Using the balanced scorecard process to compute the value of software applications

This paper describes a method that will provide practical help for IT managers and other enterprise executives who want to determine the value of their software projects. A set of measures is described that can help the IT manager determine the value of IT projects, either at the time a project is initiated or at the time the project is operational. This paper identifies relevant performance measures used in the balanced scorecard process and then maps them to IT benefits: which are categorized by strategic, informational, and transactional dimensions. The appropriate measure can be identified and value quantified based upon the expected IT benefit.