Can Domain Theory Combined with the Resource-Based View Demonstrate the Missing Link in IT Value Creation?

Abstract

The purpose of this paper is to apply the rationale of Domain Theory (DT) with the taxonomy of the Resource-Based View (RBV) to explain how information technology (IT) creates value. Based on literature, a conceptual model was developed, which is tested in a case study. Findings demonstrate that both theories combined are a novel way to describe the IT value creation. Particularly, breaking down the IT value construct into three domains, each described by functions and properties, demonstrates the IT value creation. Describing the IT value creation by functions and properties enables practitioners to both highlight the impact of IT and derive meaningful measurements to prove the value of IT. This research contributes to literature by applying the rationale of DT to describe the IT value creation.