Role of IS in Brazilian SMEs: management perception and impact on results

Abstract

In this competitive environment globalized that we live nowadays there is a growing recognition of the central role of Information Systems (IS) to determine the success of the company, leading to better results. SMEs have also adopted IS with the same purpose, obtaining benefits of such use, but their reality is quite different in most cases of the large enterprises, especially for lack of the same resources and skills in the IS field. From the requirement imposed by the Brazilian government for all companies to submit their tax information digitally, according to a law approved in 2007, the Brazilian SMEs have also had to seek a better and greater informatization. As companies are in different kind and stages of informatization, and especially also because IS play a different role in each company, this study aims to determine the impact of this requirement and consequent greater informatization on the company's results. The study seeks to capture the differences in the outcome of the company arising from the use of IS, and for this observes financial data, taking into account also the executive's perceptions about the role that IS play in business. The methodology involves a survey to obtain quantitative data about the use of IS and also financial information, as well as qualitative data about the executive's perception of the role that IS play in business. The preliminary results show that the perception of the majority of the managers of the companies surveyed is that the Information Systems present in the company, as well as the portfolio of systems in development have a strategic impact for the company. Especially regarding to customer loyalty, to increase the barriers of entry for new competitors, and for better balance of power in the supply chain; factors that can improve the performance of the company bringing best results. The findings may contribute to the growing field of study of Information Systems in SME's, as well as can help SME's managers to examine and make better decisions regarding the use of Information Systems.