A Framework for Continuous Assessment of IT Value in Industry 4.0

Abstract

Assessing the value of information technology (IT) is a priority to modern organizations and one of the most challenging. The topic is studied for dec-ades but the continuous nature of digital transformation in industry (DTI) added a new dimension to the problem. This paper presents a framework to capture IT value over time, supporting industries in (1) monitoring the out-comes of their digital transformation and (2) evaluating the need for new in-vestments. The framework is inspired in the literature of IT value and ex-tended to the dynamic, integrated, and boundary spanning logic of Industry 4.0. The difficulty to prove the holistic value of IT investments is an obsta-cle to the necessary developments in industry. Moreover, similarly to DTI, also IT value assessment is multidimensional and should be the result of an ongoing evaluation supported by evidence. Our proposal offers a starting point to create new tools to assist C-level managers steer their investments and make visible the inevitability of digitalization to compete.