This paper describes a model for evaluating IT-investments and the development of that model. The model aims at giving decision-makers in organizations a clear and precise picture of IT-investments. The model has been developed with an action-research approach, which means that researchers have cooperated closely with practitioners during the development. The development has been heavily influenced by the organizations taking part in the project. In a number of workshops intermediate results have been presented and reactions from practitioners have influenced the work, until the model is tested and considered to be useful. A Swedish Governmental organization has headed the project. A number of agricultural organizations within the European Union have provided the project with feedback. The participating representatives from different countries are directly concerned with IT investment problems. This action-research approach has resulted in a model that from participants is considered to have a potential to make an impact in their organizations on the decision-making processes for IT investments. The model also has potential to be used in academic teaching about how organizations can manage IT-investments.

The model differs from other investment models in three distinct ways:

- it adopts a lifetime perspective for different types of IT related investments

- the concept of delayed investment is introduced

- different calculation practices can be used, and the model supports different decision alternatives, also with consideration to non monetary benefits.

The overall objective for the model is to support management of IT investments in a lifetime perspective.

Even if the model is developed within governmental organizations it is judged to be general enough for use in every type of organization.