Analysis of Venture Capital Strategic Investment Decision Process in Indonesia Digital Industry

2018 ◽  
Vol 24 (12) ◽  
pp. 9393-9396
Author(s):  
Lim Sanny ◽  
Raymond Setiawan ◽  
Wendy Junaidi
Author(s):  
Tzu-Chuan Chou ◽  
Robert G. Dyson ◽  
Philip L. Powell

As many as half the decisions taken in organizations result in failure (Nutt, 1999). As information technology (IT) assumes a greater prominence in firms’ strategic portfolios, managers need to pay more attention to managing the technology. However, while IT can have a significant impact on organizational performance, it can also be a major inhibitor of change and can be a resource-hungry investment that often disappoints. Organizations can best influence the success of IT projects at the decision stage by rejecting poor ones and accepting beneficial ones. This may enable better implementation, as Nutt (1999) suggests most decision failures are due to implementation failure that tends to be under managers’ control. However, little is known about IT decision processes. Research demonstrates the importance of managing strategic IT investment decisions (SITIDs) effectively. SITIDs form part of the wider range of corporate strategic investment decisions (SIDs) that cover all aspects in which the organization might wish to invest. Strategic investment decisions will have different degrees of IT intensity that may impact outcome. IT investment intensity is the degree to which IT is present in an investment decision. That is, some decisions will be wholly about IT investments while others will have little or no IT—most, though, will be blended programs of IT and non-IT elements. Here, IT investment intensity is defined as the ratio of IT spending to total investment. The higher the IT investment intensity, the more important IT is to the whole investment. For example, Chou, Dyson, and Powell (1997) find IT investment intensity to be negatively associated with SID effectiveness. The concept of IT intensity is similar to, but also somewhat different from, the concept of information intensity. Information intensity is the degree to which information is present in the product or service (Porter & Millar, 1985). Management may use different processes in order to make different types of decisions (Dean & Sharfman, 1996). The link between decision process and outcome is so intimate that “the process is itself an outcome” (Mohr, 1982, p. 34). This may imply that the link between IT investment intensity and SID effectiveness is not direct but that the impact of IT investment intensity may be through the decision process. If different IT intensity in projects leads to different decision processes, leading to different outcomes, then it is important to know what factors act in this, in evaluating and managing SITIDs. This chapter presents an integrative framework for exploring the IT investment intensity-SID effectiveness relationship.


1991 ◽  
Vol 28 (4) ◽  
pp. 395-415 ◽  
Author(s):  
Richard Butler ◽  
Les Davies ◽  
Richard Pike ◽  
John Sharp

In this paper we revisit techniques from “Creating Dynamic Pre-Trade Models: Beyond the Black Box” (Kissell, 2011) which was awarded The Journal of Trading’s Best Paper of the Year Award in 2011. We provide investors a pre-trade of pre-trade modeling technique that can be used to decipher broker and vendor models, and to calibrate a customized investor specific market impact model. We also provide a suite of Excel TCA Add-In functions that can incorporate investor specific market impact parameters and allow investors to perform TCA analysis on their own desktops within Excel, and with the added level of security and comfort that their investment decision process will not be reverse engineered because they do not need to upload or transmit any of their proprietary information and valuable trade information to a third-party website or API for analysis. Techniques in this paper enable investors to create their own customized TCA analyses within Excel to assist with both trading decisions and portfolio analysis and optimization.


2017 ◽  
Vol 33 (3) ◽  
pp. 19-21

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings The decision by Guinness in 1965 to expand into Ghana was based on a robust and experienced strategic investment decision-making process (SIDM). It required the knowledge of past failures and successes to implement those lessons onto a new project. As such, the SIDM process can be seen to be one of the most important in terms of an organizations ability to expand and take advantage of situations. What Alkaraan (2016) demonstrates is the factors that govern the SIDM process, why they are important and how they function within an organization. In doing so, organizations that are struggling to succeed may be able to highlight areas that have previously been ignored, to implement a new strategic direction. Practical implications The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


2019 ◽  
Vol 279 ◽  
pp. 01011
Author(s):  
Martin Hotový

This paper presents the use of tools and approaches of system dynamics in the analysis of the efficiency of BIM tools implementation in relation to the management and planning of investments in the construction sector. The dynamic model based on the approach of system dynamics allows to simulate the impact rate (range) of BIM implementation in strategic investment decision-making in the construction sector. Based on the analysis, the key parameters critically affecting the large construction investment projects are determined. The proposed model is implemented as a submodel in the dynamic model designed for potential refinements in the strategic planning of the extent of investments into projects of civil infrastructure of the Czech Republic. The model allows to test different strategies in the virtual world before their implementation. The prediction of future developments based on the proposed model allows to streamline planning and decision-making processes.


Author(s):  
Tzu-Chuan Chou ◽  
Robert G. Dyson ◽  
Philip L. Powell

IT can have a significant impact on organizational performance, but it can also be a major inhibitor of change and can be a resource-hungry investment that often disappoints. Organizations can best influence the success of IT projects at the decision stage by rejecting poor ones and accepting beneficial ones. However, little is known about IT decision processes. Research demonstrates the importance of managing strategic IT investment decisions (SITIDs) effectively. SITIDs form part of the wider range of corporate strategic investment decisions (SIDs) that cover all aspects that the organization might wish to invest in. SIDs will then have different degrees of IT intensity that may impact on outcome. IT investment intensity is the degree to which IT is present in an investment decision. Here, IT investment intensity is defined as the ratio of IT spending to total investment. The higher IT investment intensity, the more important IT is to the whole investment. For example, Chou et al. (1997) find IT investment intensity to be negatively associated with SID effectiveness. The concept of IT intensity is similar to, but also somewhat different from, the concept of information intensity. Information intensity may be defined as the degree to which information is present in the product or service of a business (Porter & Millar, 1985).


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