Impact of IS/IT Investments on Firm Performance: Does Stakeholder Orientation Matter?

This research project addresses a central question in the IS business value field: Does IS/IT investments impact positively on firm financial performance? IS/IT investments are seen as having an enormous potential impact on the competitive position of the firm, on its performance, and demand an active and motivated participation of several stakeholder groups. Actual research conducted in the Information Systems field, relating IS/IT investments with firm performance use transactions costs economics and resource-based view of the firm to try to explain and understand that relationship. However, it lacks to stress the importance of stakeholder management, as a moderator variable in that relationship. Stakeholder theory sees the firm as the hub centric to the spokes representing various stakeholders who were in essence equidistant to the firm, and survival and continuing profitability of the corporation depend upon its ability to fulfil its economic and social purpose, which is to create and distribute wealth or value sufficient to ensure that each primary stakeholder group continues as part of the corporation’s stakeholder system. Stakeholder theory in its instrumental version, argues that if a firm pays attention to the stakes of all stakeholder groups (and not just shareholders), it will obtain higher levels of financial performance. With this premise in mind, the aim of this paper is to discuss and test the use of stakeholder theory in the IS business value stream of research, in order to achieve a better understanding of the impact of IS/IT investments on firm performance (moderated by stakeholder management). To achieve the expected impact from an IS/IT investment, it is argued that firms need a strong commitment from those stakeholder groups, which lead us to the need of a corporate “stakeholder orientation”. When firm financial performance is measured by returns on assets (ROA), returns on investments (ROI) and returns on sales (ROS), the results show that “stakeholder orientation” impact positively in the relation between IS/IT and firm performance, using a sample of Portuguese large companies.

How can the land managers and his multi-stakeholder network at the farm level influence the multifunctional transitions pathways?

The changing role of agriculture is at the core of transition pathways in many rural areas. Productivism, post-productivism and multifunctionality have been targeted towards a possible conceptualization of the transition happening in rural areas. The factors of change, including productivist and post-productivist trends, are combined in various ways and have gone in quite diverse directions and intensities, in individual regions and localities. Even, in the same holding, productivist and post-productivist strategies can co-exist spatially, temporally, structurally, leading to a higher complexity in changing patterns. In south Portugal extensive landscapes, dominated by traditionally managed agro-forestry systems under a fuzzy land use pattern, multifunctionality at the farm level is indeed conducted by different stakeholders whose interests may or not converge: a multifunctional land management may indeed incorporate post-productivist and productivist agents. These stakeholders act under different levels of ownership, management and use, reflecting a particular land management dynamic, in which different interests may exist, from commercial production to a variety of other functions (hunting, bee-keeping, subsistence farming, etc.), influencing management at the farm level and its supposed transition trajectory. This multistakeholder dynamic is composed by the main land-manager (the one who takes the main decisions), sub land-managers (land-managers under the rules of the main land-manager), workers and users (locals or outsiders), whose interest and action within the holding may vary differently according to future (policy, market, etc.) trends, and therefore reflect more or less resilient systems. The goal of the proposed presentation is to describe the multi-stakeholder relations at the farm level, its spatial expression and the factors influencing the land management system resilience in face of the transition trends in place.