communication, information sharing and the spirit of internal partnership – so that their ERP systems are used appropriately and aligned with the company’s strategic priorities.

Details

Journal of Enterprise Information Management, vol. 33 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/JEIM-03-2019-0072
ISSN: 1741-0398

Keywords

  • Organizational culture
  • Information system
  • Strategic alignment
  • ERP post-implementation
  • PLS approach

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Article
Publication date: 12 November 2018

Strategic performance measurement system, organizational learning and service strategic alignment: Impact on performance

Yuliansyah Yuliansyah and Johnny Jermias

Considering the significant contribution of service sector of the whole contribution of the economics, this study aims to investigate the impact of strategic performance…

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Abstract

Purpose

Considering the significant contribution of service sector of the whole contribution of the economics, this study aims to investigate the impact of strategic performance measurement sytstem (SPMS) on sustainability strategic outcomes in the industry through organizational learning and service strategic alignment.

Design/methodology/approach

Using a survey study, 158 usable data were analysed using SmartPLS.

Findings

The results show that service strategic alignment and organizational learning mediate the relationship between SPMS and performance for product differentiation companies. For cost leadership companies, the results indicate that there is no mediation of service strategic alignment and organizational learning on the relationship between SPMS and performance.

Research limitations/implications

This study first provides evidence that SPMS improves performance through service strategic alignment and organizational learning for product differentiation companies in which innovation is crucial to thrive and succeed. Second, it introduces to the literature the characteristics of SPMS.

Originality/value

New insights of implementation of SPMS in improving companies’ performance in Indonesian financial institutions are provided.

Details

International Journal of Ethics and Systems, vol. 34 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/IJOES-07-2018-0102
ISSN: 0828-8666

Keywords

  • Strategic performance measurement system
  • Service strategic alignment
  • Organizational learning
  • Service sector
  • Strategic outcomes

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