The moderating effect of information technology capability on the relationship between business continuity management factors and organizational performance

Despite the enormous acknowledgement of the importance of Business Continuity Management (BCM) in sustaining organization survival, very limited studies have focused on the effects of BCM on organizational performance. Hence, the purpose of this study is to provide the empirical evidences that suppo...

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Bibliographic Details
Main Author: Zahari, Abu Bakar
Format: Thesis
Language:eng
eng
Published: 2015
Subjects:
Online Access:https://etd.uum.edu.my/5402/1/s95080.pdf
https://etd.uum.edu.my/5402/2/s95080_abstract.pdf
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Summary:Despite the enormous acknowledgement of the importance of Business Continuity Management (BCM) in sustaining organization survival, very limited studies have focused on the effects of BCM on organizational performance. Hence, the purpose of this study is to provide the empirical evidences that support the relationships that exist between BCM Factors and Organizational Performance with the moderating effects of Information Technology Capability (IT Capability) in organizations from various sectors in Malaysia. Based on the existing literature, BCM Factors are operationalized by Management Support, External Requirement, Organization Preparedness, and Embeddedness of Continuity Practices. A combination of selfadministered and mail survey was deployed involving 147 ISO 27001 and ISO 22301 certified organizations representing both public and private sectors. These organizations were selected as they are deemed to possess a considerably higher sense of commitment towards embracing BCM best practices to enhance their business resilience. At the end of the data collection phase, the study managed to obtain 77 usable responses constituting an effective response rate of 55 percent. The findings indicate that BCM Factors namely External Requirement and Embeddedness of Continuity Practices are significantly related to Overall Organizational Performance and Non-Financial Performance. However, only External Requirement is found significantly related to Financial Performance. The results also reveal that fully supported relationships are found between IT Capability and all Organizational Performance dimensions. In addition, the findings show that IT Capability moderates the relationship between BCM Factors and Organizational Performance. These results provide valuable insights to both practitioners and academia for further understanding the effects of BCM Factors and IT Capability on Organizational Performance. Finally, the research limitations are discussed and suggestions on extended area of research are recommended for future researchers.