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This paper investigates the impact of IT investments and worker composition on the productivity of life insurance companies. The majority of previous IT productivity studies follow a technological imperative, hypothesizing a direct relationship between higher IT investments and increased productivity. This paper shifts the focus toward the organizational imperative, which views returns on IT investments as a result of the alignment between technology and other critical management choices. Specifically, the study focuses on the alignment between IT investments and worker composition, measured in terms of relative numbers of clerical, managerial, and professional positions to the total number of employees. Hypotheses are tested using a data set compiled over a 10-year period for 52 life insurance companies. With respect to prior research, the study is novel in its adoption of a model of productivity that accounts for …