Measuring Performance And Demonstrating Results Of Information Technology Investments

Measuring Performance And Demonstrating Results Of Information Technology Investments by Christopher W. Hoenig Download PDF EPUB FB2

End Note 3 For example, mission goals should be translated into objective, results-oriented measures of performance, both quantitative and qualitative, which can form the basis for measuring the impact of information technology investments.

Information Technology Performance Management measuring the contribution of information technology investments to mission results as required by the Clinger-Cohen Act.

There is a shortage of knowledge and examples of how to measure two pilot programs to demonstrate different IT measurement methodologies. This was doneFile Size: KB.

EVALUATING PERFORMANCE IN INFORMATION TECHNOLOGY CONTENTS EXECUTIVE SUMMARY Though there has been significant discussion concerning the importance of evaluating the payoffs of IT investment, there has been little guidance as to how to design or implement an appropriate performance evaluation system.

Thus, investments are often made without theFile Size: KB. The results showed that the ISFS measure reflected by the instrument was positively related to improvements in business processes effectiveness and organizational performance. Consequently, the instrument may be used for assessing IS performance, for guiding information technology investment and sourcing decisions, and as a basis for further Cited by: Evaluating Return On Information Technology Investment Abstract The purpose of this thesis was to develop a framework for evaluating the Return on Information Technology Investment (ROITI).

The motive was to capture and measure the intangible benefits deriving from an IT investment and to contribute in making an IT. Information technology and information assets are typically substantial, poorly understood, and under-controlled areas of capital investment and expenditure that are growing, not shrinking.

[GAO, p. 10] Despite the problems, however, dollars are one of the few concepts that all parties seem to understand. Studies for over 30 years have consistently indicated that enterprise-level Business-Information Technology (IT) alignment is a pervasive problem. While significant progress has been made to understand alignment, research on IT alignment is still plagued by several by: While researchers have encouraged further examination on the causal links between Information Technology (IT) investments and a firm’s performance, results of empirical studies have been varied.

Measuring the impact of various categories of IT investments (hardware, software and IT services) on banks’ cost efficiencies suggests that “the Productivity Paradox” does not affect all IT investments. Keywords: Information Technology, X-efficiency, internal determinants, Stochastic.

Product/Service value - a measure of how well technology is assisting or enabling the design of existing and new innovative products and services for the company.

Decision making value - a measure of how well technology provides analytics information for making good business decisions. Size: KB. The results suggest that there is a good relationship between information technology adoption and product innovation on performance of the organization.

Discover the world's research 17+ million. Measuring Performance and Demonstrating Results of Information Technology Investments GAO/AIMD Preface The Government Performance and Results Act of requires government executives to focus on defining missions, setting goals, measuring performance, and reporting.

Information Technology Investment: Decision-Making Methodology is a textbook that will provide the understanding of methodologies available to aid in this area of complex, multi-criterion decision-making.

It presents a detailed, step-by-step set of procedures and methodologies that readers can use immediately to improve their IT investment. The guide presents information on: (1) the demand for performance measurement; (2) fundamental practices and the foundation of IT performance measurement; (3) practice areas for: (a) following an IT results chain; (b) following a balanced scorecard approach; (c) target measures, results, and accountability at decisionmaking tiers; (d) building a comprehensive measurement, data collection.

This is a valuable publication that provides a wealth of information in the area of measuring returns on Information Technology investments in organizations.

The book addresses many critical issues of assessing IT investment payoffs in a very clear and systematic fashion.5/5(1). The Impact of Information Technology Investment Announcements on the Market Value of the Firm Article (PDF Available) in Information Systems Research 4(1) March with 3, Reads.

GAO published a guide to assist federal agencies in understanding and devising effective information technology (IT) measurement implementation approaches, and a framework for agencies to consider when designing and implementing their IT performance management approaches, focusing on: (1) the demand for performance management; (2) fundamental practices; (3) five practice areas: (a) IT results chain.

The need for metrics and indicators is underlined by many organizations, such as the Information Technology Infrastructure Library (ITIL), ISACA (COBIT 5) and ISO. Although ISO expects a measurement of performance, it does not prescribe any specific indicators.

Measurement methods may be defined by organizations. The results reveal positive and significant relationships between certain of the IT investment measures and organizational performance measures used in the study, indicating that organizations with greater levels of IT investment also had higher performance, as measured by return on investment, return on sales, sales per employee, sales by total assets, and market value to book by: IT measurement process, and taking corrective action when an IT investment does not yield the expected payoffs.

6 Weill, P. The Relationship between Investment in Information Tech-nology and Firm Performance: A Study of the Valve Manufacturing Sector, Information Systems Research, 3, 4 (),defines conversion Size: KB.

Managing Information Technology (IT) investments continues to be a challenge for firms due to the difficulty associated with demonstrating IT ­contributions to organisational performance.

Many IT contributions are not accounted for because they cannot be easily by: 9.fundamental area of business, information technology investment and evaluation, continues to be problematic for many organisations. The lack of an integrated and methodical approach to the problem, as well as the fragmented research done to date on the effective measurement of IT-business-value, amplified the need for this study.Measuring performance and demonstrating results of information technology investments: Responsibility: United States General Accounting Office, Accounting and Information Management Division.