Towards the development of a social capital approach to evaluating change management interventions

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Towards the development of a social capital approach to evaluating change management interventions Tally Hatzakis1, Mark Lycett1, Robert D. Macredie1 and Valerie A. Martin2 1 Department of Information Systems and Computing, Brunel University, Uxbridge, Middlesex, U.K.; 2Waikato Management School, University of Waikato Hamilton, New Zealand.

Correspondence: Tally Hatzakis, Department of Information Systems and Computing, Brunel University, 14 Kingston Lane, Uxbridge, Middlesex, UB8 3PH, U.K. Tel: þ 44-1895-203397 Fax: þ 44-1895-251686 E-mail: [email protected]

Abstract Many of the issues associated with the inefficiency and ineffectiveness of information systems development (ISD) have been attributed to the poor relationship between business and IT colleagues. Relational issues relating to collaboration and communication before, during and after ISD lead to dissatisfaction with information systems and services. To address these relational issues, many organisations have introduced relationship management initiatives (RM). Yet, their effects have been debatable. This paper argues that this is partly because there is no appropriate evaluative framework for RM. In response, this paper proposes a framework, based on social capital theory, for conceptualising the effects of change management interventions in the poor relationship between business and IT colleagues. The research adopts a case study approach to this end. It explores the strengths and limitations of the approach and suggests new directions for its further development. Overall, the research shows that there is a potential merit in using a social capital approach for the evaluation of change management interventions that aim to improve the collaboration between business and IT, during ISD and beyond. European Journal of Information Systems (2005) 14, 60–74. doi:10.1057/palgrave.ejis.3000522 Keywords: Social capital; change management; evaluation; relationship management; human aspects

Introduction

Received: 31 March 2004 Revised: 1 October 2004 2nd Revision: 17 December 2004 3rd Revision: 7 January 2005 Accepted: 8 February 2005

The inefficiency of information systems development (ISD) and ineffectiveness of IS have been attributed, at least partly, to the poor relationship between business and IS colleagues (Poulymenakou & Holmes, 1996; Ward & Peppard, 1996; Peppard & Ward, 1999; Reich & Benbasat, 2000; Doherty & King, 2001). In particular, differences in perceptions, goals and interests, conflicts in interactions and communication breakdown (Sommerville & Rodden, 1996; Sauer et al., 1997; Kunda & Brooks, 1999; Seddon et al., 1999) have been directly associated with failures of the ISD process. Organisations seek, therefore, to improve the quality of the relationship between business and IT colleagues, in order to achieve organisational goals and extract more value from IT. Relationship management (RM) is one such intervention (Henderson et al., 1995). It is mandated with removing barriers such as distorted facts and beliefs, negative feelings,