The Business Value of IT
The Business Value of IT: Managing Risks, Optimizing Performance, and Measuring Results examines how to measure IT performance, how to put a dollar value on IT, and how to justify value of an entire IT program. It places sharp technical focus on the techniques, methods, and processes used to identify and to assess risks. Based on the authors’ extensive experience in the field, this comprehensive text discusses IT from the perspective of its contribution to business, the necessity of governance, the importance of measuring performance, and changes that must be made in order to effectively measure IT.
Review By: Alan Madick
08/13/2010Over the past twenty-five years we have witnessed an amazing information revolution that has drastically changed the way we do business. Now faced with global competition, business leaders are asked to do more with less, like increasing production while holding down business operation costs and getting products to market quicker than ever. We continue to look for ways to achieve these objectives, in some cases, to merely survive. Now, more than ever, IT is being seen as a business differentiator. If used properly, IT can help companies jump ahead of the competition. If not, IT can contribute to a company’s demise.
The book is designed logically, beginning with a discussion on what business should expect from IT, moving on to measuring its value, common IT models and methodologies, suggestions for improving these processes, and finishing with a discussion on the realities of IT and business in today’s world.
I found the authors' message to be clear and concise. Given that I have spent much of my life designing, coding, testing, and implementing software, I was particularly fond of the authors' use of metrics to track the effectiveness of software projects from the project's inception through to the implementation and support phase. The authors present sound, practical advice on quantifying the data—advice that should lead to a blueprint for improving the value of IT to any business that believes in its importance. I also liked the authors' use of tables and graphs to provide visual examples of how to display this data. I have already begun to consider some of the recommendations presented by the authors.
Throughout the years, I have seen both ends of the spectrum with respect to the role of IT in business. I have seen IT as a "business enabler" functioning as an integral component of a successful company. I've also seen IT as a "business disabler" functioning as an impediment to the success of a company.
I would recommend this book to anyone who is interested in or responsible for learning more about measuring and enhancing the value of IT to their business.