IDEAS home Printed from https://ideas.repec.org/a/wsi/jikmxx/v18y2019i03ns0219649219500278.html
   My bibliography  Save this article

The Co-Evolution of IT, Knowledge, and Agility in Micro and Small Enterprises

Author

Listed:
  • Yolande E. Chan

    (The Stephen J.R. School of Business, Queen’s University, Kingston, Ontario, Canada K7L 3N6, Canada)

  • James S. Denford

    (Faculty of Social Sciences and Humanities, Royal Military College, Kingston, Ontario, Canada)

  • Junjun Jane Wang

    (Starbucks (China) Company Ltd., 24th floor, Xinyan Building B, 65 Guijing Road, Shanghai, China)

Abstract

Small firms facing today’s turbulent business environment often fail early in their life if they do not develop the necessary capabilities to survive. The main goal of this study is to investigate how IT and knowledge co-evolve, influencing a firm’s agility, within the context of micro and small enterprises (MSEs). Applying the resource-based view of the firm and dynamic capabilities, a multiple case study of eight firms was used to explore links among business, IT and knowledge strategies, resources, and capabilities. Links among IT and knowledge capabilities and firm agility were also explored. The results demonstrate that an MSE’s business strategy shapes, and is also shaped by, the firm’s IT and knowledge strategies; and that both IT and knowledge capabilities shape, and are shaped by, the firm’s agility, coevolving with it. By highlighting the important antecedents of small firm agility and presenting crucial links among agility, IT capabilities, and knowledge capabilities in MSEs, we encourage practitioners to think carefully about their IT and knowledge strategies and to rethink their use of firm resources and capabilities to develop agility in the face of environmental uncertainty and change.

Suggested Citation

  • Yolande E. Chan & James S. Denford & Junjun Jane Wang, 2019. "The Co-Evolution of IT, Knowledge, and Agility in Micro and Small Enterprises," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 18(03), pages 1-34, September.
  • Handle: RePEc:wsi:jikmxx:v:18:y:2019:i:03:n:s0219649219500278
    DOI: 10.1142/S0219649219500278
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0219649219500278
    Download Restriction: Access to full text is restricted to subscribers

    File URL: https://libkey.io/10.1142/S0219649219500278?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Paul A. Pavlou & Omar A. El Sawy, 2006. "From IT Leveraging Competence to Competitive Advantage in Turbulent Environments: The Case of New Product Development," Information Systems Research, INFORMS, vol. 17(3), pages 198-227, September.
    2. Muhammad Jahanzaib Yousaf & Qamar Ali, 2018. "Impact of Knowledge Management on Innovation: Evidence from a South Asian Country," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 17(03), pages 1-18, September.
    3. M. Max Evans & Ilja Frissen & Anthony K. P. Wensley, 2018. "Organisational Information and Knowledge Sharing: Uncovering Mediating Effects of Perceived Trustworthiness Using the PROCESS Approach," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 17(01), pages 1-29, March.
    4. Anitesh Barua & Charles H. Kriebel & Tridas Mukhopadhyay, 1995. "Information Technologies and Business Value: An Analytic and Empirical Investigation," Information Systems Research, INFORMS, vol. 6(1), pages 3-23, March.
    5. Nikolaos Theriou & Dimitrios Maditinos & Georgios Theriou, 2011. "Knowledge Management Enabler Factors and Firm Performance: An Empirical Research of the Greek Medium and Large Firms," European Research Studies Journal, European Research Studies Journal, vol. 0(2), pages 97-134.
    6. Kathleen M. Eisenhardt & Jeffrey A. Martin, 2000. "Dynamic capabilities: what are they?," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1105-1121, October.
    7. Helfat, C.E. & Raubitschek, R.S., 2000. "Product Sequencing: Co-Evolution of Knowledge, Capabilities and Products," Papers 00-1, U.S. Department of Justice - Antitrust Division.
    8. Jaflah Al-Ammary, 2014. "The Strategic Alignment between Knowledge Management and Information Systems Strategy: The Impact of Contextual and Cultural Factors," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 13(01), pages 1-12.
    9. Dong, Xiaoying & Yu, Yan & Zhang, Na, 2016. "Evolution and Coevolution: Dynamic Knowledge Capability Building for Catching-up in Emerging Economies," Management and Organization Review, Cambridge University Press, vol. 12(4), pages 717-745, December.
    10. V. Sambamurthy & Robert W. Zmud, 2000. "Research Commentary: The Organizing Logic for an Enterprise's IT Activities in the Digital Era—A Prognosis of Practice and a Call for Research," Information Systems Research, INFORMS, vol. 11(2), pages 105-114, June.
    11. Yolande E. Chan & James S. Denford & Joyce Y. Jin, 2016. "Competing Through Knowledge and Information Systems Strategies: A Study of Small and Medium-Sized Firms," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 15(03), pages 1-37, September.
    12. Mikalef, Patrick & Pateli, Adamantia, 2017. "Information technology-enabled dynamic capabilities and their indirect effect on competitive performance: Findings from PLS-SEM and fsQCA," Journal of Business Research, Elsevier, vol. 70(C), pages 1-16.
    13. Constance E. Helfat & Ruth S. Raubitschek, 2000. "Product sequencing: co‐evolution of knowledge, capabilities and products," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 961-979, October.
    14. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    15. David G. Sirmon & Michael A. Hitt, 2009. "Contingencies within dynamic managerial capabilities: interdependent effects of resource investment and deployment on firm performance," Strategic Management Journal, Wiley Blackwell, vol. 30(13), pages 1375-1394, December.
    16. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    17. Chihab Benmoussa, 2013. "Enabling Knowledge Mobilisation Through Mobile Technologies: A Value-Based-Method," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 12(03), pages 1-11.
    18. Joseph Lampel & Jamal Shamsie, 2003. "Capabilities in Motion: New Organizational Forms and the Reshaping of the Hollywood Movie Industry," Journal of Management Studies, Wiley Blackwell, vol. 40(8), pages 2189-2210, December.
    19. Mahmoud M. Migdadi & Mohammed K. Abu Zaid & Mohammed Yousif & Ra’d Almestarihi & Khalil Al-Hyari, 2017. "An Empirical Examination of Knowledge Management Processes and Market Orientation, Innovation Capability, and Organisational Performance: Insights from Jordan," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 16(01), pages 1-32, March.
    20. Anindita Chakravarty & Rajdeep Grewal & V. Sambamurthy, 2013. "Information Technology Competencies, Organizational Agility, and Firm Performance: Enabling and Facilitating Roles," Information Systems Research, INFORMS, vol. 24(4), pages 976-997, December.
    21. Constance E. Helfat & Margaret A. Peteraf, 2003. "The dynamic resource‐based view: capability lifecycles," Strategic Management Journal, Wiley Blackwell, vol. 24(10), pages 997-1010, October.
    22. Vishnu Vinekar & James T. C. Teng, 2012. "The Resource-Based View of IT Business Value: Complementary Investments or Embedded Knowledge?," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 11(01), pages 1-13.
    23. Shaker A. Zahra & Harry J. Sapienza & Per Davidsson, 2006. "Entrepreneurship and Dynamic Capabilities: A Review, Model and Research Agenda," Journal of Management Studies, Wiley Blackwell, vol. 43(4), pages 917-955, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pereira, Vijay & Bamel, Umesh, 2021. "Extending the resource and knowledge based view: A critical analysis into its theoretical evolution and future research directions," Journal of Business Research, Elsevier, vol. 132(C), pages 557-570.
    2. Adilson Carlos Yoshikuni & Rajeev Dwivedi & Ronaldo Gomes Dultra-de-Lima & Claudio Parisi & José Carlos Tiomatsu Oyadomari, 2023. "Role of Emerging Technologies in Accounting Information Systems for Achieving Strategic Flexibility through Decision-Making Performance: An Exploratory Study Based on North American and South American," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(2), pages 199-218, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rogier van de Wetering & Tom Hendrickx & Sjaak Brinkkemper & Sherah Kurnia, 2021. "The Impact of EA-Driven Dynamic Capabilities, Innovativeness, and Structure on Organizational Benefits: A Variance and fsQCA Perspective," Sustainability, MDPI, vol. 13(10), pages 1-23, May.
    2. Jorge Ferreira & Sofia Cardim & Arnaldo Coelho, 2021. "Dynamic Capabilities and Mediating Effects of Innovation on the Competitive Advantage and Firm’s Performance: the Moderating Role of Organizational Learning Capability," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(2), pages 620-644, June.
    3. Eriksson, Taina, 2014. "Processes, antecedents and outcomes of dynamic capabilities," Scandinavian Journal of Management, Elsevier, vol. 30(1), pages 65-82.
    4. FeCheng Ma & Farhan Khan & Kashif Ullah Khan & Si XiangYun, 2021. "Investigating the Impact of Information Technology, Absorptive Capacity, and Dynamic Capabilities on Firm Performance: An Empirical Study," SAGE Open, , vol. 11(4), pages 21582440211, November.
    5. Schriber, Svante & Löwstedt, Jan, 2015. "Tangible resources and the development of organizational capabilities," Scandinavian Journal of Management, Elsevier, vol. 31(1), pages 54-68.
    6. Schriber, Svante & Löwstedt, Jan, 2018. "Managing asset orchestration: A processual approach to adapting to dynamic environments," Journal of Business Research, Elsevier, vol. 90(C), pages 307-317.
    7. Carl Åberg & Wei Shen, 2020. "Can board leadership contribute to board dynamic managerial capabilities? An empirical exploration among Norwegian firms," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 24(1), pages 169-197, March.
    8. Fainshmidt, Stav & Nair, Anil & Mallon, Mark R., 2017. "MNE performance during a crisis: An evolutionary perspective on the role of dynamic managerial capabilities and industry context," International Business Review, Elsevier, vol. 26(6), pages 1088-1099.
    9. Wamba, Samuel Fosso & Dubey, Rameshwar & Gunasekaran, Angappa & Akter, Shahriar, 2020. "The performance effects of big data analytics and supply chain ambidexterity: The moderating effect of environmental dynamism," International Journal of Production Economics, Elsevier, vol. 222(C).
    10. Richard Arend, 2013. "Ethics-focused dynamic capabilities: a small business perspective," Small Business Economics, Springer, vol. 41(1), pages 1-24, June.
    11. Cleverton Rodrigues Fernandes & André Gustavo Carvalho Machado, 2019. "Technology Transfer Capability: development dynamics in higher education institutions," Brazilian Business Review, Fucape Business School, vol. 16(1), pages 1-15, January.
    12. Desirée Knoppen & Louise Knight, 2022. "Pursuing sustainability advantage: The dynamic capabilities of born sustainable firms," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1789-1813, May.
    13. Simone Sehnem & Adriane A. Farias S. L. de Queiroz & Susana Carla Farias Pereira & Gabriel dos Santos Correia & Edson Kuzma, 2022. "Circular economy and innovation: A look from the perspective of organizational capabilities," Business Strategy and the Environment, Wiley Blackwell, vol. 31(1), pages 236-250, January.
    14. Richard Arend, 2014. "Entrepreneurship and dynamic capabilities: how firm age and size affect the ‘capability enhancement–SME performance’ relationship," Small Business Economics, Springer, vol. 42(1), pages 33-57, January.
    15. Mikalef, Patrick & Pateli, Adamantia, 2017. "Information technology-enabled dynamic capabilities and their indirect effect on competitive performance: Findings from PLS-SEM and fsQCA," Journal of Business Research, Elsevier, vol. 70(C), pages 1-16.
    16. Marlenne G. Velazquez-Cazares & Anna M. Gil-Lafuente & Ernesto Leon-Castro & Fabio Blanco-Mesa, 2021. "Innovation capabilities measurement using fuzzy methodologies: a Colombian SMEs case," Computational and Mathematical Organization Theory, Springer, vol. 27(4), pages 384-413, December.
    17. Li, Shenxue & Easterby-Smith, Mark & Hong, Jacky F.L., 2019. "Towards an understanding of the nature of dynamic capabilities in high-velocity markets of China," Journal of Business Research, Elsevier, vol. 97(C), pages 212-226.
    18. Patrick Mikalef & Ilias O. Pappas & John Krogstie & Michail Giannakos, 2018. "Big data analytics capabilities: a systematic literature review and research agenda," Information Systems and e-Business Management, Springer, vol. 16(3), pages 547-578, August.
    19. Jelle Schepers & Pieter Vandekerkhof & Yannick Dillen, 2021. "The Impact of the COVID-19 Crisis on Growth-Oriented SMEs: Building Entrepreneurial Resilience," Sustainability, MDPI, vol. 13(16), pages 1-20, August.
    20. Majumdar, Sumit K., 2014. "Technology and wages: Why firms invest and what happens," Technology in Society, Elsevier, vol. 39(C), pages 44-54.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:jikmxx:v:18:y:2019:i:03:n:s0219649219500278. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/jikm/jikm.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.