Gartner Research

What to Do When You're Asked to Allocate Business Value to IT

Published: 04 April 2013

ID: G00249879

Analyst(s): Andy Rowsell-Jones , Dave Aron

Summary

Management may call on CIOs to allocate business value between IT and business activities. CIOs should first understand the reason behind the request, and then consider taking one of the six approaches described here to addressing management's request.

Table Of Contents

Analysis

  • Four Reasons Why Senior Executives Want to Allocate Value Among IT and Business Activities
  • Six Ways to Respond to a Request to Allocate Value Among IT and Business Activities
    • Approach 1: Push Back Softly
    • Approach 2: Allocate the Whole Value to IT
    • Approach 3: Allocate Value Based on the Benefits Schedule
    • Approach 4: Allocate Value Based on Voting or Perception Rating
    • Approach 5: Allocate Value Based on the Cost of Inputs
    • Approach 6: Allocate Value Based on Factor Analysis
  • Conclusions

Recommended Reading

©2020 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Purchase this Document

To purchase this document, you will need to register or sign in above

Become a client

Learn how to access this content as a Gartner client.