Quantifying Process Benefits of Electronic Data Management Technologies

Abstract

Establishing and maintaining a strategic advantage in a globally competitive business environment requires focus on electronic data management (EDM) technologies that facilitate work-flow automation and process reengineering. Effective implementation of EDM technologies requires a strategic, innovative, and cooperative approach to electronic document management. To date, a methodology for quantitative analysis of time and cost benefits attributable to EDM technologies has been difficult to structure due to the complexity of predicting the organizational changes resulting from their implementation. Additionally, implementation of EDM technologies will impact individual work task durations, work-flow precedence, and resource (labor) requirements. This is particularly true when multiple technologies are considered for concurrent implementation. This research developed a methodology for quantifying the time and cost benefits attributable to implementation of EDM technologies when applied to the major functional process of materials management. Data provided by leading engineering/construction companies were incorporated into four process models, each representing a distinct level of corporate information integration. The research shows that time and cost process benefits attributable to EDM technologies are significant.