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Because of the tremendous growth in the investment in information technology (IT), senior management has begun to demand that the value of this investment be assessed. This assessment is not possible without measurement. As a result, many feel that the measurement of IT value will be the critical management task for the next decade. The purpose of the article is threefold. First, it reviews the 'valuation of IT' research which has been done to date with the hope of understanding the reason for the equivocal results which have been obtained. It does this by examining the assumptions and measures which have been used in framing this research. Second, it looks at how organizational performance is measured and how performed is presumed to be affected by information technology. Finally, it explores a new set of assumptions, measures, and research propositions which may yield more fruitful results in assessing the value of information technology. > |
