Sun Microsystems and Business 2.0: "The Art of the Return on Investment"
Cuneiform: Control Through Closed "Software",1900 B.C.
Alphabet: Adoption of Open "Software", about 450 B.C.
Overview of Today's Presentation
Part I
U.S. Computers and U.S. Information Workforce
I.T. Now Preferred Business Investment
Profits and I.T.Spending Remain Unrelated
Recent Productivity Gains Come from Monetary Policies
Management, Not Technology Makes the Difference
Moore's Law Does Not Show in Hardware Budgets
Part II
Distribution of U.S. Wages
Management of Information Resources = Key to Profits
Case Study: I.T. Spending and Employee Compensation
Case Study: I.T. Spending and Profits
I.T. Has Potential of Delivering Gains
I.T. Expectations and I.T. Results
What CEOs and CFOs Do not Like
Part III
The Build and Junk Cycles
Corporate Politics and Economics
Total Cost of Ownership of "Fat" Clients = $8,594/year
Asset "Rot" Consumes 37% of Total I.T. Spending
Maintaining Interoperability is Costly
Network Complexity Increases Interoperability Costs
Part IV
Definition of Knowledge Capital for a Commercial Firm
Case Study: Market Valuation Reflects Total Capital
Why are Software Assets Important?
Asset Rot = The Liability of Information Technology
Case Study: Cumulative Software Spending and Assets
Strategies for the Next Technology Cycle
Part V
I.T. Spending for U.S. Banks
Profit Estimates with Computer Contribution Included
Estimated ROI on I.T. Spending
Summary: Maximizing I.T. ROI
PPT Slide
A Case of Arrested Technology ROI - A.D.770
A Case of Widely Accessible Technology ROI - A.D. 1453
Email: paul@strassmann.com
Home Page: http://www.strassmann.com
More about this talk (including streaming video): http://www.strassmann.com/pubs/art-of-roi/