Does Successful Investment in Information Technology Solve the Productivity Paradox?

Does Successful Investment in Information Technology Solve the Productivity Paradox?

Based on previous empirical research, there seems to be little relation between investment in information technology (IT) and financial performance (often referred to as the 'productivity paradox'). We hypothesize that this is due to the fact that many companies implement IT projects ineffectively. Like any other asset, IT must be utilized effectively to result in increased financial performance.

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