A Decision Support Model for the Selection of Best Value Information Technology Procurement Method

Abstract

SUMMARY: The procurement of Information Technology (IT) is as important as the use of the technology. Procurement includes two aspects: the selection of the right IT product as well as the selection of the method to procure it. Ineffective IT exploitation and poor procurement practices in construction organizations often create obstacles in reaping the full potential of IT investments. This paper presents a Decision Support Model to assist in the selection of the best procurement method for procuring IT for construction organizations. It uses a value-based framework drawn from value engineering (value matrices) which enables the identification of best value IT procurement methods to procure IT solutions and requirements. The model was developed using object oriented modeling techniques providing greater flexibility in future modification and expansion. It was implemented as a decision support system and tested using real life cases from the construction industry. A forum of experts positively evaluated and verified the concept and the usability of the system. The research was carried out in Sri Lanka using the construction industry as the forum for development of the system. The decision support model creates a knowledge repository for IT procurement in Sri Lanka but introduces a methodology and opens the opportunity to further enhance aspects of IT procurement globally