Insight & Analysis
How Much Do Your IT Investments Really Matter?
Published: September 1, 2005
 
 
Invest to Grow

A study finds IT is critical to corporate revenue growth because it can enable companies to scale.

Download the study (Microsoft Word file, 4.2 MB)
A global study by Keystone Strategy suggests that how well you equip your company with information technology (IT) has become a more important factor to increasing profitability and revenue than how much you spend. Keystone Strategy is a global research organization formed by professors from the Harvard University Business School.

This study found that the role of IT is critical to corporate revenue growth because it can enable companies to scale. In other words, businesses appropriately equipped with IT are more effectively able to manage and accommodate the necessary increases in complexity of processes, organization, and business model that accompany business success.

This ability to scale business processes without serious organizational disruption is not, as some may assume, simply a result of the amount of money a company invests in IT. In fact, it can be easy to spend considerable sums on IT yet realize very few overall benefits.


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