FDP-ISM_new

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    Interpretive Structural Modeling

    Dr. G. P. Sahu

    (Assistant Professor Information Systems)

    School of Management Studies

    Motilal Nehru National Institute of Technology, Allahabad.

    July 25, 2008

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    Interpretive Structural Modeling

    Interpretive Structural Modeling is used for

    identifying and summarizing relationship

    among specific variables, which define aproblem or an issues.

    It is an interactive learning process.

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    Objective of ISM

    To identify and rank the variables.

    To establish the interrelationship among the

    variables.

    To discuss the managerial implication of the

    research.

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    Example of Interpretive Structural

    Modeling

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    Variables affecting Information and

    Communication Technology adoption in SME.

    Sl.No.

    Variables Supporting Studies

    1 Relative Advantage Lee and Runge (2001). Khazanchi

    (2005); Seyal and Rahman (2003).

    2 Social Expectation Lee and Runge (2001). Khazanchi(2005); Seyal and Rahman (2003).

    3 Firms Innovativeness Lee and Runge (2001); Winston and

    Dologite (1999); Khazanchi (2005);

    Seyal and Rahman (2003).

    4 Management Attributes Seyal and Rahman, (2003); Jeon

    et.al.(2006); Chahal and Kohali

    (2006).

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    Variables affecting Information and

    Communication Technology adoption in SME.

    Sl.No.

    Variables Supporting Studies

    5 Organisational Attributes Seyal and Rahman (2003);

    Levenburg and Klein (2006).

    6 Adoption Attributes Seyal and Rahman (2003); Jeonet.al. (2006),

    7 End User experience Winston and Dologite(1999).

    8 Owner knowledge Winston and Dologite (1999);

    Ihlstrom and Nilsson (2003);

    Seyal and Rahman (2003);

    Wymer and Regan (2005).

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    Variables affecting Information and

    Communication Technology adoption in SME.

    Sl.No.

    Variables Supporting Studies

    9 Extra organizational

    situation

    Winston and Dologite(1999);

    Khazanchi (2005).

    10 Government Support Jeon et.al. (2006); Wymer andRegan (2005); Jeon et.al. (2006);

    Wymer and Regan (2005).

    11 Financial Resource Levenburg and Klein (2006);

    Khazanchi (2005)

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    Relative Advantage

    Firms Innovativeness

    Management Attributes

    Organisational Attributes

    Adoption Attributes

    End User experience

    Owners knowledge

    Extra organizational situation

    Government Support

    Financial Resource

    Social Expectation

    Usage of Information

    and Communication

    Technology

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    Interpretive Structural Modeling

    Personal interview is conducted of the two experts, one is

    academician and the other entrepreneurship consultant. It is

    asked them to establish the relationship between the various

    factors as follows: A, If i is predictor of j.

    B, If j is predictor of i.

    C, If i and j predict each other.

    D, If no predict each other.

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    Structural Self Interaction Matrix

    (SSIM)

    ISM methodology suggest the use of expert

    opinions based on the various management

    technique in developing the contextual

    relationship among the variables.

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    Elements 11 10 9 8 7 6 5 4 3 2

    1 Relative Advantage A A A D D B A A A A

    2 Social Expectation A A A A D A A A D

    3 Firms Innovativeness D D D D D D A D

    4 Management Attributes AB

    D A D A A5 Organizational Attributes A D A A D A

    6 Adoption Attributes B D D A D

    7 End User experience B A A A

    8 Owner knowledge A D D

    9 Extra Org. situation B D

    10 Government Support D

    11 Financial Resource

    Structural Self-Interaction Matrix (SSIM)

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    Elements 1 2 3 4 5 6 7 8 9 10 11

    1 Relative Advantage 1 1 1 1 1 0 0 0 1 1 1

    2 Social Expectation 0 1 0 1 1 1 0 1 1 1 1

    3 Firms Innovativeness 0 0 1 0 1 0 0 0 0 0 0

    4 Management Attributes 0 0 0 1 1 1 0 1 0 0 1

    5 Organizational Attributes 0 0 0 0 1 1 0 1 1 0 1

    6 Adoption Attributes 1 0 0 0 0 1 0 1 0 0 0

    7 End User experience 0 0 0 0 0 0 1 1 1 1 0

    8 Owner knowledge 0 0 0 0 0 0 0 1 0 0 1

    9 Extra Org. situation 0 0 0 0 0 0 0 0 1 0 0

    10 Government Support 0 0 0 1 0 1 0 0 0 1 0

    11 Financial Resource 0 0 0 0 0 0 1 0 1 0 1

    Reachability Matrix

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    Variable Reachability Set

    1 1,2,3,4,5,9,10,11

    2 2,4,5,6,8,9,10,11

    3 3,5

    4 4,5,6,8,11

    5 5,6,8,9,11

    6 1,6,8,

    7 7,8,9,10

    8 8,11

    9 9

    10 4,6,10

    11 7,9,11

    Reachability Set

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    Variable Antecend Set

    1 1,6

    2 1,2

    3 1,3

    4 1,2,4,10

    5 1,2,3,4,5

    6 2,4,5,6,10

    7 7,11

    8 2,4,5,6,7,89 1,2,5,7,9,11

    10 1,2,7,10

    11 1,2,4,5,8,11

    Antecend Set

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    Level ofVariables

    Level of variables are determined on the

    basis of intersection of Reachability Set

    and Intersection Set

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    Variable ReachabilitySet

    Antecend

    Set

    Intersect

    ion Set

    Level

    1 1,2,3,4,5,9,10,1

    1

    1,6 1

    2 2,4,5,6,8,9,10,1

    1

    1,2 2

    3 3,5 1,3 3

    4 4,5,6,8,11 1,2,4,10 4

    5 5,6,8,9,11 1,2,3,4,5 5

    6 1,6,8, 2,4,5,6,10 6

    7 7,8,9,10 7,11 78 8,11 2,4,5,6,7,8 8

    9 9 1,2,5,7,9,11 9 I

    10 4,6,10 1,2,7,10 10

    117,

    9,11

    1,2,4,5,8,

    11

    11

    Level ofVariables

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    Variable ReachabilitySet

    Antecend

    Set

    Intersect

    ion Set

    Level

    1 1,2,3,4,5,10,11 1,6 1

    2 2,4,5,6,8,10,11 1,2 2

    3 3,5 1,3 3 II

    4 4,5,6,8,11 1,2,4,10 4

    5 5,6,8,11 1,2,3,4,5 5

    6 1,6,8, 2,4,5,6,10 6

    7 7,8,10 7,11 7

    8 8,11 2,4,5,6,7,8 8 II

    9 9 1,2,5,7,9,11 9 I

    10 4,6,10 1,2,7,10 10

    11 7,11 1,2,4,5,8,11 11 II

    Level ofVariables

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    Variable ReachabilitySet

    Antecend

    Set

    Intersect

    ion Set

    Level

    1 1,2,3,4,5,9,10,1

    1

    1,6 1 VII

    2 2,4,5,6,8,9,10,1

    1

    1,2 2 VI

    3 3,5 1,3 3 II

    4 4,5,6,8,11 1,2,4,10 4 IV

    5 5,6,8,9,11 1,2,3,4,5 5 III

    6 1,6,8, 2,4,5,6,10 6 III

    7 7,8,9,10 7,11 7 III8 8,11 2,4,5,6,7,8 8 II

    9 9 1,2,5,7,9,11 9 I

    10 4,6,10 1,2,7,10 10 V

    11

    7,9

    ,11

    1

    ,2,4,5,8,11

    11

    II

    Level ofVariables

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    Sample paper

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