2 Mission Statement. Company’s overall purpose and direction, products, services and values. Goals. That accomplish the mission. E.g. 5 year plan.
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SYSTEM PLANNING
Strategic Planning Process
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Mission Statement. Company’s overall purpose and direction,
products, services and values. Goals.
That accomplish the mission. E.g. 5 year plan List of Objectives to achieve the Goals.
List of specific tasks within a time.
IS Project Initiation
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System Request A form should be there
Possible reasons for system request Improved service Better Performance More Information Strong control Reduce cost
IS Project Initiation
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Who initiates User request Top management directive Existing system – problems, Errors IS department
IS Project Initiation
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External factors Change in government policies e.g. taxes New release of version of S/W package Competitors Industrial and organizational relationship,
IT board want to have data of all universities, then we have to change our system to
Advance in technology
Evaluation of System Request
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System review committee/steering committee.
The committee examines the feasibility of requests.
Project Feasibility
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Economic Cost/benefit analysis Sources of funds (cash flow, long-term
capital) Organizational and Cultural Technological Schedule Resource Feasibility Analysis – identify risks early
to implement corrective measures
Feasibility Study
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It is the measure of how beneficial or practical the development of IS will be to an organization
Feasibility Analysis It is the process by which feasibility is measured
Categories Operation Technical Economic Schedule Behavioral Political
In general PIECES (Performance, Information, Economy, Control, Efficiency, Services) is considered
Feasibility Report - Operation
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Operational viability. User need, management support, effective
usage. Training, resources for training. Reduction of employs … what about them. Involvement of users. Operation charges?, if so compare with overall
gain. Side affects of the new system. Is scheduling is reasonable. Look for ethical and legal issues.
Feasibility Report - Technical
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Technically feasible. Is need there. Capacity of equipment Reliable and long term planning for H/W & S/W Exact specifications System be able to handle the projected growth
Feasibility Report - Economic
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Economically desirable. People H/W & S/W In house development / purchase Formal and informal training Licenses and fees Consulting expenses Facility cost other
Organizational and Cultural Feasibility
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Each company has own culture New system must fit into culture
Evaluate related issues for potential risks Low level of computer competency Computer phobia Perceived loss of control Shift in power Fear of job change or employment loss Reversal of established work procedures
Schedule Feasibility
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Estimates needed without complete information
Management deadlines may not be realistic Project managers:
Drive to realistic assumptions and estimates
Recommend completion date flexibility Assign interim milestones to periodically
reassess completion dates Involve experienced personnel Manage proper allocation of resources
Resource Feasibility
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Team member availability
Team skill levels
Computers, equipment, and supplies
Support staff time and availability
Physical facilities
Criteria used Evaluation of System Request
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Reduction of cost Where, When, How and How much?
Increase in revenue Where, When, How and How much?
Better Result How and Are they measurable? Will the system serve customer, organization
better How much the project life is? Are necessary people available to proceed
with? Is the project absolutely necessary? Tangible and Intangible factors
Cost Benefit Analysis
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Tangible Benefits Fewer processing errors Increased throughput Decreased response time Increase sale Reduce credit loss Reduce expense
Intangible Benefits Improved customer good-well Better service Improved employee moral Better decision making
Discretionary and Non-Discretionary
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Discretionary Projects Project where management has choice in
implementation Non-discretionary Projects
Project where management has no choice in implementation
Preliminary Investigation
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Understanding the problem Defining scope and constraints
Constraints are conditions, limitation e.g. use the existing H/W
Identify the benefits Tangible & Intangible
Estimate the time and cost Report to Management
Steps for Preliminary Investigation
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Obtain Authorization Identify the necessary information
Understand the problem Define the project scope & constraints Identify benefits Estimate the time and cost Report to management
Steps for Preliminary Investigation
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Fact finding Organization chart Interview Documents review Observe current operation Survey
Analyze the information
Steps for Preliminary Investigation
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Presentation to the management Introduction
Overview, who conducted the investigations… System request summary Findings Recommendations Time & Cost estimate Expected benefits Appendix
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