ABSTRACT
Rapid economic, social, and technological developments require everincreasing flexibility and alertness of companies. New organizational forms, such as internal and external network organizations are required. Furthermore, companies need to apply information technology (IT) proactively instead of reactively. This means that existing organizational characteristics, such as business strategy, organization structure and business processes are not taken as given facts, but are changed to profit fully from the possibilities of IT. This can be business process redesign or reengineering or even business scope redefinition or business redesign. Applying IT in organizations and the way of IS management is a learning process. The more creatively IT is applied, the higher the costs and risks of IT investments, but the higher IT’s potential to add value to the business and to succesfully support business redirection.
