The Significance of Management Competencies Towards the Success of Information Technology Investments and Business Strategies and Its Impact on Company Performance

Author:

Sudrajat Sudrajat1,Lindrianasari Lindrianasari1,Putri Nurohmayani1

Affiliation:

1. Accounting Department University of Lampung, INDONESIA

Abstract

Information technology had an important role for organizations in both the public and private sectors to face intense competition and product and market expansion. Organizations try to dominate the industry through the application of technology in every line of business, but the decision to invest in information technology is not always successful. Various technology investment failures are caused by a lack of management competence which results in maintenance costs increasing beyond the budget. This research analyzes the influence of Management Competency on information and strategic technology investment and its impact on company performance. The population analyzed is companies in the communications, manufacturing and financial sectors listed on the Indonesia Stock Exchange in 2018-2021. The research results show that management competency has a very significant influence on Information Technology Investment and Business Strategy, and has a very strong influence on company performance

Publisher

World Scientific and Engineering Academy and Society (WSEAS)

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