The Strategic Role of Information Technology on Organization Financial Performance: A Case of XYZ Paper Industry Limited, Kenya
Abstract
The digital revolution has given mankind the ability to treat information with mathematical precision, to transmit it at very high accuracy and to manipulate it at will. Information Technology innovations have the potential for changing the competitive game for any organization. This is because it helps to catalyze efficiency in the provision of better procedures resulting in better production and services. This study aimed at determining the strategic role of Information Technology on organization financial performance, a case of XYZ Paper Industry Limited, Kenya. The objectives were to find out the effect of Information Technology on financial performance of XYZ Paper Industry Limited and to assess the challenges facing the embracement of Information Technology XYZ Paper Industry Limited. The study used descriptive research design and used 51 who were drawn from various departments of XYZ Paper Industry Limited. The study made use of both secondary (literature review) and primary data. Primary data was collected by means of questionnaires and analysed using Statistical Package for the Social Sciences (SPSS). It was found that Information Technology plays a strategic role in the company,which results in improved financial performance of the company. A few challenges that affected the adoption of Information Technology were also highlighted such as budget of the company, government regulations, attitude of the staff, changes of Information Technology platform (obsolescence) among other were found to be challenges Information Technology faces. This research concluded that I.T indeed has a stategic role in the improvement of financial performance.
Keywords: Strategic Role of Information Technology, Organization Financial Performance, XYZ Paper Industry Limited, Kenya
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