Does IT have a real business value?

Abstract

The business value of information technology (IT) has been debated for a number of years. While some authors attributed large productivity improvements, substantial value added contribution and impact on business performance, others report that IT has not had any bottom-line impact. Nevertheless productivity, value added and business profitability are related, they are ultimately separate questions. Using the results of the survey on enterprise computing in 92 Slovene large organizations several relevant hypotheses are tested. The results show that IT investments reflect in increased productivity and value added. However, the link between IT investments and business performance has not been confirmed.

Keywords

• information technology
• business value
• Slovenia