This graphically triangular model consists of three components. One describes the maturity of the business, the second concerns the alignment of IT systems to business strategy, the third the homogeneity of the IT systems. The impact is derived from the “pressure”[1] inside this triangle. That is, the smaller the sides, the smaller the volume, the greater the pressure.

With reference to the first conclusion made, “that the optimal impact of IT investment occurs at the confluence of three factors. The alignment of IT systems with the business’s strategy, the homogeneity of systems across the organization, and the maturity of the business”, are the three related components. The ‘alignment of IT systems with the business’s strategy’ has to do with the degree of separation between the IT strategy and the host business’s strategy. One example of this is where the IT department is constantly second guessing the needs of the business. It is where there is no real communication between the executive and the IT department, or where there is no understanding within the executive of what benefits IT can bring to the business. Thus, the smaller this spread, the greater the positive impact upon business’s long-term expected value. The second component, ‘the homogeneity of systems across the organization’, concerns the spread of system types to achieve the same functions. For example, does one section of the business use a different brand of computer operating systems to another? Therefore, the greater the level of homogeneity, the greater the positive impact upon the business’s long-term expected value. The third component, ‘the maturity of the business’, is a reflection on both the pervasiveness, and consistency of application, of internal administrative processes. The model posits that the greater the maturity of the firm implies a reduction in organizational risk, thus a positive impact upon business’s long-term expected value.

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[1] The pressure inside this triangle is analogous to Boyles Law. Boyles Law (k=Pv) holds that for a constant temperature the pressure that is exerted by a unit of gas is inversely proportional to the volume that it occupies.

Well, at last good news regarding this thesis. 77%. That’s a distinction.

The supervisor’s intial comments were: “you did very well”.

And so, that’s my Masters of International Business complete.

More comments to come later………….

Well, the thesis is now being assessed by two independent examiners. I hope that my effort has been worth it!

Management authors such Hodgetts, et al (2006) and Bartlett, et al (2008) describe the increasing complexity of operating a business with international activities. Of the many factors that are involved in successful operational and strategic decisions, these authors draw conclusions that understanding the bearing that information technology (IT) investments can have upon an international business is critical. Thus, the intent of this research was to understand the impact of IT investment upon the operations of international business through analysing the influence, upon the firm’s financial performance, of the type of IT Investment, the mode of international operations , the location of those international operations and the firm’s industry sector. The sources for this dissertation included interviews with senior management personnel from  Melbourne-based companies that had international operations, and prior research literature in the form of doctoral and masters-level theses, published collections of articles, as well as journals and other volumes.

Rather than posit an hypothesis regarding the impact of IT investment upon the operations of international business and subjecting that hypothesis to rigorous testing (ie, the deductive approach) I chose an inductive approach. This approach is supported by Saunders (2007) who states that “research using an inductive approach is likely to be concerned with the context in which such events were taking place”.

Therefore, in order to draw conclusions based on the interviews and the literature, I classified the relevant prior research into several conceptual structures. The categories of organizational impact studies, the productivity paradox, measurement models and frameworks, IT Economics, International Business and IT, Strategic Global IT , cross-culture models, worldwide organisational structures and market entry strategies were used. This led the author to adduce relevant conclusions based on the collected primary data and applicable theoretical models such as “Porters 5-forces model of competitive advantage” (Porter, 1979), Kaufman and Weill’s (1989) “evaluative framework: a synthesis of economics and behavioural science” and Hofstede’s (Hodgett et al, 2006) “five dimensions of culture”.

Although there are eight distinct conclusions, the major outcome of the work is the model that I postulate to describe the impact of this IT investment. This “IT Investment Impact Implication” model describes the influence that the combination of business maturity, IT alignment with business strategy and the homogeneity of IT systems has upon the firm.

Well, its nearly done. Just waiting on my supervisor to highlight final changes before its submitted for examination.

There’ll be two independent examiners, plus I have to give a 15 minute presentation concerning it to the Course Convenor.

I should have the marks by early July.

Well, from the data collected through interviews and compnay information plus the information gleaned from prior research, I’ve come up with 8 conclusions:

1. “that the optimal impact of IT investment occurs at the confluence of three factors. The alignment of IT systems with the business’s strategy, the homogeneity of systems across the organization, and the maturity of the business”.
2. “that the primary focus of IT expenditure is to improve operational efficiency”
3. “if a business has a properly envisioned and executed strategy, it will be closest to fully realizing the outcomes associated with the theory of the firm. That is, it will achieve the primary goal of long-term expected value maximization”
4. “that if a company is operating in the information space, then IT is fundamental to creation of value. That is, because IT systems exist, then the value can be created. However, if it operates in the physical goods space, IT is used to support the creation of value. That is, because IT systems exist, then the value can be created more efficiently”
5. “it is by aligning IT systems that support both operational efficiency and value creation to business strategy that maximum impact upon the firms value will occur”
6. “that there is currently no optimal model for understanding the impact of IT investment upon international business. A multifaceted model, such as Kaufman and Weill’s evaluative framework, indicates the complexity of this problem”
7. “in an international perspective, target country cultural conditions do not impact upon what the choice of IT systems, but they do impact upon how the degree of implementation and management customisation”
8. “that a strategy level systems approach is required to fully understand the impact of IT investment upon international business”

I trust that the examiners will now understand the approach:

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The approach taken in this thesis is by using inductive analysis of the facts, rather than the deductive method. Burney (2008) addresses the differences in these approaches. He describes the inductive method as moving from observation to theory using critical thinking, and the deductive method as moving from theory through observation to confirmation. Furthermore, Saunders (2007) goes further and supports the view that inductive analysis, that an interpretive research philosophy, is more suited to business-related research. He states that “business and management research is often a mixture between positivist and interpretivist.”. Saunders (2007) later states that “research using an inductive approach is likely to be concerned with the context in which such events were taking place”.

Thus, combining an epistemological[1] research philosophy with an inductive research approach is not only suited to inquiry in the business and management arena, but will be more effective for the purposes of this investigation in distilling key ideas from the reviewed frameworks and available data. And so, rather than posit an hypothesis regarding the impact of IT investment upon the operations of international business and subjecting that hypothesis to rigorous testing (ie, the deductive approach) I have chosen an inductive approach.

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[1] “Epistemology concerns what constitutes acceptable knowledge in a field of study”, Saunders (2007).  Saunders lists positivism, realism and interpretivism as epistemological positions.

So far so good. My supervisor is happy with the work, and now its just a matter of tidying things up.

However, it looks like most examiners look at this type of work through a deductive logic lens – not inductive as mine is – so my words need to be carefully chosen in the methodology/data collection chapter.

All in all: nearly there!

According to some guides I’ve read, the thesis’s abstract must be able to answer the following questions:

1. what is being addressed by the thesis? That is, what is problem or the question?
2. why is this work important, in other words: why have you been given approval to do the research, and how will it add to the body of knowledge?
3. how was the research performed? Was it analysis of secondary data? Was it through collection of primary data?
4. what are the outcomes, and what is the impact of those outcomes?

 

The problem, or question, and its importance should be found in the introduction. Research methods refer to the methodology section of the thesis. The outcomes should summarise the thesis’s conclusions/summary/discussion.

Its also a selling point: why should an examiner take on marking this thesis? Other uses as a “marketing tool are:

1. it may find its way into an electronic database, so will it catch someone’s eye?
2. the author may be invited to speak at a conference on the basis of the abstract

 

Some other thoughts relating to the abstract:

1. the length should be around 100 to 500 words
2. not a review or evaluation of the work
3. there are two types of abstracts: descriptive (outlines the work, describes it) and informative (the type discussed here)
4. it is written in the past tense, first person (ie, “this is what I did and found”)

Now I’m at the re-writing and tidy-up stages. One month to go before its all finished!

So, its draft 1, draft 2, and so on until the final submission.