Chapter 4, Problem 2DQ

Explanation of Solution

Options that organizations have for selecting projects

• Many organizations use a Strength, Weakness, Opportunity and Threat (SWOT) analysis that involves identifying and evaluating an organization’s strength, weakness, opportunity and threats.
• Performing a business area analysis is the next step in the planning process for selecting information technology projects after identifying strategic goals. This analysis outlines business processes that are central to achieve strategic goals and helps to determine which ones could mostly benefit from information technology.
• Then, the next step is to start defining potential information technology projects, their scope, benefits, and constraints.
• The last step in the planning process for selecting information technology projects is choosing which projects to do and assigning resources for working on them.
• Many organizations also use financial methods to select projects, such as Return On Investment (ROI), payback, and Net Present Value (NPV)...