Information Economics: linking business performance to information technology

1990 ◽  
Vol 5 (1) ◽  
pp. 55-58 ◽  
Author(s):  
Stephanie Lester
Keyword(s):  
Information Technology ◽  
Business Performance ◽  
Information Economics

Effects of Information Technology on Business Performance and the Use of Accounting Measures

2015 ◽  
pp. 285-294
Author(s):  
Jorge A. Romero
Keyword(s):  
Information Technology ◽  
Firm Performance ◽  
Business Performance ◽  
Future Research ◽  
Research Directions ◽  
It Investments ◽  
Positive Effects ◽  
Different Types ◽  
Future Research Directions ◽  
Area Of Study

The understanding of the link between Information Technology (IT) investments and firm performance is still not completely understood in spite of numerous studies. However, these studies are not united in how they examine the effects of IT on business performance. They differ in their criteria, methodologies, and samples. Therefore, while there are positive effects associated with IT on firm performance, it is still difficult to reach overarching conclusions and highlight that there is still a need for further research. Specifically, this chapter contributes to this area of study by discussing the different types of benefits that firms can get from IT investments, examining the use of accounting variables to quantify the effect of IT, and providing future research directions.

Strategic Alignment Between Business and Information Technology

2011 ◽  
pp. 3582-3588
Author(s):  
Fernando José Barbin Laurindo
Keyword(s):  
Information Technology ◽  
Value Chain ◽  
Business Performance ◽  
Business Processes ◽  
Continuous Process ◽  
Strategic Alignment ◽  
It Effectiveness ◽  
Strategic Value ◽  
It Applications ◽  
Important Position

Information technology (IT) has assumed an important position in the strategic function of the leading companies in the competitive markets (Porter, 2001). Particularly, ecommerce and e-business have been highlighted among IT applications (Porter, 2001). Two basic points of view can be used for understanding IT’s role: the acquisition of a competitive advantage at the value chain, and the creation and enhancement of core competencies (Porter & Millar, 1985; Duhan, Levy, & Powell, 2001). Several problems have been discussed concerned with IT project results in effectiveness of their management. Effectiveness, in the context of this article, is the measurement of the capacity of the outputs of an information system or of an IT application to fulfill the requirements of the company and to achieve its goals, making this company more competitive (Shimizu, Carvalho, & Laurindo, 2006). There is a general consensus about the difficulty of finding evidence of returns over the investments in IT (the “productivity paradox”), even though this problem can be satisfactorily explained (Farrell, 2003). Carr (2005) defends the idea that IT in itself has no more strategic value, since it is so widely disseminated that it could not be a source of strategic differentiation anymore. In order to better use these investments, organizations should evaluate IT effectiveness, which allows the strategic alignment of objectives of implemented IT applications and their results with the company business vision (Shpilberg, Berez, Puryear, & Shah, 2007; Laurindo & Moraes, 2006). Besides, it must be highlighted that if IT applications are associated with changes in business processes, it is possible to notice greater impacts in business performance (Farrell, 2003). According to Benko and McFarlan (2003), three aspects must be taken into account about IT strategic alignment: IT projects portfolio, business objectives, and the constantly changing situation of business environment. Thus, the comparison and evaluation of business and IT strategies and between business and IT structures must be a continuous process, since the company situation is constantly changing to meet market realities and dynamics.

Information Technology and Diversification

2011 ◽  
pp. 2460-2474 ◽  
Author(s):  
Namchul Shin
Keyword(s):  
Information Technology ◽  
Information Systems ◽  
Empirical Research ◽  
Business Performance ◽  
Relative Impact ◽  
Scope Economies ◽  
Business Units ◽  
Strategic Emphasis ◽  
Related Diversification ◽  
The Relationship

While the importance of IT coupled with organizational changes for business performance has been widely discussed in the information systems (IS) literature, there has been little empirical research on the issue. This research examines empirically the relationship between IT and diversification by employing multiple diversification measures. It also examines empirically the relative impact on performance of IT and diversification. Results show that diversification coupled with increased IT spending improves firm performance when its strategic emphasis is on related diversification. The results also show that firms place strategic focus on related diversification when they increase IT spending, and that they require more IT when their strategic emphasis is tilted toward related diversification. The findings imply that by providing a better means of coordination, IT enables scope economies, efficient utilization of business resources and collaboration across individual business units, eventually leveraging the benefits of diversification.

Effect of Information Technology on Warehousing and Inventory Management for Competitive Advantage

2021 ◽  
pp. 570-593
Author(s):  
Ilyas Masudin ◽  
Bangalie Sumah ◽  
Fien Zulfikarijah ◽  
Dian Palupi Restuputri
Keyword(s):  
Information Technology ◽  
Organizational Performance ◽  
Customer Service ◽  
Inventory Management ◽  
Business Performance ◽  
Labor Costs ◽  
Adoption Of Technology ◽  
Use Of Technology ◽  
Customer Responsiveness ◽  
Product Delivery

This chapter examined how the use of technology in inventory control impacts organizational performance since inventory is the most valued asset of an organization. From the summary of this study, it can be concluded that the adoption of technology as RFID in inventory management leads to improve the organizational performance in both financial and customer responsiveness. In the business performance, RFID could improve the organizational performance in terms of reducing inventory carrying costs on the warehouse, such as lowering the expiring cost of the product stocked, increasing space in a warehouse, avoiding exceed inventory, and decreasing labor costs. Moreover, from the perspective of customer service, the adoption of RFID could increase customer responsiveness in terms of reducing stock out risk, increasing the accuracy of product delivery, and increasing the interaction between customers with the organization.

The Roles of Information Technology and Knowledge Management in Project Management Metrics

2016 ◽  
pp. 229-259
Author(s):  
Kijpokin Kasemsap
Keyword(s):  
Information Technology ◽  
Information System ◽  
Knowledge Management ◽  
Project Management ◽  
Organizational Performance ◽  
Business Performance ◽  
Global Business ◽  
It Capability ◽  
The Social ◽  
Strategic Goals

This chapter reveals the roles of Information Technology (IT) and Knowledge Management (KM) in Project Management (PM) metrics, thus explaining the theoretical and practical concepts of IT, IT capability, Information System (IS) effectiveness, KM, and PM; the measures of IT, KM, and PM metrics; and the significance of IT and KM in PM metrics. The fulfillment of IT and KM is essential for modern organizations that seek to serve suppliers and customers, increase business performance, strengthen competitiveness, and achieve constant success in global business. Therefore, it is crucial for modern organizations to explore their IT and KM applications, establish a strategic plan to routinely inspect their functional advancements, and promptly respond to the IT and KM needs of customers. The chapter argues that applying IT and KM in PM metrics has the potential to enhance organizational performance and achieve strategic goals in the social media age.

The Role of Strategic Outsourcing in Global Business

2016 ◽  
pp. 325-357 ◽  
Author(s):  
Kijpokin Kasemsap
Keyword(s):  
Information Technology ◽  
Organizational Performance ◽  
Business Process ◽  
Business Performance ◽  
Business Process Outsourcing ◽  
Global Business ◽  
Business Goals ◽  
Strategic Outsourcing ◽  
Performance Enhance

This chapter reveals the role of strategic outsourcing in global business, thus describing the theoretical and practical concept of strategic outsourcing; the management theories related to strategic outsourcing; the applications of Business Process Outsourcing (BPO) and Information Technology Outsourcing (ITO); and the significance of strategic outsourcing in global business. The fulfillment of strategic outsourcing is vital for modern organizations that seek to serve suppliers and customers, improve business performance, enhance competitiveness, and reach continuous achievement in global business. Therefore, it is necessary for modern organizations to explore their strategic outsourcing, establish a strategic plan to usually check their practical advancements, and immediately respond to strategic outsourcing needs of customers in modern organizations. The chapter argues that applying strategic outsourcing in global business has the potential to increase organizational performance and attain business goals in the digital age.

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