Net Impact

Key Findings

Research methodology

productivity

drivers
Drivers of Internet Productivity

  Factors driving financial impact of the Internet
  Predictors of increased revenue from the Internet


Factors driving the financial impact of Internet business solutions
The Net Impact Study demonstrates that organizations adopting Internet business solutions are realizing significant financial returns from their efforts. Another important outcome of this study is the ability to identify the characteristics and similarities of the organizations that are seeing enhanced revenue and reduced costs from their Internet business solutions efforts.

Somewhat surprisingly, a company's size and size of IT budget were not significant predictors of a company's success in realizing either increased revenue or decreased costs from their Internet technology efforts.

The areas that are highly correlated with positive financial returns include:

  • How the firms allocated their IT expenditures between hardware, software, personnel, and communications and networking hardware
  • The number of Internet business solutions currently being adopted
  • The role IT played in an organization's business philosophy or strategy
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Predictors of increased revenue from Internet business solutions
In the United States, Telecommunications organizations as a group were more likely to have increased revenue from their current Internet business solution efforts. Analysis of the data across industries showed that organizations currently experiencing increased revenue were similar in their:

  • Adoption of Internet business solutions in several business application areas
  • Establishment of metric systems to track the return on their Internet solutions efforts
  • Through larger government surpluses, which leave room for tax cuts and/or added spending on social programs that improve quality of life
Organizations that experienced the highest levels of revenue generation from their Internet business efforts had a slightly more focused profile. Organizations that indicated the greatest levels of revenue generation:
  • Spent a greater portion of their IT budget on communication and networking hardware than on other IT line items
  • Were deploying multiple Internet business solutions, but specifically Customer Service & Support and R&D-oriented technology
  • Were working to enforce data standardization across the organization
  • Focused on making sure mobile users had access to the same data remotely as they did on their desktops
  • Were experiencing greater purchase volumes from existing customers since the adoption of Internet business solutions
These regression results are important because they suggest that organizations experiencing increased revenue from their Internet business solutions are actively tracking the impact of their efforts, are shifting existing business processes to accommodate or leverage new technologies, and are actively working on Internet-based solutions in more than one area of their business.

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Net Impact Research Series  |  Net Impact: National Economic Benefit  |  Key Findings  |  Productivity Overview  |  Drivers of Productivity  |  Research Methodology