<![CDATA[This study examines the impact of IT-driven innovation management on IT service effectiveness and competitive value creation within smart organizations. As digital transformation accelerates across industries, organizations are increasingly leveraging advanced IT solutions to enhance service delivery, responsiveness, and customer satisfaction. While traditional IT service management (ITSM) models focus on efficiency and structured processes, the integration of innovation management introduces new opportunities to improve service quality and operational agility. Through a quantitative research design, this study employs regression modeling to assess the relationship between IT-driven innovation management and two key outcomes: IT service effectiveness and competitive value creation. Data were collected from 100 technology-intensive organizations that actively integrate innovation into their IT service management processes. The results demonstrate that IT-driven innovation significantly enhances service quality, customer satisfaction, and organizational competitiveness. Furthermore, a curvilinear relationship was identified, indicating that while moderate innovation leads to improved outcomes, excessive innovation may have diminishing returns. These findings highlight the importance of balancing innovation efforts with business goals to achieve optimal performance. The study also compares innovation-driven IT service management with traditional models, illustrating how innovation fosters agility, responsiveness, and long-term value creation. The implications for smart organizations are clear: integrating innovation into IT service management is essential for maintaining a competitive edge in the rapidly evolving digital landscape. Future research should explore the long-term impact of innovation management on organizational sustainability and growth, considering external factors such as market volatility and technological disruptions.]]>
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