Developing an IT Portfolio Approach to Justify IT Investments

Abstract
Due to the rapid speed of globalization and
evolving technologies, firms rely on IT much heavier
than before. They use IT not just to cope with the
environment, but also to gain competitive advantages.
Therefore, it is important for firms to invest on the
right while also critical IT with limited resources. To
fulfill this need, this research aims at developing an IT
portfolio method to evaluate and determine the
priorities of IT investments based on three criteria: IT
alignment, business value, and e-readiness. A real
business practice serves as a case to demonstrate the
applicability of our proposed framework. We believe
the final findings are helpful to (1) practitioners who
can use this framework to justify their IT investments;
and (2) researchers who can build upon this model to
further examine the application of IT portfolio
methods.

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