How companies create value with technology

Summary form only given as follows. This paper examines the process by which we can measure the impacts of technology on business companies. The paper considers the state of knowledge in this area. It starts with a discussion of what business companies want and what technology can deliver. Needs, expectations and goals are examined as they relate to actors in the company. A model is then suggested of what companies want, what technology can deliver, and the value that is thus created. The paper also proposes a model that allows for computations of the value companies create with technology. Eight propositions are then advanced on how industrial companies exploit technology to create business value. The paper discusses several issues such as the link between technological innovation and market disposition, and offers a model that explains the advantages and disadvantages to industrial companies from radical technological innovations and hyper competition. The paper concludes with suggestions for companies to consider the generation of value from technology as a complex and multidimensional process, rather than a simple link between investments in R&D and strategic objectives.