| Abstract: | In order to make intelligent decisions about implementing and managing a technology, managers must be able to estimate the value of the technology ex ante and to measure that value ex post. If it is going to be of practical use, any overall theory of technology must include methods for estimating and measuring the value of technology. While some of this value is tangible and relatively easy to estimate and measure, much of the value is intangible and very difficult to estimate and measure. Unfortunately, the state of the art in estimating and measuring the value of technology, particularly intangible value, is primitive at best. The bursting of the dot-com bubble is only the most recent example that illustrates the inadequacy of current practice. Using information technology as an example, this paper explores techniques for estimating and measuring the intangible value of technology. Richard A. Howey is an information systems consultant in the Human Resources Management practice at IBM Business Consulting Services where he applies data warehousing and other advanced analytical software technologies to satisfy the information needs of HR management professionals. He has over 27 years of experience in information systems as a software developer, project manager, and consultant. In addition to his professional activities, he recently completed a Master of Science degree in management of technology at the University of Minnesota. |
