Abstract: The high level of Information and Communication Technology (ICT) investment in business enterprise makes it imperative to investigate the effects of management practice on ICT usage and effect of ICT investment on companies productivity. This study therefore examines the impact of ICT investment on the performance of sachet water companies a sub sector of Small Medium Enterprise (SME) in Oyo state, Nigeria. The study was carried out on 60 randomly selected sachet water companies that registered with National Agency for Food and Drug Administration and Control (NAFDAC) and Association of Table Water Association Producers (ATWAP). Both primary and secondary data were used in the study. While the later was obtained from the book of accounts of the selected sachet water companies the primary data was collected with the aid of questionnaires and scheduled interviews conducted to the staffers of all categories in these companies. The data were subsequently analyzed using both descriptive (percentages and tables) and inferential statistic that includes Cobb-Douglas production function which was used to measured productivity. The study revealed that substantial proportion of respondents strongly agreed that the firm used mobile phone to communicate with customers. A striking result was that all the respondents unanimously responded in affirmative to breakdown and malfunctioning of ICT devices. However, 96.7% of the respondents confirmed the problem of irregular electric power supply as constraints militating against ICT usage. Years of existence of the companies, capital base and educational level of the manager have significant effects on the extent of ICT usage. Also to evaluate the effects of ICT investment on companies productivity, the three variables that were found to have significant effect on companies performance were ICT capital, non-ICT capital and ICT labour while non-ICT labour does not have any significant effect on companies performance. The study concluded that ICT investment had positive effects on the performance of selected sachet water companies in Nigeria. Based on these findings, it was recommended that sachet water companies should be ICT compliance.