Leveraging open-standard interorganizational information systems for process adaptability and alignment: An empirical analysis

Xiaodie Pu, Alain Yee Loong Chong, Zhao Cai, Ming K. Lim, Kim Hua Tan

Research output: Journal PublicationArticlepeer-review

11 Citations (Scopus)

Abstract

Purpose: The purpose of this paper is to understand the value creation mechanisms of open-standard inter-organizational information system (OSIOS), which is a key technology to achieve Industry 4.0. Specifically, this study investigates how the internal assimilation and external diffusion of OSIOS help manufactures facilitate process adaptability and alignment in supply chain network. Design/methodology/approach: A survey instrument was designed and administrated to collect data for this research. Using three-stage least squares estimation, the authors empirically tested a number of hypothesized relationships based on a sample of 308 manufacturing firms in China. Findings: The results of the study show that OSIOS can perform as value creation mechanisms to enable process adaptability and alignment. In addition, the impact of OSIOS internal assimilation is inversely U-shaped where the positive effect on process adaptability will become negative after an extremum point is reached. Originality/value: This study contributes to the existing literature by providing insights on how OSIOS can improve supply chain integration and thus promote the achievement of industry 4.0. By revealing a U-shaped relationship between OSIOS assimilation and process adaptability, this study fills previous research gap by advancing the understanding on the value creation mechanisms of information systems deployment.

Original languageEnglish
Pages (from-to)962-992
Number of pages31
JournalInternational Journal of Operations and Production Management
Volume39
DOIs
Publication statusPublished - 20 Nov 2019

Keywords

  • Industry 4.0
  • Inter-organizational information systems
  • Open standards
  • Process adaptability
  • Supply chain integration

ASJC Scopus subject areas

  • Decision Sciences (all)
  • Strategy and Management
  • Management of Technology and Innovation

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