A preliminary model for information system replacement

Repetitive revisions of old information systems cause them to be less effective and more costly to maintain. Failure to replace a system at an appropriate time could lead to loss of a competitive advantage and could expose an organization to several risks such as dependence on a handful of technical specialists who have a thorough understanding of the old system. The idea of systems replacement within the framework of systems development life cycle was introduced recently. In this paper we have proposed a preliminary model which should help management decide when to replace a system. This model has its roots in the field of reliability theory. Although this model remains, in large part, empirically untested, the application of the model has been demonstrated using a numerical example.