Measuring the Effectiveness of Computer-Based Information Systems in the Financial Services Sector

Abstract

Building on previous research, an instrument for measuring information systems effectiveness was designed and tested. Factor analysis of the results revealed several underlying constructs that are simple to interpret and encourage adoption of the instrument for general use in firms. It was found that performance varies widely between firms and that the better performers were those where the level of performance matched the perceived importance of the particular aspect of IS. Discriminant functions applicable to the chosen sample are discussed and a process for evaluating IS effectiveness in individual firms is presented.