The Effect of Strategic Information Systems on Competitive Strategy and Corporate Performance

Document Type : Original Article

Authors
mehdi adineh azadgoleh 1
Zeinolabedin Rahmani 2
1 Master's degree, Department of Executive Management, Behshahr Branch, Islamic Azad University, Behshahr, Iran.
2 Professor, Department of Management, Payam Noor University, Sari, Iran
10.22034/jmek.2022.153379
Abstract
Given the complexity of today's global market and economy, strategic information systems are crucial for organizational survival and gaining a competitive advantage. The present study aims to determine the impact of strategic information systems on competitive strategy and firm performance. This applied research is descriptive-explanatory and survey-based. The statistical population comprised 157 managers and engineers of installation companies in eastern Mazandaran province. A sample of 112 individuals was selected via simple random sampling using Cochran's formula. Data were collected using standard questionnaires for strategic information systems, Porter's competitive strategy, and Kaplan and Norton's organizational performance. Validity was confirmed by experts, and reliability was established using Cronbach's alpha. Data analysis was conducted using structural equation modeling with a partial least squares (PLS) approach via Smart PLS software to test the research hypotheses. The results indicated that strategic information systems exert a positive and significant impact on focus strategy, cost leadership strategy, differentiation strategy, and overall firm performance. Furthermore, competitive strategy significantly and positively affects overall firm performance. Effectively utilizing strategic information systems empowers organizations to accurately select and execute appropriate competitive strategies, ultimately leading to substantial performance enhancement in turbulent economic conditions.
Keywords
Strategic Information Systems
Competitive Strategy
Firm Performance
Structural Equation Modeling
Subjects

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  • Receive Date 12 November 2023
  • Revise Date 01 January 2024
  • Accept Date 05 March 2024