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Related Experiment Videos

Buying information systems.

D E Robinson

    The Journal of Information and Image Management : JIIM
    |June 10, 1983
    PubMed
    Summary
    This summary is machine-generated.

    Purchasing information systems requires careful consideration of all costs, including hidden decision-making expenses. Thoroughly weighing buyer needs against system capabilities ensures the best information system acquisition.

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    Area of Science:

    • Information Systems
    • Procurement Management
    • Decision Analysis

    Background:

    • Acquiring information systems involves numerous direct and indirect costs.
    • Evaluating system capabilities against user requirements is crucial for successful implementation.
    • The financial implications of the decision-making process itself are often overlooked.

    Purpose of the Study:

    • To highlight critical factors in information system purchasing.
    • To emphasize the importance of a comprehensive cost analysis.
    • To identify the often-hidden costs associated with the purchasing decision.

    Main Methods:

    • Qualitative analysis of information system procurement factors.
    • Review of cost components in system acquisition.

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  • Identification of decision-making process costs.

    • Main Results:

    • Direct costs include conversion, site preparation, equipment, software, maintenance, and supplies.
    • System capabilities and buyer needs must be meticulously aligned.
    • The true cost of the decision-making process is a significant, often underestimated, factor.

    Conclusions:

    • A holistic approach to information system purchasing is essential.
    • Understanding all cost elements, including intangible ones, leads to better acquisition decisions.
    • Effective information system procurement balances technical capabilities with financial realities and decision costs.