Abstract on the master’s work

Table of contents

Introduction

High technology, production growth, new products, a variety of goods and services, the formation of large-scale information systems, dynamic changes in the external and internal environment of companies define a number of issues of good governance. Management problems are generated by an accelerated pace of scientific and technological progress and increasing complexity of facilities management.

The introduction of information technology requires increased employee productivity by reducing the cost/production. Today it is often said about the combination of the two countries in the revolutionary process - in information technology and business. When were computers and the development of communication and information technologies have changed rapidly, becoming the dominant sector of the economy.

1. Theme urgency

The huge development costs, acquisition and implementation of IT defines the high relevance of tasks assessing the effectiveness of investments in information technology. This was the reason for the choice of themes. This led to the need to study and analyze the approaches and methods for evaluating the effectiveness of IT investments.

2. Goal and tasks of the research

The aim of this work is to develop an optimal model and algorithm for evaluating the effectiveness of information technology investment.

Main tasks of the research:

  1. Explore the nature of information technology (IT).
  2. Identify the specific evaluation of the effectiveness of IT investments.
  3. To compare the methods (procedures) evaluate the effectiveness of IT, which already exist.
  4. To develop a model and an algorithm for evaluating the effectiveness of investing in IT.

Research object: the process of implementing and evaluating the effectiveness of information technology.

Research subject: analysis, selection, and implementation of improved methods for evaluating the effectiveness of information technology.

3. Algorithm for evaluating the effectiveness of investments in IT–projects

Important task of comparison and selection of investment projects, because it often offers some alternatives. These projects have a different "importance." Therefore, a financial and economic analysis in the early stages. If there is a lot of options, the head is difficult to take effective solution [13].

At the first stage of peer review mechanisms are used for the selection of the most important projects for the company. They are chosen according to certain criteria. The criteria should be consistent with the objectives and strategies of the enterprise market needs [11].

Next, the selected projects are described in more detail.

In the second stage of a calculation of payback time, the amount of funds requested, the profitability and risks. The evaluation shall take a decision on the adoption of an investment project.

We present a model for evaluating investment projects on the proposed algorithm. The company has eight IT projects. You must select the most efficient design for maximum profit.

Criteria for the selection of investment projects:

  1. the relevance and timeliness;
  2. the adequacy of the model business processes;
  3. opportunity for growth and development;
  4. technical support;
  5. expandability;
  6. quality of development.

We apply the method of generalized linear criteria [11].

Here we determine the weights ?1 ... ?s particular criteria k1, ... ks.

 – weighting of particular criteria;
 – particular criteria for each of the alternatives;
s – number of alternatives.

The results of the data listed in the table.

Table 1

Criteria for evaluation of investment projects

Recognized as the most preferred alternative ai, for which the following relation[8]:

Preferred in this case, projects are 2, 5 and 6. Further analysis will be carried out only those investment projects.

The next phase will analyze the effectiveness of projects from a financial point of view.

Consider projects in which cash flows are characterized by a uniform (Fig. 1).

Cash flows from the uniform distribution on the investment and operation phases of the production

Figure 1 – Cash flows from the uniform distribution on the investment and operation phases of the production
(animation: 7 frames, 5 cycles of repeating, 38,9 kilobytes)

For a given value of the discrete model of the basic integral indicator of NPV is calculated as:

With the condition of economic efficiency of investment projects – NPV> 0 and taking into account the replacement of T = 1/d expression (3) can be replaced by[12]:

Expression (4) reflects the condition of profitability and economic efficiency of the investment project.

The calculations and error estimates for the values ??of the analytical expression (7), applied to real investment projects are presented in Table 2.

Table 2

The resulting calculations


Table 2 shows that the quantitative evaluation of the effectiveness of real investment projects have a small error. The most effective is the investment project is 2, since the term of his 5-year payback, but the expected revenue in this case, more – 35 700 USD. Accuracy of the calculations in this case was 7%.

The methods of analysis used to estimate the values ??of the financial and economic indicators of the project, describing the flow of net payments for the capital invested.

Conclusion

The investment strategy is implemented through the adopted investment projects. The selection and adoption of the draft is accompanied by a comprehensive assessment and analysis.

The investment strategy is implemented through the adopted investment projects. The selection and adoption of the draft is accompanied by a comprehensive assessment and analysis.

In this paper we analyzed the methods for evaluating the effectiveness of investment information systems. An algorithm for the rapid analysis of such projects. We used the mechanism of peer review prior to selection of the most important design decisions. The method of multi-expert estimation based on comparison of IP selection criteria PIs.

Considered the second stage of the analysis methods used to estimate the values ??of the financial and economic indicators of the project, describing the flow of net payments for the capital invested.

The application of these algorithms can agree on the results of IT-investment projects with business goals of the enterprise.

In writing this essay master's work is not yet complete. Date of Final Completion: December 2012.

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