Information technology investment evaluation and measurement (ITIEM) methodology: A case study and action research of the dimensions and measures of IT - business -value in financial institutions.

This study was motivated by the researcher's, as well as his superior's, concern that afundamental area of business, information technology investment and evaluation, continues to be problematic for many organisations. The lack of an integrated and methodical approach to the problem, as well as the fragmented research done to date on the effective measurement of IT-business-value, amplified the need for this study.The main objective of this study was to propose a new, more comprehensive model of the dimensions constituting IT-business-value, as well as related measures. The resultant ITIEM model dimensions were designed into a practical and holistic ITIEM methodology, intended to aid practice with:* Demonstrating how IT investments can enable measurable IT business-value* Determining which IT investments will yield the most IT-business-value for the organisation; and* Ensuring that IT investments and business initiatives support each The study has also endeavoured to contribute to the growth of knowledge by raisingnew problems, mapping out a program for future research on ITIEM, and putting1 "Dimensions" refers to "groupings" of IT-business-value measures.forward a benefits framework that is verifiable by empirical observation, with the useof both case studies as well as action research. The study design includes:1) A literature survey to identify the dimensions of IT-business-value, to identify themeasures of IT-business-value, and to identify a candidate starting ITIEMmethodology that is most comprehensive, addressing the most relevant measures ofIT-business-value. This information is used to produce a draft case study protocol.2) A single, exploratory pilot case study of a South African bank and a resultant revised case study protocol.3) A cross-case analysis of a multiple case study of five South African banks(including the pilot) yielding a draft ITIEM model.4) A cross-case analysis of three Australian banks, further enhancing the draft ITIEMmodel; and a cross-country comparison of the South African and Australian banks.The multiple case studies within South Africa and within Australia represent literal replications, while the cross-country comparison represents theoretical replication.5) The existing ITIEM methodology selected in (1) is revised to reflect the draft ITIEM model and a new hybrid ITIEM methodology is proposed.6) This hybrid ITIEM methodology is implemented and revised with action research resulting in the final ITIEM methodology and final ITIEM model.