While businesses are investing enormous resources in information technology (IT), there is little evidence linking IT investment to organizational performance. The purpose of this article, therefore, is to increase understanding of the basis for IT investment in firms. Six mini case studies of companies in five different industries address questions of how they define IT for the purpose of determining the level of investment, how they track IT investments, and what other factors influence IT investment decisions. Each organization uses a different definition of IT, but there appears to be an overall trend to broaden the definition. Although companies track IT investment with varying degrees of rigor, they appear to be generally moving toward centralized tracking of all IT investment. Political considerations are important and significantly impact investment decisions. In all cases, the effectiveness with which IT investment is converted to useful output is acknowledged to be affected by the implementation process, the culture of the organization, and the skill of management. Three major implications for practitioners responsible for IT investment are: the need to adopt a broad definition of IT and track it over time against a convenient base; the need to separate different types of investment and match them to appropriate organizational performance measures; and the need to take into account factors such as management commitment and previous experience with IT. The latter impacts the effectiveness with which the firm converts it investment into useful outputs.
Computer chargeback systems are installed to meet various data processing objectives. One objective is to increase user involvement in decisions regarding information systems development and use. Presumably, increasing user involvement will result in more effective information systems. In a field study the authors examine the relationship between various characteristics of a computer chargeback system, the quality of the chargeback system's user interface, user involvement, and user attitudes about information systems services. Suggestions are given both for the practicing information systems manager and for future information systems researchers.
The role of the information systems manager has evolved in twenty years from that of a technician managing a relatively unimportant service function into that of a vice presidential-level, general manager whose department can substantially impact the entire organization. In this article we trace, by example, the historical evolution of the job, and through an observational study of six information systems managers, examine the position today. The analysis includes the daily activities of the managers, the nature of the oral contacts that constitute 76% of their day, and other notable observations. The information systems manager's role is depicted as one of coordinator, motivator, and planner, with a cadre of experts, both internal and external, who provide technical expertise.
Although much has been about the centralization versus decentralization of information services, relatively little is known about how the structure of an organization influences the level of centralization or decentralization. This paper presents the results of a study which examined the organizational context of the information services function. The authors attempted to identify those organizational characteristics that are associated with the structure of the information services function. If was found that the organizational environment does have an influence upon the level of decentralization of information services. Few organizational characteristics, however, were found to influence the structure of information services consistently across all organizations. Further research relating organizational form to its impact on information services is suggested.