The primary aim of this article is to identify antecedents of firm’s success in specific circumstances of the New economy. Many researchers have tried to answer the question “Why do some firms persistently outperform others?”. One of the most dominant view on this issue is a resource based view (RBV) or resource-based theory (RBT). According to this theory, sources of competitive advantage begin with the notion that differences in performance are fundamentally due to the distinctive resources and capabilities that are valuable, rare, inimitable and non-substitutable. Information technology as a resource of the company has the increasing importance for the researches and managers. Research on the information technology (IT) value within organizations and firms’ IT capabilities have expanded over the past decade. IT capability is defined as the existence of IT infrastructure, IT knowledge and IT operations within company. The purpose of this paper is to analyse the interaction impact of IT capability and firms’ innovation on business performance. The study uses survey data from managers and structural equation modelling to assess the relationships between IT capability, firm’s innovation and business performance. This study finds that both IT capability and innovation capability play important role in achieving greater business performance. The findings indicate that managers should focus on development of the IT function within company, taking into account importance of IT investment as well as IT knowledge, and promotion of innovativeness.

The primary aim of this article is to identify antecedents of firm's success in specific circumstances of the New economy. Many researchers have tried to answer the question "Why do some firms persistently outperform others?". One of the most dominant view on this issue is a resource based view (RBV) or resource-based theory (RBT). According to this theory, sources of competitive advantage begin with the notion that differences in performance are fundamentally due to the distinctive resources and capabilities that are valuable, rare, inimitable and non-substitutable. Information technology as a resource of the company has the increasing importance for the researches and managers. Research on the information technology (IT) value within organizations and firms' IT capabilities have expanded over the past decade. IT capability is defined as the existence of IT infrastructure, IT knowledge and IT operations within company. The purpose of this paper is to analyse the interaction impact of IT capability and firms' innovation on business performance. The study uses survey data from managers and structural equation modelling to assess the relationships between IT capability, firm's innovation and business performance. This study finds that both IT capability and innovation capability play important role in achieving greater business performance. The findings indicate that managers should focus on development of the IT function within company, taking into account importance of IT investment as well as IT knowledge, and promotion of innovativeness.

Abstract Background: Companies can improve their business performance, increase revenues and reduce costs by enhancing their information technology (IT) capability. On the other side, there is an increasing importance of human resource management (HRM) practices related to IT utilization, which are important for the business performance of a company in the rapidly changing knowledge-based economy. Objectives: The objective of this paper is to analyze the relations among IT capability, HRM capability and the firm’s performance outcomes. Methods/Approach: The paper uses survey data and Structural Equation Modeling to analyze the relationships among IT capability, HRM capability and firms’ performance. Results: This paper reveals that IT capability to some extent determines firms’ business performance but it plays more important role in enhancing HRM capability. In addition, HRM capability significantly impacts business performance. Conclusions: The findings indicate that managers should not focus on allocating resources only for IT investments. In order to achieve better business performances, these technologies need to be used to support all business processes including HRM activities.

According to the resource-based view, sources of competitive advantage begin with the notion that differences in performance are fundamentally due to the distinctive resources and capabilities that are valuable, rare, inimitable and nonsubstitutable (Barney, 2007; Wu et al., 2006). Information technology (IT) as a resource of the company has the increasing importance for the researches and managers. Research on the IT value within organizations and firms' IT capabilities have expanded over the past decade (Perez-Lopez et. al., 2012). Tippins and Sohi (2003) in their study defined IT capability as the existence of IT infrastructure, IT knowledge and IT operations within company. The purpose of this paper is to analyze the impact of IT capability on firms' innovativeness and the relationship among IT capability, firms' innovativeness and business performance. The study uses survey data from managers and structural equation modelling to assess the relationships between IT capability, firms' innovativeness and business performance. This study finds that both IT capability and innovation capability play important role in achieving greater business performance. The findings indicate that managers should focus on development of the IT function within company, taking into account importance of IT investment as well as IT knowledge, and promotion of innovativeness.

Abstract Over the past decade business continuity management (BCM) has been treated mainly from either technology or planning perspective. This paper goes a step further and considers BCM from the IT governance view. In addition, the standards and legislation activities that help in that sense are evaluated. Implementation of industry best practices standards and processes such as ITIL and CobiT combined with other IT-related solutions can deliver substantial risk reduction and reduce business risks and result with reduced system downtime. The cases of the implementations of main information technology (IT) standards in the banking sector of Croatia and Bosnia-Herzegovina from those two perspectives are explored.

Business globalization pressures and rapid technology advances increase the need for firms to continuously change, improve and adapt to changing business environment. Superior business performance is increasingly a function of firm’s ability to develop and implement unique and valuable resources, i.e. dynamic capabilities. Among others, literature recognises organisational learning (OL) capability and knowledge management (KM) capability as two very important capabilities for the firms doing business in the knowledge-based economy. Thus, this study draws on dynamic capability view and organisation theory to clarify the nature of the relationships between OL capability and KM capability. The results show that OL capability positively influence KM capability. Furthermore, shared vision as well as openness and experimentation advance the KM capability while dialog and managerial commitment haven’t been revealed to significantly influence KM capability. The study provides advances in the field of organisational learning and knowledge management literature by offering empirical analysis that confirm the importance of individual constructs of organisational learning capability for successful knowledge management.