Study of the effects of IT implementation risks on firm’s non-financial performance

Information Technology (IT) has changed the ways of business enterprise operation and management . The implementation of an information system by an organization is not a harmless and risk-free procedure. Here we are going to refer to the non-financial impact of information systems implementation on firm’s performance examining IT/IS implementation risks. It focuses on giving a better insight of the variables that consist and determine both IT implementation risks and the three fundamental measurements of a firm’s performance. More specifically, IT risks are decomposed into six measured risk variables: (i) exclusivity, (ii) information integrity, (iii) controllability, (iv) user operations, (v) continuity, and (vi) management ability and firm performance is measured by productivity, coordination and information ability. Then an attempt is made to examine the relationship between each risk variable with each of the three differentperformance variables. The main objective is not only to explore which risks affect what type of performance, but also the magnitude of their relationships.

Keywords:

IT Risk , non-financial performance , information technology