TITLE: THE IMPACT OF INFORMATION SYSTEMS INVESTMENT ON BUSINESS

PERFORMANCE
BACKGROUND AND MOTIVATION OF THE STUDY
Information system is the technoo!y "se# to store$ mani%"ate$ #istri&"te or create
information' The technoo!y is any mechanism ca%a&e of %rocessin! this #ata' Information
systems often ha(e si!nificant conse)"ences for the content an# the sha%e of *or+ in
or!ani,ations 'information system$ an inte!rate# set of com%onents for coectin!$ storin!$
an# %rocessin! #ata an# for #ei(erin! information$ +no*e#!e$ an# #i!ita %ro#"cts'
B"siness firms an# other or!ani,ations rey on information systems to carry o"t an# mana!e
their o%erations$ interact *ith their c"stomers an# s"%%iers$ an# com%ete in the mar+et%ace'
For instance$ cor%orations "se information systems to reach their %otentia c"stomers *ith
tar!ete# messa!es o(er the -e&$ to %rocess financia acco"nts$ an# to mana!e their h"man
reso"rces' .o(ernments #e%oy information systems to %ro(i#e ser(ices cost/effecti(ey to
citi,ens' 0i!ita !oo#s$ s"ch as eectronic &oo+s an# soft*are$ an# onine ser(ices$ s"ch as
a"ctions an# socia net*or+in!
An information system 1IS2 is any com&ination of information technoo!y an# %eo%e3s
acti(ities that s"%%ort o%erations$ mana!ement an# #ecision ma+in!' In a (ery &roa# sense$
the term information system is fre)"enty "se# to refer to the interaction &et*een %eo%e$
%rocesses$ #ata an# technoo!y' In this sense$ the term is "se# to refer not ony to the
information an# comm"nication technoo!y 1ICT2 that an or!ani,ation "ses$ &"t aso to the
*ay in *hich %eo%e interact *ith this technoo!y in s"%%ort of &"siness %rocesses'
Some ma+e a cear #istinction &et*een information systems$ com%"ter systems$ an# &"siness
%rocesses' Information systems ty%icay inc"#e an ICT com%onent &"t are not %"rey
concerne# *ith ICT$ foc"sin! in instea#$ on the en# "se of information technoo!y'
Information systems are aso #ifferent from &"siness %rocesses' Information systems he% to
contro the %erformance of &"siness %rocesses'
Ater ar!"es for an information system as a s%ecia ty%e of *or+ system' A *or+ system is a
system in *hich h"mans an#4or machines %erform *or+ "sin! reso"rces to %ro#"ce s%ecific
%ro#"cts an#4or ser(ices for c"stomers' An information system is a *or+ system *hose
acti(ities are #e(ote# to %rocessin! 1ca%t"rin!$ transmittin!$ storin!$ retrie(in!$ mani%"atin!
an# #is%ayin!2 information'
As s"ch$ information systems inter/reate *ith #ata systems on the one han# an# acti(ity
systems on the other' An information system is a form of comm"nication system in *hich
#ata re%resent an# are %rocesse# as a form of socia memory' An information system can aso
&e ca%a&e of anay,in! an or!ani,ationa 1or &"siness2 #ata an# then %resents' it in a *ay that
he%s the "ser to ma+e &"siness #ecisions more efficienty an# effecti(ey' It is &asicay an
informationa a%%ication *hich #e%en#s on the information area#y in%"t *hie ans*erin! to
a !i(en )"ery' For e5am%e$ a #ecision s"%%ort system co"# %ro(i#e6
7 Com%arati(e saes fi!"res for one *ee+4month an# the ne5t
7 Pro8ecte# re(en"e fi!"res &ase# on ne* %ro#"ct saes ass"m%tions
7 Conse)"ences of #ifferent #ecision aternati(es$ !i(en %ast e5%erience
Sometimes there is an o(era% &et*een the &roa# cate!ories of IS an# a 0SS co"# &e
ca%a&e of %resentin! information !ra%hicay thro"!h an e5%ert system or artificia
intei!ence 1AI2' Us"ay the 0SS is "se# &y a e(es of %eo%e *ithin a &"siness
or!ani,ation' To% e(e mana!ement "ses 0SS for strate!ic #ecisions$ mi##e mana!ement
"ses for tactica #ecision *hie first ine s"%er(isors "se #e%oy it for #ay/to/#ay o%erationa
#ecisions'
Therefore$ the %rocess of #ecision/ma+in! in any &"siness is an inherenty (ita as%ect not
8"st for or!ani,ations &"t aso for in#i(i#"as *ho !reaty rey on these #ecisions for their
s"r(i(a in the hi!hy com%etiti(e arena of entre%rene"rshi%'
Objectives
The main o&8ecti(e of this st"#y is to e5amine the im%act of information system in(estment
on &"siness %erformance6 other o&8ecti(es are
9' To e5amine the contri&"tion of Information system in(estment on or!anisationa o"t%"t
:' To e5amine the contri&"tion of Information System in(estment on or!ani,ationa
efficiency
;' To e5amine the contri&"tion of Information System in(estment on #ecision ma+in!
Reseac! "#esti$%s
9' -hat are the contri&"tions of Information system in(estment on or!ani,ationa o"t%"t <
:' -hat are the contri&"tions of Information System in(estment on or!ani,ationa efficiency
;' -hat are the contri&"tions of Information System in(estment on #ecision ma+in!<
H&'$t!eses
H96 Information system in(estment ma+es a %ositi(e contri&"tion to firm o"t%"t
H:6 Information System in(estment ma+es a %ositi(e contri&"tion to a&o"r %ro#"cti(ity
H;6 Information System in(estment ma+es a %ositi(e contri&"tion to #ecision ma+in!
Si(%i)ica%t $) t!e st#*&
The %resent st"#y *i "n#erta+en he%s to o&tain a &etter "n#erstan#in! of the factors$ an#
their #ynamics contri&"tion on the im%act of information system in(estment on &"siness
%erformance The *or+ he%s or!ani,ations to &etter %an for$ mana!e an# increase
or!ani,ationa %erformance thro"!h information system' It *i aso ser(es as &o#y of
+no*e#!e for researchers an# %otentia st"#ent researcher'
Met!$*$+$(& , Reseac! '+a%
Met!$* a%* I%st#-e%ts $) Data C$++ect
Secon#ary an# %rimary #ata *i &e "se# to coect information an# #ata on this co"rse of this
%ro%ose# )"estionnaire
1a2 .i-a& *ata 1 ="estionnaires2
Sef )"estionnaire *i &e %ersonay #esi!ne# an# a#ministere# to the res%on#ents
Persona inter(ie* *i &e con#"cte# to &aance the inf"ence of cose# en#e# )"estionnaire
that *i &e #esi!ne#'
/b0 Sec$%*a& *ata
Secon#ary #ata so"rce *i &e o&taine# from &oo+s$ Em%irica 8o"rnas$ Artices$ Ne*s%a%ers
an# internet
Data A%a+&sis
The #ata *i &e o&taine# thro"!h the sef #esi!ne# )"estionnaires an# *i &e anaysis &y
"sin! SPSS #escri%ti(e statistic$ AOVA an# re!ression anaysis to test the hy%otheses an#
inter%retation'