- Título: Gauging the returns on investments in Competitive Intelligence: A three-step analysis for executive decision makers
- Autor(es): S. David Kilmetz and R. Sean Bridge
- Ano de publicação: 1999
- Local de acesso: Link
- Assunto: ROI em Inteligência Competitiva
- Descrição: Competitive intelligence (CI) can support complex decisions and generate tremendously powerful momentum in the execution of corporate strategy. Increasingly, diverse groups of companies are relying on intelligence to supplement their business decisions. Nearly all that do, however, face difficulties forecasting possible returns on their investments. Many decision-makers are, therefore, disinclined to invest because the risks are perceived as being greater than the rewards. This article presents a three-step valuation process that will help decision makers more fully understand the potential investment and its potential returns. The first step involves considering the factors that drive CI cash flows, the second requires estimating the values of those variables, and the third entails judging whether or not the investment makes sense. The issue is brought into focus by illustrating the corporate planning activities of a transportation information systems manufacturer. The company was at first unclear about their information needs and priorities not unusual for many competitors. The decision-maker was walked-through the three-step analysis and was shown the value of making investments in specific areas of CI. The analysis will clarify some of the issues surrounding the choice to invest in CI. Unfortunately, a working model cannot be standardized because of the particularity of each situation as well as the great diversity between situations. Executive decision makers must therefore take the steps to proactively identify, understand, and measure the germane factors that impinge on the investment’s success. In no uncertain terms, such a demanding decision making process will bring about more practicable results. © 1999 John Wiley & Sons, Inc.
Gauging the returns on investments in Competitive Intelligence: A three-step analysis for executive decision makers