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Research in information systems (IS) indicates an absence of clear-cut models to assess IS effectiveness. While the costs are easily identifiable it is the benefits which are most difficult to assess due to the scope of impact of information systems. In order to provide structure to the problem this paper presents a hierarchical approach to develop an IS effectiveness model using structured modelling techniques. This study uses the prior research work and a survey to identify and relate factors of IS effectiveness. The results of the model show that ‘improving systems integration’ has the highest influence on information systems effectiveness, followed by ‘facilitating information retrieval’. We were able to validate our results by showing that they are consistent with the widely accepted ‘stages model’ of IS development. Of particular interest is the finding that significantly high levels of IS effectiveness are experienced by organizations in the penultimate or final stage of IS development. The most significant contribution of this study is the development of a comprehensive IS effectiveness evaluation framework that resolves many subjective dilemmas of traditional user-centred evaluation approaches. Copyright © 1999 John Wiley & Sons, Ltd.
Kanungo et al. (Mon,) studied this question.