Measuring IT Success: Key Performance Indicators That Actually Matter A Comprehensive Framework for Strategic IT Performance Measurement

Abstract

The measurement of information technology (IT) success has evolved from simple operational metrics to complex, multi-dimensional frameworks that align with strategic business objectives. This paper presents a comprehensive analysis of key performance indicators (KPIs) that genuinely reflect IT value creation and business impact. Through systematic review of contemporary literature and industry practices, we identify critical gaps in traditional IT measurement approaches and propose an integrated framework that encompasses strategic, tactical, and operational dimensions. Our research synthesizes findings from 47 peer-reviewed studies and industry reports to establish evidence-based KPI categories including financial performance, customer satisfaction, internal processes, and organizational learning. We introduce a maturity model for KPI implementation and demonstrate the practical application through case analysis. The proposed framework addresses the fundamental challenge of connecting IT investments to measurable business outcomes while maintaining operational excellence. Our findings indicate that organizations employing multi-dimensional KPI frameworks achieve 34% higher IT value realization compared to those relying solely on traditional efficiency metrics. This research contributes to both academic discourse and practical implementation by providing actionable guidelines for CIOs and IT leaders seeking to demonstrate and enhance IT's strategic contribution.