Abstract
Following the economic liberalization in 1990s, several Indian organizations have turned to information systems (IS) for improving their competitiveness and overall business performance. The increased demands on the information technology has made it necessary to design effective IS functions and sound IS management processes. This study seeks to gain an understanding of how Indian organizations are designing their IS functions in order to promote the use of information technology for strategic benefits. It also aims to identify critical parameters that would contribute to effective performance of the IS function in Indian organizations. Based on three case studies from diverse industries, we discuss the importance of five parameters—the role of top management, the CEO–CIO relationship, IS department structure, IS planning process and IS implementation that determine the ultimate effectiveness of IS function. Based on the analysis of the case studies, we present several propositions as recommendations for effective design of IS function and IS management processes in Indian firms. The implications for future research and practice are presented.
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