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Exploring the Role of IS in Dynamic Capabilities

Exploring the Role of IS in Dynamic Capabilities

Stephen Duhan, Margi Levy, Philip Powell
Copyright: © 2010 |Volume: 1 |Issue: 2 |Pages: 19
ISSN: 1947-3095|EISSN: 1947-3109|EISBN13: 9781609603694|DOI: 10.4018/jsita.2010040102
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MLA

Duhan, Stephen, et al. "Exploring the Role of IS in Dynamic Capabilities." IJSITA vol.1, no.2 2010: pp.19-37. http://doi.org/10.4018/jsita.2010040102

APA

Duhan, S., Levy, M., & Powell, P. (2010). Exploring the Role of IS in Dynamic Capabilities. International Journal of Strategic Information Technology and Applications (IJSITA), 1(2), 19-37. http://doi.org/10.4018/jsita.2010040102

Chicago

Duhan, Stephen, Margi Levy, and Philip Powell. "Exploring the Role of IS in Dynamic Capabilities," International Journal of Strategic Information Technology and Applications (IJSITA) 1, no.2: 19-37. http://doi.org/10.4018/jsita.2010040102

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Abstract

Resource-based theory suggests that firms develop idiosyncratic capabilities that contribute to sustainable competitive advantage when they are valuable, rare, inimitable and non-substitutable. The successful use of information systems (IS) and information technology (IT) has been linked to improved firm performance. Recent literature suggests that a deeper understanding of what capability means in practice may be gained from a disaggregation into component competences and resources. A better understanding of the role of IS/IT in business level capability may be achieved through a fuller articulation, both of the capability itself, and the contribution of IS/IT, together with an evaluation of the effectiveness in delivering sustainable competitive advantage. A dynamic capabilities perspective explains the way firms adapt capabilities to changing market environments over time. This paper explores these propositions through an exploratory case study using a framework derived from a resource-based and systemic view of the firm. The analysis suggests a dynamic Capability Development Model through which the implications and potential for IS and IT over time may be understood. The paper addresses three issues. First, it offers a better articulation of what capability concepts mean in practice. Second, it takes a disaggregated understanding of capabilities, and third, it sheds light on the dynamics of capabilities.

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