Developement of IT infrastructure investment model with system dynamics methods

Abstract

This research paper presents a development of decision support model for investments in IT infrastructure. Using the system dynamics methods the research was made on causal relationship of investments in IT infrastructure and profit. The proposed model represents influences of investments in IT infrastructure on profit through increased strategic flexibility of the company. The presented simulations of the model use different values of external variables and different functional relationships between variables. The present research paper also shows a lack of knowledge in relationships between system variables, which can be overcome with further research, thus improving the quality of the presented model.