Strategic alignment: a performance tool (an empirical study of SMEs)

The purpose of this research is to investigate whether the alignment of IT with the strategy (particularly the partnership strategy or cooperation practice) and organizational structure of an SME could have a decisive influence on its performance. We constructed a model and tested it empirically using data from 381 SMEs operating in different sectors. A multivariate perspective, modelled with structural equations, was used to test the alignment between strategy, structure and IT. The alignment is considered as a covariation of a set of theoretically related variables. The results indicate that the alignment of IT with corporate strategy and organizational structure could generate the best performance levels for an SME.