Information technology (IT) is gaining momentum in the present world as it assists in a numerous ways in disseminating and gathering business information in a speedier and practical manner. The present empirical study scrutinizes the mean ranking of various variables of information technology usage in information sharing and communication in 44 small manufacturing firms operating in district Udhampur of J&K state. Primary data stood as the basis for analyzing the research motivation and framework. The primary data were further portrayed in terms of ranking tables and regression analysis. The results of ranking tables exposed that the mean rank & score is highest for the variable Paves way for speeder communication and lowest for Acts as key element of firms integration. Since most of small scale industries are family managed, the variable Improvement in organisations functioning and performance receives moderate mean response. Further, the results of linear regression bared that IT usage in small scale industries paves way for speeder communication and results in improvement of organizations functioning and performance.