The Impact of IT Capability and E-business on the Supply Chain Performance

This research has developed an analytical framework based on resource-based theory. It intends to find out the impact of different attributes on supply chain performance and financial performance under different IT capabilities and application degrees. The hypothesis test model incorporating five measuring variables is conducted; they are strategy of e-business, application degree of e-business, information technology capability, supply chain performance and financial performance. The results indicate that e-business strategy will affect the application degree for either high-tech industry or traditional industry; and higher IT capability will make the application degree impact on supply chain performance more significant while financial performance is not obviously activated. E-business should be a strategic policy. The managerial full support and involvement, cautious selection of new operational strategy, as well as the integration of e-business process and information, will make IT application, e-business process and readiness collaborate closely, so as to create business value and promote operational performance of supply chain.