This paper provides a critical survey of theory and evidence on information system (IS) development within the SME. It proceeds under five headings. First, the information needs of the SME are identified. Second, the use of information to guide decisions is considered. Third, the management accounting system (MAS) is examined as an example of operational IS within the SME. Fourth, the link between SME performance and IS development is considered, Fifth, methods of statistically estimating the performance link are examined. It is concluded that the MAS perspective is useful in that it both helps to formalise the characteristics of an IS, and suggests ways in which its design can best be directed at those monitoring and control functions which enhance performance.
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Paper provided by Centre for Research into Industry, Enterprise, Finance and the Firm in its series CRIEFF Discussion Papers with number
9911.
Find related papers by JEL classification: D8 - Microeconomics - - Information, Knowledge, and Uncertainty D21 - Microeconomics - - Production and Organizations - - - Firm Behavior L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance M2 - Business Administration and Business Economics; Marketing; Accounting - - Business Economics M4 - Business Administration and Business Economics; Marketing; Accounting - - Accounting
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