The Competitive Leverage Paradox Effect on Information Systems Life Cycle

TL;DR

This paper investigates how competitive pressures and design flaws affect the lifespan and underutilization of Intelligent Information Systems (IIS), highlighting the importance of economic and strategic factors in IIS management.

Contribution

It provides a systematic review of the determinants influencing the IIS life cycle and introduces new perspectives on addressing underutilization through economic and design considerations.

Findings

Identifies key economic and design factors impacting IIS lifespan.

Highlights flaws in IIS design and evaluation processes.

Proposes future research directions to improve IIS utilization and ROI.

Abstract

The fierce market competition has put pressure on organizations leveraging their value chains. The continuous development in strategic technologies such as Artificial Intelligence (AI) has pushed organizations to continuously acquire new Intelligent Information Systems (IIS) while underutilizing existing ones leading to the competitive leverage paradox. However, research on underutilizing IIS has focused on the social and organizational aspects of the problem, ignoring the flaws in designing and evaluating IIS. One of the overlooked factors is the effective life span of an IIS. This research conducted a systematic literature review to profoundly investigate the determinants of the competitive leverage paradox and its effect on the IIS life cycle. The research studies the IISs from economic and design perspectives. We also explore the design and strategic factors that led to defects in the effective life cycle of IIS. This research calls to consider the economic, and design factors in addressing the underutilization of IIS. The study also presents future research propositions to enhance IIS life cycle and return on investment.