Software is a major element in many business processes. It is also an essential component of the products and services. It is often at the center of business models, and is often considered to be an important differentiation. It is recognition boards ideas a major source of innovation and increased productivity, and is an important component of digital transformation in all sectors. This is why software has become an essential part of IT and business classes even for non-technical students.

In the 1980s computer programs revolutionized business. One of the most well-known examples was word processing software, such as Word Perfect and Microsoft Word that quickly replaced IBM typewriters. Mathematical spreadsheet programs like Lotus 1-2-3 and Excel became popular as well. The 1990s saw a number of shifts in globalization as companies shifted to SAP software that coordinated supply chain vendors. These programs were utilized to streamline manufacturing and logistics operations.

For businesses that are implementing new software, the question of valuing these intangible assets is a critical issue to be considered. Whether it is to determine the purchase price, or for financing purposes, or to understand how to improve the flow of value throughout the life of the product the process of valuing software is often a complex. The IT team and managers of business units need to focus on maximizing software investments. They should be encouraged and empowered by upper management to make educated choices that positively impact the flow of value through their company.