Information Technology Capability a Tool to Expedite Higher Organizational Performance

DOI: 10.24312/ucpmr030109

  • Mobeen Zahra Institute of Business and Management, University of Engineering and Technology, Lahore, Pakistan
  • Dr. Waseem Ul Hameed School of Economics, Finance and Banking (SEFB), College of Business (COB), Universiti Utara Malaysia (UUM), Malaysia
  • Dr. Muhammad Fiaz Institute of Business and Management, University of Engineering and Technology, Lahore, Pakistan
  • Muhammad Farhan Basheer School of Economics, Finance and Banking (SEFB), College of Business (COB), Universiti Utara Malaysia (UUM), Malaysia
Keywords: Information Technology Capability, Knowledge Management, Organization Performance, SMES

Abstract

The major purpose of this study is to examine the mediating role of knowledge management between information technology capability and organizational performance in small and medium-sized enterprises (SMEs). SMEs have been broadly acknowledged as the springboard for supporting economic development, however, the organizational performance of Pakistani SMEs is low which require significant level of information technology capability. Total 1500 operational, functional and upgraded registered SMEs are involved in the manufacturing of textile to meet the local and international commitments. The population of this study was based on these SMEs. The nature of this study is quantitative on cross-sectional research design. Most of respondent were manager, senior officer, and executives. Total 300 questionnaires were distributed by using sample random sampling. Data were analyzed by using PLSSEM. The findings of the study have shown the agreement with the proposed hypotheses of the study and found that information technology capability has positive effect on organizational performance. Additionally, knowledge management is playing a mediating role. Therefore, this study will be helpful for owner and managers of SMEs in textile sector accessing the importance of information technology and knowledge management for better performance.

Published
2019-06-30