Influence of Information Technology Investment on Firm Productivity: A Cross-Sectional Study

Subhash Dasgupta, Joseph Sarkis, and Srinivas Talluri

Logistics and Information Management, Vol. 12, Nos. 1/2, pp. 120-129, 1999

Impact of information technology on firm productivity has received significant attention in information systems literature. Although many studies were performed to investigate this effect, the results were not conclusive in supporting a systematic effect. This study investigates this phenomenon in both manufacturing and service industries. We utilize a combination of various data envelopment analysis models and nonparametric statistical techniques in testing for the influence of information technology investment on firm productivity. Our results provide some very interesting insights and recommendations.


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