Analysis of Information Technology and Sustainable Competitive Advantage － Using Complexity Theory
Date Issued
2014
Date
2014
Author(s)
Chen, Jen-Wel
Abstract
Abstract
Information technology increases sustainable competitive advantage has been a popular research topic after 1990; moreover, companies are getting focused on this topic as well. In our case study we pick an organization as a benchmark baseline to analyse how organization can create sustainable competitive advantage by utilizing Information technology. Instead of emphasis on the analysis of success factors, this paper attempts to use of hermeneutic case study approach. Researcher uses four dynamics of emergence posited by complexity theory’s dissipative structures model—fluctuation, positive feedback loop, stabilization, and recombination—to interpret how Information technology has created sustainable competitive advantage in case study. In the case study, the target organization has been periodically transformed itself over 15-years. Based on dissipative structures model, the target organization was changed by the external environment, fluctuation was trigged internally and the information technology was used to for the environmental changes. It made fluctuation happened again and again. The margin of fluctuation was extended via the "positive feedback loop". The inertia of the organization was stopped broken at the end and transformed the existing order into a new order with competitive advantage. According to the dissipative structure model, “Stabilization Dynamics”, “Recombination Dynamics” and “Positive Feedback loop Dynamics” will work together to keep stability of the new order.
The results of this study: Researcher founds there are four sets of fluctuations establish new orders to stop the inertia of organization and then make organizations with sustainable competitive advantage in the past 15 years. The four sets of orders through fluctuation are (1) digital learning, (2) information technology to create the first brand of lifelong education, (3) quick response and (4) expansion of lifelong education BOT / OT sustained competitive advantage. Each new order gained momentum through numerous positive feedback loops, four of them are (1) the positive feedback loop between the financial policies and investment in information technology, (2) the positive feedback loop between visionary and real, (3) the positive feedback loop between stakeholder groups and information technology, (4) the positive feedback loop between the population of lifelong education and information technology. The positive feedback loop grows and finally contributes to the evolution of sustainable competitive advantage. Beside positive feedback loops, there are 5 Check and Balance Mechanism: (1) CEO assigns the position of Chief Information Officer, (2) “show me the money”, (3) factionism, (4) laws and regulations and (5) information technology itself provided stability throughout that evolution of sustainable competitive advantage. Through two recombination dynamics, (1) organizations were transformed by means of the Information Technology Internalization, it made the information technology integrated into the operation of the organization and (2) organizations were transformed by outcomes outreach of information technology, it made operational patters of information technology into new niches, reconstituted organization to generate sustainable competitive advantage and resisted small external forces fluctuation to maintain status of sustainable competitive advantage. Complexity theory’s dissipative structures model satisfactorily interpret how Information technology initiated sustainable competitive advantage in target organization. The study demonstrates the value of four dynamics of dissipative structures model.
Subjects
資訊科技
持續競爭優勢
複雜理論
耗散結構
浮現
詮釋性個案研究
長期性研究
Type
thesis
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