Abstract: “Innovation in its both forms – open and closed - is essential for economic growth and it is associated both with processes and organizations and likewise, with social and institutional change. Advancement in information technology (IT) has led to major transformations in the way organizations operate, forcing them to invest in IT infrastructure so as to keep pace with competition and to retain Sustainability. The present paper approaches IT benefits in innovation process of SMEs, grouping them in three major categories: strategic, tactical and operational benefits. In the last section we present the results of preliminary study on IT benefits in SME’s from Romania and following research directions.”

Keywords: IT, innovation, strategic benefits, tactical benefits, operational benefits.