Decision Sciences Journal
Volume 30, Number 2
Spring 1999
Modeling IS Planning Benefits Using ACE
James S. K. Ang, S. A. Quek, Thompson S. H. Teo, and B.
Lui
Department of Decision Sciences, Faculty of Business Administration,
National University of Singapore, 10 Kent Ridge Crescent, Singapore
119260, e-mails: fbaangsk@nus.edu.sg; fbaqsa@nus.edu.sg; fbateosh@nus.edu.sg
ABSTRACT
This paper addresses the dearth of research on the determinants
of IS planning benefits. Data were collected using a questionnaire
survey of top IS executives from 450 companies in Singapore.
Of the 103 responses (representing a response rate of 23%), 65
companies undertook IS planning. To test the hypothesis that
the determinant-benefit relationships are likely to be nonlinear,
the Alternating Conditional Expectations (ACE) algorithm was
used. This appears to be the first use of ACE in IS planning
research.
IS sophistication, communications culture, technology forecasting,
top management support, and firm size were found to be nonlinearly
related to IS planning benefits (e.g., improved competitiveness,
operations, and resource management). For example, IS sophistication
affects improved competitiveness positively, and improved resource
management negatively. It seems that IS sophistication is directed
more at improving competitiveness, even though this may result
in less efficient resource management due to bureaucratic procedures.
However, at higher levels of IS sophistication, competitiveness
stagnates and may even decrease, possibly due to bureaucratic
bottlenecks. Implications of our results are discussed.
Subject Areas: ACE, Benefits, Determinants, and IS
Planning. |