Impact of Information Technology on Business Performance: Integrated Structural Equation Modeling and Artificial Neural Network Approach

Document Type: Article

Authors

1 Dumlupinar University, Simav Vocational School, 43500, Simav- Kütahya, Turkey

2 Sakarya University, Faculty of Management, Serdivan-Sakarya, Turkey

Abstract

In today's globalizing world, which is also called the information age, information and information technologies are becoming increasingly important for businesses, and they have become an indispensable part of economic and social life. Nowadays, it is impossible to think about a business that is far from information technology, and also it is important not only to find information but also to find the fastest and highly reliable information. The important thing is to use information technologies effectively and efficiently. Therefore, it is expected that the effective usage of information technology will have significant positive effects on business performance.  The aim of this study is to examine and analyze the impact of the intensive usage of information technologies on business performance in the supply chain process. A sequential, multi-method approach integrating both structural equation modeling (SEM) and neural network analysis was employed in this research. The information technology usage performance network was formed by using the SEM model, and the ANN model was used to predict a relationship between information technology usage levels and business performance by using these network outputs. Furthermore, the validity and reliability tests of the relevant model data were performed.

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