MODELING AND MEASURING THE BUSINESS VALUE OF INFORMATION TECHNOLOGY

Determining the 'business value' of information technology (IT) requires managers to choose performance measures which are well-suited to capturing the economic impacts of the application they are evaluating. In this paper, the authors discuss a promising approach for bridging the gap between a theory for rational decisions and management practice in evaluating investments in IT: Data Envelopment Analysis (DEA). The referent discipline for the discussion is production economics, and the authors review basic concepts concerning performance measurement, efficiency, productivity and economic contribution or value-added from an economist's perspective. DEA's promise lies in its ability to handle multiple input and output production environments and its management action orientation. As an illustration of this potential, DEA is applied to assessing the performance of an automated teller machine (ATM) network, an IT which creates economic impacts at various organizational levels of a commercial bank.Information Systems Working Papers Serie

Understanding business strategies of networked value constellations using goal- and value modeling

In goal-oriented requirements engineering (GORE), one usually proceeds from a goal analysis to a requirements specification, usually of IT systems. In contrast, we consider the use of GORE for the design of IT-enabled value constellations, which are collections of enterprises that jointly satisfy a consumer need using information technology. The requirements analysis needed to do such a crossorganizational design not only consists of a goal analysis, in which the relevant strategic goals of the participating companies are aligned, but also of a value analysis, in which the commercial sustainability of the constellation is explored. In this paper we investigate the relation between strategic goal- and value modeling. We use theories about business strategy such as those by Porter to identify strategic goals of a value constellation, and operationalize these goals using value models. We show how value modeling allows us to find more detailed goals, and to analyze conflicts among goals

Assessing Business Value of IT and IS Risk: Security Issues

Enterprise systems have taken full advantage of Information Technology (IT) and Information Systems (IS) to innovate and to create business value. The principal business value for system is utility. System utility is a complex factor that has many contributing variables and the resultant of business value. The metrics of utility are measures such as up-time, customer satisfaction, and so on. In this paper the concern of security as the protection of information assets is discussed in relation to managing the risk of utility. Risk modeling has come under greater scrutiny since the collapse of global financial markets in 2008. A common criticism is that risk models disengage business layers and foster surrogates that anesthetize prudent virtues within the enterprise system. The discussion in this essay proceeds by elaborating current risk modeling trends and concludes by promoting an awareness of the changing scope and expectations for effective business security risk analysis

Simulation for business processes and information systems design

Business Process (BP) literature promotes the value of business processes as essential gearwheels that help organizations to reach their goals. Similarly, many process design approaches claim that Information Technology (IT) is a major enabler of business process, a view also shared by the Information Systems (IS) community. Despite this, BP and IS approaches do not provide clear guidance on how to assess the benefits that a given IS design may bring to the BP prior the IS implementation. Nor is clear indication of which modeling techniques could be used to assess such relationship. This paper uses the insights gained during a UK funded research project, namely ASSESS-IT, that aimed to depict the dynamic relationships between BP and IT to propose an alternative framework to develop BP simulation models that depict the dynamic behavior of the relationships between BP and IS

QUANTIFYING THE BUSINESS VALUE OF INFORMATION TECHNOLOGY: AN ILLUSTRATION OF THE 'BUSINESS VALUE LINKAGE' FRAMEWORK

Senior management's ability to gauge the business value of investments in information technology (IT) has been seriously hampered by a lack of analytic tools to conduct sound performance assessment. In this paper, we present a conceptual framework called a "business value linkage" that is used to represent the processes by which the direct outputs of an IT are transformed within the firm and its operating environment into enhanced revenues, reduced costs and new strategic opportunities to increase market share. Utilizing appropriate modeling and econometric methods, we illustrate our approach by analyzing several hard-to-measure aspects of the business value of automated teller machines (ATMs) in retail electronic banking. The results show that the hardest to measure impacts in some cases can have the greatest business value.Information Systems Working Papers Serie

Teaching Business Process Management with Simulation in Graduate Business Programs: An Integrative Approach

This paper describes the development and evaluation of a graduate level Business Process Management (BPM) course with process modeling and simulation as its integral component, being offered at an accredited business university in the Northeastern U.S. Our approach is similar to that found in other Information Systems (IS) education papers, and can best be described as Design Science Research applied to pedagogical innovation. We use a survey of 95 graduate business students, classified as Information Technology (IT)-oriented and Business (non-IT)-oriented, to evaluate how the proposed artifact – the BPM course and its modeling and simulation components – supports student learning. The survey explores process analysis, course design, and process integration issues. Statistically significant differences between the two student groups on the value of modeling and simulation are found on five out of 15 survey items: analyzing process performance, creating process models, mapping process structure, understanding process concepts, and implementing process controls. The paper discusses implications of these differences for designing and delivering graduate BPM courses in colleges of business administration

OMiLAB: the Role of Model-driven Digital Innovation in Information Systems Development

OMiLAB is a community of practice interested in the value of conceptual models and the role they play in Information Systems development or operation. One key value proposition of the OMiLAB is a Digital Innovation environment having conceptual modeling at its core, as a means for integrating a business-oriented view with a technical view. The business-oriented view is based on a Digital Design Thinking method, whereas the technical view benefits from a diverse set of model-driven IoT devices for cyber-physical experimentation. The semantic and functional integrator between the two views is the BEE-UP modeling tool, together with the Agile Modeling Method Engineering framework - which can be employed to expand the modeling tool\u27s semantic space with domain-specific and technology-specific concepts or functionality. Academic and industry partners are joining the OMiLAB ecosystem as OMiLAB Nodes, sharing knowledge assets and artifacts developed with the help of OMiLAB\u27s Digital Innovation environment. These are disseminated via dedicated research streams and scientific events such as the NEMO summer school (initiated in 2014), the PROSE workshop (initiated in 2017) and a Springer book series on domain-specific conceptual modeling (initiated in 2016). Tool-specific tutorials have been held in recent Business Informatics and Information Systems conferences (e.g. HICSS, BIR, PoEM) to raise awareness on the value of conceptual models for such communities. Recently, the OMiLAB-FSEGA node was established at Babeș-Bolyai University, Faculty of Economics and Business Administration. The thematic focus of the node is Digital Business Models, targeting topics such as semantics of Product-Service Systems, their dynamic pricing, supplying and automated delivery from a design-oriented research perspective. In relation to this thematic specificity, the talk will highlight the value of this node for both research and education

Pemodelan Arsitektur Enterprise STMIK CIC Cirebon Menggunakan Enterprise Architecture Planning

One of many ways that is related to the determining of an ideal demand of an informationsystem to fulfill the business needs which meets to the development of organization is bydeveloping enterprise architecture. Enterprise Architecture will explain and draw theprocesses in executing and guiding of the information system developing planning such as:Data Architecture, Application Architecture and Technology Architecture to create thegood planning in developing and implementing an integrated information system. TheEnterprise Architecture Planning (EAP) is the basic for the management to support itsusing of IT/IS in the organization.EAP is a process to definite data architecture,application, and technology for the using of information in supporting the business and theplanning of architecture implementation. The process guideline of EAP is stressing the technique and the individual skill in operating and guiding the enterprise architecture. The business function is identified based on value chain Porter. The business model produced will be a basic data in defining Data Architecture, Application, Technology, and Implementation Planning Design. The result of this business modeling are found 72 detail business functions, 60 data entity candidates, and 36 application candidates which are classified into 6 application. The last step of the EAP is the designing of roadmap for the enterprise architecture implementation planning to make a full blue print to be applied

Real-time remote control car racing system (PC Version)

The explosive growth of computer technology of today has broadened the minds of computer programmers and electronic engineers. Today, people from both industries are joining forces to create state of the art technology games at the international market. Therefore, we as future technopreneurs need to take this opportunity to learn about both industries and integrate them to make a useful product. In addition, this study is a new game concept which has combined with remote control hobby to create a new car racing game in the future. The idea is to use a real situation in gaming where by combining a few hardware devices (The Revolutionizer) and a software system (Speed Demon ver1.0 Beta) to make it run. The software design is being conducted using Unified Modeling Language (UML) 2.0 and being coded into Visual C++ programming language. The implementation stage is by using two types of R/C car (electric and gas) and the project has been successfully developed into a prototype product. The project is focused more on the R/C electric version. Overall, the project is now completed and ready to be market around the world. This is because the prototype which has been developed in this project has a high market value. Because of this, a business plan which contains all the information that a business plan needs to have for example, description of the product, industry analysis, marketing strategies, and the competitors. As a conclusion, this thesis is considered a unique of its kind in the information technology industry and the pioneer of turning research into money makin

Perceptions of MBA Students on Business Process Modeling as a Learning Tool: An Empirical Investigation

Based upon a survey of 95 MBA students in a Business Process Management (BPM) course at a university in New England, this study reports the perceptions of students concerning the efficacy of process modeling as a learning tool. Depending on their majors, students were classified as (a) Information Technology (IT) majors and (b) Business majors. The fifteen variables explored in the survey were classified into three categories: (a) Process Analysis issues, (b) Course related issues, and (c) Organizational issues. Statistically significant differences are found on the value of simulation exercises as perceived by MBA students on five dimensions: (1) Analyzing Business Process Performance, (2) Modeling Business Processes, (3) High-level Process Mapping, (4) Understanding BPM Concepts, and (5) Grasping Process Control Issues. Implications of these differences for designing graduate level BPM courses in colleges of business administration are discussed in the paper. Keyword