Impact of environmental pressures and culture on factors influencing the requirements of human resources engaged in it applications.
Agrawal, Vijay K. ; Kotcherlakota, Vani
Abstract
The objective of the study is to identify the effect of cultural
and environmental pressures on the factors influencing the requirements
of human resources engaged in information technology applications based
on the experience and perception of chief information officers in India and the United States (U.S.) The findings suggest that, in both
countries, cultural and environmental pressures have a significant
influence on the factors influencing the requirements of human resources
engaged in information technology (IT) applications. In this study, the
culture is measured by using variables power distance, uncertainty
avoidance, individualism, and masculinity. The environmental pressures
are measured using variables frequency of changes in marketing
practices, rate of product obsolescence, prediction of competitors'
actions, prediction of consumer test/product demand, and frequency of
changes in mode of production/services. The factors influencing the
requirements of human resources engaged in IT functions were identified
as follows: support to End-users from the technical component of IT,
drivers to involve End-users in IT function, growth in End-users
computing, growth in IT applications, growth in the Usage of
off-the-shelf/ ERP packages (gross value), growth in the usage of
off-the-shelf/ERP packages (net value), growth in the requirements of IT
professionals (average), growth in the requirements of IT professionals
(percentage).
I. INTRODUCTION
The worldwide spread of IT, along with the growth in the
requirement of IT professionals and End-users Computing, is well
documented, with diffusion from developed to developing countries and
the newly industrialized economies (NIEs) in Asia (Mody and Dahlman,
1992). Most businesses in the industrial world could not compete, and
many could not even survive without computers and software (Jones, 1994,
Luftman et. al., 2004). Now IT is an integral part of the products and
services delivered to customers (Henderson and Lentz, 1995/1996).
Today, multinational corporations and governments increasingly use
IT for international business and commerce. Businesses are generally
regulated by a government policy in India (Palvia and Palvia, 1992).
However, beginning with the New Computer Policy of 1984 (Dhir, 1992;
Menon, 1990), the government has aggressively promoted the increased use
of IT in business and industry, as well as IT education to produce more
IT skilled manpower to cater to business and industry needs.
Computer related technology or any other technology is essentially
neutral; whether IT's application succeeds or fails depends
entirely on the decisions as to how it shall be used (Bostrom and
Heines, 1977). Also, the impact of IT in less developed countries
depends on its adaptation to the local environment (Montealegre, 1998).
Effective implementation ofIT depends on the organization's vision
of change, either by deliberate design or as an emergent phenomenon.
Agrawal and Haleem (2003) argued that environmental and cultural factors
play an important role in developing a positive mindset for successful
implementation of IT applications. The higher usage of IT applications
is expected to stimulate growth in the requirements of IT professionals
and end-users computing.
The availability of knowledgeable end-users and extensive company
support to Endusers Computing (EUC) is resulting in replacement of IT
professionals from operations and their equal contribution in
implementation and part contribution in development activities.
This study deals with the development of a model for identifying
the effect of environmental pressures and cultural factors on the
factors influencing the requirements of human resources engaged in IT
function. This study addresses five interrelated questions upon which
the entire analysis is centered: (1) What are the cultural factors and
environmental pressures that facilitate and inhibit the factors
influencing the requirements of human resources engaged in IT functions?
(2) What are the cultural factors and environmental pressures that
facilitate and inhibit the growth in the requirements of human resources
engaged in IT function? (3)How can the trends in United States
organizations help Indian organizations in formulating their IT
strategies regarding IT manpower planning? (4) How does the Government
of India policy regarding liberalization and globalization influence
growth in the requirements of in-house IT professionals?
The present work is confined to manufacturing, telecommunication (hardware), computer hardware, banking, hotels, and airlines. The
quantitative and qualitative data were collected through a survey of
chief information officers in India and the United States.
The next section discusses the theoretical background and the model
and hypothesis formulation, followed by discussion of the methodology
used and implementation of research methodology. Then, the article
discusses the results obtained, along with the limitations of the study
and suggestions for future work. Finally, the authors summarize the
findings with concluding remarks.
II. BACKGROUND AND DEVELOPMENT OF RESEARCH MODEL
Agrawal et. al. (2001) developed a model and hypothesized that the
requirements of software professionals engaged in IT function are
expected to decline. Agrawal (2005) also identified the following
factors influencing the requirements of human resources engaged in IT
function: support to End-users from the technical component of IT,
drivers to involve End-users in IT function, growth in End-users
computing, growth in IT applications, growth in usage of
off-the-shelf/ERP packages (gross value), and growth in usage of
off-the-shelf/ERP packages (net value). This study is focused on
identifying the effect of environmental and cultural factors on these
factors which influence the requirements of human resources engaged in
IT function. A brief description of these factors is given below:
* Growth in the usage of off-the-shelf/ERP packages: Agrawal (2005)
and Agrawal, et. al. (2001) argued that a move from tailor-made
(proprietary) to off-the-shelf packages will reduce risk and cost at the
expense of flexibility. If IT's role is only a strategic necessity
and not a source of competitive advantage, then the substantial risks
and high investments associated with tailor-made packages are not
desirable. The combination of limited time available for development and
the need for frequent changes will also make the option of tailor-made
packages infeasible and unattractive. The current declining trend in the
requirement of IT professionals can be argued as a symptom of the higher
use of readily available solutions, i.e. increased production and usage
of off-the-shelf/ERP solutions. They concluded that the potential usage
of off-the-shelf/ERP solutions will be higher compared to tailor-made
(proprietary)/customized packages.
* Growth in IT applications: Most businesses in the industrial
world could not compete, and many could not even survive without
computers and software (Jones, 1994, Luftman et. al., 2004). As carried
out by United States organizations in the 1980s, the business
organizations in the future need to rely heavily on information
technology to overcome the competitive pressures. Further, increased
competition leads to uncertainty and stimulates higher innovation and
adoption rates (Ettlie, 1983; Lewin et. al., 1987), which in turn will
further intensify competition and lead to very high usage of information
technology by business organizations. Strategic Planning Services/Spectrum Economics projected global IT spending on hardware,
software, networking and other components at $2,600 billion for the year
2005 (Campbell, 2000). This extensive usage of information technology
will generate additional requirements of IT professionals.
* Growth in End-users Computing: The control of information systems
departments on their manpower and IT budget has been decreasing and
shifted to End-users (Edberg and Bowman, 1996; He et al., 1998; Lucas,
2000). The main reason for this shift is credited to the availability of
user-friendly software, knowledgeable End-users and extensive company
support to EUC (Turban et al., 2001). The percentage of knowledge and
information work constitutes 60% of America's GNP and 55% in
America's labor force (Laudon and Laudon, 1999). The increasing
trend in the availability of knowledge workers, along with simple
user-interface and availability of user-friendly application
tools/utility programs, may result in the development of many one-time
application software by End-users with minimal or no assistance from IT
professionals. Support to End-users from the technical component of IT
and drivers to involve End-users in IT functions seems to be
contributing significantly in the growth of EUC.
* Support to end-users from technical component of IT: this
includes faster and cheaper hardware, user friendly software, and
reliability of packaged software solutions.
* Drivers to involve end-users in IT function: this includes hidden
backlog of information demand, need of lower skills for learning the
operation/maintenance of packages, and availability of knowledge
workers.
* Requirements of human resources engaged in IT function: Hammer
(1996) stated that the growing demand of IT professionals may decline by
2006. The trend in the requirement of IT professionals may have some
bearings with the trends of the labor force in the United States
(Agrawal, 2001). The trend in the requirements of labor force in the
United States between 1900 and 1996 (Laudon and Laudon, 1999) also
reveals that the percentage of farm labor declined and stabilized at a
much lower level (from 35% in 1900 to 2% in 1996), while the percentage
of blue collar workers declined and stabilized at 25% in 1996, down from
41% in 1900.
The overall conceptual model with the research constructs and
proposed relationships is presented in Figure 1. Each of the constructs,
along with the expected relationships and hypotheses, are discussed in
two parts: environmental pressures and culture/use of computers.
[FIGURE 1 OMITTED]
Environmental Pressures: With blurring national boundaries, the
numbers of competing organizations and knowledge workers have been
increasing. Additionally, since the environment is turbulent, and
changes rapidly in an unpredictable manner (Scott-Morton, 1991; Turban
et al., 2001), it generally changes much faster than organizations. The
characteristics of the environment include time compression-amazing
short product life cycle, strategic discontinuity--competion in
uncertainties, blurring organizational boundaries--increased
collaboration, knowledge intensity, increased returns to the scale, and
customer focused (El Sawy et al, 1999). New technology, new products,
and changing public tastes and values (many of which results in new
government regulations) put strains on any organization's culture,
policies, and people (Schein, 1985). Sutcliffe (1997) stated that U.S.
industries, with their backs against the wall from increased foreign
competition, fought in the past decade, to regain their position as
global leader using information technology. The organizations are at a
constant pressure to master the new technology brought on by the pace of
change in the industry and the rate of adoption of the new innovation
(Luftman et. al., 2004). The innovation will lead to the development of
user friendly technological solutions for adoption. They further stated
that information technology has the ability to provide organizations a
needed dynamic stability--flexible (mass customized) products via fixed
business processes. A delay in adoption, of what may become a disruptive
technology (one which greatly alter the business model, ex. the
Internet), can result in a major setback for an organization (Luftman
et. al., 2004). Table 1 indicates for the organizations the devasting
consequences of not keeping the pace with the technology.
The effect of environmental pressures can be transcribed in terms
of frequency of changes in marketing practices, rate of product
obsolescence, difficulties in the prediction of competitors'
actions, difficulties in the prediction of consumer test/product demand,
and frequency of changes in the mode of production/services (Agrawal et.
al., 2005).
* H1: The severity in environmental pressures (frequency of changes
in marketing practices, rate of product obsolescence, prediction of
competitors' actions, prediction of consumer test-product demand,
and frequency of changes in mode of production/ services) are positively
correlated with critical factors influencing the requirements of human
resources engaged in IT function (support to End-users from the
technical component of IT, drivers to involve End-users in IT function,
growth in End-users computing, and growth in IT applications).
* H2: The severity in environmental pressures (frequency of changes
in marketing practices, rate of product obsolescence, prediction of
competitors' actions, prediction of consumer test/product demand,
and frequency of changes in mode of production/ services) are positively
correlated with growth in the usage of off-the-shelf/ERP packages (gross
value and net value) and growth in the requirements of IT professionals
(average and percentage).
Culture/Use of Computer: A socio-technical systems approach views a
work system as an open system, made up of technical and social
subsystems (Schoderbek, Schoderbek, and Kefalas, 1986), with the output
of the work systems depending on the interaction between its subsystems.
The technical system deals with the processes, tasks, and
technology needed to transfer inputs to outputs (Bostrom, 1980), whereas
the social system is concerned with attributes of people (e.g.,
attitudes, skills, and values), the roles they enact, the reward
systems, and the authority structure. To optimize the entire work
system, the interaction of both subsystems must be jointly optimized
(Huse and Cummings, 1985). The social system is heavily influenced by
the culture of the society and plays an important role in adoption of
innovation and usage of information technology.
Hofstede (1984) identified four basic dimensions accounting for
variations in culture that we have used in this study for measurement of
culture: Individualism versus Collectivism: The extent to which the
individual expects personal freedom versus the acceptance of the
responsibility to family, tribal or national groups. More individualism
will result in more innovation. Power Distance: The degree of tolerance
and inequality in wealth and power indicated by the extent to which
centralization and autocratic power are permitted. Higher innovation
capacity is more available in societies having less power structure or
little difference in power status within organizations. Risk
(Uncertainty) Avoidance: The extent to which a society avoids risks and
creates security by emphasizing technology and buildings, laws and
rules, and religion. A high-risk avoidance environment is not conducive to entrepreneurship and hence, dampens innovations. Masculinity versus
Femininity: The extent to which the society differentiates roles between
the sexes and places emphasis on masculine values of performance and
visible achievements. Masculinity refers to assertive, competitive, and
firm, whereas femininity culture refers to soft, yielding, dependent,
intuitive, etc. Radical innovation thrives in more masculine societies.
The cultural factors which facilitate innovation will in turn
result in an acute competitive, turbulent, and dynamic environment.
* H3: Power distance and uncertainty avoidance are negatively
correlated with critical factors influencing the requirements of human
resources engaged in IT function (support to End-users from technical
component of IT, drivers to involve End-users in IT function, growth in
End-users computing, and growth in IT applications).
* H4: Power distance and uncertainty avoidance are negatively
correlated with growth in the usage of off-the-shelf/ERP packages (gross
value and net value) and growth in the requirements of IT professionals
(average and percentage).
* H5: Individualism and masculinity are positively correlated with
critical factors influencing the requirements of human resources engaged
in IT function (support to End-users from the technical component of IT,
drivers to involve End-users in IT function, growth in End-users
computing, and growth in IT applications).
* H6: Individualism and Masculinity are positively correlated with
growth in the usage of off-the-shelf/ERP packages (gross value and net
value) and growth in the requirements of IT professionals (average and
percentage).
III. METHODOLOGY
This study has been confined to manufacturing, telecommunication
(hardware), computer hardware, banking, hotels, computer software, and
airlines. This particular study has been defined as an exploratory and
descriptive "survey" approach in order to achieve more
generalizability and additional richness. The study is divided into
three phases:
Phase 1-Exploratory Study: In the first phase, a literature search,
an obvious first step in an exploratory study, was conducted, followed
by interviews. The data gathered from a literature search and interviews
were analyzed, and a revised version of the problem list and a
questionnaire were developed.
Phase 2-Survey, Construct Validity, and Data Analyses: In the
second phase, a questionnaire survey was used to answer the research
questions. The data are qualitative and quantitative in nature. The data
were used to test the hypotheses using correlation analysis. Principal
component factor analysis along with Varimax rotation were performed to
test the construct validity of the questionnaire.
Phase 3-Computation of Discriminant Functions: To determine if
statistical differences exist between the average score of manufacturing
and service sectors within Indian organizations, discriminant analysis
using stepwise variable selection method has been carried out. The
discriminant analysis is also carried out for manufacturing and service
sectors in the United States.
IV. IMPLEMENTATION OF RESEARCH METHODOLOGY
Questionnaire Design: The questionnaire uses the Likert scale with
nine intervals, from low to high, with equal weights. Because of the
difficulties in measurement, open-ended questions were avoided. The
questions are mutually exclusive.
Questionnaire Validation and Testing: The questionnaire validation
exercise was divided into four parts: face validity, criterion validity,
content validity, and construct validity. In construct validity, to
determine the number of factors for each construct, an eigenvalue greater than one rule was employed. While 0.30 has been suggested as
sufficient, only loadings greater than 0.32 in absolute value were used
in this study (Churchill, 1979). The questionnaire items were found
significantly loaded (Table 2) and grouped under the variables they
ought to measure. There are variables loaded on more than one factor,
but there was no variable found not loaded on any of the factors
significantly--possible association of variables is one reason, which
could be attributed to the loading of more than one construct on the
same factor. The construct validity is not more or less than a
scientific process (Baussel, 1986). It is, therefore, difficult to
assert that construct validity of a measure is established. An
instrument may need several administrations before its construct
validity can be ensured. Further, due to multiple variations and
combinations in each study, a general model as proposed in Figure 1 is
considered uniformly to facilitate the needed comparison between
organizations of India and the United States. In spite of seeming
limitations, this gives the confidence that the questionnaire
administered had enough construct validity. After field-testing, the
questionnaires were mailed for survey research. A list of data items
included in the questionnaire is placed in Table 3 at Appendix A.
Further, the list of variables along with the data items used for
measurement is placed in Table 4 at Appendix A.
Administering the Instrument: The questionnaire survey was
administered following the guidelines suggested by Dillman (1978, and
2000). For the United States, stratified sampling was used, while in
India, a judgment sampling was used.
A total of 423 questionnaires in India and 384 in the United States
were mailed. After about three weeks a follow up letter was mailed
requesting that the completed questionnaires be returned at the
respondents' earliest convenience. Out of the questionnaires
received, the total usable responses were 102 from India and 80 from the
United States, resulting in a response rate of 26.39 percent in India
and 23.08 percent in the United States. This response rate compares
favorably to mail surveys reported in the IS literature, many of which
have less than 25 percent (Jeong, 1995).
V. DATA PROCESSING AND RESULTS
The results of statistical analysis are presented to show the
degree of association among the variables and examine the statistical
significance of the model presented. The significance level of 0.01 and
0.05 are very common in a larger sample size. In our case the sample
size is 102 (India) and 80 (U.S.A.); thus, the significance level of 0.1
is considered appropriate. Further, for generalization of model and
considering the number of combinations of options in the study, the
significance level of 0.1 is justified. Software package SPSS version.
12.0 has been used for statistical analysis to validate hypotheses.
This part is divided into six sub-parts: environmental pressures,
culture, descriptive statistics of variables, results and analysis,
validation of hypotheses, and comparison of manufacturing sector and
service sector (results of stepwise--statistical--discriminant function
analysis).
Environmental Pressures: The effect of environmental pressures is
measured using frequency of changes in marketing practices (V101), rate
of product obsolescence (V102), difficulties in the prediction of
competitors' actions (V103), difficulties in the prediction of
consumer test/product demand (V104), and frequency of changes in the
mode of production/services (V105). The mean values for both the
countries are depicted in Figure 2. In comparison with the values in
India, organizations in the United States exhibited a significant
difference in frequent changes in marketing practices to keep up with
its market and competitors. This parameter differentiates both countries
and seems to be a major contributor in developing a positive mindset for
the use of frequently upgraded technological solutions in the
organizations. Furthermore, within moderate range the organizations in
the United States have value for predictions of competitors'
actions closer to the upper limit, while in India, it is near the lower
end of the range. These environmental pressures in United States'
organizations seem to be contributing significantly in building the
innovative culture in the organizations and acting as an enabler (Figure
1) to factors influencing the requirements of human resources engaged in
IT function and in the growth of IT professionals and usage of
off-the-shelf/ERP packages.
Culture: For cross comparison the culture is measured using power
distance (V201), risk avoidance (V202), individualism (V203), and
masculinity (V204). The mean values are plotted in Figure 3. In
comparison with the values in India, organizations in the United States
are having moderate values for power distance and uncertainty avoidance.
Additionally, within moderate range, the organizations in the United
States are having values for individualism and masculinity closer to the
upper limit, while in India, it is at the lower end of the range. These
attitudes in United States' organizations seem to be contributing
significantly in building the innovative culture in the organizations
and acting as enabler/inhibitors (Figure 1) to factors influencing the
requirements of human resources engaged in IT function and in the growth
of IT professionals and usage of off-the-shelf/ERP packages.
[FIGURE 2 OMITTED]
[FIGURE 3 OMITTED]
Descriptive Statistics of Variables: The perception of the
respondents (Table 5), up to the year 2010, contains the ranking of
variables and mean values (descriptive statistics of variables). The
gross and net values of usage of off-the-shelf/ERP packages are
calculated as: gross value (% of off-the-shelf + % of ERP solutions) and
net value (% of off-the-shelf + % of ERP solutions + 0.7 *
customization) respectively. The results can be argued for the
organizations in India and U.S.A. as below:
* India: The ranking of variables reveals that the most important
factor influencing the growth in requirements of IT professionals is
support to End-users from the technical component of IT, followed by
growth in End-users computing. The significance of these variables can
be argued considering that the Indian organizations are at operational
level of information systems (IS) growth and sophistication (Palvia and
Palvia, 1992), and when compared to the United States have a lower
percentage of knowledge workers. Further, due to an opening of the
economy, the competitive pressures in India are increasing. The cultural
factors and environmental pressures indicate that the values in Indian
organizations are getting closer to the value in the United States
organizations. The growth in usage of off-the-shelf/ERP packages is
similar to their counterparts and could be justified considering the
competitive pressures in the economy.
* U.S.A.: Because of an open economy, the economic environment in
the United States is very competitive compared to India. For the
organizations, these competitive pressures have resulted in cutting
costs and improving productivity, using automation to a great extent.
The environmental factors are expected to continuously drive
organizations to higher usage of technology for maintaining a
competitive edge. Even though United States organizations are at a
higher level of IS growth compared to Indian organizations (Palvia and
Palvia, 1992), these cultural factors and competitive pressures seem to
be significantly influencing the growth in End-users computing and
support to End-users from technical components of IT. The growth in the
requirements of IT professionals is substantially higher compared to
their counterparts, which could be because the United States
organizations are at higher level of IS growth.
Results and analysis: The results of correlations are placed in
Table 6 at Appendix A. The interpretation of the results is given below:
* Frequent changes in marketing practice (V101):
India: The positive correlations with growth in IT applications and
average growth in requirements of IT professionals support the argument
that this variable induces the innovative culture which will result in a
competitive advantage and adoption of new technology/processes
frequently in the organizations. The positive correlation can be argued
considering the increasing competitive pressures in the country.
U.S.A.: The negative correlations with the growth in usage of
off-the-shelf/ERP packages (gross and net values) and average growth in
the requirements of IT professionals reveal that the vendors will not be
able to cope with the changing requirements in application software and
will not be able to frequently develop/ implement upgraded software
solutions in the organizations.
* Rate of obsolescence of the product (V102):
India: The positive correlations with support to End-users from
technical component of IT, drivers to involve End-users in IT function,
and growth in IT applications support the argument that this variable
induces the innovative culture which will result in competitive
advantage and frequent adoption of new technology/processes in the
organizations. The positive correlation can be argued considering the
increasing competitive pressures in the country, while the negative
correlation with growth in End-users computing can be the symptom of
demotivation among End-users, due to excessive pressures from the
frequent learning requirement of new technologies that facilitate new
product developments.
U.S.A.: The negative correlation with support to End-users from the
technical component of IT reveals that the vendors will not be able to
contend with the changing requirements in application software,
especially the user interface, and will not be able to frequently
develop/implement upgraded software solutions in the organizations.
* Prediction of competitors' actions (V103):
India: The positive correlations with growth in IT applications and
average growth in requirements of IT professionals support the argument
that this variable induces higher usage of IT applications for
competitive advantage and frequent adoption of new technology/processes
in the organizations. The positive correlation can be argued considering
the increasing competitive pressures in the country.
U.S.A.: A positive correlation with growth in IT applications
supports the argument that as the competitors' actions become
unpredictable the need will arise to frequently upgrade technological
solution to regain/maintain a competitive advantage for the firm.
* Prediction of consumer test/product demand (V104):
India: A positive correlation with growth in End-users computing
supports the argument that as the consumer test/product demand becomes
unpredictable, the need will arise for more sophisticated technological
solutions which can be met by the software containing best practices
in-built into its processes.
U.S.A.: The negative correlations with support to End-users from
the technical component of IT, drivers to involve End-users in IT
function, and growth in the requirements of IT professionals
(percentage) support the argument that as the prediction of consumer
test/product demand becomes difficult, the corporations would rely more
on customization and on their human resources, with a decline in their
dependencies on technological solutions.
* Frequency of changes in mode of production/services (V105):
India: The positive correlations with support to End-users from
technical component of IT and drivers to involve End-users in IT
function support the argument that rapid changes in the mode of
production/services will lead the organizations into frequent usage and
upgrading of new technology/processes. The Indian organizations are at a
lower level of IS growth (Palvia and Palvia, 1992) and have ample
potential for adoption of new technologies.
U.S.A.: The negative correlations with support to End-users from
technical component of IT, drivers to involve End-users in IT function,
and growth in the requirements of IT professionals support the argument
that the rapid changes in mode of production/services will lead the
corporations to rely more on customization and on their human resources
with a decline in their dependencies on technological solutions
* Power distance (V201):
India: The negative correlation with growth in End-users computing
supports the argument that lower values of power distance will help
develop a motivated team in functional areas, which in turn, will result
in the adoption of new technology for survival and growth of the
organization. The positive correlation with growth in the requirements
of IT professionals (percentage) reveals that the organizations tend to
implement IT solutions by hiring more IT professionals with minimum
training/support of End-users. Such inefficient approaches may result in
high cost and low/no benefits.
U.S.A.: The control of information systems departments on their
manpower and IT budget has been decreasing and has shifted to end-users
(Edberg and Bowman, 1996; He et al., 1998; Lucas, 2000). The main reason
for this shift is attributed to the availability of knowledgeable
end-users and extensive company support to EUC (Turban et al., 1999).
The percentage of knowledge and information work constitutes 60% of
America's GNP and 55% of America's labor force (Laudon and
Laudon, 1999). The knowledge workers will extensively use the latest
technological solutions while working independently in fulfilling their
functional obligations, and thus, have very limited reliance on higher
management. These arguments are supported by the positive correlations
with growth in usage of off-the-shelf/ERP packages, support to End-users
from technical component of IT, and growth in IT applications.
* Uncertainty avoidance (V202):
India: The negative correlation with growth in usage of
off-the-shelf/ERP packages (net value) supports the argument that lower
values of uncertainty avoidance will help develop a motivated team in
functional areas which in turn will result in the adoption of new
technology for survival and growth of the organization. The positive
correlation with growth in the requirements of IT professionals
(percentage) reveals that the organizations tend to implement IT
solutions by hiring IT professionals in more numbers with minimum
training/support of End-users. Such inefficient approaches may result in
high cost and low/no benefits.
U.S.A.: The growth in EUC and knowledge workers is well documented
earlier. The knowledge workers, with the help of IT professionals, will
extensively use the latest technological solutions while working
independently in fulfilling their functional obligations, and thus, have
very limited reliance on higher management. These arguments are
supported by the positive correlations with growth in IT applications
and average growth in the requirements of IT professionals.
* Individualism (V03)
India: The India organizations are at operational level as
classified by the United Nations (Palvia and Palvia, 1992). Moreover,
the competitive pressures are increasing in Indian economy because of
government policy of liberalization and globalization. The positive
correlations with support to End-users from technical component of IT,
drivers to involve End-users in IT function, and growth in IT
applications support the argument that there is a change in the mindset
of human resources within the organizations, supported by organizational
changes which will help develop a motivated team in functional areas and
result in the adoption of new technology for survival and growth.
U.S.A.: The growth in EUC is well documented earlier. The knowledge
workers will extensively use the latest technological solutions while
working independently in fulfilling their functional obligations, and
thus, have very limited reliance on higher management. These arguments
are supported by the positive correlations with support to End-users
from technical component of IT, drivers to involve End-users in IT
function, and growth in IT applications.
* Masculinity (V204)
India: The India organizations are at operational level as
classified by the United Nations (Palvia and Palvia, 1992). Further, the
competitive pressures are increasing in Indian economy because of
government policy of liberalization and globalization. The positive
correlation with average growth in the requirements of IT professionals
supports the argument that there is a change in the mindset of human
resources within the organizations supported by organizational changes,
which will help in developing a motivated team in functional areas and
result in the adoption of new technology for survival and growth.
U.S.A.: The growth in EUC and knowledge workers is well documented
earlier. The knowledge workers will extensively use the latest
technological solutions while working independently in fulfilling their
functional obligations, and thus, have very limited reliance on higher
management. These arguments are supported by the positive correlations
with support to End-users from technical component of IT, drivers to
involve End-users in IT function, and growth in IT applications.
Validation of Hypotheses: Based on the results and above
interpretation, these hypotheses can be concluded (Table 7):
Comparison of manufacturing sector and service sector (results of
stepwise--statistical-discriminant function analysis)
The results of stepwise (statistical) discriminant function analyses reveal that there are significant differences in the values of
the manufacturing sector and service sector in the number of variables,
as given in Table 8. The classification procedure, classifying
substantially more than the number of cases, should be correct by
chance.
The results tabulated in Table 8 can be argued as:
* India
** Earlier, the major emphasis was on improving the productivity;
hence, the major concentration was in the manufacturing sector.
Subsequently, the service sector is also considered by the organizations
for further improvements. The expected usage in a higher percentage of
off-the-shelf/ERP packages in the manufacturing sector may be a result
of relatively standard processes and availability of reliable and
sophisticated packaged solutions for manufacturing operations.
** Because of growth in white collar workers, growth in knowledge
workers, and a potential cost savings in support functions in the past,
the organizations initiated the IT applications in the service sector.
The organizations now perceive an increase in IT applications in the
service sector.
** The flexibility and frequent changes in the processes in service
sector are likely to result in a higher growth in the requirement of IT
professionals.
** In manufacturing sector it will be highly beneficial to involve
End-users in IT functions for successful development/implementation of
technological solution.
** The faster rate of obsolescence of products seems to be causing
an excessive pressure on manufacturing sector to create facilities for
developing and manufacturing customized products.
** Because of non-standard processes in service sector, it is very
difficult to predict competitors' actions; therefore, the higher
amount of masculinity in labor force can help organizations in survival
and growth.
* U.S.A.
** The major emphasis in the competitive market is on improving the
productivity; therefore, the major concentration seems to be in the
manufacturing sector. The availability of user-friendly packages is
suited more to blue-collar workers. Further, usage in the higher
percentage of off-the-shelf/ERP packages in the manufacturing sector may
also be a result of relatively standard processes and availability of
reliable and sophisticated packaged solutions for manufacturing
operations.
* The flexibility and frequent changes in the processes in service
sector are likely to result in a higher growth in the requirement of IT
professionals.
* The support to End-users from technical component of IT seems to
be a major factor in service sector because of flexible and frequently
changing processes.
* The faster rate of obsolescence of products seems to be causing
an excessive pressure on manufacturing sector to create facilities for
developing and manufacturing customized products. The problem of
frequent changes in the mode of production/services in manufacturing
sector can also be addressed to an extent by manufacturing customized
products.
* Considering the job requirements in service sector, the higher
amount of individualism in the culture of human resources can
substantially benefit the organizations.
VI. LIMITATIONS OF THE STUDY
As with any other study, this research also has several limitations
that need to be discussed. First, the list of variables pertaining to IT
related issues might reflect some biases. Although the literature was
thoroughly reviewed and additional perspectives were obtained form IS
academicians and managers, we do not claim that these are the only
variables that could be included. Thus, it must be stressed that any
interpretation of the findings be made in light of the selected set of
variables, issues, and categories. Availability of literature in the
area of information technology in context to developing countries was
found to be scarce and limited. Any research that uses data gathered for
inferential statistics assumes that the data are collected randomly from
the population. Random sampling was used in the case of U.S.
organizations, while stratified judgment sampling was used in the case
of Indian organizations. Since the questionnaire survey involved people
from various departments such as information systems, administration,
accounting/finance, production, etc., a balance among the number of
respondents from each department could not be achieved. Secondly, with
organizations in India, multiple samples have been collected because the
executives of these firms showed keen interest in this study, and in
India there are a limited number of organizations with experience of IT
applications for more than five years. As well, the choice of firms for
the questionnaire survey in India was restricted to technological hubs
located in northern, southern, and western parts of the country. There
exists a base of firms scattered in other parts of the country, which
could not be included in the sample. Additionally, samples were
collected from the manufacturing sector (telecommunication hardware,
computer hardware, and other manufacturing industries) and service
sector (banking, hotels, and airlines). Other types of organizations
like insurance, financial institutions, etc. are not included in the
sample. Thus, any inferences based on the results might be restricted to
the companies listed in the directory.
VII. SUGGESTIONS FOR FURTHER WORK
As this study lays the foundation for further work in the area of
culture, environmental pressures, and factors influencing the
requirements of human resources engaged in IT function, it provides
several study opportunities for future research. The results suggest
that it might be useful to develop a number of comprehensive models.
Therefore, future research can extend this study to include additional
factors such as organizational maturity, IS sophistication, etc., to
test a variety of such factors. Considering this, future research is
recommended that utilizes more rigorous methodologies and employs
longitudinal approaches and non-linear relationships. Further, with a
broader sample and number of variables, a more generalized model can be
developed.
VIII. CONCLUDING REMARKS
The main objective of this study was to arrive at a better
understanding of the number of issues pertaining to implications of
environmental pressures and cultural factors on the factors influencing
requirements of human resources engaged in IT function in India as well
as learning from the experience of the United States, the world leader
in IT applications. This research has allowed us to investigate a number
of issues and identify that in United States organizations: (1) the
knowledge workers with the support of IT professionals will use
extensively the readily available latest technological solutions while
working independently in fulfilling their functional obligations and
have very limited reliance on higher management. These arguments are
supported by the positive correlations between following variables:
power distance and growth in the usage of off-the-shelf/ERP packages;
power distance and support to End-users from technical component of IT;
power distance and growth in IT applications; uncertainty avoidance and
growth in IT applications; uncertainty avoidance and average growth in
the requirements of IT professionals; individualism and support to
End-users from technical component of IT; individualism and drivers to
involve End-users in IT function, individualism and growth in IT
applications; masculinity and support to End-users from technical
component of IT; masculinity and drivers to involve End-users in IT
function; and masculinity and growth in IT applications, (2) it seems to
be difficult for the organizations to keep up with the frequent
upgrades/changes in the technology. The negative correlations (between
the frequency of changes in marketing practices and growth in usage of
off-the-shelf/ERP packages; the frequency of changes in marketing
practices and average growth in the requirements of IT professionals;
tate of product obsolescence and support to End-users from technical
component of IT; prediction of consumer test/product demand and support
to End-users from technical component of IT; prediction of consumer
test/product demand and drivers to involve End-users in IT function;
prediction of consumer test/product demand and percentage growth in the
requirements of IT professionals; frequency of changes in the mode of
production/services and support to End-users from technical component of
IT; frequency of changes in the mode of production/services and drivers
to involve End-users in IT function; frequency of changes in the mode of
production/services and growth in the requirements of IT professionals)
will lead the corporations to rely more on customization, along with
extensive dependencies on their human resources. This in turn may result
in a decline in dependencies of their human resources on technological
solutions, (3) the unpredictable competitor's action will lead to
growth in IT applications, (4) the major emphasis in the competitive
market is on improving the productivity; therefore, the major
concentration seems to be in the manufacturing sector. The availability
of user-friendly packages is suited more to blue-collar workers.
Further, usage in the higher percentage of off-the-shelf/ERP packages in
the manufacturing sector may also be a result of relatively standard
processes and availability of reliable and sophisticated packaged
solutions for manufacturing operations, (5) The flexibility and frequent
changes in the processes in service sector are likely to result in
higher growth in the requirement of IT professionals, (6) the support to
End-users from technical component of IT seems to be a major factor in
service sector because of the flexible and frequently changing
processes, (7) the faster rate of obsolescence of products seems to be
causing an excessive pressure on manufacturing sector to create
facilities for developing and manufacturing customized products. The
problem of frequent changes in the mode of production/services in
manufacturing sector also can be addressed to an extent by manufacturing
customized products, (8) considering the job requirements in service
sector, the higher amount of individualism in the culture of human
resources can have substantial benefits to the organizations.
However, in case of Indian organizations: (1) due to opening up of
the economy, the competitive pressures are increasing in the
organizations. Further, Indian organizations are at a lower level of IT
growth and sophistication. Learning from the experience of the United
States (Sutcliff, 1997), Indian organizations are willing to use IT to
counter the effect of competitive forces, (2) the positive correlations
(between growth in IT application and frequency of changes in marketing
practices; support to End-users from technical component of IT and rate
of product obsolescence; drivers to involve End-users in IT function and
rate of product obsolescence; growth in IT applications and predictions
of competitors' actions; growth in End-users computing and
prediction of consumer test/ product demand; support to End-users from
technical component of IT and frequency of changes in mode of
production/services; and drivers to involve End-users in IT function and
frequency of changes in mode of production/services) and negative
correlations (between power distance and growth in End-users computing)
reveal that the competitive pressures are generating a need for a
technological centered, innovative culture, along with changes in
organizational structure and attitudes within the firms for survival and
growth, (3) the India organizations are at operational level as
classified by the United Nations (Palvia and Palvia, 1992). The growth
in knowledge workers and End-users Computing is limited in Indian
organizations. The negative correlation between uncertainty avoidance
and growth in usage of off-the-shelf/ERP packages (net value) supports
the argument that lower values of uncertainty avoidance will help
develop a motivated team in functional areas, which in turn will result
in the adoption of new technology for survival and growth of the
organization. The positive correlation (between power distance and
growth in the requirements of IT professionals (percentage) and
uncertainty avoidance and growth in the requirements of IT professionals
(percentage)) reveal that the organizations tend to implement IT
solutions by hiring IT professionals in more numbers with minimum
training/support of End-users. Such inefficient approaches may result in
high cost and low/no benefits, (4) the End-users are getting support
from technological solutions and are willing to use these solutions
extensively with the support of IT professionals in their functional
areas. These arguments are supported by the positive correlations among
the following variables: frequency of changes in marketing practices and
average growth in the requirements of IT professionals; prediction of
competitors' actions and average growth in the requirements of IT
professionals; and masculinity and average growth in the requirements of
IT professionals. Furthermore, technological solutions are helping
End-users individually perform their tasks (positive correlations
between individuality and support to End-users from technical component
of IT; individuality and drivers to involve End-users in IT function;
and individuality and growth in IT applications), (5) earlier, the major
emphasis was on improving the productivity; hence, the major
concentration was in the manufacturing sector. Subsequently, the service
sector is also considered by the organizations for further improvements.
The expected usage in a higher percentage of off-the-shelf/ERP packages
in the manufacturing sector may be a result of relatively standard
processes and availability of reliable and sophisticated packaged
solutions for manufacturing operations, (6) because of growth in white
collar workers, growth in knowledge workers, and a potential cost
savings in support functions in the past, the organizations initiated IT
applications in the service sector and now plan to increase IT
applications in the service sector, (7) the flexibility and frequent
changes in the processes in the service sector are likely to result in a
higher growth in the requirement of IT professionals, (8) in the
manufacturing sector it will be highly beneficial to involve Endusers in
IT functions for successful development/implementation of technological
solution, (9) the faster rate of obsolescence of products seems to be
causing an excessive pressure on the manufacturing sector to create
facilities for developing and manufacturing customized products, (10)
because of non-standard processes in the service sector, it is very
difficult to predict competitors' actions. Therefore, the higher
amount of masculinity in the labor force can help organizations in
survival and growth.
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VIJAY K. AGRAWAL
Department of Marketing & MIS
University of Nebraska at Kearney
VANI KOTCHERLAKOTA
Department of Economics
University of Nebraska at Kearney
Table 1
Implications of Not Keeping Pace with Technology
Loss of Competitive Edge 58%
Increased Cost of Production 16%
Would not be in Business 13%
Lack of Control in Running the Business 7%
Other 3%
Would Not Happen 3%
(Source: Strategic Information Technology and the CEO Agenda,
"A.T. Kearney Survey of 213 CEOs and Senior Executives," 1998
Table 2
Factor Analysis: Factor(PART F)
Factor Eigen Value % Variances Cumulative %
1 3.458 34.575 34.575
2 1.38 13.801 48.376
3 1.119 11.191 59.567
4 1.005 10.052 69.619
ORGANIZATIONS IN USA (PART F)
Factor Eigen Value % Variances Cumulative %
1 3.488 34.878 34.878
2 1.383 13.829 48.707
3 1.342 13.419 62.125
4 1.042 10.422 72.547
ORGANIZATIONS IN INDIA (PART F)--WITH V306Gross
Factor Eigen Value % Variances Cumulative %
1 3.492 31.747 31.747
2 1.402 12.746 44.493
3 1.119 10.177 54.67
4 1.076 9.782 64.452
ORGANIZATIONS IN USA (PART F)--WITH V306Gross
Factor Eigen Value % Variances Cumulative %
1 3.492 31.741 31.741
2 1.478 13.432 45.173
3 1.375 12.5 57.673
4 1.202 10.924 68.597
ORGANIZATIONS IN INDIA (PART F)--WITH V306Net
Factor Eigen Value % Variances Cumulative %
1 3.465 31.495 31.495
2 1.432 13.02 44.516
3 1.214 11.034 55.55
4 1.039 9.441 64.99
ORGANIZATIONS IN USA (PART F)--WITH V306Net
Factor Eigen Value % Variances Cumulative %
1 3.5 31.815 31.815
2 1.547 14.062 45.877
3 1.351 12.285 58.161
4 1.157 10.522 68.684
5 1.033 9.393 78.076
Factor Variable Construct Loaded
1 F2(b **, c **, e **)
2 F2(c **, d **, h **, i)
3 F2(a **, d **, f)
4 F2(g)
ORGANIZATIONS IN USA (PART F)
Factor Variable Construct Loaded
1 F2(b **, c **, e **)
2 F2(a **, b **, d **, h **, j)
3 F2(a **, i)
4 F2(g, h **, j **)
ORGANIZATIONS IN INDIA (PART F)--WITH V306Gross
Factor Variable Construct Loaded
1 F2(a **, b **, c **, e **)
2 F2(a **, c **, d **, h **, i)
3 F2(d **, g)
4 F2(a **, V306Gross
ORGANIZATIONS IN USA (PART F)--WITH V306Gross
Factor Variable Construct Loaded
1 F2(b **, c **, e **)
2 F2(a **, d **, i **, V306Gross
3 F2(a **, c **, d **, e **)
4 F2(d **, f **, g), V306Gross **
ORGANIZATIONS IN INDIA (PART F)--WITH V306Net
Factor Variable Construct Loaded
1 F2(a **, b **, c **, e **)
2 F2(c **, d **, h **, i)
3 F2(a **, d **, V306Net
4 F2(g)
ORGANIZATIONS IN USA (PART F)--WITH V306Net
Factor Variable Construct Loaded
1 F2(b **, c **, e **)
2 F2(b **, d **, i **, j **)
3 F2(a **, h **, i)
4 F2(f **, i **, V306Net
5 F2(g, j **)
Table 3
List of Data Items included in the Questionnaire
Code Description
F2a The hidden backlog of information demand.
F2b The evolution in hardware/ software
F2c User friendly software packages.
F2d Little skill required to learn the operation/ maintenance of
packages.
F2e Availability of knowledge workers.
F2f Availability of reliable packages.
F2g Increase in End User Computing
F2h Willingness of top executive to spread usage of information
technology.
F2i Insignificant resistance to change.
F2j Growth in usage of information technology.
Table 4
List of Variables along with Corresponding Data Items used for
Measurement
Variable Code Measurement Criterion
Growth in Usage of off the-shelf/ERP V306G Input of Values
packages (Gross Value)
Growth in Usage of off-the-shelf/ERP V306N Input of Values
packages (Net Value)
Support to End-Users from Technical V307 F2b, F2c, and F2f
component of IT
Drivers to involve End-Users in IT V308 F2a, F2d, and F2e
function
Growth in End-User computing V309 F2g
Growth in IT Applications V310 F2h, F2i, and F2j
Growth in the Requirements of IT V311A Input of Values
Professionals (Average)
Table 5
Descriptive Statistics of Variables-All Industries
INDIA
Sr. Mean
No. Code Description Values Ranking
1 V307 Support to End-users from 7.237 1
Technical Component of IT
2 V308 Drivers to Involve End-users 6.820 3
in IT Function
3 V309 Growth in End-users Computing 6.895 2
4 V310 Growth in IT Applications 6.128 4
5 V306G Growth in usage of off-the- 2.172
shelf/ERP packages
(Gross Value)
6 V306N Growth in usage of off-the- 1.243
shelf/ERP packages (Net Value)
7 V311A Growth in the Requirement of IT 4.285
professionals (Average)
V311P Growth in the Requirements of IT 44.066
Professionals (Percentage)
USA
Sr. Mean
No. Code Description Values Ranking
1 V307 Support to End-users from 7.025 2
Technical Component of IT
2 V308 Drivers to Involve End-users 6.141 4
in IT Function
3 V309 Growth in End-users Computing 8.184 1
4 V310 Growth in IT Applications 6.729 3
5 V306G Growth in usage of off-the- 2.273
shelf/ERP packages
(Gross Value)
6 V306N Growth in usage of off-the- 1.268
shelf/ERP packages (Net Value)
7 V311A Growth in the Requirement of IT 8.428
professionals (Average)
V311P Growth in the Requirements of IT 16.805
Professionals (Percentage)
Table 6
Results of Statistical Correlation
INDIA V306_G V306_N V307 V308
V101 Pearson Correlation -0.114 -0.067 -0.058 -0.049
Sig. (2-tailed) 0.258 0.507 0.577 0.634
N 100 100 95 96
V102 Pearson Correlation 0.101 0.086 0.380 0.316
Sig. (2-tailed) 0.318 0.399 0.000 0.002
N 99 99 94 95
V103 Pearson Correlation 0.088 0.109 0.049 0.008
Sig. (2-tailed) 0.391 0.285 0.640 0.941
N 98 98 93 94
V104 Pearson Correlation 0.034 0.034 0.099 0.092
Sig. (2-tailed) 0.740 0.742 0.344 0.380
N 98 98 94 94
V105 Pearson Correlation 0.045 0.072 0.205 0.196
Sig. (2-tailed) 0.659 0.478 0.048 0.058
N 98 98 93 94
V201 Pearson Correlation 0.043 0.039 -0.053 0.067
Sig. (2-tailed) 0.672 0.702 0.615 0.518
N 98 98 94 94
V202 Pearson Correlation -0.131 -0.212 -0.078 0.067
Sig. (2-tailed) 0.195 0.036 0.451 0.518
N 99 99 95 95
V203 Pearson Correlation 0.050 0.068 0.199 0.169
Sig. (2-tailed) 0.620 0.503 0.054 0.100
N 100 100 95 96
V204 Pearson Correlation -0.050 -0.028 -0.121 -0.095
Sig. (2-tailed) 0.621 0.782 0.244 0.358
N 99 99 95 95
U.S.A. V306_G V306_N V307 V308
V101 Pearson Correlation -0.191 -0.226 -0.114 0.025
Sig. (2-tailed) 0.094 0.046 0.318 0.829
N 78 78 79 79
V102 Pearson Correlation 0.081 -0.059 -0.251 -0.147
Sig. (2-tailed) 0.489 0.613 0.028 0.206
N 75 75 77 76
V103 Pearson Correlation 0.086 0.143 0.063 -0.100
Sig. (2-tailed) 0.456 0.214 0.583 0.382
N 77 77 79 78
V104 Pearson Correlation 0.083 0.124 -0.187 -0.299
Sig. (2-tailed) 0.471 0.280 0.100 0.008
N 78 78 79 78
V105 Pearson Correlation 0.023 0.089 -0.381 -0.246
Sig. (2-tailed) 0.841 0.443 0.001 0.031
N 76 76 78 77
V201 Pearson Correlation 0.286 0.247 0.287 0.155
Sig. (2-tailed) 0.012 0.032 0.011 0.178
N 76 76 77 77
V202 Pearson Correlation 0.112 0.136 0.257 -0.020
Sig. (2-tailed) 0.335 0.240 0.024 0.864
N 76 76 77 77
V203 Pearson Correlation 0.132 -0.047 0.447 0.515
Sig. (2-tailed) 0.253 0.684 0.000 0.000
N 77 77 78 77
V204 Pearson Correlation -0.101 -0.085 0.380 0.411
Sig. (2-tailed) 0.387 0.471 0.001 0.000
N 75 75 77 76
INDIA V309 V310 V311_A V311_P
V101 Pearson Correlation -0.045 0.205 0.355 -0.031
Sig. (2-tailed) 0.665 0.046 0.001 0.772
N 94 95 90 90
V102 Pearson Correlation -0.306 0.323 -0.073 0.095
Sig. (2-tailed) 0.003 0.002 0.497 0.380
N 92 93 88 88
V103 Pearson Correlation 0.114 0.221 0.343 0.081
Sig. (2-tailed) 0.280 0.034 0.001 0.456
N 91 92 88 88
V104 Pearson Correlation 0.189 0.065 -0.057 0.095
Sig. (2-tailed) 0.071 0.537 0.600 0.378
N 92 93 88 88
V105 Pearson Correlation -0.009 0.115 -0.113 0.038
Sig. (2-tailed) 0.931 0.277 0.295 0.728
N 92 92 88 88
V201 Pearson Correlation -0.249 -0.078 -0.394 0.248
Sig. (2-tailed) 0.015 0.458 0.000 0.018
N 94 94 90 90
V202 Pearson Correlation -0.153 -0.136 -0.082 0.274
Sig. (2-tailed) 0.144 0.190 0.441 0.009
N 93 94 90 90
V203 Pearson Correlation 0.051 0.265 0.067 -0.060
Sig. (2-tailed) 0.627 0.009 0.528 0.574
N 94 95 90 90
V204 Pearson Correlation 0.155 0.038 0.358 -0.134
Sig. (2-tailed) 0.135 0.712 0.001 0.209
N 94 95 90 90
U.S.A. V309 V310 V311_A V311_P
V101 Pearson Correlation 0.006 -0.020 -0.227 -0.108
Sig. (2-tailed) 0.962 0.859 0.047 0.350
N 76 79 77 77
V102 Pearson Correlation -0.001 -0.004 -0.115 -0.042
Sig. (2-tailed) 0.995 0.976 0.327 0.720
N 73 77 75 75
V103 Pearson Correlation -0.031 0.184 0.127 -0.174
Sig. (2-tailed) 0.792 0.105 0.273 0.132
N 75 79 76 76
V104 Pearson Correlation -0.026 -0.091 -0.072 -0.210
Sig. (2-tailed) 0.821 0.426 0.538 0.069
N 76 79 76 76
V105 Pearson Correlation -0.065 -0.126 -0.339 -0.232
Sig. (2-tailed) 0.581 0.273 0.003 0.045
N 74 78 75 75
V201 Pearson Correlation 0.159 0.295 0.166 -0.026
Sig. (2-tailed) 0.173 0.009 0.148 0.825
N 75 77 77 77
V202 Pearson Correlation 0.025 0.205 0.220 0.060
Sig. (2-tailed) 0.832 0.074 0.055 0.605
N 75 77 77 77
V203 Pearson Correlation 0.172 0.394 0.141 -0.014
Sig. (2-tailed) 0.137 0.000 0.227 0.902
N 76 78 75 75
V204 Pearson Correlation -0.008 0.359 0.108 -0.061
Sig. (2-tailed) 0.944 0.001 0.362 0.608
N 74 77 74 74
Table 7 Conclusion of hypotheses Hl: The severity in environmental
pressures (frequency of changes in marketing practices, rate of
product obsolescence, prediction of competitors' actions, prediction
of consumer test/product demand, and frequency of changes in mode of
production/services) are positively correlated with factors
influencing the requirements of human resources engaged in
IT function (support to End-users from technical component of IT,
drivers to involve End-users in IT function, growth in End-users
computing, and growth in IT applications).
INDIA U.S.A.
Frequency of changes in marketing Accept
practices is positively correlated
with growth in IT applications.
Kate of product obsolescence is positively Accept Do Not
correlated with support to End-users Accept **
from technical component of IT.
Rate of product obsolescence is positively Accept
correlated with drivers to involve
End-users in IT function
Rate of product obsolescence is positively Do Not
correlated with growth in End-users Accept **
computing.
Rate of product obsolescence is positively Accept
correlated with growth in IT applications.
Prediction of competitors' action is Accept Accept
positively correlated with growth in IT
applications.
Prediction of consumer test/product demand Do Not
is positively correlated with support to Accept **
End-users from technical component of IT.
Prediction of consumer test/product demand Do Not
is positively correlated with drivers to Accept **
involve End-users in IT function
Prediction of consumer test/product demand Accept
is positively correlated with growth in
End-users computing.
Frequency of changes in mode of production/ Accept Do Not
services is positively correlated with Accept **
support to End-users from technical
component of IT.
Frequency of changes in mode of production/ Accept Do Not
services is positively correlated with Accept **
drivers to involve End-users in IT function
H2: The severity in environmental pressures (frequency of changes
in marketing practices, rate of product obsolescence, prediction
of competitors' actions, prediction of consumer test/product
demand, and frequency of changes in mode of production/services)
are positively correlated with growth in the usage of
off-the-shelf/ERP packages (gross value and net value) and growth
in requirements of IT professionals (average and percentage).
INDIA U.S.A.
Frequency of changes in marketing Do Not
practices is positively correlated with Accept **
growth in usage of off-the-shelf/ERP
packages (gross value).
Frequency of changes in marketing Do Not
practices is positively correlated with Accept **
growth in usage of off-the-shelf/ERP
packages (net value)
Frequency of changes in marketing Accept Do Not
practices is positively correlated with Accept **
growth in requirements of IT professionals
(average).
Prediction of competitors' action is Accept
positively correlated with growth in
requirements of IT professionals (average).
Prediction of consumer test/product demand Do Not
is positively correlated with growth in Accept **
requirements of IT professionals
(percentage)
Frequency of changes in mode of production/ Do Not
services is positively correlated with Accept **
growth in requirements of IT professionals
(average).
Frequency of changes in mode of production/ Do Not
services is positively correlated with Accept **
growth in requirements of IT professionals
(percentage)
H3: Power distance and uncertainty avoidance are negatively correlated
with factors influencing the requirements of human resources engaged in
IT function (support to End-users from technical component
of IT, drivers to involve End-users in IT function, growth in
End-users computing, and growth in IT applications).
INDIA U.S.A.
Power distance is negatively correlated Do Not
with support to End-users from technical Accept **
component of IT.
Power distance is negatively correlated Accept
with growth in End-users computing.
Power distance is negatively correlated Do Not
with growth in IT applications. Accept **
Uncertainty avoidance is negatively Do Not
correlated with growth in IT applications. Accept **
H4: Power distance and uncertainty avoidance are negatively
correlated with growth in the usage of off-the-shelf/ERP packages
(gross value and net value) and growth in the requirements of IT
professionals (average and percentage).
INDIA U.S.A.
Power distance is negatively correlated Do Not
with growth in usage of off-the-shelf/ERP Accept **
packages (gross value).
Power distance is negatively correlated Do Not
with growth in usage of off-the-shelf/ Accept **
ERP packages (net value)
Power distance is negatively correlated Do Not
with growth in the requirements of IT Accept **
professionals (percentage)
Uncertainty avoidance is negatively Accept
correlated with growth in usage of
off-the-shelf/ERP packages (net value)
Uncertainty avoidance is negatively Do Not
correlated with growth in the requirements Accept **
of IT professionals (average).
Uncertainty avoidance is negatively Do Not
correlated with growth in the requirements Accept **
of IT professionals (percentage)
H5: Individualism and masculinity are positively correlated
with factors influencing the requirements of human resources
engaged in IT function (support to End-users from technical
component of IT, drivers to involve End-users in IT function,
growth in End-users computing, and growth in IT applications).
INDIA U.S.A.
Individualism is positively correlated Accept Accept
with support to End-users from technical
component of IT.
Individualism is positively correlated Accept Accept
with drivers to involve End-users in IT
function
Individualism is positively correlated Accept Accept
with growth in IT applications.
Masculinity is positively correlated with Accept
support to End-users from technical
component of IT.
Masculinity is positively correlated with Accept
drivers to involve End-users in IT function
Masculinity is positively correlated Accept
with growth in IT applications.
H6: Individualism and Masculinity are positively correlated with
growth in the usage of off-the-shelf/ERP packages (gross value and
net value) and growth in the requirements of IT professionals
(average and percentage).
INDIA U.S.A.
Masculinity is positively correlated with Accept
growth in the requirements of IT
professionals (average).
COMMENTS
Frequency of changes in marketing
practices is positively correlated
with growth in IT applications.
Kate of product obsolescence is positively ** Significant
correlated with support to End-users Negative
from technical component of IT. Correlation
Rate of product obsolescence is positively
correlated with drivers to involve
End-users in IT function
Rate of product obsolescence is positively ** Significant
correlated with growth in End-users Negative
computing. Correlation
Rate of product obsolescence is positively
correlated with growth in IT applications.
Prediction of competitors' action is
positively correlated with growth in IT
applications.
Prediction of consumer test/product demand ** Significant
is positively correlated with support to Negative
End-users from technical component of IT. Correlation
Prediction of consumer test/product demand ** Significant
is positively correlated with drivers to Negative
involve End-users in IT function Correlation
Prediction of consumer test/product demand
is positively correlated with growth in
End-users computing.
Frequency of changes in mode of production/ ** Significant
services is positively correlated with Negative
support to End-users from technical Correlation
component of IT.
Frequency of changes in mode of production/ ** Significant
services is positively correlated with Negative
drivers to involve End-users in IT function Correlation
H2: The severity in environmental pressures (frequency of changes
in marketing practices, rate of product obsolescence, prediction
of competitors' actions, prediction of consumer test/product
demand, and frequency of changes in mode of production/services)
are positively correlated with growth in the usage of
off-the-shelf/ERP packages (gross value and net value) and growth
in requirements of IT professionals (average and percentage).
COMMENTS
Frequency of changes in marketing ** Significant
practices is positively correlated with Negative
growth in usage of off-the-shelf/ERP Correlation
packages (gross value).
Frequency of changes in marketing ** Significant
practices is positively correlated with Negative
growth in usage of off-the-shelf/ERP Correlation
packages (net value)
Frequency of changes in marketing ** Significant
practices is positively correlated with Negative
growth in requirements of IT professionals Correlation
(average).
Prediction of competitors' action is
positively correlated with growth in
requirements of IT professionals (average).
Prediction of consumer test/product demand ** Significant
is positively correlated with growth in Negative
requirements of IT professionals Correlation
(percentage)
Frequency of changes in mode of production/ ** Significant
services is positively correlated with Negative
growth in requirements of IT professionals Correlation
(average).
Frequency of changes in mode of production/ ** Significant
services is positively correlated with Negative
growth in requirements of IT professionals Correlation
(percentage)
H3: Power distance and uncertainty avoidance are negatively correlated
with factors influencing the requirements of human resources engaged in
IT function (support to End-users from technical component
of IT, drivers to involve End-users in IT function, growth in
End-users computing, and growth in IT applications).
COMMENTS
Power distance is negatively correlated ** Significant
with support to End-users from technical Positive
component of IT. Correlation
Power distance is negatively correlated
with growth in End-users computing.
Power distance is negatively correlated ** Significant
with growth in IT applications. Positive
Correlation
Uncertainty avoidance is negatively ** Significant
correlated with growth in IT applications. Positive
Correlation
H4: Power distance and uncertainty avoidance are negatively
correlated with growth in the usage of off-the-shelf/ERP packages
(gross value and net value) and growth in the requirements of IT
professionals (average and percentage).
COMMENTS
Power distance is negatively correlated ** Significant
with growth in usage of off-the-shelf/ERP Positive
packages (gross value). Correlation
Power distance is negatively correlated ** Significant
with growth in usage of off-the-shelf/ Positive
ERP packages (net value) Correlation
Power distance is negatively correlated ** Significant
with growth in the requirements of IT Positive
professionals (percentage) Correlation
Uncertainty avoidance is negatively
correlated with growth in usage of
off-the-shelf/ERP packages (net value)
Uncertainty avoidance is negatively ** Significant
correlated with growth in the requirements Positive
of IT professionals (average). Correlation
Uncertainty avoidance is negatively ** Significant
correlated with growth in the requirements Positive
of IT professionals (percentage) Correlation
H5: Individualism and masculinity are positively correlated
with factors influencing the requirements of human resources
engaged in IT function (support to End-users from technical
component of IT, drivers to involve End-users in IT function,
growth in End-users computing, and growth in IT applications).
COMMENTS
Individualism is positively correlated
with support to End-users from technical
component of IT.
Individualism is positively correlated
with drivers to involve End-users in IT
function
Individualism is positively correlated
with growth in IT applications.
Masculinity is positively correlated with
support to End-users from technical
component of IT.
Masculinity is positively correlated with
drivers to involve End-users in IT function
Masculinity is positively correlated
with growth in IT applications.
H6: Individualism and Masculinity are positively correlated with
growth in the usage of off-the-shelf/ERP packages (gross value and
net value) and growth in the requirements of IT professionals
(average and percentage).
COMMENTS
Masculinity is positively correlated with
growth in the requirements of IT
professionals (average).
NOTE: In all remaining blank cells as well as the hypotheses not
displayed: Do Not Accept because of insignificant statistical results.
Table 8
Results of Discriminant Analysis: Summary of Comparison between
Manufacturing Sector and Service Sector
Significant higher
values in MS
(manufacturing
sector) or SS(service
sector)applicable as
indicated in the
applicable columns
Independent Variables (Predictors) below
India U.S.A.
V306G: Gross increase/decrease in relative MS
share of off-the-shelf/ERP packages.
V306N: Net increase/decrease in relative MS
share of off the-shelf/ERP packages.
V307: Support to end-users from technical SS
component of IT
V308: Drivers to involve end-users in MS
IT function
V311A: Average increase/decrease in the SS SS
manpower of in-house software professionals.
V102: The rate of obsolescence of your MS MS
product.
V103: Prediction of competitor's actions SS
(fairly easy to very unpredictable).
V104: Forecast of demand and prediction of
consumer test (easy to very difficult).
V105: The mode of production/services (well MS
established to subject to very much change).
V203: Individualism (degree to which people SS
in a culture prefer to act as individuals
rather than members of groups).
V204: Masculinity--degree to which value SS
like assertiveness, performance, success,
and competitiveness prevails among people
of a culture over gentle values like quality
of life, maintaining warm personal
relationships, service, care of the weak, etc
