Investigation into How Managers Justify Investments in IT Infrastructure

Richmond Ikechukwu Ibe

Abstract


Abstract

Organization leaders are dependent on information technology for corporate productivity; however, senior managers have expressed concerns about insufficient benefits from information technology investments. The problem researched was to understand how midsized businesses justify investments in information technology infrastructure. The purpose of this study was to investigate the business factors or approaches leaders of midsize businesses use to justify these investments. A qualitative case study approach was used for this exploration, with a combination of individual interviews and a small focus group. Research questions asked about types of investments as well as justifications of these investments. The conceptual support for the study was organization performance theory. Data were collected using a self-designed questionnaire and from a small focus group session, which were coded and analyzed for themes and patterns related to investments and justification. Findings were that managers justify investments in information technology infrastructure based on intangible benefits, including efficiency, customer services, high productivity, and gaining competitive advantage. This research can be adopted for complex initiatives within levels of organizations such as economic development planning, leadership programs, government projects, environmental development, and infrastructure investment projects. Implications of positive social change include increased productivity and revenue, improved efficiency, employee satisfaction, and cost savings to the organizations.

 


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ISSN : 2251-1563