However, the creation of ISs to man

However, the creation of ISs to manage
and process data and the deployment of communication networks
by themselves do not generate value, as measured by
an increase in profitability. Viewed from the basic profitability
or net income model (profit  revenues  expenses), profit
increases when employees learn from and use the data to
increase revenues, reduce expenses, or both. In this learn and
earn model, managers learn—that is, gain insights—from their
data to predict what actions will lead to the greatest increase
in net earnings. Net earnings are also referred to as net
income or the bottom line. The pursuit of earnings is the primary
reason companies exist. Reducing uncertainty can
improve the bottom line, as the examples in Table 3.5 show