A Practical Approach for Measuring IT Effectiveness in Business Processes

Information technology (IT) is an important component in organization´s competitive advantages. IT services directly effect on business processes and organizations success. It is essential to adapt the IT function with business objectives and priorities, and work toward the optimization of IT resources globally for higher performance of the organization. Most companies spend too much time for determining how much money to spend on IT and not enough time determining how to manage and allocate their IT spending in any part of business processes. Seeking high-performance results from the use of IT is very important for business executive managers and information technology managers in every organization. In this paper a practical approach for measuring the amount of IT effectiveness on business processes by using a fuzzy approach that is known as MADM (multiple-attribute decision making) has been proposed. The amount of this metric enables managers to discover exactly where business performance improvement opportunities lie and finally elevates IT function to its rightful place in organizations.