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Empirical Evidence Of Diminishing Payoff From Successive Generations Of Information Systems, Gerald E. Evans, Neil Morton

Journal of International Technology and Information Management

Previous research has focused on a number of important variables that can influence the observed payoffs from information systems investments. In the current investigation conducted in the spring of 2002, personal, on-site interviews were conducted in 138 small and medium sized businesses. Vendor involvement in systems development was less related to systems cost than previously. Unfortunately, vendor involvement was unrelated to any of the four measures of systems success in the entire sample. Further analysis revealed a strong relationship between information system generation and payoffs. Specifically, there appeared to be a point of diminishing return with subsequent generations of information …