Ambidexterity and Information Technology: Old and New Challanges

Abstract

The today business environment’s characteristics of uncertainty, high technological innovation rate, and changeable consumer preferences led management literature to investigate the concepts of dynamic capabilities and organizational ambidexterity. Further, as companies progressively rely on mobile, social media, cloud and big data in their business, the very nature of the IT function within firms switches from providing reliable and cost-effective technological support to proactively searching new ways for leveraging technology and creating customer value. For scholars and practitioners alike, the question then arises as to which structures, procedures, and systems organizations may implement to pursue and attain the goals of exploitation and exploration at the IT-level for the best of the entire business. Through a literature review and an explorative case study, this paper seeks to provide insights on the old and emerging models for ambidexterity and how they can be applied by the IT departments. The focus in this case is on the bi-modal model proposed by Gartner analysts. Our findings suggest that the role of IT has expanded beyond the one of a robust infrastructure provider to the one of a strategy and business partner and that this is especially relevant for the achievement and maintenance of ambidexterity. Further, our case study suggests that some alterations at the firm-level are occurring with respect to models proposed by literature in a learning-by-doing perspective. In spite of the relevance of the topic, it is still unclear which IT structures, procedures, and systems could effectively and efficiently assist companies in their ongoing struggle between exploration and exploitation, between innovation and efficiency.