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Considerable attention has been directed toward developing a more complete understanding of innovation adoption by Information Systems (IS) departments. Much of this research has focused on the adoption of technological innovations, and limited research has focused on the adoption of administrative innovations. This paper focuses on an administrative innovation that is increasingly becoming popular among IS departments, namely Total Quality Management (TQM) in systems development. A synthesis of the IS innovation and TQM literatures was conducted to identify environmental, organizational, and task‐related factors that should relate to both the swiftness and the intensity of TQM adoption. The relationships between the identified variables and TQM adoption were examined using data collected from 123 IS departments in Fortune 1000 firms and large government agencies in the U.S. The results indicate that TQM adoption in systems development is influenced by the host organization's quality orientation and factors internal to the IS department including IS management support for quality, the presence of a separate quality assurance function, and the structural complexity of the IS department. Implications of this study for theory, future research, and practice are discussed.

An important theme in the alliance research has been the study of how prior alliance experience translates into value gains from alliances. Despite the strong theoretical argument regarding the value-enhancing role of alliance experience, past research has reported mixed results. In an attempt to resolve the inconclusive findings, we provide a more fine-grained view of alliance experience by examining characteristics such as relatedness and diversity, which are defined based on the functional focus and the industry of the partner. Furthermore, we argue that since leveraging alliance experience is a learning process, a firm's knowledge integration capabilities enabled by information technology (IT) should influence the extent to which the firm benefits from alliance experience. Using data from 1,030 alliances made by 89 firms across 11 industries, we test the effects of relatedness and diversity on abnormal returns following alliance announcements. We find that functionally related experience is positively related to abnormal returns, whereas partner industry-based related experience affects the expected value negatively. We also find that a firm's IT-enabled knowledge integration positively moderates the effects of both related and diverse experience on abnormal returns. Our findings highlight that although knowledge gained through prior experience is important, complementary capabilities that enable firms to leverage and utilize such knowledge are also necessary for ex ante value creation in alliances. We interpret these findings and discuss their implications for research in both strategic management and information systems.

XML-based vertical standards are an emerging compatibility standard for describing business processes and data formats in specific industries that have emerged in the past decade. Vertical standards, typically implemented using eXtensible Markup Language (XML), are incomplete products in constant evolution, continually adding functionality to reflect changing business needs. Vertical standards are public goods because they are freely obtained from sponsoring organizations without investing resources in their development, which gives rise to linked collective action dilemmas at the development and diffusion stages. Firms must be persuaded to invest in development without being able to profit from the output, and a commitment to ensure the diffusion of the standard must be secured from enough potential adopters to guarantee success. In this paper, the authors explore organizational drivers for participation in vertical standards development activities for supply- and demand-side organizations (i.e., vendors and end-user firms) in light of the restrictions imposed by these dilemmas.

Vertical standards focus on industry-specific product and service descriptions, and are generally implemented using the eXtensible Markup Language (XML). Vertical standards are complex technologies with an organizational adoption locus but subject to inter-organizational dependence and network effects. Understanding the assimilation process for vertical standards requires that both firm and industry-level effects be considered simultaneously. In this paper, the authors develop and evaluate a two-level model of organizational assimilation that includes both firm and industry-level effects. The study was conducted in collaboration with OASIS, a leading cross-industry standards-development organization (SDO), and with ACORD, the principal SDO for the insurance and financial services industries. Results confirm the usefulness of incorporating firm-level and community-level constructs in the study of complex networked technologies. Specifically, the authors' re-conceptualization of the classical DoI concepts of relative advantage and complexity are shown to be appropriate and significant in predicting vertical standards assimilation. Additionally, community-level constructs such as orphaning risk and standard legitimation are also shown to be important predictors of assimilation.

E‐business information systems are computer applications that leverage intra‐ and inter‐firm process and systems integration. Considering the growth and strategic importance of e‐business, while it is important for organizations to carefully plan for and architect e‐business systems, none of the existing information systems planning models is adequate for the task. An e‐business architecture planning model is developed by identifying 12 generic e‐business models and three axes on which drivers of the information architecture needs of e‐business firms fall. Sowa and Zachman's information architecture is augmented to further facilitate e‐business information systems architecture planning.