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An investigation of resource-based and institutional theoretic factors in technology adoption for operations and supply chain management

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  • Zhang, Cheng
  • Dhaliwal, Jasbir
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    Abstract

    There has been inadequate research to date that examined the in-depth processes by which firms adopt technology for operations and supply chain management or critical factors that may influence the operational value firms gain from information technology (IT)-enabled supply chain management. Exploring these questions can contribute knowledge to the field of operations management: how firms can employ their IT capabilities for operations and supply chain management, the impact of competitive and institutional environments on IT-based operations strategy; the relationships between IT-enabled supply chain practices and operations performance. This paper addresses these aspects by examining the factors affecting Chinese firms' adoption of IT-enabled supply chain operations and the benefits they achieve, by drawing from and integrating the resource-based and institutional theoretic perspectives. It identifies key organizational and institutional factors that influence firms' technology adoption for supply chain management. Results show that firms can benefit by incorporating the technology within their internal operations processes and by using the technology externally with partners in their supply chain trading community. The results provide evidence that firms' IT engagement for operations and supply chain management is significantly influenced by institutional factors. Association analysis was conducted to understand the potential influence of external diffusion on internal assimilation. The result supports the theoretical claim. Building on the existing literature, this study demonstrates how resource-based theory and institutional theory can provide a solid theoretical backbone for practitioners, researchers, and policy makers in efforts pertaining to technology adoption for operational supply chain excellence.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Journal of Production Economics.

    Volume (Year): 120 (2009)
    Issue (Month): 1 (July)
    Pages: 252-269

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    Handle: RePEc:eee:proeco:v:120:y:2009:i:1:p:252-269

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    Web page: http://www.elsevier.com/locate/ijpe

    Related research

    Keywords: Institutional theory Resource-based view IT-enabled Supply chain management;

    References

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    1. Sandy D. Jap & Erin Anderson, 2003. "Safeguarding Interorganizational Performance and Continuity Under Ex Post Opportunism," Management Science, INFORMS, vol. 49(12), pages 1684-1701, December.
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    3. Nurmilaakso, Juha-Miikka, 2008. "Adoption of e-business functions and migration from EDI-based to XML-based e-business frameworks in supply chain integration," International Journal of Production Economics, Elsevier, vol. 113(2), pages 721-733, June.
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    7. E. Burton Swanson, 1994. "Information Systems Innovation Among Organizations," Management Science, INFORMS, vol. 40(9), pages 1069-1092, September.
    8. Hau L. Lee & Kut C. So & Christopher S. Tang, 2000. "The Value of Information Sharing in a Two-Level Supply Chain," Management Science, INFORMS, vol. 46(5), pages 626-643, May.
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    11. Naresh K. Malhotra & Sung S. Kim & Ashutosh Patil, 2006. "Common Method Variance in IS Research: A Comparison of Alternative Approaches and a Reanalysis of Past Research," Management Science, INFORMS, vol. 52(12), pages 1865-1883, December.
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    Cited by:
    1. Huo, Baofeng & Han, Zhaojun & Zhao, Xiande & Zhou, Honggeng & Wood, Craig H. & Zhai, Xin, 2013. "The impact of institutional pressures on supplier integration and financial performance: Evidence from China," International Journal of Production Economics, Elsevier, vol. 146(1), pages 82-94.
    2. Jin, Yan & Vonderembse, Mark & Ragu-Nathan, T.S. & Smith, Joy Turnheim, 2014. "Exploring relationships among IT-enabled sharing capability, supply chain flexibility, and competitive performance," International Journal of Production Economics, Elsevier, vol. 153(C), pages 24-34.
    3. Heyder, Matthias & Theuvsen, Ludwig & Hollmann-Hespos, Thorsten, 2012. "Investments in tracking and tracing systems in the food industry: A PLS analysis," Food Policy, Elsevier, vol. 37(1), pages 102-113.
    4. Bustinza, O.F. & Arias-Aranda, D. & Gutierrez-Gutierrez, L., 2010. "Outsourcing, competitive capabilities and performance: an empirical study in service firms," International Journal of Production Economics, Elsevier, vol. 126(2), pages 276-288, August.
    5. Schoenherr, Tobias, 2012. "The role of environmental management in sustainable business development: A multi-country investigation," International Journal of Production Economics, Elsevier, vol. 140(1), pages 116-128.
    6. Lo, Chris K.Y. & Yeung, Andy C.L. & Edwin Cheng, T.C., 2011. "Meta-standards, financial performance and senior executive compensation in China: An institutional perspective," International Journal of Production Economics, Elsevier, vol. 129(1), pages 119-126, January.

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