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Organizational Architecture and Success in the Information Technology Industry


  • Haim Mendelson

    () (Graduate School of Business, Stanford University, Stanford, California 94305-5015)


This paper studies an organizational architecture that I call information-age architecture. I define a measure of organizational IQ and test whether it is related to financial and market success using data from the fast-moving information technology industry. Higher organizational IQ is associated with higher profitability and growth. This relationship is stronger in business environments that are characterized by faster clockspeeds.

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  • Haim Mendelson, 2000. "Organizational Architecture and Success in the Information Technology Industry," Management Science, INFORMS, vol. 46(4), pages 513-529, April.
  • Handle: RePEc:inm:ormnsc:v:46:y:2000:i:4:p:513-529

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    References listed on IDEAS

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    Cited by:

    1. Andrea Masini & Luk N. Van Wassenhove, 2009. "ERP Competence-Building Mechanisms: An Exploratory Investigation of Configurations of ERP Adopters in the European and U.S. Manufacturing Sectors," Manufacturing & Service Operations Management, INFORMS, vol. 11(2), pages 274-298, May.
    2. Jarrod Ormiston & Richard Seymour, 2011. "Understanding Value Creation in Social Entrepreneurship: The Importance of Aligning Mission, Strategy and Impact Measurement," Journal of Social Entrepreneurship, Taylor & Francis Journals, vol. 2(2), pages 125-150, October.
    3. Prasanna Tambe & Lorin M. Hitt & Erik Brynjolfsson, 2012. "The Extroverted Firm: How External Information Practices Affect Innovation and Productivity," Management Science, INFORMS, vol. 58(5), pages 843-859, May.
    4. Roberto Chavez, 2014. "Customer integration, information quality and operational performance: A social capital view," Working Papers 57, Facultad de Economía y Empresa, Universidad Diego Portales.
    5. repec:spr:manint:v:52:y:2012:i:4:d:10.1007_s11575-011-0114-z is not listed on IDEAS
    6. Andrea Patacconi, 2009. "Coordination and delay in hierarchies," RAND Journal of Economics, RAND Corporation, vol. 40(1), pages 190-208.
    7. repec:wsi:ijimxx:v:21:y:2017:i:01:n:s1363919617500050 is not listed on IDEAS
    8. Alma Spaho, 2011. "Determinants of Information Sharing in Supply Chain among Manufacturing and Trading companies in Albania: A Discriminant Analysis," EuroEconomica, Danubius University of Galati, issue 29, pages 75-85, August.
    9. Christie, Andrew A. & Joye, Marc P. & Watts, Ross L., 2003. "Decentralization of the firm: theory and evidence," Journal of Corporate Finance, Elsevier, vol. 9(1), pages 3-36, January.
    10. Ann P. Bartel & Casey Ichniowski & Kathryn L. Shaw, 2005. "How Does Information Technology Really Affect Productivity? Plant-Level Comparisons of Product Innovation, Process Improvement and Worker Skills," NBER Working Papers 11773, National Bureau of Economic Research, Inc.
    11. Ali, Mohammad M. & Babai, Mohamed Zied & Boylan, John E. & Syntetos, A.A., 2017. "Supply chain forecasting when information is not shared," European Journal of Operational Research, Elsevier, vol. 260(3), pages 984-994.
    12. Rajiv D. Banker & Robert J. Kauffman, 2004. "50th Anniversary Article: The Evolution of Research on Information Systems: A Fiftieth-Year Survey of the Literature in Management Science," Management Science, INFORMS, vol. 50(3), pages 281-298, March.
    13. repec:eee:touman:v:32:y:2011:i:3:p:667-674 is not listed on IDEAS
    14. Elisa Villani & Luciano Greco & Nelson Phillips, 2015. "Business Models and Institutional Complexity: Understanding Value Creation in Healthcare Sector Public-Private Partnerships," BEMPS - Bozen Economics & Management Paper Series BEMPS31, Faculty of Economics and Management at the Free University of Bozen.
    15. O'Connor, Neale G. & Deng, Johnny & Luo, Yadong, 2006. "Political constraints, organization design and performance measurement in China's state-owned enterprises," Accounting, Organizations and Society, Elsevier, vol. 31(2), pages 157-177, February.
    16. Federica Ceci & Francesca Masciarelli & Andrea Prencipe, 2016. "Changes in Organizational Architecture: Aspiration Levels, Performance Gaps and Organizational Change," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 13(01), pages 1-21, February.
    17. Wu, Jiebing & Guo, Bin & Shi, Yongjiang, 2013. "Customer knowledge management and IT-enabled business model innovation: A conceptual framework and a case study from China," European Management Journal, Elsevier, vol. 31(4), pages 359-372.
    18. Davidsson, Per & Steffens, Paul & Fitzsimmons, Jason, 2009. "Growing profitable or growing from profits: Putting the horse in front of the cart?," Journal of Business Venturing, Elsevier, vol. 24(4), pages 388-406, July.


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