Distributed inter‐organizational systems and innovation processes

This research provides a contextual analysis of the introduction of a distributed inter‐organizational system (DIOS) in three organizations.

An exploratory case study was conducted to assess the user reactions and the consequences of implementing a videoconferencing system in the organizations.

Respondents reported radically different experiences with the DIOS videoconferencing. Activity theory is used as a framework for analyzing the organizational context at the three sites and exploring the consequences of using the system. It describes a range of human activities and innovation underlying the inter‐organizational work process and suggests that deficiencies in actors' activity of the process limit the value of DIOS process.

A context‐sensitive research approach to explain the DIOS design and use shows how human activities are included into DIOS. Meso level focus of activity analysis suggests an implication for IOS literature which supplements the findings from activity theory. The paper concludes by examining extant theorizing about innovation and suggests points of departure suggested by the conceptual frame.

The research provides a valuable reference for DIOS designers in particular public organizations' process innovation. It further gives a lesson that DIOS design engages not only technical innovations, but also accompanies significant organizational changes.

This research contributes to DIOS planning research by clarifying the relations of the DIOS planning process and its consequences. It further clarifies the environmental and organizational factors in terms of political economy perspective identified by previous IOS research.