Revisiting the Impact of Information Technology Investments on Productivity

2011 ◽  
pp. 296-322
Author(s):  
Myung Ko ◽  
Jan Guynes Clark ◽  
Daijin Ko
Keyword(s):  
Information Technology ◽  
Predictor Variable ◽  
Value Added ◽  
It Investments ◽  
Interaction Variable ◽  
Information Technology Investments ◽  
Technology Investments ◽  
The Impact ◽  
The Relationship

This article revisits the relationship between IT and productivity, and investigates the impact on information technology (IT) investments. Using the MARS techniques, we show that although IT Stock is the greatest predictor variable for productivity (Value Added), it is only significant as an interaction variable, combined with Non-IT Capital, Non-IT Labor, Industry, or Size.

Revisiting the Impact of Information Technology Investments on Productivity

2010 ◽  
pp. 1801-1823
Author(s):  
Myung Ko ◽  
Jan G. Clark ◽  
Daijin Ko
Keyword(s):  
Information Technology ◽  
Predictor Variable ◽  
Value Added ◽  
It Investments ◽  
Interaction Variable ◽  
Information Technology Investments ◽  
Technology Investments ◽  
The Impact ◽  
The Relationship ◽  
D Value

This article revisits the relationship between IT and productivity, and investigates the impact on information technology (IT) investments. Using the MARS techniques, we show that although IT Stock is the greatest predictor variable for productivity Ko, M.; Clark, J.G.; Ko, D.(Value Added), it is only significant as an interaction variable, combined with Non-IT Capital, Non-IT Labor, Industry, or Size.

scholarly journals Analysis And Measurement Of The Impact Of Information Technology Investments On Performance In Mexican Companies: Development Of A Model To Manage The Processes, Projects And Information Technology Infrastructure And Its Impact On Profitability

2011 ◽  
Vol 6 (10) ◽  
Author(s):  
Ricardo Sierra Martínez ◽  
Carlos Miguel Barber Kuri
Keyword(s):  
Information Technology ◽  
Internal Rate Of Return ◽  
It Infrastructure ◽  
Technology Infrastructure ◽  
It Investments ◽  
Information Technology Infrastructure ◽  
Information Technology Investments ◽  
Company Directors ◽  
The Impact ◽  
Australian Universities

In Mexico, companies invest enormous resources in information technology (IT), with little evidence of the latters effectiveness. Company directors struggle with gauging how effective or ineffective making these investments truly is, given the lack of instruments of measurement by which to establish, for instance, an internal rate of return or a period of recovery on investments. There is also no evidence by which to link IT investment to improvements in a companys performance or profitability. While several American and Australian universities have developed studies that address these issues, for the most part these are limited to their respective countries and in some cases to Canada and Europe. Thus, there is a lack of empiric evidence in the Mexican scenario. Being able to analyze and measure the impact of IT investments is an important first step into making these resources more efficient. Based on the following analyses, one will identify the variables that intervene in successful and/or unsuccessful management of processes and projects, as well as in the administration of IT infrastructure.

scholarly journals The Impact Of Information Technology Investments On Managerial Decision Making: Evidence From Dividend Payout

2011 ◽  
Vol 18 (3) ◽  
Author(s):  
T. Selwyn Ellis ◽  
K. Michael Casey ◽  
Hani I. Mesak
Keyword(s):  
Information Technology ◽  
Agency Cost ◽  
Font Size ◽  
It Investment ◽  
Managerial Decision ◽  
Dividend Payout ◽  
It Investments ◽  
Managerial Decisions ◽  
Information Technology Investments ◽  
The Impact

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt;"><span style="mso-bidi-font-size: 10.0pt;"><span style="font-size: x-small;"><span style="font-family: Times New Roman;">Investments in Information Technology (IT) are an increasing part of organizational expenditures in spite of the fact that there is little evidence in the existing literature that suggests these investments are related to the organization&rsquo;s performance. The uncertainty of IT investment payoff should be reflected in other managerial decisions. This research examines Rozeff's (1982) agency cost/transaction cost tradeoff model to determine if IT investments are related to dividend payout ratios for an organization. A dividend payout model including an IT investment variable is estimated. The estimation results suggest that a significant positive relationship exists between dividend payout and a firm&rsquo;s IT investments.</span></span></span></p>

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