HEFCE, SHEFC, HEFCW, DENI Value for Money Initiative

Information Systems and Technology Management

Making the most of your IT investment

A summary of the National Report and Management Review Guide published by the higher education funding councils' UK Value for Money Steering Group

The sector currently invests approximately £500 million per year in information systems and information technology (IS/IT).

Calculations show that the total cost of ownership of a single student workstation, with an estimated four-year life, is as much as £5,000.

Yet most of the institutions surveyed as part of this study, do not aggregate their total investment in IS/IT or know how much it is likely to grow over the next few years.

We believe that the quantification of institutional investment in IS/IT is an essential early step in the effective management of the resource.

Study Findings

The study revealed many examples of good practice, but also considerable scope for institutions to improve the management of the IS/IT resource.

Strategic Framework

• An IS/IT strategy which is driven by the information needs of the institution is more likely to support the achievement of the institution's overall strategic objectives than one driven by technical considerations.
  
• By identifying the resources required to implement the IS/IT strategy, the institution can not only make appropriate arrangements to ensure its effective delivery, but can also set targets that are realistic and achievable.
  
• Commitment from the institution's senior executive is required to ensure the successful and effective implementation of the IS/IT strategy.
  

Organisational Framework

• A permanent IS/IT strategy group with overall responsibility for steering the development and implementation of the IS/IT strategy is important to ensure that the IS/IT strategy remains aligned to the overall strategic objectives of the institution, and to ensure that an appropriate organisational framework is established.
  
• Staff and students require appropriate IT training to ensure that they are able to use IS/IT resources effectively.
  
• Institutions need to take action to minimise the risk of losing key IT staff.
  

Investment Management

• Institutions which do not know the full extent of their investment in IS/IT may not be using their resources economically, efficiently and effectively.
  
• Using investment appraisal techniques will aid decision making in major IS/IT projects.
  
• Standardisation in the use and procurement of IT equipment should result in more efficient use of resources as well as real financial savings.
  

Operational Management

• There should be formal procedures for managing IS/IT operations to ensure the effective delivery of IS/IT services.
  
• Action needs to be taken to ensure that institutions operate within a secure IT environment, and that the provision and use of IS/IT is in accordance with relevant legislation.
  

A Way Forward

• Many institutions have significant scope to improve the management of and value for money obtained from IS/IT, one of their most critical resources.
  
• The National Report highlights the issues for managers of IS/IT in higher education. It also gives cameos of good practice and recommendations for further action. The Management Review Guide is a practical working document, which managers can use to conduct a comprehensive review of the management of IS/IT in their own institution.
  
  

Extra copies of this leaflet are free.

The full documents - the 'National Report' and the 'Management Review Guide' of the Information Systems and Technology Management Value for Money Study - are available electronically as follows:

Hard copies of each document are available and cost £15 (please send cheque with order) from:

HEFCE Publications
Northavon House
Coldharbour Lane
Bristol BS16 1QD

Tel 0117 931 7438
Fax 0117 931 7463
E-mail hefce@hefce.ac.uk

URL: http://www.hefce.ac.uk