CISUC

Easy Up-front IT Investment Appraisal Using the Balanced Scorecard: Example With a Portuguese Organization

Authors

Abstract

Many organizations still invest in information technology (IT) without a clear picture of what, how and when benefits will materialize. In fact, only twelve to seventeen percent of companies measure them. This is due, partly, to the complexity of most evaluation approaches and to the difficulty in choosing from a vast number of dissimilar alternatives. On the other hand, the Balanced Scorecard enjoys rising interest as a framework that enables the continuous assessment of the organization as a whole, using a small number of key performance indicators distributed across four perspectives: financial, customers, internal business, and innovation and learning. We suggest that the Balanced Scorecard can also be used as a valuable tool for the neglected up-front assessment of IT investments. We propose a comprehensible and light process, applicable even if the organization does not use this instrument for its everyday management. An illustration is provided.

Subject

IT investment

Conference

Americas Conference on Information Systems (AMCIS), August 2006


Cited by

Year 2007 : 1 citations

 Roztocki, N., Weistroffer, H. , Morar, S. and Nasirin, S. "IS/IT in Developing and Emerging Economies", Proceedings of the Thirteenth Americas Conference on Information Systems, Keystone, Colorado, August, 9th-12th, 2007