The Impact of Information Technology on Business Productivity

Nowadays it is generally accepted that businesses and enterprises are centered around information exchange, if they want to keep up the pace with the rapid changes and developments, they have to adapt to the new challenges of the Information Age. Accordingly, business information systems have been created with the purpose of offering effective help to the management and the employees of companies, making them able to cope with the increased burden of administration as well as with the responsibility of making strategic decisions. This study deals with the number of issues related to the implementation of business information systems, the problems encountered during their implementation, the expenditure on the development of a company's information technology infrastructure and the relative importance of information technology within the broader structure of an economic organization. Finally, it reveals that the inability of using properly designed information systems may result in damaging the operational effectiveness of companies and an irreversible loss of their competitiveness.