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Beyond Efficiency and Productivity: ICT Business Value, Competitive Growth and the Construction of Corporate Image
Abstract
Firms employ information and communication technology (ICT) in their pursuit of competitive growth and the productivity-related business value that accrues from its use is widely acknowledged. However, the organizational literature has long recognized that operational efficiency and productivity are not the only factors required for corporate success. One of the primary tasks facing firm leaders is the management of external stakeholders’ impressions of the firm that enable it to gain access to external resources. This chapter explores this additional symbolic dimension of ICT business value by investigating how and when the simple possession and use of ICT itself might create favorable impressions of the firm, yielding business value and competitive growth over and above its effects on operational efficiency and productivity. Using qualitative and inductive methods, the authors identify established and emerging ICTs’ additional symbolic meanings for potential customers and develop a model of the judgment process through which ICT affects corporate images. When assessing the business value of ICT savvy managers should consider both efficiency and organizational image. Implications for theory, practice, and future research are discussed.
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