Linkages Between the CEO and the IS Environment: An Empirical Assessment

Abstract

Executive involvement in information systems IS activities has been rigorously examined as a key factor in IS performance. Logic dictates that a more involved executive generates better IS performance. Further, theory indicates that organizational positioning of the IS department management near the top executive results in a more effective IS department. The relationship between these factors and several dimensions of the IS management process is investigated to compare logical and theoretical expectations with actual practices and results in the information processing area. In a nationwide survey, senior IS managers were asked to indicate the importance to their CEOs of several dimensions of the IS process, the extent to which their CEOs are involved in IS, and how their IS performance compares to that of competitors. Findings indicate that there are a variety of differences between prescriptive theory and actual practice. Although executive activities have a significant impact on several activities associated with the IS management process, executives do not effectively pursue these activities. Moreover, executive support through financial resources appears to promote better competitive IS performance than other modes of executive involvement.