Valuing interdependent multi-stage IT investments: a real options approach

DOI10.1016/J.EJOR.2009.03.037zbMath1173.90433OpenAlexW2053332130MaRDI QIDQ1038345

Parag C. Pendharkar

Publication date: 17 November 2009

Published in: European Journal of Operational Research (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1016/j.ejor.2009.03.037

zbMATH Keywords

real optionscapital budegetingIT investment analysis

Mathematics Subject Classification ID

Management decision making, including multiple objectives (90B50) Production theory, theory of the firm (91B38) Resource and cost allocation (including fair division, apportionment, etc.) (91B32)

Related Items (10)

Complex compound option models -- can practitioners truly operationalize them? ⋮ Using managerial revenue and cost estimates to value early stage real option investments ⋮ Real options valuation of forest plantation investments in Brazil ⋮ Impact of sourcing flexibility on the outsourcing of services under demand uncertainty ⋮ Real options in operations research: a review ⋮ Outsourcing and capacity planning in an uncertain global environment ⋮ Valuing portfolios of interdependent real options using influence diagrams and simulation-and-regression: a multi-stage stochastic integer programming approach ⋮ Modelling and computation of optimal multiple investment timing in multi-stage capacity expansion infrastructure projects ⋮ Optimal timing of non-pharmaceutical interventions during an epidemic ⋮ To expand and to abandon: real options under asset variance risk premium

Cites Work

• The Pricing of Options and Corporate Liabilities
• Developing a decision model for business process outsourcing
• Diagnosis with Dependent Symptoms: Bayes Theorem and the Analytic Hierarchy Process
• Valuing Oil Properties: Integrating Option Pricing and Decision Analysis Approaches
• Evaluating Income Streams: A Decision Analysis Approach
• Options in the Real World: Lessons Learned in Evaluating Oil and Gas Investments
• Valuing Risky Projects: Option Pricing Theory and Decision Analysis

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