Barriers to deciding on a consumption-based model for funding IT. (18th August 2020)

• Record Type: Journal Article
• Authors: Cooney, Alan; Hayes, Jeremy; McAvoy, John; O'Raghallaigh, Paidi
• Is Part Of: Journal of decision systems. Volume 29(2020)Supplement 1
• Page Start: 259
• Page End: 269
• Publication Date: 2020-08-18
• Subjects: OpEx -- IT funding -- consumption-based -- Behavioural Cloudonomics -- business capabilities -- agility; Decision support systems -- Periodicals; Management information systems -- Periodicals; Information resources management -- Periodicals; Information storage and retrieval systems -- Periodicals; Management -- Communication systems -- Periodicals; Decision support systems; Information resources management; Information storage and retrieval systems; Management -- Communication systems; Management information systems; Periodicals; 658.40305
• DOI: 10.1080/12460125.2020.1778875
• Languages: English
• ISSNs: 1246-0125

Abstract

ABSTRACT: This study explores the factors that hinder IT departments in moving towards a consumption-based operating model (OpEx). The study explores the views of major stakeholders in a large global technology company on the possible introduction of the model. These views are triangulated with those of a select number of external experts. IT funding decisions have been complex problems for organisations. In the real world there are conflicts between the nominal IT funding practices and the actual IT operational practices currently being employed. The IT funding process skews the downstream management controls. Further research is required to understand the dynamism between the two. The study uses the lens of Behavioural Cloudonomics, which is at the intersection of psychology, economics, and the cloud and is well positioned to help us understand and address the factors that underpin the economic decision-making behaviours around the move to the Cloud.