In this episode of Beneficial Intelligence, I discuss how to evaluate business cases. In a Low Value Maturity organization, the cost of creating and running a system is not systematically compared to the benefits. In a High Value Maturity organization, the business presents the expected benefits, and IT provides the cost. It is imperative that IT presents both the initial and ongoing costs to prevent under-funding. When you bring the benefit and the cost together, the High Value Maturity organization can calculate the payback period for a project and compare it to other investment opportunities. This allows the organization to make good decisions about IT investments.
Beneficial Intelligence is a weekly podcast with stories and pragmatic advice for CIOs and other IT leaders. To get in touch, please contact me at sten@vesterli.com