Gartner Information Technology Research

A Decision Model to Optimize Risk, Value and Cost

Published: 12 February 2020

ID: G00466040

Analyst(s): Paul Proctor

Summary

CIOs should optimize risk, value and cost in a business context through the lens of key stakeholder needs. Doing so will strengthen business cases, funding requests, committee reviews and board reporting to support the achievement of business outcomes.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Optimize Decisions for Risk, Value and Cost
  • The Gartner Risk, Value and Cost Optimization Model
    • Assessment Targets
    • The Value Dimension
    • The Risk Dimension
    • The Cost Dimension
    • The Risk Optimization Zone
    • Stakeholder Credibility and Defensibility
    • Business Context
  • The Treatment Quadrants
    • Invest (Upper Left)
    • Cut (Lower Right)
    • Opportunity (Lower Left)
    • Manage (Upper Right)
  • Using the Model
    • Assessing Risk
    • Determining Cost
    • Assessing Value
    • Factors Influencing Credibility and Defensibility
    • Step by Step
    • Use a Decision Tree to Optimize Risk and Value
    • Implement an Optimized Risk-Decision Model Across Governance

Gartner 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.