MIS
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1. What are the limitations of financial models for establishing the value of information systems?
-Many well-known problems emerge when financial analysis is applied to information systems. Financial models do not express the risks and uncertainty of their own cost and benefits estimates. Costs and benefits do not occur in the same time frame cost tend to be upfront and tangible, whereas benefits tend to be back loaded and intangible. Inflation may affect costs and benefits differently. Technology especially information technology can change during the course of the project, causing estimate to vary greatly. Intangible benefits are difficult to quantify. These factors play havoc with financial models. The difficulties of measuring intangible benefits give financial models an application bias: Transaction and clerical systems that displace labor and save space always produce measurable, tangible benefits than management information systems, decision -support system or computer-supported collaborative works systems...