mdh.sePublications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
A model to support IT infrastructure planning and the allocation of IT governance authority
University of Richmond, USA. (Robins School of Business)
Mälardalen University, School of Business, Society and Engineering, Industrial Economics and Organisation. (Industriella nätverk och IT)ORCID iD: 0000-0001-7334-2480
University of Richmond, USA. (Robins School of Business)
University of Richmond, USA. (Robins School of Business)
2014 (English)In: Decision Support Systems, ISSN 0167-9236, E-ISSN 1873-5797, Vol. 59, 108-118 p.Article in journal (Refereed) Published
Abstract [en]

Information technology (IT) requires a significant investment, involving up to 10.5% of revenue for some firms. Managers responsible for aligning IT investments with their firm's strategy seek to minimize technology costs, while ensuring that the IT infrastructure can accommodate increasing utilization, new software applications, and modifications to existing software applications. It becomes more challenging to align IT infrastructure and IT investments with firm strategy when firms operate in multiple geographic markets, because the firm faces different competitive positions and unique challenges in each market.

We discussed these challenges with IT executives at four Forbes Global 2000 firms headquartered in Northern Europe. We build on interviews with these executives to develop a discrete-time, finite-horizon Markov decision model to identify the most economically-beneficial IT infrastructure configuration from a set of alternatives. While more flexibility is always better (all else equal) and lower cost is always better (all else equal), our model helps firms evaluate the tradeoff between flexibility and cost given their business strategyand corporate structure. Our model supports firms in the decision process by incorporating their data and allowing firms to include their expectations of how future business conditions may impact the need to make IT changes. Because the model is flexible enough to accept parameters across a range of business strategies and corporate structures, the model can help inform decisions and ensure that design choices are consistent with firm strategy.

Place, publisher, year, edition, pages
Elsevier, 2014. Vol. 59, 108-118 p.
Keyword [en]
Decision support systems; IT governance; Markov decision processes; Case studies; IT infrastructure planning; Global operations
National Category
Business Administration
Research subject
Industrial Economics and Organisations
Identifiers
URN: urn:nbn:se:mdh:diva-23200DOI: 10.1016/j.dss.2013.10.010ISI: 000333778800010Scopus ID: 2-s2.0-84897645801OAI: oai:DiVA.org:mdh-23200DiVA: diva2:676763
Projects
Coordinating the Global Firm
Available from: 2013-12-06 Created: 2013-12-06 Last updated: 2016-03-10Bibliographically approved

Open Access in DiVA

No full text

Other links

Publisher's full textScopus

Search in DiVA

By author/editor
Ekman, Peter
By organisation
Industrial Economics and Organisation
In the same journal
Decision Support Systems
Business Administration

Search outside of DiVA

GoogleGoogle Scholar

Altmetric score

Total: 50 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf