Business model

About: Business model is a research topic. Over the lifetime, 31509 publications have been published within this topic receiving 599504 citations.

Building Better Business Cases for IT Investments

Abstract: While most organizations today demand a robust business case justifying investments in information technology (IT), our research finds that few are satisfied with their ability to identify and quantify the expected benefits from these investments. Surprisingly, we found that many organizations don't demand rigorous evidence to support the justification for investment-thus allowing benefits to be overstated and projects oversold. Based on our work with organizations over many years, we have developed a new approach for building a business case. It differs from conventional approaches because it recognizes different types of benefit, identifies measures for all benefits, and gathers evidence for the size of the expected benefits. The approach also requires that a benefit owner is identified for each benefit, to ensure commitment and aid benefit delivery. Benefits are explicitly linked to both the IT and the business changes that are required to deliver them. Responsible individuals are also identified for ensuring the necessary business changes occur. Our research also identifies a wider role for the business case. Typically, the main objective in building the business case for an IT project is to obtain approval for the financial spend. But a comprehensive and robust business case also: (1) Enables priorities to be set for investing in different projects; (2) Identifies how the combination of IT and business changes will deliver each of the benefits; (3) Ensures commitment from business managers; and (4) Creates a basis for reviewing the investment when it is complete. We surveyed over 100 European organizations to understand current practices in developing business cases and to identify how those practices relate to the success of IT investments. The results show that organizations that adopt our suggested approach to building business cases are more successful in delivering value from their IT investments.

Sharing versus collaborative economy: how to align ICT developments and the SDGs in tourism?

Abstract: Great hopes have been placed in the sharing economy to provide a new business model based on peer-to-peer (P2P) exchanges of underutilized assets. As a model, the sharing economy has been expected ...

Reducing conflict in balanced scorecard evaluations

Abstract: Recent studies [Ittner, C., & Larcker, D. (2003). Coming up short on nonfinancial performance measurement. Harvard Business Review(November) 88–95; Ittner, C., Larcker, D., & Randall, T. (2003b). Performance implications of strategic performance measurement in financial services firms. Accounting, Organizations and Society, 28, 715–741] provide evidence of companies’ tendency to overlook the validity of the causal links between driver and outcome measures of the balanced scorecard (BSC), and to ignore the underlying strategically-linked causal business models. It is posited that this propensity leads to conflict between top management and divisional managers because of the failure of the former to evaluate and consider strategy effectiveness in performance evaluation. The present study hypothesizes that individuals in the top-manager role do not take into account strategy effectiveness unless they are explicitly required to do so. In contrast, individuals in the store-manager role automatically consider the quality of strategy without being prompted to do so. A study using 63 evening MBA students provides support for the hypotheses. The results have implications for the study of evaluation biases in BSC as well as in other performance measurement systems, and for devising means to mitigate them.