Fostering IT Governance in SMEs to Reinvigorate Indian Economy: Achievment Assessment of Select Manufacturing Firms
VIBHAVAT-2014 Conference Proceedings book with ISBN:978-81-929698-0-0, 2014
16 Pages Posted: 2 Nov 2014
Date Written: October 15, 2014
Abstract
Indian economy has attained robust growth in recent years as indicated by a GDP of 1.877 trillion USDs (2013 estimates). The contribution of Small and Medium Enterprises (SMEs) to GDP has increased significantly to nearly 8 percent. SMEs have been able to augment their productivity and performance through the integration of Information Technology and Business Intelligence Systems with their operational, transactional and transformational functions. Small firms mostly use standalone IT infrastructural applications like time management systems, Leave and Attendance Management Systems, Work flow technologies, Payroll, Performance Management Suites, E-Surveillance systems, etc. Integration of IT systems with enterprise governance generates strategic value to businesses by ensuring augmented productivity, process consistency standardization of activities, predictability, scalability and auditability. This paper assesses the achievements and outcomes of IT Governance (ITG) in Small and medium-sized manufacturing firms in India and their consequential impact on Indian Economy. IT governance is a sub system under enterprise governance. To examine the efficiency gains arising to SMEs due to ITG, Focus group interview and survey techniques were adopted. Opinion of the senior managers or executives of 43 small and medium manufacturing enterprises in three south Indian states of Karnataka, Tamil Nadu and Andhra Pradesh was sought.
Keywords: IT Governance, scalability, process consistency, predictability, auditability, standalone applications, integrated IT applications
JEL Classification: L20
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