IT Portfolio Theory for Gap Inc.

Running head: IT PORTFOLIO THEORY
IT Portfolio Theory
(Gap Inc.)
Name of the student:
Name of the university:
Author Note

1IT PORTFOLIO THEORY
Executive summary
In this report, IT resources and business value returns are demonstrated keeping Gap Inc. in mind. It
is a retail company and facing drastic changes in terms of decrease in obtaining information.
Different capabilities and resources of Gap are investigated here from a resources-based viewpoint.

2IT PORTFOLIO THEORY
Table of Contents
Introduction:..........................................................................................................................................3
1. Task 1:...............................................................................................................................................3
1.a. Identification of IT assets and business value returns using IT Portfolio Theory:.....................3
1. b. Risk, return and balanced view of value from IT portfolio of Gap:..........................................5
2. Task 2:...............................................................................................................................................6
2.a. List of resources and capabilities on the basis of Resource-Based View (RBV) of the
organization:......................................................................................................................................6
2. b. Methods to add value and rarity to resources and capabilities for Gap:....................................8
Conclusion:............................................................................................................................................9
References:..........................................................................................................................................10

3IT PORTFOLIO THEORY
Introduction:
Today’s business has been facing a dramatic change in reduction in the cost of transmitting,
processing and obtaining information. To understand the scenario Gap Inc. is chosen which is
engaged in specialty retailing.
The following study demonstrates features of IT Portfolio Theory in the first task. In the
second task, resources and capabilities are investigated to analyze consumer tastes with big data at
Gap Inc.
1. Task 1:
1.a. Identification of IT assets and business value returns using IT Portfolio Theory:
The various IT assets using IT Portfolio theory:
Inventory Discussion
Product inventory This product is available for sales at Gap.
Property management
and maintenance
Preserving and ideally developing the value of owned properties at Gap.
Development services This includes feasibility studies, marketing advice, design and concept
and project management (Weill and Aral 2006)
Retail leasing It is the contract through which Gap Inc. can convey land, services,
property and so on to others for the particular time and return in a
periodic payment.