The Influence of Information Technology Strategy in Organizations on Business Performance in The Automotive Component Industry
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Abstract
This research aimed to study the factors supporting the IT strategy that influence and relate to the performance of the automotive component industry. The sample group consisted of 180 people involved in the information system in the automotive component industry organization, namely, IT executives, IT managers, and IT operation officers, selected by stratified sampling according to the objectives. The statistics used for data analysis were structural equation modeling (SEM) analysis.
The research results found that the analytical model was consistent with the empirical data. The results indicated that the proportion and regression of all hypotheses were accepted with a p value of < 0.05. The results of the consistency and harmony test found that they were consistent with the subcomponents of the structural model, with /df = 2.425, GFI = 0.946, AGFI = 0.878, RMR = 0.050, RMSEA = 0.089, NFI = 0.971, CFI = 0.982. The results of the hypothesis testing found that the IT strategy had a direct and positive impact on the performance of the organization in terms of providing advice and participation and defining the scope of work. In addition, focusing on data continuity and good data security will help increase the organization's operational efficiency.
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