Cost-effectiveness methodology for computer systems selection
A new approach to the problem of selecting a computer system design has been developed. The purpose of this methodology is to identify a system design that is capable of fulfilling system objectives in the most economical way. The methodology characterizes each system design by the cost of the system life cycle and by the system's effectiveness in reaching objectives. Cost is measured by a 'system cost index' derived from an analysis of all expenditures and possible revenues over the system life cycle. Effectiveness is measured by a 'system utility index' obtained by combining the impact that each selection factor has on the system objectives and it is assessed through a 'utility curve'. A preestablished algorithm combines cost and utility and provides a ranking of the alternative system designs from which the 'best' design is selected.