The impact of Information technology on competitive advantage: A Field Study at Cement Factories in Yemen

Abstract

This study investigates the impact of information technology (IT) across its five key dimensions: hardware, software, networks, databases, and human resources, on competitive advantage within Yemen’s five operational cement factories. Adopting a descriptive, quantitative, analytical approach, data were collected through a structured questionnaire administered to the entire workforce, excluding personnel in security, services, agriculture, and manual labor roles. Out of a total population of 1,485 employees, a stratified random sample of 400 was selected, yielding 357 responses, of which 338 were deemed valid for analysis.

Data analysis was conducted using SPSS (version 28) and SMART PLS (version 4.08.6), employing a range of appropriate statistical techniques. The findings revealed a relatively high level of IT adoption across the studied factories, alongside a significant presence of competitive advantage practices. Furthermore, when considered collectively, the study confirmed a statistically significant relationship between IT and competitive advantage. Among the individual IT dimensions, the human resources component exerted the most substantial impact, followed by software and communication networks. In contrast, hardware and databases did not demonstrate statistically significant effects.

The study recommends fostering a culture of digital transformation within cement factories through targeted training programs, modernization of IT infrastructure, and balanced investment across all IT components. Additionally, it emphasizes the strategic use of IT in quality control and data analytics, as well as allocating dedicated budgets for upskilling personnel in advanced systems.