The Role and Impact of Information Technology in Australian Business

Abstract

This paper reports the results of a study of the top 530 organizations in Australia which was conducted to determine whether organizations use IT as a strategic tool to meet competitive issues. Significantly this research addressed the following questions: How well organizations matched their IT investment plans with their strategic planning; how well IT strategies were formulated; how well IT systems were implemented and what were the critical success factors and impediments; and whether organizations were truly getting value from their IT investment. The findings have shown the causes of misused IT in some organizations, such as IT strategy not closely aligned with business strategy, no change of historical IT structure, lack of understanding of the potential of IT, lack of CEO and senior management support and awareness of IT's potential, impediments to IT development and implementation. Although in many organizations the role of IT development has become proactive and strategic to gain competitive advantage through primary and support activities, it has still not unleashed ITs full potential.

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