Assessing EIS Benefits: A Survey of Current Practices

UNCG Author/Contributor (non-UNCG co-authors, if there are any, appear on document)
Lakshmi S. Iyer, Associate Professor (Creator)
Hamid R. Nemati, Professor (Creator)
The University of North Carolina at Greensboro (UNCG )
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Abstract: In order to explore what benefits are being realized from executive information systems (EISs), the kinds of benefit/cost analyses being performed, and the factors that affect whether and how a benefit/cost analysis is conducted, mail survey data were collected from 72 organizations, followed up by 16 telephone interviews. Prior to and after the development of the EISs, the most highly rated benefits were faster access to information, more timely information, and improved presentation of data. The lowest rated were better environmental scanning and support for downsizing the organization. In virtually all cases, the level of benefits realized was less than what was expected, with the largest gap involving those benefits associated with improving executive performance. When conducting a benefit/cost analysis prior to implementing an EIS, most organizations determine the expected costs and an intuitive feeling for the benefits. After implementation, fewer organizations quantify the benefits and costs. A number of factors affect EIS benefit/cost analyses, including the position of the executive sponsor, the cost of the system, the obvious benefits, turnover of the executive sponsor, and difficult economic times.

Additional Information

The Journal of Information Technology Management
Language: English
Date: 1996
executive information systems, benefit, cost

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