  Purpose: Managing IT with firm performance has always been a debatable topic
in literature and practice. Prior studies examining the above relationship have
reported mixed results and have yet ignored the eminent managing IT practices.
The purpose of this paper is to empirically investigate the relevance of ValIT
2.0 practice in managing IT investment, and its mediating role in the firm
performance context. Design,methodology,approach:This paper developed on two
themes of literature. First managing IT as a firm's IT capability in order to
generate value from IT investment. Second IT as a firm's resource under
resource-based view offers firm's competence that deploys potentials in
achieving firm performance. The structural equation modeling with PLS
techniques used for analyzing data collected from 176 organization's IT, and
business executives in China. Findings: The results of this study show
empirical evidence that Val-IT's components (value governance, portfolio
management, and investment management) are significantly linked to the
management of IT, and it found to be a significant mediator between Val-IT
components and firm performance. Research implications: This research
contributes to the literature and practice by way of highlighting the value
generation through managing IT on firm performance. Originality: This study is
fully based on ValIT 2.0 with the firm performance where the managing IT
mediate this relationship in a country-specific study in China. This study adds
to the Chinese information system literature which suffers the lack of
empirical studies in the context of management of IT research.
