Browse Theses

Chief executive knowledge of computers and chief executive involvement in computerization lead to more successful computer use in small manufacturing firms. The use of on-site computers also has a positive effect on computer success. These were the principal findings in this field study of 93 small Los Angeles manufacturing companies. The firms in the study had fewer than 300 employees, had less than $30 million in annual sales revenues, and had been using computers for at least three months. These companies employed an average of 82 persons, had average annual sales revenues of $7.67 million, and had been using computers for an average of 62 months.

The data was collected through two questionnaires mailed to a randomly selected sample of small manufacturing firms which used computers. Ninety-three businesses returned both questionnaires for a response rate of 48.7 percent. Brief non-respondent questionnaires were completed by 41 companies. Statistical tests found no differences between respondents and non-respondents.

The dependent variable, computer success, was a composite measure which consisted of chief executive use of computer-generated reports and computer application impact in the view of top management. A success model and related hypotheses were proposed. The model included nine factors which were expected to affect computer success either directly or indirectly. Each of the variables was grouped into categories and the success model was tested using multiple cross-classification analysis of the data received from the participating firms.

The results of the study show that chief executive knowledge of computers and chief executive involvement are directly associated with computer success. Type of computer use is also related to success, with on-site computer operations exhibiting higher levels of success. Furthermore, computer planning and computer controls, when taken together, are positively related to success. Finally, the age of computer operations is not associated with success or with any of the other computer-use variables.