Information and Knowledge Management using ArcGIS ModelBuilder

Dawit Asmelash
The benefits of IT can be described using the logic and concepts of business goal, business change
and business outcome (Ward & Elvin, 1999). However, in many organizations benefit identification
and measurement is often ignored or carried out inefficiently or ineffectively because it is deemed to
be an elusive and complex process (Serafeimidis & Smithison, 2003). According to Berghout and
Remenyi (2005) increased practical adoption and improvement of benefits evaluation methods is
needed to resolve some of the issues raised by research into IT evaluation. This study addresses the
challenges related to identifying benefits at ex-ante justification stage by adapting IT control
framework concepts in order to formulate business outcomes for practical use in the organization.
Benefit identification for evaluation is a good example of a substantial gap that exists between
academic theory, commercial methodology and actual management practice. Consequently, a
contribution is needed that presents insights into how benefits-oriented practices might best be
utilized and incorporated into organizational contexts (Berghout & Remenyi, 2005). Moreover, work
that presents insights into how potential benefits from IT initiatives are identified at the ex-ante
justification stage will be valuable.
Case study research was done using the relationship concept of business goal, IT goal and outcomes
to develop new benefit identification method for ex-ante project evaluation, and to explore how it can
be best applied in the business context. The paper is organized into three further parts. First, it
reviews the existing research literature related to IT benefits. The research methodology adopted for
the empirical part of the research is then outlined. Finally, the theoretical and practical implications of
the proposed method are explored, paying particular attention to insights that might be useful to
improve benefit evaluation in the future.
2. Literature review
This section reviews the concepts related to the business benefits of IT so as to clarify the nature and
characteristics of IT benefits with respect to the application of a benefit identification method. The
literature study will assist in developing a practical IT benefits identification method by applying
theoretical knowledge.
IT benefit is defined as a business outcome whose nature and value expressed in various ways are
considered advantageous to an organization (Thorp, 2007). Ward and Elvin (1999) associate
business outcomes with a needed business change and consider benefit as the effect of the changes.
A business outcome can result in benefit, if it is aligned and supports the organization’s goals (ITGI,
2008a; Ward & Daniel, 2006).
The implementation of IT projects and the subsequent process of change resulting in benefits
comprise key concepts of IT benefit and they can be used to characterize and describe the nature of
specific benefits. These key concepts are briefly described below:
Business objectives: The goals, strategies or tactics that the IT project addresses (Fulton,
2004).
Implementation/Intervention: The technical and business design, deployment and operation
(Fulton, 2004).
Business Change: the difference between the current and desired state that IT is intended to
enable (Ward and Elvin, 1999).
Area of impact: The business process or individuals that IT targets in order to affect or enable
change (Dhillon, 2004).
Directness of impact: IT may have direct and first order effect or indirect and second order effect
(Remenyi and Sherwood-Smith, 2001).
Certainty of the impact: The impact of new system may be almost completely predictable or
totally uncertain. This depends on clarification of the area of impact and the cause of change
(Farbey et al., 1993).
Indicators of the effect: The effects of change are assessed with process improvement
indicators that relate to efficiency, effectiveness, performance and transformation (Berman, 2007;
Thorp, 2007; Murphy, 2002; Andresen et al., 2000).
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