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Ex Ante Evaluation Methodology for IT Investment Decision Making: Integrating the Current Best Practice Methods and Applications  

Lee, Kuk-Hie (College of Business Administration, Konkuk University)
Park, So-Hyun (College of Business Administration, Konkuk University)
Publication Information
Information Systems Review / v.10, no.1, 2008 , pp. 135-164 More about this Journal
Abstract
This research is to offer a structured yet practical ex-ante evaluation methodology for IT investment. Benchmarking the best practices of four Korean organizations, we try to integrate core processes, relevant measures, and evaluation dimensions into a consistent and wholesome body of evaluating methodology. The best practices we considered encompass a wide range of business enterprises, including for-profit, non-profit, service-oriented, and manufacturing entities. The proposed methodology consists of three stages; the first stage checks the validity of investments by looking into comprehensiveness of planning, willingness to accomplish, justifiable grounds for the investments, overlapping investments, and obstructing risks; the second do so by putting an IT investment into economic, strategic, and technological perspectives; and the last third would produce a unified quantity that summarizes outcome of the previous stages. Incorporating the proven knowledge, guidelines, and quantifying tools, the methodology could make a valuable reference model for IT evaluation practitioners who have been bedeviled by having to going through such ex-ante evaluations.
Keywords
IT Investment; Feasibility Analysis; Business Value; Strategic Value; Technical Value;
Citations & Related Records
Times Cited By KSCI : 2  (Citation Analysis)
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