Drivers and Effects of Inter-Organizational Systems (IOS) use in a developing country

Inter-Organizational Systems (IOS) are technologies that facilitate the transfer of information across the borders of an organization. This paper empirically explores the drivers and effects of IOS use in a Sub-Saharan African country, a context not empirically explored in previous studies. The paper proposes that IOS use is driven by institutional pressures, and results in the creation of Supply Chain Capabilities, which leads to higher Supply Chain Performance of firms. Data for the study was obtained from a survey of 200 firms operating in Ghana that use IOS, and analyses were conducted using Partial Least Squares Structural Equation Modeling. The findings reveal that Coercive Pressures and Normative Pressures are important in driving IOS use in Ghana. IOS use was also found to positively impact Supply Chain Capabilities, which in turn positively impacts Supply Chain Performance. Implications for research and practice are presented based on the findings of the study