What is the Role of Organizational Culture in IT Governance Performance of Collaborative Virtual Networks?

Abstract

In today's complex organizations, IT governance is an important managerial challenge. IT governance deals with decisions and responsibilities concerning IT. There are many factors influencing IT governance. One factor that has remained relatively unexplored by academic research is that of organizational culture. This research explores the influence of the organizational culture of collaborative networks on IT governance performance. A case study was conducted in a large complex company with several networks. The findings indicated that the networks fit better with different organizational culture types based on their priorities for IT governance outcomes to maximize performance. A clan organizational culture is desired when aiming for effective use of IT for asset utilization and cost-effective use of IT. An adhocracy culture fits better when prioritizing the effective use of IT for business growth. Finally, a combination of market and hierarchy organizational culture is desired and fits better when seeking effective use of IT for business flexibility and cost cutting.