The role of IT in achieving operational agility: A case study of Haier, China

Abstract

Operational agility has increasingly become essential for survival and prosperity for contemporary organizations. Given its significant role in a turbulent business environment, this concept has garnered considerable research attention over the past ten years. However, due to the complex nature of operational agility, how to achieve this important organizaitonal capability is still not clearly understood. Thus the present study attempts to open this black box through examing a case study of Haier, the largest household appliances producer in China. The findings of this case highlight the significant role played by IT leveraging competence in achieving operational agility. It shows that IT leveraging competence helps enhance firm's ability to process information in a turbulent business environment, which results in information processing efficiency and information processing effectiveness. With the enhancement in the ability to process information, the focal firm is capable to sense and respond to market changes more readily. © 2012 Elsevier Ltd. All rights reserved.