The influence of integrated information systems on firm financial performance

This study investigates the influence of integrated information systems (IIS) features on firm financial performance, more precisely return on asset (ROA). Research results, based on data obtained from 83 firms in 2018, confirmed the positive effect between IIS analytical capabilities on ROA, while...

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Main Authors: Ivica Pervan, Ivana Dropulić
Format: Article
Language:English
Published: Croatian Operational Research Society 2020-01-01
Series:Croatian Operational Research Review
Subjects:
Online Access:https://hrcak.srce.hr/file/361248
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author Ivica Pervan
Ivana Dropulić
author_facet Ivica Pervan
Ivana Dropulić
author_sort Ivica Pervan
collection DOAJ
description This study investigates the influence of integrated information systems (IIS) features on firm financial performance, more precisely return on asset (ROA). Research results, based on data obtained from 83 firms in 2018, confirmed the positive effect between IIS analytical capabilities on ROA, while IIS scope had negative effect on ROA. Estimated regression model revealed that IIS age and IIS implementation quality did not have any effect over firm financial performance. Findings from the study indicated that firms and IIS vendors should be careful in IIS design phase, taking into account that IIS design incorporates appropriate analytical capabilities required by business processes. Also, scope of selected IIS modules should be rational in order to avoid unnecessary IIS investment costs.
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spelling doaj.art-11fab95c9a8445069844d6f47ac205732024-04-15T16:39:38ZengCroatian Operational Research SocietyCroatian Operational Research Review1848-02251848-99312020-01-0111230130910.17535/crorr.2020.0024The influence of integrated information systems on firm financial performanceIvica Pervan0Ivana Dropulić1University of Split, Faculty of Economics, Business and Tourism, Split, CroatiaUniversity of Split, Faculty of Economics, Business and Tourism, Split, CroatiaThis study investigates the influence of integrated information systems (IIS) features on firm financial performance, more precisely return on asset (ROA). Research results, based on data obtained from 83 firms in 2018, confirmed the positive effect between IIS analytical capabilities on ROA, while IIS scope had negative effect on ROA. Estimated regression model revealed that IIS age and IIS implementation quality did not have any effect over firm financial performance. Findings from the study indicated that firms and IIS vendors should be careful in IIS design phase, taking into account that IIS design incorporates appropriate analytical capabilities required by business processes. Also, scope of selected IIS modules should be rational in order to avoid unnecessary IIS investment costs.https://hrcak.srce.hr/file/361248business performance indicatorsCroatiaintegrated information systems
spellingShingle Ivica Pervan
Ivana Dropulić
The influence of integrated information systems on firm financial performance
Croatian Operational Research Review
business performance indicators
Croatia
integrated information systems
title The influence of integrated information systems on firm financial performance
title_full The influence of integrated information systems on firm financial performance
title_fullStr The influence of integrated information systems on firm financial performance
title_full_unstemmed The influence of integrated information systems on firm financial performance
title_short The influence of integrated information systems on firm financial performance
title_sort influence of integrated information systems on firm financial performance
topic business performance indicators
Croatia
integrated information systems
url https://hrcak.srce.hr/file/361248
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AT ivanadropulic theinfluenceofintegratedinformationsystemsonfirmfinancialperformance
AT ivicapervan influenceofintegratedinformationsystemsonfirmfinancialperformance
AT ivanadropulic influenceofintegratedinformationsystemsonfirmfinancialperformance