The Importance of IS Management

Prentice Hall, Inc.

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The IT Infrastructure

Four types of investments (see Fig. 5-14):

1.Strategic investments: aim to change the way a firm competes, intends to increase revenues, longer term so income stream is difficult to estimate

2.Informational investments: provide a firm with information employees need to manage and control the organization, e.g., accounting, EIS, medium term horizon, depend on lower two levels