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Applying Cost/Benefit Analysis to Evaluate Investment in GIS: The Case of Ghana's Lands Commission Secretariat, Accra

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Abstract:

Abstract

One of the many reasons why GIS programmes in Africa and elsewhere in the developing world never get started is that top management are not fully persuaded to support such innovations. A favourable financial analysis of GIS investment will greatly enhance its chances of approval and continued funding if the computation is tied to the goals set by organisations. We argue that an approach provided by a score and weight process that is part of the Investment Evaluation Methodology (IEM) developed by Digital Equipment Corporation USA, for cost benefit analysis fulfils this objective as it is designed to assist top managers and policy-makers in coming to an understanding of the nature and scope of the proposed GIS project. The methodology involves measuring benefits that are quantifiable (tangibles) and identifying those that are not (intangibles). A coherent and consistent framework for evaluating the GIS project is therefore made. The methodology is generic enough to be applied in any developing country context.

Document Type: Research Article

DOI: http://dx.doi.org/10.1111/j.1467-9671.2005.00231.x

Affiliations: Geographic Information Systems, Training and Manpower Development Unit Lands Commission Accra, Ghana

Publication date: October 1, 2005

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