Composite Indicator of the Organisational Information and Communication Technologies Infrastructure-A Novel Statistical Index Tool

Abstract

This paper proposes a tool for objective evaluation of organisations' information and communication technologies (ICT) infrastructure development level: Composite Indicator of the Organisational Information and Communication Infrastructure-CIOICTI. Based on separate research in 68 different companies, it aggregates hardware, software and humanware aspects of ICT development in organisations, especially valuing companies with synergetic aspects. It consists of six linear and non-linear indicator components, each designed to evaluate one specific aspect of ICT development, based on the weighted sum principle. The proposed CIOICTI examines ICT infrastructure as a necessary but not sufficient condition for successful ICT usage in business performance improvement. The obtained CIOICTI values are summarised in the distribution and tested for normality. Results are tested on the data from observed companies, averaged according to company size and industry and benchmarked. The proposed composite indicator can be used as an objective tool for researchers and practitioners to assess the level of ICT development for benchmarking with other companies, planning organisational changes or assessing infrastructural requirements for planning and implementation of ICT related projects in a business organisation.