Research in information systems (IS) indicates an absence of clear-cut mode
ls to assess IS effectiveness. While the costs are easily identifiable it i
s the benefits which are most difficult to assess due to the scope of impac
t of information systems. In order to provide structure to the problem this
paper presents a hierarchical approach to develop an IS effectiveness mode
l using structured modelling techniques. This study uses the prior research
work and a survey to identify and relate factors of IS effectiveness. The
results of the model show that 'improving systems integration' has the high
est influence on information systems effectiveness, followed by 'facilitati
ng information retrieval'. We were able to validate our results by showing
that they are consistent with the widely accepted 'stages model' of IS deve
lopment. Of particular interest is the finding that significantly high leve
ls of IS effectiveness are experienced by organizations in the penultimate
or final stage of IS development. The most significant contribution of this
study is the development of a comprehensive IS effectiveness evaluation fr
amework that resolves many subjective dilemmas of traditional. user-centred
evaluation approaches. Copyright (C) 1999 John Wiley & Sons, Ltd.