DocumentCode :
260418
Title :
Information Technology (IT) Value Model using Variance-Based Structural Equation Modeling: Towards IT Value Engineering
Author :
Abdurrahman, Lukman ; Suhardi ; Langi, A.Z.R.
Author_Institution :
Inf. Syst. Program, Telkom Univ., Bandung, Indonesia
fYear :
2014
fDate :
28-30 May 2014
Firstpage :
499
Lastpage :
504
Abstract :
Information Technology in business is significant. This study tries to trace the relationship between IT value and firm performance. The methodology of the study is analyzing some variables forming the relationship of IT value to firm performance based on the Resource-Based View Theory. The analysis results in IT Value Model using Variance-Based Structural Equation Modeling. Using computer simulation data and a SEM application software, the conceptual models are tested. The testing consists of the outer model, the inner model, and the hypotheses testing. The outer model testing is to examine the relationship between the reflective manifest variables and their construct. Similarly, the inner model and hypotheses are tested to make sure that among the constructs have causality relationships. According to the testing results, the models meet the fit model criteria as required by the Variance-Based SEM. Likewise, the hypotheses can be accepted. Furthermore, the IT value engineering concept can be developed referred to the fit model and linked to business requirements.
Keywords :
business data processing; digital simulation; value engineering; IT firm performance; IT value engineering; IT value model; IT value performance; SEM application software; business requirements; causality relationships; computer simulation data; fit model criteria; hypotheses testing; information technology value model; inner model testing; outer model testing; resource-based view theory; variance-based SEM; variance-based structural equation modeling; Analytical models; Business; Computational modeling; Equations; Loading; Mathematical model; Numerical analysis; IT value; IT value engineering; Modeling; Resource-Based View; Structural Equation Modeling; inner mode; outer model;
fLanguage :
English
Publisher :
ieee
Conference_Titel :
Information and Communication Technology (ICoICT), 2014 2nd International Conference on
Conference_Location :
Bandung
Type :
conf
DOI :
10.1109/ICoICT.2014.6914112
Filename :
6914112
Link To Document :
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