ABSTRACT

Introduction Information Technology (IT) now represents substantial financial investment. By 1993, UK company expenditure on IT was exceeding £12 billion per year, equivalent to an average of over 1.5% of annual turnover. Public sector IT spend, excluding Ministry of Defence operational equipment, was over £2 billion per year, or 1% of total public expenditure. The size and continuing growth in IT investments, coupled with a recessionary climate and concerns over cost containment from early 1990, have served to place IT issues above the parapet in most organizations, perhaps irretrievably. Understandably, senior managers need to question the returns from such investments and whether the IT route has been and can be, a wise decision.