The effect of information systems resources and capabilities on company performance in the South African financial services industry : a resource based perspective

Abstract

The purpose of this study was to determine the effect that information system resources and capabilities have on company performance. This study was a replication of research conducted in the United States where Resource Based theory was used as the theoretical framework to analyse the relationships between the identified constructs. The relationship between IS resources and IS capabilities was posited to be positive. Likewise the relationships between IS Capabilities and IT support for Core Competencies and in turn company performance were hypothesised to be positive. A quantitative methodology was employed, using a five-point Likert scale survey, which was emailed to senior managers within the Financial Services sector of South Africa. The Partial Least Squares multivariate technique was used to analyse the data. The structural model provided support for two of the hypotheses, whilst support for the remaining three could not be established. The empirical results were then analysed to develop the implications for South African business managers. Copyright