Telecommunications Steering CommitteeManagingTelecommuni.docx

Telecommunications Steering Committee
Managing
Telecommunications
by Steering
Committee
with firm size, planning practices, and top
management recognition and support. As firms
grow, they tend to more frequently use steering
committees for interunit coordination, setting
policies, allocating recourses, and monitoring pro-
gress. These steering committees can also pro-
mote organizational recognition and secure
funding commitments for the telecommunications
function.
By: Gholamreza Torkzadeh
Information Systems and
Operations Management
The University of Toledo
2801 West Bancroft Street
Toledo, Ohio 43606 U.S.A.
Weidong Xia
Information Systems and
Management Science
Beijing University of Aeronautics
and Astronautics

Beijing
People's Republic of China
Abstract
The increasing need for integration and the rapid
growth of oniine systems have made telecom-
munications a vital part of management informa-
tion systems (MiS). in search of competitive
advantage, organizations make significant in-
vestments in teiecomunications. Telecommunica-
tions management is becoming a top priority of
information systems executives. The MIS litera-
ture suggests that steering committees are effec-
tive means of managing information systems.
However, there is no information on how steer-
ing committees impact the management of the
telecommunications function. Drawing on
organizational theory and MIS iiterature, a
framework is presented that reiates firm size and
telecommunications steering committees to pian-
ning practices and organizational recognition and
support. Using a survey of 137 organizations, this
framework is examined. The results of this ex-
ploratory research suggest that use of a telecom-
munications steering committee is associated
' An earlier version of this article was presented at the DSI Na-
tional Conference in Miami, Florida, November 1991.
Keywords: Telecommunications, steering com-
mittee, strategic planning
ACM Categories: K.6.4, K.6.0, H.4.0, H.4.3
Introduction
Telecommunications technology is evolving in-

to a vital component of organizational strategy.
By powerful combinations of communications
and information processing systems, firms are
creating new vehicles for achieving critical
business goals. Management is learning how to
harness telecommunications resources for ad-
vanced marketing and logistics strategies to pro-
vide competitive advantage applications.
Changes wrought by telecommunications
technology in information systems for air travel,
financial markets, and distributions (Copeiand
and McKenney, 1988; Ives and Learmonth, 1984)
have altered the way these industries compete.
Firms are discovering that managing the telecom-
munications infrastructure and portfolio is as im-
portant as managing the data resource. As
networks help information technology reach all
members of groups and organizations, oppor-
tunities proliferate to support and change the
ways companies compete.
Many firms use their data communications
facilities for traditional activities such as timeshar-
ing, inquiry and retrieval, data entry, and batch
and transaction processing (Kriebel, 1984). But
some of the most successful examples of infor-
mation systems are those that use telecom-
munications technology to link a company to its
suppliers, distributors, or customers. For exam-
ple, McKesson Drug Company's Economost
created a direct link between the company and
its customers and resulted in over 99 percent of
orders being placed electronically (Clemons,
1991). Barclays de Zoete Wedd, the largest
MiS Quarterly/June 1992 187

market maker in the United Kingdom (Essinger,
1988), introduced an automatic order-entry
system for retail brokerage called TRADE, which
doubled the share of its orders from some brokers
and created a significant barrier to competitors.
It has been suggested that the emerging integra-
tion of computers and communications tech-
nology is expanding the realm of business
opportunities (Hammer and Mangurian, 1987).
The Harris Corporation's strategy to integrate
telecommunications resources (McCauley, 1983)
and Digital Equipment Corporation's ARPANET
(Crawford, 1982) are successful examples hav-
ing fundamental impacts on information systems
effectiveness. Others suggest that the best way
to manage computers is to manage the networks
that connect them (Donovan, 1988). Examples
of how retailers use information systems and
telecommunications technology (Dolen, 1986) in-
dicate how these firms view the network as a
critical tool in seizing new business opportuni-
ties, improving productivity and the quality of
work life, and gaining a competitive edge in the
marketplace.
Most large organizations make significant in-
vestments in telecommunications resources.
Such resources must be allocated wisely, and
management practices must be established for
the development and use of telecommunications

technology. If it is mismanaged, the adverse
results may involve permanent loss of com-
petitive strength within the industry. This may in-
clude, for example, loss of opportunities for:
improving customer services, efficiently manag-
ing diversified activities or sharing critical
resources, globalizing operations, responding
quickly to changing worldwide business condi-
tions, or reducing overall costs. In this context,
steering committees provide a mechanism to en-
sure proper management; they have gained sig-
nificant acceptance in many organizations for
managing the information systems development
resource (Doll and Torkzadeh, 1987; McKeen
and Guimaraes, 1985).
Steering committees composed of top manage-
ment, users, and service personnel can provide
a broad perspective to focus on management of
the telecommunications resource. Many
similarities exist between telecommunications
and information systems management practices.
In communications-intensive information
systems, the roles of computing and com-
municating are so intertwined that the business
value of the communications and processing
functions cannot be distinguished. However, to
integrate telecommunications technology, firms
need better coordination between organizational
functions; these efforts may or may not be iden-
tical to coordination within MIS. Therefore, each
function may require a separate steering
committee.
Little research has been done on the relationship

between steering committees and management
of the telecommunications function. Strategic
telecommunications planning is also a relatively
new, under-researched area. Research on the
operating procedures and composition of steer-
ing committees, as well as on their relationships
with the telecommunications function, could be
valuable in promoting the effective establishment
of such committees.
To explore the effectiveness of steering commit-
tees for the management of the telecommuni-
cations function, this article first presents a
framework that relates telecommunications steer-
ing committees to firm size, planning practices,
and organizational recognition and support.
Then, using a survey of 137 corporations, this
framework is explored further. The intent of this
exploratory research is to discover areas in which
further research is required.
A Framework for
Telecommunications
Steering Committees
Previous research has examined the relationship
between steering committees and management
information systems. Doll and Torkzadeh (1987)
report that firms having MIS steering committees
are more likely to have an overall written plan for
systems development, have separate plans and
budgets for maintenance and new development,
achieve mutual agreement on a set of criteria for
deciding which projects to do first, and secure
the organization's long- term commitment to pro-
vide stable funding for systems development ac-
titivies. Others report that steering committees

improve the information systems project portfolio
(McKeen and Guimaraes, 1985); promote a
favorable psychological climate that positively im-
pacts information systems success (Ein-Dor and
Segev, 1978); and provide perceived benefits to
188 MIS Quarterly/June 1992
top management, users, and data processing
personnel (Drury, 1984).
Most research on organizational issues deals with
information systems rather than specifically
focuses on the telecommunications function.
Reviewing more than 9,800 articles covering over
11 years of MIS research, Adams, et al. (1990)
contend that researchers have not placed the
same emphasis as practitioners on telecommuni-
cations management. They contend that: "The
majority of telecommunications research focuses
on lower level management issues, such as in-
stalling a network, rather than using IS for com-
petitive advantage" (p. 35). They suggest more
research in telecommunications is needed to pro-
vide information systems executives with insights
on how to manage the telecommunications
function.
Although there are similarities between MIS and
telecommunications steering committees, their
focuses may vary. This is reflected in the
management practices of telecommunications

and information systems (Donovan, 1988;
Premkumar and King, 1990). While MIS is con-
sidered an established function within most
organizations, the telecommunications function
is generally still seeking recognition and support
for its strategic role. Telecommunications has
traditionally been a support unit within the
information systems function. As its role in-
creases, the telecommunications function may
require an independent identity and organiza-
tional recognition. A steering committee can
focus attention to the use of telecommunications
as a competitive weapon.
Telecommunications steering
committee
The telecommunications steering committee can
act as a kind of board of directors by setting
policies, allocating resources, and monitoring
progress. It can be a liaison device, necessary
as the organization grows, or it can be used to
achieve interunit coordination via developing
plans and improving planning effectiveness, set-
ting priorities, and securing funding com-
mitments. The steering committee can seek
recognition and support for this new technology
appropriate for its intended role in expanding the
realm of business opportunities. The members
of the committee are expected to view telecom-
munications as a corporate resource with in-
vestments in it treated as a business within a
business. The mission, policy, and vision for this
business will be determined by the telecommu-
nications steering committee. The composition
and operation of such committees will differ

among organizations. However, the membership
typically includes executives from several
functional areas of the firm providing a breadth
of perspectives. The committee is usually chaired
by a senior executive member, such as a vice
president.
Research questions
Organizational size is often cited as a major
determinant of organizational structure and plan-
ning (Blau and Schoenherr, 1971; Child and
Mansfield, 1972; Miller, 1986; Pugh, etal., 1968;
1969). As organizations evolve and grow, infor-
mation systems planning practices may become
more formalized (Doll and Torkzadeh, 1987). As
they do, steering committees will be used more
frequently (Galbraith, 1973; Khandwalla, 1974).
Large firms with complex distributed information
processing systems face more organizational and
personnel problems than technical ones (Felix
and Harrison, 1984) and require more careful
planning practices.
It has been suggested that a firm's planning prac-
tices be conducted within an organizational con-
text (Ein-Dor, 1978) and is influenced by the
nature of the firm's strategic business plan (King,
1978), the function's competitive impact (Millar
and Porter, 1985), and the business planning pro-
cess (McLean and Soden, 1977). The methodol-
ogies developed in MIS planning for the analysis
of the business environment and to identify com-
petitive advantage applications are equally ap-
plicable in telecommunications; most strategic
system applications are based on an integration
of computer and telecommunications technology.

This is specifically true as telecommunications
technology creates what Konsynski and
McFarlan (1990) call "information partnership"
and provides a new basis for differentiation.
Significant research questions relate to the
management and organizational structure of the
telecommunications function. In this study, these
research questions are expressed in terms of
relationships to be examined through a set of
propositions. Based on the review of the literature,
four variables are expected to interact and in-
MIS Quarterly/June 1992 189
fluence telecommunications success: the size of
the organization; liaison devices, such as steer-
ing committees; planning practices; and
organizational recognition and support (see
Figure 1).
As organizations increase in size, they develop
differentiated subunits and increase investment
in telecommunications resources in search of ad-
vanced marketing and logistics strategies. They
tend to have steering committees to coordinate
and monitor policy, resources, and progress.
Telecommunications steering committees
facilitate user and top management involvement
in this function. As a firm's size increases, the
interunit coordinations become more complex. A

steering committee can help create the
necessary fit between the telecommunications
and organizational strategies. This leads to
Proposition 1: Large firms are more iikeiy to
have teiecommunications steering commit-
tees (Link A).
Furthermore, as the organizations's number of
employees, annual budget, or total assets grow
and the telecommunications function deals with
more complex development problems, it is ex-
Firm Size
r
Telecommunications
Steering Committee
D
Organizational
Support and
Recognition for
Telecommunications
•B-
Telecommunications
Planning Practices
Figure 1. A Framework for Teiecommunications Steering
Committees

pected to have more systematic and formalized
planning practices. Thus,
Proposition 2: Large firms are more likely to
have formaiized planning practices for their
teiecommunications function (Link B).
Telecommunications steering committees are ex-
pected to link business strategy with telecommu-
nications strategy by providing a forum where
senior managers and users discuss direction,
match corporate concerns with technological
potential, and build commitment to policies. They
are therefore expected to influence planning
practices. Thus,
Proposition 3: Firms with teiecommunications
steering committees are more iikeiy to have
formaiized pianning practices for their
teiecommunications functions (Link C).
Due to its dynamic, complex nature and its role
in expanding the realm of business opportunities,
telecommunications requires a long-term
organizational commitment to provide adequate
investment. Telecommunications steering com-
mittees tend to enhance an executive's
understanding and recognition of the business
value and potential applications derived from this
technology. Thus,

Proposition 4: Firms with teiecommunications
steering committees are more iikeiy to pro-
vide organizationai support and recognition
for the teiecommunications functions (Link
D).
The Study
In order to examine these four propositions, a
questionnaire was developed and implemented.
Using a directory of 3,000 MIS and telecom-
munications managers/directors of firms in the
United States, a list was compiled of individuals
who, according to their titles, were responsible
for the telecommunications function. The ques-
tionnaire was mailed to 622 telecommunication
managers. Responses were received from 137
firms (22 percent).
Sample characteristics
Respondents' titles include: data communication
director/manager, networl< director/manager,
communication chief, communication coor-
dinator, and data communication supervisor. The
respondents are experienced professionals: 35
percent had been with their respective organiza-
tions for more than 14 years, about 9 percent be-
tween 11 to 14 years, 17 percent between 7 to
10 years, 25 percent between 3 to 6 years, and
14 percent for less than 3 years. Respondents
represent a variety of industries (see Table 1).
Measures
To more carefully assess the impact of steering
committees on the level of support, top manage-

ment understanding, and the firm's recognition
of telecommunications, eight specific questions
Tabie 1. Respondents by Type of industry
Firm Type
Manufacturing and Processing
Finance, Bani<ing, and Insurance
Educational Institutions
Wholesale and Retail
Transportation, Communication, and Utilities
Government Agencies
Health Services/Hospitals
Other
Total
Frequency
43
29
14
10
15
18
5
11
145*
Percentage
29.7
20.0

9.7
6.9
10.3
12.4
3.4
7.6
100.0
Some firms participate in more than one industry.
Teiecommunications Steering Committee
were developed using a scale varing from 1
(strongly agree) to 5 (strongly disagree). These
questions measure the perceived importance of
telecommunications for achieving the long- and
short-term objectives to the organization. Multi-
ple items were used to assess each scale.
To develop reliable, valid measures of organiza-
tional support for telecommunications, the re-
searchers employed well-established methods of
instrument development (see the Appendix for
details). The result is a five-item scale, shown in
Table 2, for measuring organizational support for
telecommunications. To examine the validity of
this multiple-item scale, a single-item global scale
measuring perceived overall organizational sup-
port was also included in the questionnaire. This

global measure asked: "Overall, how would you
rate organizational support for the development
of telecommunications in your organization?"
Both the five-item and single-item global scales
were used to examine the relationship between
the telecommunications steering committee and
organizational support.
Results
The survey responses were used to examine the
four propositions described earlier. The results
presented here should be interpreted with cau-
tion. Organizations participating in this study
were not specifically collected for their size,
though size is widely considered to be an impor-
tant factor in determining organizational struc-
ture. Furthermore, no study has specifically
examined the relationships between size of firm,
steering committees, planning practices, or top
management support for the telecommunications
function.
The results suggest that large firms are more like-
ly to use telecommunications steering commit-
tees. The respondents were classified into small
(less than 500 employees) and large (500 or more
employees) organizations. Large firms have a
significant investment in information technology
in search of competitive advantage, and telecom-
munications infrastructure is vital for the success
of this business objective. They tend to more fre-
quently use liaison devices such as steering com-
mittees to coordinate and monitor policy,
resources, and progress. Large firms had
significantly (p < .05) more telecommunications
steering committees than small firms (see Table

3). Large and small firms were equally likely to
have a telecommunications plan. This supports
proposition 1, but not proposition 2.
Most (61 percent) telecommunications steering
committees were comprised of representatives
from various functional areas of the organization.
Some (29.5 percent) included members of the in-
formation systems department only, and a few
(9.5 percent) were made up of top level manage-
ment only. The steering committees existed in
these firms from one to 10 years with an average
of 3.7 years.
To more clearly identify the extent and nature of
the steering committee's responsibilities, a set
of eight questions was included in the question-
naire. Respondents were asked to indicate
whether each task was relevant to their steering
committee. Tabie 4 shows the telecommu-
nications steering committees' major tasks and,
for each task, the percentage of times identified
by the respondents. The organization's future
needs for telecommunications and how it could
contribute to accomplishing organizational objec-
tives were most frequently mentioned. The steer-
Tabie 2. iMeasures of Organizationai Support
1. Top management understands the importance of
telecommunications.
2. Top management supports the development of
telecommunications.
3. Telecommunications capabilities are considered in the

organization's strategic
planning process.
4. Telecommunications has been recognized as an important
tool in strategic planning.
5. Budget allocation toward telecommunications has been
favorably considered by
management.
ing committees were less likely to be concerned
with technical questions such as the integration
of voice and data. These results are consistent
with the definition and responsibilities of the
telecommunications steering committee and are
similar to the tasks for an MIS steering commit-
tee as described in the literature.
The survey results indicate a significant (p < .001)
relationship between steering committees
and planning practices. One of the most impor-
tant responsibilities of steering committees is to
provide a plan consistent with the organizationai
objectives and strategies. In the past, the tele-
communications function essentially performed
the role of a support function and, hence, was
shielded to a large extent from market forces. A
steering committee is an effective mechanism for
creating the necessary fit between telecom-

munications technology and a business plan. In
this sample, 96 percent of firms with steering
committees had an overall plan for telecom-
munications. Thus, proposition 3 is supported.
Unlike proposition 2 (large firms are more likely
to have formalized planning practices for their
Tabie 3. The Reiationship of Firm Size to Teiecommunications
Steering Committee and Planning Practices
Question
Do you have a committee that
makes policy decisions relating
to telecommunications?
Do you have an overall plan for
telecommunications?
Percentage of
Affirmative Responses
Smaii Large
(n = 36) (n = 101)
25 40
86 78
Significance
of Difference
Between Smali
and Large Firms

p < .05
p < .15
Tabie 4. Tasks of Teiecommunications Steering Committee
Questionnaire item
Make decisions on future telecommunication needs of the
organization.
Discuss how the development of telecommunications can
contribute
toward accomplishing organizational objectives.
Discuss how telecommunications could improve the
performance of other
operating functions.
Discuss how the telecommunications system can be managed to
ensure
the efficient and effective use of resources.
Discuss ways in which telecommunications technology can be
used in
strategic planning.
Meet regularly.
Discuss ways in which telecommunications technology can be
used to
achieve competitive advantage.
Decide how the integration of voice and data can be achieved.
Percentage of

Affirmative
Responses
96
96
94
92
87
81
77
71
telecommunications), proposition 3 (firms with
telecommunications steering committees are
more likely to have formalized planning practices
for their telecommunications function) is sup-
ported; one might expect both to be supported.
A possible explanation for these findings may be
that smaller firms have MIS steering committees
that also oversee telecommunications functions.
The study did not include questions on MIS steer-
ing committees.

i//ithin the responding organizations, firms with
steering committees had significantly (p < .001)
more overall support for the development of
telecommunications in the organization. The
telecommunications steering committees provide
a forum where senior managers and representa-
tives of other functional areas discuss direction
and facilitate top management commitment,
recognition, and support for telecommunications.
Table 5 shows the specific nature of this recogni-
tion and support for the telecornmunications func-
tion. The mean responses for all measures are
significantly (p < .05) different for firms with and
without steering committees. This supports prop-
osition 4.
These strategic or long-term issues are directly
related to a firm's competitive advantage. The
planning for telecommunications requires a multi-
year horizon and, consequently, a close link to
anticipated enterprise requirements. Recent
studies have indicated the growing emphasis on
the strategic role of the telecommunications func-
tion within organizations (Premkumar and King,
1990).
Summary and Discussion
Organizations invest significantly in their informa-
tion systems and teiecommunications to ex-
change information, enhance communication,
and support business strategy. Telecommunica-
tions technology has been used to improve pro-
ductivity, enhance the delivery of product and
services, raise barriers to entry for new com-
petitors, or introduce switching costs to
customers. The growth of telecommunications

and its potential role in creating competitive ad-
vantage for the organizations necessitates a
greater understanding for its management and
how this function can best be used to achieve
organizational objectives.
The technology strategy literature views technolo-
gy as a means for implementing corporate
strategy (Morone, 1989). The emphasis is on find-
ing ways in which corporate technology efforts
can be organized to fit and support company
strategy. Morone suggests it is one thing to make
technology decisions consistent with corporate
strategy (technology strategy) and quite another
to bring the potential opportunities that
technology creates to bear on the formulation of
corporate strategy (strategic use of technology).
He contends the strategic use of technology oc-
curs when technology-based opportunities
become integral to corporate strategy, so integral
that they are viewed not as "technology" but as
"strategic opportunities."
The results of this study suggest that liaison
devices such as steering committees or task
forces might be important mechanisms for
managing the telecommunications function and
may help the strategic use of this technology.
Such policy-making and monitoring committees
can be an effective avenue for top-management
involvement in the successful development of
telecommunications. Their work can facilitate
organizationai recognition and support for this
function. As the role of telecommunications in
creating a competitive advantage is increased,

organizations will likely tend to develop a more
systematic and formalized approach toward the
management of this function. Steering committees
also tend to reduce planning problems facing
telecommunications managers while providing
necessary congruence between the telecommu-
nications plan and organizational objectives. Large
firms, due to their level of investment in informa-
tion technology and the complexity of their
organizational and strategic issues, tend to rely
more on steering committees.
These findings have potential implications for the
manager of a telecommunications function.
Telecommunications technology is moving up on
the priority list of many organizations; it may
therefore benefit from its own steering committee.
The emerging network technology, increasing
complexity, and wider offerings available after the
deregulation of the industry necessitate careful in-
terunit coordination, resource planning, and con-
tinuous improvement in order to achieve and
Table 5. The Relationship of Telecommunications Steering
Committee to
Organizationai Recognition and Support
Questionnaire item

telecommunications.
telecommunications.
3. Telecommunications capabilities are considered in
the organization's strategic planning process.
4. Telecommunications has been recognized as an im-
portant tool in strategic planning.
5. Budget allocation toward telecommunications has
been favorably considered by management.
iVieans of
Firms
With
Committee
2.04
1.94
2.31
2.13
2.18
Responses
Firms
Without

Committee
2.45*
2.43**
2.71*
2.63*
2.75**
Note: Respondents' perceptions were measured on five-point
Likert-type scales;
* p < .05; ** p < .001.
support business objectives. The telecom-
munications planning process must be as close-
ly linked to business needs as it is to technological
opportunities. The telecommunications steering
committee can produce a portfolio of justified
communications and networks development plans
that contribute to business success.
Several important research questions are related
to the management of the telecommunications
function. Further research efforts might focus on:
(1) examining the relationship between the
telecommunications steering committee and the
MIS steering committee; (2) examining deregula-
tion of the industry and its impact on planning
practices; (3) studying the impact of business en-
vironment on the telecommunications function; (4)
assessing the relationships between telecom-
munications steering committees and the pattern
of competitive advantage in organizations; (5)

evaluating the role and impact of steering com-
mittees for the successful development of
telecommunications; and (6) studying the dif-
ferences in structure, composition, and role of
telecommunications steering committees in dif-
ferent industries. While some firms seize upon the
strategic opportunities provided by telecom-
munications technology, others fail to do so. We
need to better understand the actual behavior of
firms and why different firms facing similar situa-
tions respond differently.
Conciusions
This study has developed and assessed a set of
relationships between firm size, telecom-
munications steering committees, planning prac-
tices, and organizational support. The results
suggest that telecommunications technology of-
fers a strategic opportunity that requires increased
management attention. Finding and evaluating
strategic opportunities to use telecommunications
technology and justifying the decision to make the
necessary investment for this technology require
a set of more focused management skills different
from those historically required of information
systems executives. Investing in this technology,
assessing its strategic value, and securing stable
funding for its enhancement and maintenance all
require a careful management approach. Rapid
expansion and deregulation of the telecommu-
nications industry increases the risk of failure.
Steering committees are important mechanisms

for managing that risk for the telecommunications
function. They facilitate recognition and support
and can play a strategic role in the application of
telecommunications. These committees can pro-
vide a more careful planning approach that can
facilitate alignment with overarching organizational
objectives. For an organization with an expensive
investment in telecommunications, a steering
committee may be a necessity.
Acknowledgement
We would like to thank T.S. Raghunathan for his
comments on an earlier draft of this article.
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About the Authors
Gholamreza Torkzadeh is professor of informa-
tion systems and operations management at The
University of Toledo. He holds a Ph.D. in opera-
tions research from The University of Lancaster,
England, and is a member of the O.R. Society
of Great Britain, TIMS, DSI, ACM, and SIM. He
has been involved in research programs pertain-
ing to management of the information systems
function, distribution, resource allocation, and
mathematical modelling and has published in
Management Science, Communications of the
ACM, MIS Quarterly, Journal of Qperational

Research, Qmega, Decision Sciences, Long
Range Planning, Information & Management,
Journal of Management Information Systems,
and others.
Weidong Xia is lecturer and deputy director of
the Division of Information Systems and Manage-
ment Science at Beijing University of Aeronautics
and Astronautics. He holds an M.Sc. in manage-
ment science and information systems from that
same university. He is currently a visiting scholar
at The University of Toledo. His research has
focused on mathematical modelling, information
systems analysis and design, and manufactur-
ing management. He has co-authored two books
on computer technology and information systems
analysis and design in China. His research ar-
ticles have been published in Scientific Research
of BUAA and Standardization and Quality. One
of his current research interests is management
of the information systems function.
Appendix
The Instrument Development Process
To improve the content and focus of the initial questionnaire, it
was first administered in five interviews
with experienced telecommunications managers from
manufacturing, services, and wholesale industries
and two academics involved in research studies on the
management of telecommunications. Their feed-
back helped improve the scope and wording of items. Next, this
improved questionnaire was mailed
to 622 telecommunication managers, and 137 useable responses
were collected. This sample was used
for instrument development and data analysis.

To ensure that the items measured the organizational support for
telecommunications, the construct
validity of each item was examined. Kerlinger (1978) suggests
two methods of construct validation: (1)
correlations between total scores and item scores, and (2) factor
analysis. The first approach assumes
that the total score is valid; thus, the extent to which the item
correlates with the total score is indicative
of construct validity for the item. In this study each item score
was subtracted from the total score in
order to avoid a spurious part-whole correlation; the result is a
corrected item total, which was then cor-
related with the item score. Factor analysis was also used to
identify the underlying factors or components
of support construct. This enabled us to identify factorially pure
items that would facilitate the testing
of more specific hypotheses.
A measure of criterion-related validity (Kerlinger, 1978) was
also examined to identify items that were
not closely related to the organizational support construct. A
global item measuring perceived overall
support was assumed to be a valid measure and was used as a
criterion scale. This criterion scale was:
"Overall, how would you rate organizational support for the
development of telecommunications in your
organization?" To the extent that each item was correlated with
this criterion, the scale provided a measure
of criterion-related validity.

Using the sample of 137 responses, the eight-item scale was
examined for reliability and construct validity.
Bartlett's test of sphericity had a chi-square value of 774.84 and
a significance level of .0000, suggesting
that the intercorrelation matrix contains enough common
variance to make factor analysis worth pursu-
ing. The data were examined using principal components
analysis as the extraction technique and varimax
as a method of rotation. Two factors with eigen values greater
than 1 emerged and explained 65.0 per-
cent of the variance. The loadings of the eight measures on each
factor (for factor loading greater than
.30) is shown in Table A1. Two items had multiple loadings.
Except for items 3, 4, and 6, each item had a corrected item
total correlation above .66 (a measure
of internal consistency) and a correlation with the criterion
measure above .44 (see Table A2). These
three items did not specifically relate to top management
activities or strategic role of telecommunica-
tions in organizations and were therefore omitted. The cutoffs
for the remaining five items were con-
sidered high enough to ensure that the items retained were
adequate measures of Factor 1.
This five-item scale for measuring organizational support for
telecommunications had a reliability of .89
and a criterion-related validity of .70. With a minimum standard
of .80 suggested for basic research,
this scale's reliability is adequate for measuring organizational
support for telecommunications. Factor
analysis of this scale resulted in one factor with an eigen value
of 3.5 that explained 69 percent of the
variance. Item descriptions, corrected item total correlations,
correlations with criterion, and factor loadings

are provided in Table A3.
Tabie A 1 . Rotated Factor iVIatrix of Recognition/Support
items
item Description
telecommunications.
telecommunications.
3. Telecommunications is used as a supporting function
to accomplish company goals and objectives.
4. Telecommunications can help solve operating problems.
organization's strategic planning process.
6. Telecommunications is vital to the organization.
7. Telecommunications has been recognized as an
important tool in strategic planning.
Factor 1 Factor 2
.86507
.89350
.57291 .31944

.78400
.75729
.79992
.73648 .34310
.79256
Note: Variance explained: Factor 1 = 50.6%; Factor 2 = 14.3%.
Tabie A2. Reiiability and Criterion-Reiated Vaiidity of
Organizational Support IMeasures
item Description
telecommunications.
telecommunications.
3. Telecommunications is used as a supporting function
to accomplish company goals and objectives.
4. Telecommunications can help solve operating problems.

6. Telecommunications is vital to the organization.
7. Telecommunications has been recognized as an
Corrected
Item-Total
Correlation
.70
.77
.54
.36
.66
.31
.73
.70
Correiation
With
Criterion
.63

.76
.30
.20
.45
.20
.44
.65
Tabie A3. iVIeasures of Organizationai Support
1.
2.
3.
4.
5.
item Description
Top management understands the importance of
telecommunications.
Top management supports the development of
telecommunications.
Telecommunications capabilities are considered in the

Telecommunications has been recognized as an
Budget allocation toward telecommunications has
Corrected
item-Total
Correiation
.74
.80
.68
.72
.70
Correiation
With
Criterion
.63*
.76*
.45*
.44*
.65*

Factor
Loading
.89
.84
.82
.81
.80
Significant at p < .001.

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