Strategic Information Management in Libyan Small Enterprises Implications for Organizational Culture in Management

Abstract

Most of the research done on Strategic Information Management (SIM) is based on the experiences of large firms in advanced economies and therefore lacks an understanding of how information management practices function in small businesses operating in difficult and resource-starved settings. The present research seeks to fill this void by analysing the impact that SIM practices have on organisational culture among SMEs in Libya, particularly through their effect on decision-making efficiency and strategic knowledge, with centralisation as the moderator variable. Quantitative analysis using regression and PLS-SEM reveals that SIM significantly predicts decision-making effectiveness (β = 0.52, p < 0.01) and organisational culture (β = 0.47, p < 0.01), while decision-making also significantly predicts culture (β = 0.39, p < 0.01). Strategic awareness mediates the SIM–culture relationship (β = 0.21, p < 0.01), and centralisation moderates the SIM–decision-making link (β = 0.18, p < 0.05). This model can explain 58% of the variability in organisational culture. Results from the qualitative approach demonstrate that SMEs depend largely on informal and experiential sources of information, whereby SIM is integrated into socio-cultural and leadership contexts, rather than being based on formal mechanisms. This study finds that SIM in SMEs works as a socio-cultural capability.