This article discusses how to quantify the forecasting quality of IT business value.
We address a common economic indicator often used to determine the business value of project proposals, the Net Present Value (NPV). To quantify the forecasting quality of IT business value, we develop a generalized method that is able to account for asymptotic cases and negative valued entities.
We assess the generalization with real-world data of four organizations together consisting of 1435 IT assets with a total investment cost of 1232+million Euro for which 6328 forecasts were made.
Please download our whitepaper here: quantifying-npv
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