Abstract
The purpose of this research paper is to identify the significant role of Strategic Information Systems (SIS) in supporting the Competitive Advantage (CA). It also explains its role on the dimensions that increase the competitive advantage which are the operational efficiency, information quality and innovation. In order to achieve the goal of this study and to collect the primary data, the researchers designed a survey, in the form of an electronic questionnaire. This survey instrument consisted of 20 questions. It was distributed to members of the study sample, which contains the managers at all levels, and the employees in the Saudi banking sector. The number of the participants included in the survey was 147. The results of this study revealed that there is a significant role of strategic information systems on increasing operational efficiency, improving the quality of information and promoting innovation. This in turn enabled the organizations to achieve higher levels of competitive advantages. The strategic information systems have deep consequences for organizations that adopt them; managers could achieve great and sustainable competitive advantages from such systems if carefully considered and developed. On the other hand, this study was conducted in the banking sector in KSA context. So, more research is needed in other sectors and in the context of other countries; to confirm and generalize the results. Finally, the paper's primary value lies in its ability to provide the evidence that the strategic information systems play a significant role in supporting and achieving the competitive advantages in Saudi Arabia, particularly in the banking sector. Since there was a lack of such research in the Saudi context, this paper can provide a theoretical basis for future researchers as well as practical implications for managers.