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PART Ⅳ: Building Information Systems and Information Systems Management Session 21: Information Systems Value Evaluation IS/IT Investment Evaluation and Benefits Management Evaluation is about establishing by quantitative and/or qualitative means the worth of IS to the organization. It is generally aimed at the identification and quantification of costs and benefits. IS/IT investment evaluation is often considered as the weighing up process to rationally assess the value of any acquisition of software (or IS) or hardware which is expected to improve the business value of an organization’s information systems. Emerging Problems in IS/IT Investment Evaluation Many organizations find themselves in a catch-22 situation. For competitive reasons they can’t afford not to invest in IS/IT, but economically they can’t find sufficient justification, and evaluation practice can’t provide enough underpinning, for making the investment. As IS/IT infrastructure becomes an inextricable part of the organization’s processes and structures, it becomes an increasingly difficult to separate out the impact of IS/IT from that of other asset and activities.. There is widespread lack of understanding of information requirements as well as IS/IT as a major capital asset, despite the high levels of expenditure IS/IT Investment Evaluation and Benefits Management Cisco case: IT Spending IS/IT Investment IS/IT Investment 上海三菱电梯: 2000年销售27.5亿元,2001年30亿元人民币, IT/IS投入:2001年累计4500万人民币,每年系统维护100万美元。 上海柴油机: 2001年销售额 ,IT/IS累积投入1900万人民币。 上海元祖: 2001年销售额 2.64亿元人民币,ERP+POS共投资650万人民币。 IS/IT Investment Evaluation Life-cycle IS/IT Investment Evaluation Life-cycle IS/IT Investment Evaluation Life-cycle IS/IT Investment Evaluation Life-cycle The Balanced Scorecard Links Performance Measures The Balanced Scorecard Links Performance Measures Customer Perspective Lead time Product quality Performance service Cost Internal Business Perspective Business process Core competencies Innovation and Learn
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