2. How does learning influence net earnings? Over the past decades, businesses have invested heavily in IT infrastructures (e.g., ISs) to capture, store, analyze, and communicate data. 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.