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Impact of knowledge Technology on Business Performance

Acquisition of It will always be directed at improving productivity, profitability superiority operations but Devaraj and Kohli (2003) were unable recognize the end result of technology round the business performance. Kelly (1994) found that the explanation for the possible lack of capability to properly explain the bond between technology and productivity was due to the aggregated unit of research in the industry level which boosts the complexity of isolating the outcomes connected having a individual technology. He noted that the chance of finding it usage impacts is determined by how detailed situation study is. Devaraj and Kohli (2003) pointed out that analyzing how much cash dedicated to May possibly not yield accurate method of calculating IT effectiveness because levels of usage may be different across industries, firms and operations. In their own personal contribution for the fledging debate about it usage impacts, Goodhue and Thompson (1995) described body between task and technology will have to be established before IT utilization can lead to individual performance impacts. To possess task- technology fit, we have got we’ve got the technology and targeted application will have to be compatible combined with the ease of access to qualified users who’ll utilize the technology (Goodhue & Thompson, 1995). This proposition ensures that IT infrastructure as well as the organization’s business goal will have to maintain alignment.

The IT usage literature has shown that there are among voluntary usage of IT and mandatoriness. Subjective norm is discovered to affect mandatory IT use whereas it absolutely was absent in voluntary use. Also, it absolutely was noted that cause technology really do not occur immediately but they’re recognized as time passes (Devaraj and Kohli, 2003 Hartwick and Barki, 1994). Peffers and Dos Santos (1996) conducted researching the market round the impact from this in banks and observed that blend-sectional studies that are done correctly after applications are positioned up may not yield preferred results by not finding benefits even if their is chance of large benefits. Their study revealed that impact from this on performance increased to get apparent after certain time lag which benefits of IT accrued more to early adopters than late adopters.


Devaraj, S., & Kohli, R. (2003). Performance impacts of understanding Technology:

Is actual usage the missing link. Management Science, 49(3), 273-289.

Goodhue, D.L, & Thompson, R. L. (1995). task technology fit and individual performance. MIS Quarterly, (19)2, 213-236.

Hartwick, J., & Barki, J. (1994). Explaining the part of user participation in information system use. Management Science. 40, 40-465.

Kelly, M. (1994). Productivity and understanding Technology: The elusive connection. Management Science, 40(11), 1406-1425

Peffers, K., & Dos Santos, L. (1996). Performance outcomes of innovative IT applications as time passes. IEEE Trans Engrg. Management, 43(4), 381-392.

Dr. Austin Umezurike is certainly a skilled It management consultant exceeding 15 years experience with business technology speaking to. He’s unique experience with while using combination of technology and business to achieve business and industry leadership in technology also to gain competitive advantage. His interests include Business IT strategy, Business assessment, Business IT alignment, Outsourcing/Sourcing, Logistics management, IT Audit/Compliance, training and home based business development strategies.

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