Business Value of IT: An Essay on Expanding Research Directions to Keep up with the Times

Much of the work on the business value of IT has examined relationships between IT inputs and economic outcomes of the firm. Yet, business executives and researchers continue to question the value of IT investments. We argue that while the current trajectory of research in this important area is useful, it is limited. In order to address the evolving nature of IT and the novel contexts in which it is being exploited, we must create a discontinuity in our thinking of how IT value should be studied. After summarizing what we have learned thus far, we discuss key new research themes that must be addressed if IT is to be demonstrably relevant. Further, we identify specific research thrusts, areas for theoretical development, and research questions on IT-based value that must be included in our research agenda for the future. We conclude by challenging IT researchers to consider the consequences of status quo research themes versus an expanded set of research questions.