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Corporate planning and the value of information

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System Modelling and Optimization

Part of the book series: Lecture Notes in Control and Information Sciences ((LNCIS,volume 84))

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Abstract

In this research, the strategies of information systems development are created at the corporate level. A corporate model is usually aimed to support general corporate planning and it describes simultaneously the relations between the finance, marketing and production functions of the firm.

A multiattribute and multicriteria approach is used to assess the value of information at the corporate level. Delay, inconsistency, underestimation, and overestimation are used as the quality attributes of information and total profits, cash balance, market share, or the value of plant may be used as evaluation criteria.

The main contribution of this study is to show that there are no conceptual, mathematical, computational or other unsolvable difficulties inherent in applying our approach in realistic situations. The information value, information attributes, and information costs are readily observed, understood, and the results are directly interpretable in terms of common corporate planning.

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Author information

Authors and Affiliations

  1. Helsinki School of Economics, Runeberginkatu 14 - 16, SF-00100, Helsinki, Finland

    Hannu Kivijärvi

  2. University of Oulu Linnanmaa, SF-90570, Oulu, Finland

    Markku Tuominen

Authors
  1. Hannu Kivijärvi
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  2. Markku Tuominen
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Editor information

A. Prékopa J. Szelezsáan B. Strazicky

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© 1986 Springer-Verlag

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Kivijärvi, H., Tuominen, M. (1986). Corporate planning and the value of information. In: Prékopa, A., Szelezsáan, J., Strazicky, B. (eds) System Modelling and Optimization. Lecture Notes in Control and Information Sciences, vol 84. Springer, Berlin, Heidelberg. https://doi.org/10.1007/BFb0043864

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  • DOI: https://doi.org/10.1007/BFb0043864

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  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-540-16854-6

  • Online ISBN: 978-3-540-47138-7

  • eBook Packages: Springer Book Archive

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