The role of embeddedness in achieving IT-enabled organizational transformation: A case of Xi'an Aero-Engine PLC (XAEP), China

Information Technology enabled Organizational Transformation (ITOT) has increasingly become a competitive necessity for contemporary organizations. Given its significant role, ITOT has persisted as a popular concept for researchers and practitioner of information systems. However, due to its complex nature, the ways to achieve it still requires further exploration. Hence, the present study aims to open this black box through examining a case study of Xi'an Aero-Engine PLC (XAEP), one of the major aircraft engine designers and manufacturers with more than 50 years of history in China. The findings of this case identify that appropriate types of embeddedness enable the organizations to gain the support and commitment and improve the capability that are necessary for an effective ITOT. It also emphasizes that type of embeddedness is contingent on the belief formation and action formation that arise from the internal and external IT department. Furthermore, this case shows the importance of leveraging IT in facilitating the successful implementation of ITOT.