Does IT Matter?: Information Technology and the Corrosion of Competitive Advantage

Nicholas Carr

Physical

Available

Over the last decade, and even since the bursting of the technology bubble, pundits, consultants, and thought leaders have argued that information technology provides the edge necessary for business success. IT expert Nicholas G. Carr offers a radically different view in this eloquent and explosive book. As IT's power and presence have grown, he argues, its strategic relevance has actually decreased. IT has been transformed from a source of advantage into a commoditized "cost of doing business" - with huge implications for business management.

Expanding on Carr's seminal Harvard Business Review article that generated a storm of controversy, Does IT Matter? provides a truly compelling - and unsettling - account of IT's changing business role and its leveling influence on competition. Through astute analysis of historical and contemporary examples, Carr shows that the evolution of IT closely parallels that of earlier technologies such as railroads and electric power. He goes on to lay out a new agenda for IT management, stressing cost control and risk management over innovation and investment. And he examines the broader implications for business strategy and organization as well as for the technology industry.

A frame-changing statement on one of the most important business phenomena of our time, Does IT Matter? marks a crucial milepost in the debate about IT's future.

An acclaimed business writer and thinker, Nicholas G. Carr is a former executive editor of the Harvard Business Review.

What will you learn from this book

  1. Commoditization of IT: Carr argues that as IT becomes more standardized and readily available, it becomes a commodity, reducing its ability to offer sustained competitive advantage.

  2. Leveling the Playing Field: IT's widespread availability has leveled the playing field, making it more accessible to all companies, thereby minimizing its differentiating power.

  3. Focus on Operational Efficiency: Instead of providing a competitive edge, IT investments should primarily focus on operational efficiency and cost reduction rather than strategic advantage.

  4. Importance of Strategic Differentiators: Carr emphasizes the need for companies to seek competitive advantage beyond IT, such as through unique business models, customer service, or innovation.

  5. Risk of Overspending on IT: Carr warns against overspending on IT, as significant investments may not necessarily translate into sustained competitive advantage.

  6. Shift from Technology-Centric to Business-Centric: Companies should shift their focus from a technology-centric approach to a business-centric approach, aligning IT investments with specific business needs.

  7. Legacy Systems and Technological Debt: The book discusses the potential downside of relying too heavily on legacy systems, as they may become a burden and hinder innovation.

  8. Strategic Use of IT: Carr suggests that while IT might not provide enduring competitive advantage, companies can use it strategically for short-term gains or specific purposes.

  9. Emphasis on Innovation and Creativity: To differentiate themselves, organizations should focus more on innovation, creativity, and strategic thinking rather than relying solely on IT capabilities.

  10. Continuous Adaptation and Flexibility: Companies should prioritize continuous adaptation and flexibility in their business models to respond to changing market dynamics, leveraging IT as one tool among many.

Language English
ISBN-10 1591394449
ISBN-13 9781591394440
No of pages 224
Font Size Medium
Book Publisher Harvard Business Review Press
Published Date 04 Jul 2004

About Author

Author : Nicholas Carr

1 Books

Related Books