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Journal of Business and Management Sciences. 2024, 12(2), 67-88
DOI: 10.12691/JBMS-12-2-1
Original Research

The Effect of Information Technology on Innovative Performance with Mediation Role of Process Innovation Capability: Evidence from Egyptian SMEs

Hossam M. S. El-gharbawy1, , Aiman A. Ragab2, Mohamed A. Ragheb3 and Mahmoud. Farouk4

1Arab Academy for Science, Technology and Maritime Transport, Graduate School of Business (AASTMT)

2Dean, Graduate School of Business (AASTMT), Egypt

3Dean, Cardiff Metropolitan University Programs (AASTMT), Egypt

4Dean of information systems and decision support (AASTMT), Egypt

Pub. Date: March 13, 2024
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Cite this paper

Hossam M. S. El-gharbawy, Aiman A. Ragab, Mohamed A. Ragheb and Mahmoud. Farouk. The Effect of Information Technology on Innovative Performance with Mediation Role of Process Innovation Capability: Evidence from Egyptian SMEs. Journal of Business and Management Sciences. 2024; 12(2):67-88. doi: 10.12691/JBMS-12-2-1

Abstract

Purpose Egypt's strategic plan focuses on addressing new technologies and innovations in the SME sector. Information Technology (IT) is crucial for businesses to thrive in the digital landscape and drives innovation. IT infrastructure, including servers, storage systems, and networking equipment, supports operations. This study aims to evaluate the effect of IT on innovative performance, with the mediating role of process innovation capability. Objective: The aim of the study is to find out the impact of Information Technology on Innovative performance with Mediation Role of Process innovation capability: Evidence from Egyptian SMEs. The study will evaluate the role of IT flexibility, IT integration and IT agility in enhancing SMEs` innovative performance, capabilities and fostering their growth in today's technology-driven business environment. Hypotheses: This study evaluates variables from multiple perspectives to understand the relationship between Information Technology, Process Innovation capability, and Innovative Performance. IT measures are IT flexibility, integration and agility, aiming to gain deeper insights into the field of interest. Design/Methodology: The study proposes a research model based on extensive research and literature review, which simulates variables and their relationships. A research hypothesis is established, followed by quantitative methods to test objective theories. Variables are measured and analyzed using statistical procedures. The final report includes an introduction, literature and theory, methods, results, and discussion. the research population refers’ to Egyptian SMEs and applied convenience sampling because of its high efficiency in terms of time, money and effort. Findings: In this study, the Amos 25 software package was used to perform the structural equation modelling (SEM) to investigate the inter‐relationships between the variables constructs of the hypothesized model. And the results of data analysis showed that the Information Technology is measured by three dimensions (IT flexibility, IT integration and IT agility) significantly influence Innovative performance with Mediation Role of Process innovation capability: Evidence from Egyptian SMEs.

Keywords

information technology, innovative performance, process innovation capability, Egyptian SMEs

Copyright

Creative CommonsThis work is licensed under a Creative Commons Attribution 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by/4.0/

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