AN EMPIRICAL INVESTIGATION OF THE RELATIONSHIP BETWEEN FIRM PERFORMANCE AND SYSTEM SUCCESS

Abstract

This study investigates the relationship between system success as operationalized by user information satisfaction (UIS) and various economic measures of firm performance. The findings indicate a significant positive but complex relationship between firm performance and UIS. In particular, we found that it is inappropriate to aggregate UIS scores across individuals within a firm. The CEO, Controller, and Production Manager within a firm tended to have quite different UIS scores, resulting in low interrater reliabilities. We also found, that the association between a respondent's UIS score and the measures of firm performance depended heavily on the position of the respondent and the particular performance measure employed.