IS INFORMATION SYSTEMS SPENDING PRODUCTIVE? NEW EVIDENCE AND NEW RESULTS
Name
MIT_CISR_WP_257_Is_Information_Systems_Spending_Productive_New_Evidence_and_New_Results_Brynjolfsson_Hitt.pdf
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863.5 KB
Format
Adobe PDF
Checksum (MD5)
1df71677cb1a15be3dee03aa3d4d5508
Author(s)
Brynjolfsson, Erik
Hitt, Lorin
Date Issued
June 1, 1993
Publisher
Cambridge, Mass.: Center for Information Systems Research, Sloan School of Management, Massachusetts Institute of Technology
Citation
Brynjolfsson, Erik and Lorin Hitt. “Is Information Systems Spending Productive? New Evidence and New Results.” Working paper 257, Center for Information Systems Research, Sloan School of Management, Massachusetts Institute of Technology, 1993. https://dspace.mit.edu/handle/1721.1/175256.
Series/Report no.
MIT Sloan School of Management Working Paper 3571-93
CISR Working Paper 257
Abstract
The "productivity paradox" of information systems (IS) is that, despite enormous improvements in the underlying technology, the benefits of IS spending have not been found in aggregate output statistics. One explanation is that IS spending may lead to increases in product quality or variety which tend to be overlooked in aggregate output statistics, even if they increase sales at the firm-level. Furthermore, the restructuring and cost-cutting that are often necessary to realize these potential benefits have only recently been undertaken in many firms.
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