Measuring IT core capabilities: results from a confirmatory factor analysis

Hans van der Heijden
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Hans van der Heijden: Vrije Universiteit Amsterdam, Faculteit der Economische Wetenschappen en Econometrie (Free University Amsterdam, Faculty of Economics Sciences, Business Administration and Economitrics

No 15, Serie Research Memoranda from VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics

Abstract: This paper reports on the theoretical development and empirical validation of a measurement instrument for three core capabilities of IT departments. The instrument is based on the work of Feeny & Willcocks (1998) and includes the capabilities "IS/IT governance", "Business system thinking" and "Relationship building". The sample consists of 472 respondents, mostly IT managers. Results demonstrate that the constructs are highly reliable (alpha coefficients > 0.8). A confirmatory factor analysis on the dataset suggests acceptable model fit on most measures. However, a respecification of the model in which "IS,/IT governance" is split into "Executive Relationship Building" and "IT Management" provides better measures of fit. Both the original and the revised model demonstrate highly significant factor loadings (p = 0.000). The paper concludes that core capabilities of IT departments are useful constructs to incorporate in future research. They are able to successfully predict behaviours that have relatively little overlap. Recommended further research includes the relationship between capabilities and governance structures, as well as further investigation into how IT core capabilities are formed and strengthened in organisations.

Keywords: Measuring IS Success; Organising Factor analysis (search for similar items in EconPapers)
JEL-codes: L86 O32 O33 (search for similar items in EconPapers)
Date: 2000
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Citations: View citations in EconPapers (2)

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