I spent the wait time at LaGuardia on my return from Europe a few days ago reviewing the Spring 2012 issue of the MIT Sloan Management Review. Not surprisingly, I found something valuable related to technology, analytics and business in the latest edition.
The first article that caught my eye was “The Impact of IT Investments on Profits,” by academic Sunil Mithas and others. The summary presented in SMR noted research data from 400 global companies collected from 1998-2003 showing a positive effect of IT investment on firm profitability. That’s certainly not surprising, but the finding that “investment in IT had a greater impact on a company’s profits than comparable spending on either advertising or R&D” was. So I downloaded the source study paper and examined the research in more detail.
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