Exploring the effects of information technology governance on firms financial performance: Contingent resources-based theory

As technology and digitalization evolve, businesses must identify information technology governance (ITG) as a way to improve financial performance. This research employed a contingent resource-based theory to investigate the impact of ITG on a company’s financial performance. CBRT examines how strategic fit and adaptation impact financial performance when organizations utilize both external and internal IT resources. This longitudinal study employs a panel model with fixed effects to investigate the cross-sectional and temporal impacts of ITG. From 2016 to 2024, 290 publicly listed Indian corporations provided data. In the outcomes analysis, Board IT and IT Expenses indicate that a firm’s success depends on how effectively it utilize its resources within its environment. The conclusion discusses future research, ramifications, and limits. The long-term impacts of ITG on financial performance investigated in this research have a direct effect on real-time performance. Resource-based and contingency theories inform its focus on board IT, executive IT, and IT expenses.