Title: The Moderating Effect of Industry Environments on the Relationship between IT Asset Portfolios, Efficiency and Innovation in the ERP Context
Authors: Wahyu Agus Winarno, Bambang Tjahjadi
Affiliations: Faculty of Economics and Business, Airlangga University, Indonesia
Publisher: European Research Studies Journal
Abstract
Technology investments in the form of ERP systems tend to align the company's information technology (IT) asset portfolio with two main performance results are efficiency and innovation. This study examines the influence of industrial environment on the relationship between IT asset portfolio with efficiency and innovation. The research model was tested using data from 104 observations gathered from 26 companies for 4 years (2009-2012), and data analysis was conducted using a moderated regression analysis.
The results show that an increase in value of IT assets portfolio will improve operational efficiency, and innovation of companies. Furthermore, we find that the industry environment does not moderate the relationship between the IT asset's portfolio with operational efficiency.
On the other hand, industrial environments statistically significantly affect the relationship between the IT asset portfolios and innovations. The results imply that the company has implemented an ERP system, investment in IT is not oriented towards the exploitation of IT, but tends to increase the exploration process to the form of innovation.
Keywords: IT asset portfolios, operational efficiency, innovation, and industrial environment
