1 Pertemuan 07 System Development : System Concept Matakuliah: M0084/Sistem Informasi dalam Manajemen Tahun: 2005 Versi: 1/1.

1

Pertemuan 07System Development : System Concept

Matakuliah : M0084/Sistem Informasi dalam Manajemen

Tahun : 2005

Versi : 1/1

2

Learning Outcomes

Pada akhir pertemuan ini, diharapkan mahasiswa

akan mampu :

• Mahasiswa dapat Menerangkan menjelaskan konsep dasar model sistem & pendekatan sistem untuk pemecahan masalah (C2)

• Mahasiswa dapat Membandingkan konsep dasar model sistem & pendekatan sistem untuk pemecahan masalah (C4)

3

Outline Materi

• Pengertian dan jenis model• Model Sistem Umum• Penggunaan Model Sistem Umum• Elemen Proses Pemecahan Masalah• Struktur Masalah• Pendekatan Sistem• Preparation Effort• Definition Effort• Solution Effort• Review Pendekatan Sistem

4

Introduction• Both managers and systems developers can apply

the systems approach when solving problems • The approach consists of three phases of effort:

– Preparation consists of viewing the firm as a system, recognizing the environmental system, and identifying the firm’s subsystems

– Definition involves proceeding from a system to a subsystem level and analyzing system parts in a certain sequence

– Solution involves identifying the alternative solutions, evaluating them, and selecting the best one

TransformationProcess

The Physical System of the The Physical System of the FirmFirm

Input Resources

OutputResources

Boundary of the Firm

6-5

The Conceptual SystemThe Conceptual System

Open-loop systemsOpen-loop systems

Closed-loop systems (feedback loop)Closed-loop systems (feedback loop)

Management controlManagement control

The information processorThe information processor

6-6

TransformationProcess

ControlMechanism

InputResources

OutputResources

A Closed-Loop SystemA Closed-Loop System

Feedback Feedback

6-7

Management

TransformationProcess

InputResources

OutputResources

Information Information

The Physical System of the Firm The Physical System of the Firm as a Controlled Systemas a Controlled System

6-8

Information is Gathered Information is Gathered from All of the Physical from All of the Physical

System ElementsSystem Elements

Management

TransformationProcess

OutputResources

Input Resources

InformationInformation InformationInformation

6-9

Management Information Processor

Output Resources

InputResources

Information Information

Data

Transformation Process

The Information Processor TransformsThe Information Processor Transforms Data into InformationData into Information

6-10

Conceptual System (cont.)Conceptual System (cont.)

Dimensions of InformationDimensions of Information– RelevancyRelevancy– AccuracyAccuracy– TimelinessTimeliness– CompletenessCompleteness

Too Much Information is called ‘Information Overload’

6-11

Conceptual System (cont.)Conceptual System (cont.)

Standards Standards – Measure of acceptable Measure of acceptable

performanceperformance– Usually stated in specific Usually stated in specific

termsterms– Used to control physical Used to control physical

systemsystem– Consists of:Consists of:

» ManagementManagement

» Information processorInformation processor

» StandardsStandards

ObjectivesObjectives– Overall goal that a Overall goal that a

system is to obtainsystem is to obtain

– Systems have one or Systems have one or more objectives more objectives

6-12

A Comparison of Objectives and StandardsA Comparison of Objectives and StandardsObjectivesObjectives Standards of Performance Standards of Performance

Achieve an annual sales volume of at least $25 millionAchieve an annual sales volume of at least $25 million

Maintain a 20% share of the marketMaintain a 20% share of the market

Maintain an annual growth rate of 15%Maintain an annual growth rate of 15%

Pay dividends to stockholders each quarterPay dividends to stockholders each quarter

Maintain the price of the firm’s common stock above Maintain the price of the firm’s common stock above $85 per share$85 per share

Realize an after-tax profit of 15% of salesRealize an after-tax profit of 15% of sales

Maintain a record of accident-free daysMaintain a record of accident-free days

Keep employee turnover below 10%Keep employee turnover below 10%

Invest in a minimum of 15% of sales revenue in research Invest in a minimum of 15% of sales revenue in research and developmentand development

Achieve stockout on no more than 2% of the items in Achieve stockout on no more than 2% of the items in inventory during the yearinventory during the year

Keep the number of backorders to less than 5% of all Keep the number of backorders to less than 5% of all orders processedorders processed

Have no plant shutdowns due to unavailable materialsHave no plant shutdowns due to unavailable materialsHave no legal actions filed against the firm by Have no legal actions filed against the firm by customers, suppliers, and the governmentcustomers, suppliers, and the government

Satisfy Customer Satisfy Customer NeedsNeeds

Produce a return Produce a return on investment for on investment for the ownersthe owners

Operate efficientlyOperate efficiently

Invest in the futureInvest in the future

Develop sources Develop sources of supplyof supply

Operate ethicallyOperate ethically6-13

OutputResources

InputResources

ManagementInformationProcessor

TransformationProcess

Standards

Information Information

Data

Performance Standards are Made Available Performance Standards are Made Available to Both Management and the Information to Both Management and the Information

ProcessorProcessor

6-14

Conceptual System (cont.)Conceptual System (cont.)

Management by exceptionManagement by exception– Compares standards with information output of Compares standards with information output of

systemsystem– Manager becomes involved when system falls Manager becomes involved when system falls

outside range of acceptable performanceoutside range of acceptable performance– Capability provided by CBISCapability provided by CBIS

6-15

Conceptual System (cont.)Conceptual System (cont.)

Critical Success Factors (CSFs)Critical Success Factors (CSFs)– A CSF is one of the firm’s activities that has a A CSF is one of the firm’s activities that has a

strong influence on the firm’s ability to meet its strong influence on the firm’s ability to meet its objectivesobjectives

– Firms have multiple CSFsFirms have multiple CSFs– CSFs focuses attention on a portion of a firm’s CSFs focuses attention on a portion of a firm’s

activitiesactivities

6-16

Standards

ManagementInformation Processor

OutputResources

Transformation Process

InputResources

Data

InformationDecisions

Changes are Made in the Changes are Made in the Physical System Through the Physical System Through the

Decision FlowDecision Flow

6-17

Conceptual System (cont.)Conceptual System (cont.)

Decision FlowDecision Flow– Data is transformed into information by the Data is transformed into information by the

information processorinformation processor– Manager transforms information into decisionsManager transforms information into decisions

6-18

The General Systems Model of the The General Systems Model of the FirmFirm

Standards

Management Information Processor

OutputResources

Transformation Process

InputResources

Data

InformationDecisions

Environment

PhysicalResources Physical

Resources

Informationand Data

6-19

General Systems General Systems Model in ContextModel in Context

Helps adjust firmHelps adjust firm Provides a sense of stabilityProvides a sense of stability Provides mental picture of what to expectProvides mental picture of what to expect

6-20

Problems -- Good and BadProblems -- Good and BadProblems -- Good and BadProblems -- Good and Bad

Problem solving Problem solving – Suppress harmful effectsSuppress harmful effects– Capitalize on opportunity for benefitCapitalize on opportunity for benefit

Decision Decision – The act of selecting a strategy or actionThe act of selecting a strategy or action

6-21

Elements of Problem Elements of Problem SolvingSolving

Elements of Problem Elements of Problem SolvingSolving

Desired stateDesired state Current stateCurrent state ConstraintsConstraints

– Internal -- limited resourcesInternal -- limited resources– Environmental -- pressures to restrict resource Environmental -- pressures to restrict resource

flowsflows

} Difference = Solution Criterion

6-22

Problem

Standards

Information

Problemsolver

(manager)

Solution

Alternatesolutions

Constraints

Desired state

Current state

Elements of the conceptual system

Elements of the Problem-Solving

Process

Elements of the Problem-Solving

Process

6-23

Problems versus Problems versus SymptomsSymptoms

Problems versus Problems versus SymptomsSymptoms

Know the differenceKnow the difference– Symptoms are produced by the problemSymptoms are produced by the problem– The problem causes the symptomsThe problem causes the symptoms– When the problem is corrected the symptoms When the problem is corrected the symptoms

will cease, but not vice versawill cease, but not vice versa

6-24

Problem StructureProblem StructureProblem StructureProblem Structure

Structured Structured – Elements and relationships understoodElements and relationships understood

UnstructuredUnstructured– No elements or relationships understoodNo elements or relationships understood

SemistructuredSemistructured– Some elements understoodSome elements understood

DSS concept of managers and the computer DSS concept of managers and the computer working jointly towards a solutionworking jointly towards a solution

6-25

Problem StructureProblem StructureProblem StructureProblem Structure

DSS DSSComputer

SolveManager

Solve

Structured Semi-structured Unstructured6-26

27

THE SYSTEMS APPROACH• John Dewey identified three series of judgments

involved in adequately resolving a controversy1. Recognize the controversy2. Weigh alternative claims3. Form a judgment

• During the late 1960s/early 1970s, interest in systematic problem solving strengthened

• Management scientists and information specialists produced a recommended framework that became known as the systems approach—a series of problem-solving steps that ensure the problem is first understood, alternative solutions are considered, and the selected solution works (Figure 7.1)

Phase I: Preparation EffortStep 1. View the firm as a systemStep 2. Recognize the environmental systemStep 3. Identify the firm’s subsystems

Phase II: Definition EffortStep 4. Proceed from a system to a subsystem levelStep 5. Analyze system parts in a certain sequence

Phase III: Solution EffortStep 6. Identify the alternative solutionsStep 7. Evaluate the alternative solutionsStep 8. Select the best solutionStep 9. Implement the solutionStep 10. Follow up to ensure that the solution is effective

Phases and Steps of the Systems Approach

Decisions are made at each step of the definition and solution phases 6-28

29

The System’s Approach (cont.)1. If a manager can also regard the levels of

management as subsystems, the importance of information flows becomes clear

2. A problem trigger – a signal that things are going better/worse than planned – usually stimulates a definition effort

3. A top-down analysis then begins of the system for which the manager is responsible

4. As the manager studies each system level, the system elements are analyzed in sequence (Figure 7.3)

The Systems Approach Requires The Systems Approach Requires Decision MakingDecision Making

DefinitionDefinitionEffortEffort

SolutionSolutionEffortEffort

PHASEPHASE STEPSTEP DECISIONDECISION

4. 4. Proceed from a system Proceed from a system to a subsystem level.to a subsystem level.

5. 5. Analyze system parts in a Analyze system parts in a certain sequence.certain sequence.

6. 6. Identify alternative Identify alternative solutions.solutions.

7. 7. Evaluate the alternative Evaluate the alternative solutions.solutions.

8. 8. Select the best solution.Select the best solution.

9. 9. Implement the solution.Implement the solution.

10. 10. Follow up to ensure that Follow up to ensure that the solution is effective.the solution is effective.

Where is the problem?Do new data need to be gathered, or do data already exist?How will data be gathered?What is causing the problem?How many alternatives should be identified?Are these alternatives feasible?Which criteria should be used?How does each alternative measure up to each criterion?Do all criterion have equal weight?Is there enough information to make a selection?Which alternative measures up best to the criteria?When should this solution be implemented?How should the solution be implemented?Who should perform the evaluation?How well is the solution meeting the objectives? 6-30

31

32

1.1.StandardsStandards

3.3.ManagementManagement

4.4.Information Information processorprocessor

5.5. Input Input resourcesresources

6.6.TransformationTransformation

processesprocesses

7.7.OutputOutput

resourcesresources

2.2.OutputsOutputs

Each Part of the System Is Analyzed in SequenceEach Part of the System Is Analyzed in Sequence

++Inputs.Inputs.

6-33

34

Steps towards a Solution1. Identify Alternative Solutions

2. Evaluate the Alternative Solutions

3. Selecting the Best Solution Involves:• Analysis• Judgment • Bargaining

4. Implement the Solution

5. Follow Up to Ensure That the Solution Is Effective

An Integrative Model of the Systems An Integrative Model of the Systems ApproachApproach

Solution EffortSolution Effort6. Identify alternative solutions6. Identify alternative solutions7. Evaluate the alternative solutions7. Evaluate the alternative solutions8. Select the best solution8. Select the best solution9. Implement the solution9. Implement the solution10. Follow-up to ensure solution is effective10. Follow-up to ensure solution is effective

Definition EffortDefinition Effort4. Proceed from a system to a 4. Proceed from a system to a

subsystem levelsubsystem level5. Analyze system parts in a certain 5. Analyze system parts in a certain

sequencesequence

6-35

Review of Systems Review of Systems ApproachApproach

Integrating each step of the systems approach is a Integrating each step of the systems approach is a managerial challengemanagerial challenge

Managerial preparation effort is a good starting Managerial preparation effort is a good starting pointpoint

Next, manager engages in functional Next, manager engages in functional decompositiondecomposition– Definition effortDefinition effort

Finally, manager solves problemFinally, manager solves problem– Solution effortSolution effort

6-36

37

End of Session 7