Building and Implementing Information Systems - June 2014

Case: Blue Cross - Development ChallengesGood Web-based Self-service:Customer satisfaction soars

Call center costs plummet as customers answer their own questions, enter their own credit card numbers and change their own passwords without extensive live help

Case: Blue Cross - Development ChallengesBad Web-Based Self-Service:Frustrated customers click to a competitors siteFrustrated customers dial up your call centerCustomer is unhappyYou have paid both for self service web site and for a call center

Case: Blue Cross - Development ChallengesWhy do more than a third of all Web self-service customers get frustrated and end up calling a help center? Use the experiences of Blue Cross-Blue Shield and AT&T Wireless to help you answer.A: A poorly designed web interface with a confusing sequence of options or asking them Questions they cannot answerA: Cumbersome drop down boxesA: Wording hard to understandA: Requiring customers to indicate which network they are using, which most did not know

Case: Blue Cross - Development ChallengesWhat are some solutions to the problems users may have with Web self-service? Use the experiences of the companies in this case to propose several solutions.A: Using a focus group of end users to test the prototypeA: Redesign the web site to automatically send customers to the correct network siteA: Setting aside money and time for maintaining the siteA: Designing flexibility into application interfaces and business rules so the site can be changed as needed

Case: Blue Cross - Development Challenges Take AwayWeb self service should be goodBad web based self service will have frustrated customers, who may switch to competitorsSome major customers dont do business with you if you do not have a good web based self service capabilitiesImportant to communicate with business units & end users during the design phaseTesting the prototype by a focus group of end users

Case: Blue Cross - Development Challenges Take AwayDo not ask questions to customers of which they do not know the answersSetting aside money and time for maintaining the siteDesigning flexibility into application interface and business rules so the site can be changed as neededSoftware helps speed up the development process e.g. JRules

DEVELOPING SOFTWARESoftware that is built correctly can transform, as the organization and its business transforms

Software that effectively meets employee needs will help an organization become more productive and enhance decision making

Software that does not meet employee needs may have a damaging effect on productivity and can even cause a business to fail11-6

DEVELOPING SOFTWAREAs organizations reliance on software grows, so do the business-related consequences of software successes and failures including:Increase or decrease revenueRepair or damage to brand reputationPrevent or incur liabilitiesIncrease or decrease productivity11-7

Overview of Systems Development

Systems development: Activities that go into producing an information system solution to an organizational problem or opportunitySystems analysisSystems designProgrammingTestingConversionProduction and maintenance11-7

Overview of Systems DevelopmentTHE SYSTEMS DEVELOPMENT PROCESSBuilding a system can be broken down into six core activities.FIGURE 13-4

Systems analysis Analysis of problem to be solved by new systemDefining the problem and identifying causesSpecifying solutionsSystems proposal report identifies and examines alternative solutionsIdentifying information requirementsIncludes feasibility studyIs solution feasible and good investment?Is required technology, skill available?


System analysis (cont.)Establishing information requirementsWho needs what information, where, when, and howDefine objectives of new/modified systemDetail the functions new system must performFaulty requirements analysis is leading cause of systems failure and high systems development cost


Systems designDescribes system specifications that will deliver functions identified during systems analysisShould address all managerial, organizational, and technological components of system solutionRole of end usersUser information requirements drive system buildingUsers must have sufficient control over design process to ensure system reflects their business priorities and information needsInsufficient user involvement in design effort is major cause of system failure



OUTPUT MediumContentTimingINPUTOriginsFlowData entryUSER INTERFACESimplicityEfficiencyLogicFeedbackErrorsDATABASE DESIGNLogical data modelVolume and speed requirementsFile organization and designRecord specificationsPROCESSINGComputationsProgram modulesRequired reportsTiming of outputsMANUAL PROCEDURESWhat activitiesWho performs themWhenHowWhereCONTROLSInput controls (characters, limit, reasonableness)Processing controls (consistency, record counts)Output controls (totals, samples of output)Procedural controls (passwords, special forms)SECURITYAccess controlsCatastrophe plansAudit trailsDOCUMENTATIONOperations documentationSystems documentsUser documentationCONVERSIONTransfer filesInitiate new proceduresSelect testing methodCut over to new systemTRAININGSelect training techniquesDevelop training modulesIdentify training facilitiesORGANIZATIONAL CHANGESTask redesignJob redesignProcess designOrganization structure designReporting relationships

Programming: System specifications from design stage are translated into software program codeTesting Ensures system produces right resultsUnit testing: Tests each program in system separatelySystem testing: Test functioning of system as a whole Acceptance testing: Makes sure system is ready to be used in production settingTest plan: All preparations for series of tests


Overview of Systems DevelopmentA SAMPLE TEST PLAN TO TEST A RECORD CHANGEWhen developing a test plan, it is imperative to include the various conditions to be tested, the requirements for each condition tested, and the expected results. Test plans require input from both end users and information systems specialists.FIGURE 13-5

Conversion Process of changing from old system to new systemFour main strategiesParallel strategyDirect cutoverPilot studyPhased approachRequires end-user trainingFinalization of detailed documentation showing how system works from technical and end-user standpoint


Production and maintenanceSystem reviewed to determine if revisions neededMay include post-implementation audit documentMaintenanceChanges in hardware, software, documentation, or procedures to a production system to correct errors, meet new requirements, or improve processing efficiency20% debugging, emergency work20% changes to hardware, software, data, reporting60% of work: User enhancements, improving documentation, recoding for greater processing efficiency



SUMMARY OF SYSTEMS DEVELOPMENT ACTIVITIESCORE ACTIVITYDESCRIPTIONSystems analysisIdentify problem(s)Specify solutionsEstablish information requirementsSystems designCreate design specificationsProgrammingTranslate design specifications into codeTestingUnit testSystems testAcceptance testConversionPlan conversionPrepare documentationTrain users and technical staffProduction and maintenanceOperate the systemEvaluate the systemModify the system

Most prominent methodologies for modeling and designing systems:Structured methodologiesObject-oriented developmentStructured methodologiesStructured: Techniques are step-by-step, progressiveProcess-oriented: Focusing on modeling processes or actions that manipulate dataSeparate data from processes


Data flow diagram:Primary tool for representing systems component processes and flow of data between themOffers logical graphic model of information flowHigh-level and lower-level diagrams can be used to break processes down into successive layers of detailData dictionary: Defines contents of data flows and data storesProcess specifications: Describe transformation occurring within lowest level of data flow diagrams Structure chart: Top-down chart, showing each level of design, relationship to other levels, and place in overall design structure


Overview of Systems DevelopmentDATA FLOW DIAGRAM FOR MAIL-IN UNIVERSITY REGISTRATION SYSTEMThe system has three processes: Verify availability (1.0), Enroll student (2.0), and Confirm registration (3.0). The name and content of each of the data flows appear adjacent to each arrow. There is one external entity in this system: the student. There are two data stores: the student master file and the course file.FIGURE 13-6

Overview of Systems DevelopmentHIGH-LEVEL STRUCTURE CHART FOR A PAYROLL SYSTEMThis structure chart shows the highest or most abstract level of design for a payroll system, providing an overview of the entire system.FIGURE 13-7

THE SYSTEMS DEVELOPMENT LIFE CYCLE Systems development life cycle (SDLC) the overall process for developing information systems from planning and analysis through implementation and maintenance

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THE SYSTEMS DEVELOPMENT LIFE CYCLEPlanning phase involves establishing a high-level plan of the intended project and determining project goals

Analysis phase involves analyzing end-user business requirements and refining project goals into defined functions and operations of the intended systemBusiness requirement detailed set of business requests that the system must meet in order to be successful11-9

THE SYSTEMS DEVELOPMENT LIFE CYCLEDesign phase involves describing the desired features and operations of the system including screen layouts, business rules, process diagrams and other documentation

Development phase involves taking all of the detailed design documents from the design phase and transforming them into the actual system11-10

THE SYSTEMS DEVELOPMENT LIFE CYCLETesting phase involves bringing all the project pieces together into a special testing environment to test for errors, bugs, and interoperability and verify that the system meets all of the business requirements defined in the analysis phase

Implementation phase involves placing the system into production so users can begin to perform actual business operations with the system11-11

THE SYSTEMS DEVELOPMENT LIFE CYCLEMaintenance phase involves performing changes, corrections, additions, and upgrades to ensure the system continues to meet the business goals

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SOFTWARE DEVELOPMENT METHODOLOGIESThere are a number of different software development methodologies including:AgileWaterfallRapid application development (RAD)Extreme programmingRational unified process (RUP)Scrum

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WATERFALL METHODOLOGYWaterfall methodology an activity-based process in which each phase in the SDLC is performed sequentially from planning through implementation and maintenance

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AGILE METHODOLOGYAgile methodology aims for customer satisfaction through early and continuous delivery of components developed by an iterative processAn agile project sets a minimum number of requirements and turns them into a deliverable productIterative development consists of a series of tiny projects11-15

RAPID APPLICATION DEVELOPMENT METHODOLOGY (RAD)Rapid application development methodology (RAD) emphasizes extensive user involvement in the rapid and evolutionary construction of working prototypes of a system to accelerate the systems development process

The prototype is an essential part of the analysis phase when using a RAD methodologyPrototype a smaller-scale representation or working model of the users requirements or a proposed design for an information system11-16

RAPID APPLICATION DEVELOPMENT METHODOLOGY (RAD)Fundamentals of RADFocus initially on creating a prototype that looks and acts like the desired systemActively involve system users in the analysis, design, and development phasesAccelerate collecting the business requirements through an interactive and iterative construction approach11-17

EXTREME PROGRAMMING METHODOLOGYExtreme programming (XP) methodology breaks a project into tiny phases, and developers cannot continue on to the next phase until the first phase is complete

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IMPLEMENTING AGILE METHODOLOGIESThe Agile Alliance ManifestoEarly and continuous delivery of valuable software will satisfy the customerChanging requirements are welcomeBusiness people and developers work togetherProjects need motivated individualsUse self-organizing teamsReflect on how to become more effective

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DEVELOPING SUCCESSFUL SOFTWAREPrimary principles for successful agile software development include:Slash the budgetIf it doesnt work, kill itKeep requirements to a minimumTest and deliver frequentlyAssign non-IT executives to software projects11-22

Systems Development Lifecycle (SDLC)

Systems Development Life Cycle - PHASE 1: PLANNINGPlanning phase involves establishing a high-level plan of the intended project and determining project goals

Primary planning activities includeIdentify and select the system for developmentAssess project feasibilityDevelop the project plan

PLANNING 1: Identify and Select the System for DevelopmentOrganizations use different forms to determine which systems to developCritical success factor (CSF) a factor that is critical to an organizations success

PLANNING 2: Assess Project FeasibilityFeasibility study determines if the proposed solution is feasible and achievable from a financial, technical, and organizational standpointDifferent types of feasibility studiesOperational feasibilityEconomic feasibilityTechnical feasibilityHuman Factors feasibilityLegal and Political feasibility

Feasibilty StudyFeasibility Studies: a preliminary study to determine theInformation needs of prospective usersResource requirementsCostsBenefitsFeasibilityIn some cases, a feasibility study is unnecessary

Operational FeasibilityHow well the proposed system will Support the business priorities of the organizationSolve the identified problemFit with the existing organizational structure

Economic FeasibilityAn assessment ofCost savingsIncreased revenueDecreased investment requirementsIncreased profitsCost/benefit analysis

Technical FeasibilityDetermine the following can meet the needs of a proposed system and can be acquired or developed in the required timeHardwareSoftwareNetworkTechnical competence of the DevelopersTechnical competence of the users

Human Factors FeasibilityAssess the acceptance level ofEmployeesCustomersSuppliersManagement supportDetermine the right people for the various new or revised roles

Legal/Political FeasibilityAssessPossible patent or copyright violationsSoftware licensing for developer side onlyGovernmental restrictionsChanges to existing reporting structure

Feasibility

Cost/Benefit AnalysisTangible costs or benefits that can be quantified

Intangible costs or benefits that can not be quantified

Examples of Benefits

PLANNING 3: Develop the Project PlanDeveloping the project plan is a difficult and important activity

The project plan is the guiding force behind on-time delivery of a complete and successful system

Continuous updating of the project plan must be performed during every subsequent phase during the SDLC

Systems Development Life Cycle PHASE 2: ANALYSISAnalysis phase involves analyzing end-user business requirements and refining project goals into defined functions and operations of the intended systemPrimary analysis activities includeGather business requirementsCreate process diagramsPerform a buy vs. build analysis

ANALYSIS 1: Gather Business RequirementsBusiness requirements the detailed set of business requests that the system must meet in order to be successfulDifferent ways to gather business requirementsJoint application development (JAD) session where employees meet to define or review the business requirements for the systemInterviewsQuestionnairesObservationsReview business documents

ANALYSIS 1: Gather Business RequirementsThe system users review the requirements definition document and determine if they will sign-off on the business requirementsRequirements definition document contains the final set of business requirements, prioritized in order of business importanceSign-off the system users actual signatures indicating they approve all of the business requirements

ANALYSIS 2: Create Process DiagramsProcess modeling graphically representing the processes that capture, manipulate, store, and distribute information between a system and its environmentCommon process modeling diagrams includeData flow diagram (DFD) illustrates the movement of information between external entities and the processes and data stores within the systemComputer-aided software engineering (CASE) tools automate systems analysis, design, and development

ANALYSIS 2: Create Process DiagramsSample data flow diagram

ANALYSIS 3: Perform a Buy vs. Build AnalysisAn organization faces two primary choices when deciding to develop an information systemBuy the information system from a vendorCommercial off-the shelf (COTS) software package or solution that is purchased to support one or more business functions and info. systemsSCM, CRM, and ERP solutions are typically COTSBuild the information system itself

ANALYSIS 3: Perform a Buy vs. Build AnalysisOrganizations must consider the following when making a buy vs. build decision:Are there any currently available products that fit the organizations needs?Are there features that are not available and important enough to warrant the expense of in-house development?Can the organization customize or modify an existing COTS to fit its needs?Is there a justification to purchase or develop based on the cost of acquisition?

ANALYSIS 3: Perform a Buy vs. Build AnalysisThree key factors an organization should also consider when contemplating the buy vs. build decision:Time to marketAvailability of corporate resourcesCorporate core competencies

Functional RequirementsDefinition:End user information requirements that are not tied to the hardware, software, network, data, and people resources that end users presently use or might use in the new system

Functional Requirement CategoriesUser Interface

Processing

Storage

Control

Example of Functional Requirements

User Interface: automatic entry of product data and easy-to-use data entry screens for Web customers

Processing: fast, automatic calculation of sales totals and shipping costs

Storage: fast retrieval and update of data from product, pricing, and customer databases

Control: signals for data entry errors and quick e-mail confirmation for customers12-*

Systems Development Life Cycle PHASE 3: DESIGNDesign phase involves describing the desired features and operations of the system including screen layouts, business rules, process diagrams, pseudo code, and other documentation

Systems DesignDefinition:Design activities that produce system specifications satisfying the functional requirements that were developed in the systems analysis process

System Design Categories

User Interface DesignDefinition:Focuses on supporting the interactions between end users and their computer-based applications

User Interface Design

Focuses on supporting the interactions between end users and their computer-based applications

Designers concentrate on the design of attractive and efficient forms of user input and outputFrequently a prototyping processProduces detailed design specifications for information products, such as display screens12-*

Checklist for Corporate Websites

Remember the customerAestheticsBroadband contentEasy to navigateSearchabilityIncompatibilitiesRegistration formsDead links12-*

System Specifications

Formalizing the design of

User interface methods and productsDatabase structuresProcessing proceduresControl procedures12-*

Checklist for Corporate WebsitesRemember the customer successful websites are built solely for the customer, not to make company vice presidents happy

Aesthetics successful designs combine fast-loading graphics and simple color palettes for pages that are easy to read

Broadband Content the Webs coolest stuff cant be accessed by most Web surfers; dont make it the focus of a site

Checklist for Corporate WebsitesEasy to navigate make sure its easy to get from one part of site to another

Searchability include a useful search engine

Incompatibilities test site with target web browsers

Checklist for Corporate WebsitesRegistration forms short registration forms are a useful way to gather customer data

Dead links be sure to keep links updated

Systems Development Life Cycle PHASE 4: DEVELOPMENTDevelopment phase involves taking all of the detailed design documents from the design phase and transforming them into the actual system

Primary development activities include:Develop the IT infrastructureDevelop the database and programs

DEVELOPMENT 1: Develop the IT InfrastructureThe platform upon which the system will operate must be built prior to building the actual system

In the development phase, the organization purchases and implements the required equipment to support the IT infrastructure

DEVELOPMENT 2: Develop the Database and ProgramsOnce the IT infrastructure is built, the organization can begin to create the database and write the programs required for the system

IT specialists perform the majority of the tasks associated with the development phase

Systems Development Life Cycle PHASE 5: TESTINGTesting phase involves bringing all the project pieces together into a special testing environment to test for errors, bugs, and interoperability, in order to verify that the system meets all the business requirements defined in the analysis phasePrimary testing activities include:Write the test conditionsPerform the system testing

System TestingTesting and debugging software

Testing website performance

Testing new hardware

Review of prototypes of displays, reports and other output

TESTING 1: Write the Test ConditionsTest condition the detailed steps the system must perform along with the expected results of each step

TESTING 2: Perform the System TestingDifferent types of testing:Unit testing tests each unit of code upon completionApplication (or system) testing verifies that all units of code work togetherIntegration testing exposes faults in the integration of software components or unitsBackup and recovery testing tests the ability of an application to be restarted after failureDocumentation testing verifies instruction guides are helpful and accurateUser acceptance testing (UAT) tests if a system satisfies its acceptance criteria

Systems Development Life Cycle PHASE 6: IMPLEMENTATION Implementation phase involves placing the system into production so users can begin to perform actual business operations with the system

Implementing New Systems

The systems implementation stage involves

Hardware and software acquisitionSoftware developmentTesting of programs and proceduresConversion of data resourcesConversion alternativesEducation/training of end users and specialists who will operate the new system12-*

Other Implementation Activities

The keys to successful implementation of a new business system

TestingData conversionDocumentationTraining12-*

Data Conversion

Data conversion includesConverting data elements from the old database to the new databaseCorrecting data errorsFiltering out unwanted dataConsolidating data from several databasesOrganizing data into new data subsets

Improperly organized and formatted data is a major cause of implementation failures12-*

Importance of DocumentationDocumentation serves as a method of communication among the people responsible for developing, implementing, and maintaining a computer-based system.

Documentation is extremely important in diagnosing errors and making changes, especially if the end users or systems analysts who developed a system are no longer with the organization.

Documentation

User DocumentationSample data entry screens, forms, reportsSystem operating instructions

Systems DocumentationMethod of communication among those developing, implementing, and maintaining a computer-based systemDetailed record of the system designExtremely important when diagnosing problems and making system changes12-*

Training

End users must be trained to operate a new business system or its implementation will failMay involve only activities, such as data entry, or all aspects of system useManagers and end users must understand how the new technology impacts business operations

System training should be supplemented with training related toHardware devicesSoftware packages12-*

Major System Conversion Strategies12-*

Direct Conversion

Direct conversionThe simplest conversion strategyThe most disruptive to the organizationSometimes referred to as the slam dunk or cold-turkey strategyMay be the only viable solution in cases of emergency implementation or if the old and new system cannot coexistHas the highest risk of failureInvolves turning off the old system and turning on the new one12-*

Parallel Conversion

Old and new systems are run simultaneously until everyone is satisfied thatThe new system functions correctlyThe old system is no longer needed

Conversion to new system can be single cutover or phased cutover

Has the lowest risk, but the highest costCan cost 4 times more than using the old system

Best choice where an automated system is replacing a manual one12-*

Pilot Conversion

Scenarios best suited to a pilot conversionMultiple business locationsGeographically diverse locations

Advantages of single location conversionCan select a location that best represents the conditions across the organizationLess risky in terms of loss of time or delays in processingCan be evaluated and changed before further installations12-*

Phased Conversion

A phased or gradual conversionTakes advantage of both the direct and parallel approachesMinimizes the risks involvedAllows the new system to be brought online as logically ordered functional componentsDisadvantagesTakes the most timeCreated the most disruption to the organization over time12-*

Implementation Process

Hardware Evaluation FactorsPerformance

Cost

Reliability

Compatibility

TechnologyErgonomics

Connectivity

Scalability

Software

Support

Hardware Evaluation Factors

PerformanceWhat is its speed, capacity and ThroughputCostWhat is the lease or purchase price? What will be the cost of operation and maintenance?ReliabilityWhat are he risk of malfunction & its maintenance requirements? What are its error control and diagnostic features?

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Hardware Evaluation FactorsCompatibilityIs it compatible with existing hardware and software? Is it compatible with hardware and software provided by competing suppliers?TechnologyIn what year of product life cycle it is? Does it use a new untested technology or does it run the risk of obsolescence?ErgonomicsHas it been human factors engineered with the user in mind? Is it user friendly, designed to be safe, comfortable and easy to use?

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Hardware Evaluation FactorsConnectivityCan it be easily connected to WAN and LAN that use different type of network technologies and bandwidth alternatives?ScalabilityCan it handle the processing demands of a wide range of end users, transactions, queries and other processing requirements?SoftwareAre system and application software available that can best use this software?

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Hardware Evaluation Factors

SupportAre the services required to support and maintain available?

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Software Evaluation FactorsQuality

Efficiency

Flexibility

SecurityConnectivity

Maintenance

Documentation

Hardware

Software Evaluation factorsQualityIs it bug free or does it have many errors in its program code?EfficiencyIs the software using much of CPU time, memory capacity or disk space?FlexibilityCan it handle our business processes easily without much of modifications?SecurityDoes it provide control procedures for errors?12-*

Software Evaluation factorsConnectivityIs it web enabled so it can be easily access the Internet, Intranet and extranets on its own or with web browsers?MaintenanceWill new features and bug fixes be easily implemented by our own software developers?DocumentationIs the software well documented? Does it include help screens?12-*

Software Evaluation factors

HardwareDoes the existing hardware have the features required to best use this software?

Other FactorsWhat are its performance, cost, reliability, availability, compatibility, modularity, technology, ergonomics, scalability and support characteristics?

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IS ServicesDeveloping a company website

Installation

Conversion

Employee training

Hardware maintenanceSystem design

Contract programming

Consulting services

System integration

IS Services Evaluation FactorsPerformance

Systems development

Maintenance

Conversion

TrainingBackup

Accessibility

Business Position

Hardware

Software

IS Services Evaluation factors

PerformanceWhat has been their past performance in view of their promises?System DevelopmentAre web site and other e business developers available? What are their quality and cost?MaintenanceIs equipment maintenance provide? What are their quality and cost? 12-*


ConversionWhat system development and installation services will they provide during the conversion period?TrainingIs necessary training of personnel provided? What are its quality and cost?BackupAre similar computer facilities available nearby for emergency backup purpose? 12-*

IS Services Evaluation factorsAccessibilityDoes the vendor provide local or regional sites that offer sales, systems development and hardware maintenance services? Is a customer support center at vendors web site available? Is a customer hotline provided?Business PositionIs the vendor financially strong, with good industry market prospectsHardwareDo they provide wide selection of compatible hardware devices & accessories? 12-*


SoftwareDo they offer a variety of useful e business software and application packages?

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Systems Development Life Cycle PHASE 7: MAINTENANCEMaintenance phase involves performing changes, corrections, additions, and upgrades to ensure the system continues to meet the business goal

Post-Implementation Activities

The single most costly activityCorrecting errors or faults in the systemImproving system performanceAdapting the system to changes in the operating or business environmentRequires more programmers than does application developmentMay exist for years12-*

Systems Maintenance

There are four basic categories of system maintenanceCorrective: fix bugs and logical errorsAdaptive: add new functionalityPerfective: improve performancePreventive: reduce chances of failure12-*

Post-Implementation Review

Ensures that the newly implemented system meets the established business objectivesErrors must be corrected by the maintenance processIncludes a periodic review/audit of the system as well as continuous monitoring12-*

Software Problems Are Business ProblemsPrimary reasons for project failure includeUnclear or missing business requirementsSkipping SDLC phasesFailure to manage project scopeScope creep occurs when the scope increasesFeature creep occurs when extra features are addedFailure to manage project planChanging technology

Case Study: Hewlett-Packard: Managing Radical ChangeSome facts about Randy Mott & his earlier achievementsIn Wal-Mart, he had only 30 tech staffYet they developed a network of computerized distribution centers that made it simple to open and run new store with cookie cutter efficiencyIn 1990, as a CIO, he persuaded higher ups to invest in Data Warehouse

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Case Study: Hewlett-Packard: Managing Radical ChangeSome facts about Randy Mott & his earlier achievementsWith that the company was able to analyze buying trends of customers as no other company had done.In 2005, he took up the job of CIO in HPHe understood not only technology and how to use it to improve business, but how to deliver those benefitsIn Dell, he meld 100 separate systems into a single data warehouse.

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Case Study: Hewlett-Packard: Managing Radical ChangeSome facts about Randy Mott & his earlier achievementsMotts team enabled Dell to quickly spot its inventory for a particular chip, so the company could offer online promotions for devices containing that part before the prices fell too steeply.Most challenging project - 3 year, $1 billion plus makeover of HP internal tech systems

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Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsReplacing 85 loosely connected data centers around the world with 6 cutting-edge facilitiesCutting thousands of smaller projects to focus on a few corporate-wide initiativesScrapping 784 databases for one data warehouseLaying off thousands of IT workersBuilding its own fiber-optic network to connect the six data centers12-*

Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsIf Mott is successful, HPs annual spending on tech should be cut in half in the years ahead, from $3.5 billion in 2005.Data warehouse could help HP make headway on how to capitalize on its vast breadth12-*

Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsIf all information about HPs shipment of printers, PCs and servers can be integrated, it will enable HP to know exactly, what each location is doing on a given dayMott had the advantage at Wal-Mart & Dell of building infrastructure from scratch12-*

Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsHe will need support of the remaining staffers who have resisted centralized controlMott is testing the limits of the HP culture, taking away the rights of thousands of IT workers to purchase their own tech equipments

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Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsTearing up the IT infrastructure & putting many IT initiatives on holdCEO Hurd is demanding revamp of everything from sales to product linesEveryone is averaging 60 hours a weekAt some point you hit a breaking point

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Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsMotts greatest strength is while a technologist, he has management skills to make IT actually take root in a companys cultureMoot championed the deployment of IT by showing how it achieved Wal-Marts business goals

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Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsThe idea of data warehousing is to make sure that all of HPs businesses are working of the same set of data, and to give them tools to quickly make the best decisions for the entire company say a single customer management system, so executives can know the full breadth of what any account buys from HP

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Case Study: Hewlett-Packard: Managing Radical ChangeHP is embarking on a makeover of its internal tech systemsHurd & Mott believed in speed over endless analysisBenefits achievedTrimmed 1200 individual projects such as e learning application for new hires to only 500

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Case Study: Hewlett-Packard: Managing Radical ChangeBenefits achievedHe also imposed real deadlines to make that the Projects were completed in time.HP had 5 or more IT workers in 100 different locations, he decided to reduce them to 25

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Case Study: Hewlett-Packard: Managing Radical ChangeStrategy adopted by Mott to break the news of impending layoffsHe held close to 20 Coffee talks with HP employees in various countries.This could lead to some trying times next year, but the benefits may be surprisingCut monthly networking bill to phone companies by 40%

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Case Study: Hewlett Packard QuestionsWill the initiatives being undertaken by CIO Randy Mott to implement major changes to the IT function at HP make IT a more efficient and vital contributor to HPs business success?Defend your position on each of the major initiatives he is implementingInitiativesConsolidate data centersMay cut HPs IT costs in half12-*

Case Study: Hewlett Packard QuestionsConsolidation will reduce significant amount of facility maintenance expensesThis cost reduction will help HP improve its bottom lineDatabases consolidationWill allow data analysisBenefits can range from improved supplier & inventory management to better customer relations

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Case Study: Hewlett Packard Questions2. Do you approve of the change management job Mott is doing, including his meetings with HP employees throughout the world, and having coffee talks with them?HP employees both on IT side & on the business side need to learn Motts strategy, buy into business objectives and understand their role in HPs future12-*

Case Study: Hewlett Packard QuestionsThis will reduce employees doubts and uncertainties and help each one make a more informed decisionEmployee may choose to stay or leave for right reasonsThese meetings give Mott the opportunity to learn about HP, its employees & its cultureHe will find this useful as develops its plans12-*

Case Study: Hewlett Packard QuestionsThese meetings will open new channel of communications, which can supply Mott with information during the course of restructuring

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Case Study: Hewlett Packard QuestionsAssume you have been hired as a management consultant or coach to CIO MottWhat are several suggestions you might give him to help him successfully implement his ambitious plans for IT changes at HP?12-*

Case Study: Hewlett Packard QuestionsMott has to succeed in each of the three major disciplines in order to make this project a success, business, technology & HRM.Mott has experience of achieving business success in his previous companiesHe also has the technical experience to understand and manage the technical challenges created by these projectsThe key difference between his prior experience & HP falls on the Human Resource side12-*

Case Study: Hewlett Packard QuestionsBoth Dell & Wal-Mart were relatively new & heavily centralized organizationsCentralizing their data services did not pose much challenge to their fundamental business modelWhile with HP, it will.In order to succeed Mott will full support & dedication of CEO & its board of directors12-*

Case Study: Hewlett Packard QuestionsHe will need this support because these changes will prompt considerable internal backlash & this backlash must be met with resolute determinationResistance to change must be met with an adapt or leave message that only top leadership can make stick.12-*

Case Study: Hewlett Packard QuestionsMott must ensure that only right people stay & the right people leave both on the business side and IT side in HPTo do this, he must first clearly communicate what these changes will mean both to business units and to the IT staff.People should stay or leave for the right reasons 12-*

Case Study: Hewlett Packard QuestionsHe should also explain the benefits to the individuals who fully participate in this changeoverEmployees fully participating in the changeover will have a meaningful future with HPHP needs to offer early retirement packages to senior & mid level managers both within business units and his own IT staff 12-*

Case Study: Hewlett Packard QuestionsHP also needs to assure managers that those facing layoffs will receive generous separation packagesThis will encourage employees who wish to participate in the change to take a chance & stayThis is important because Mott need experienced and willing HP hands on board with his program12-*

Case Study: Hewlett Packard QuestionsLastly Mott needs to identify failing managers and terminate their employmentThis will help managers learn about centralization plans and its benefitsThis will also give chance to some managers to accept early retirement

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*******Discuss the famous Nike SCM failureOrganizations must learn how to build and implement disruptive technologies, such as software for wireless devices, to remain competitiveSoftware that is built correctly can support agile organizations and can transform as the organization and its business transformsSoftware that effectively meets employee needs will help an organization become more productive and enhance decision makingSoftware that does not meet employee needs may have a damaging effect on productivity and can even cause a business to fail

*Increase or decrease revenue Discuss Nikes poorly designed SCM software that delayed orders, increased excess inventories, and caused third quarter earnings to fall 24% below expectationsRepair or damage to brand reputation H&R Block customers were furious when the company accidentally posted passwords and social security numbers to its Web sitePrevent or incur liabilities FoxMeyer sued SAP for $500 million for an ERP failureIncrease or decrease productivity Defective software accounts for 45% of computer downtime and cost U.S. businesses $100 billion in 2003

CLASSROOM EXERCISESDLCBreak your students into groups and ask them to find examples of each of the above not mentioned in the textHave your students present their findings to the class*Increase or decrease revenue Discuss Nikes poorly designed SCM software that delayed orders, increased excess inventories, and caused third quarter earnings to fall 24% below expectationsRepair or damage to brand reputation H&R Block customers were furious when the company accidentally posted passwords and social security numbers to its Web sitePrevent or incur liabilities FoxMeyer sued SAP for $500 million for an ERP failureIncrease or decrease productivity Defective software accounts for 45% of computer downtime and cost U.S. businesses $100 billion in 2003

CLASSROOM EXERCISESDLCBreak your students into groups and ask them to find examples of each of the above not mentioned in the textHave your students present their findings to the classThis graphic illustrates the six core activities of systems building. Ask students why these activities are represented as a circle.

The circular nature indicates that systems building is not a linear process that is finished once the system is built. Typically, additional changes and improvements will need to be made to the system or part of the system that will require additional analysis, design, programming, testing, conversion, and maintenance.

*This slide and the next describe the first stage of systems development, systems analysis.

The systems analyst first creates a road map of the existing organization and systems. What does this road map consist of? (Identifying primary owners and users of data along with existing hardware and software.) What constitutes a primary owner of data? Ask students how an analyst would determine if a problem existed with existing systems. (He/she would examine documents, work papers, procedures, observe system operations, and interview key users as well as managers).

What does it mean that a solution is feasible from a financial standpoint? A technical standpoint? An organizational standpoint?

*This slide continues the discussion about the first stage in systems development, systems analysis.

Establishing information requirements is an essential part of analysis. A system designed around the wrong set of requirements will either have to be discarded because of poor performance or will need to undergo major modifications. As the text discusses later in the chapter, user involvement is essential for gathering requirements. Why is this so? If user involvement is central to gathering information requirements, why should technical specialists, such as systems analysts, also be involved in this process?

*This slide describes the second stage of systems development, systems design. The text explains that like houses or buildings, information systems may have many possible designs. Each design represents a unique blend of all technical and organizational components. What makes one design superior to others is the ease and efficiency with which it fulfills user requirements within a specific set of technical, organizational, financial, and time constraints. Given an identical systems analysis, what elements might be different in a system design created by two different systems designers?

*This slide lists the various types of specifications that must be detailed and describe in a systems design. From this it is easy to see how complex designing a system can be, and how many opportunities there are for mistakes to creep in. Problems in any one of these areas could produce a less-than optimal system and losses in efficiency and productivity. Select a few of the specifications here and ask students what types of problems could result from an inadequate definition of that specification.

*This slide describes the third and fourth stages of systems development, programming and testing.

Many companies today do not perform their own programming, but purchase software or outsource programming to a vendor. In outsourcing, who would be responsible for the testing, the vendor or the purchasing company? Would any testing be needed when software is purchased as a package? It is important to note that the importance of testing is typically underrated in systems project planning, and the risks resulting from inadequate testing are enormous. Ask students why, if system testing is performed that checks the entire system, would unit testing be important?

*This graphic illustrates a portion of a test plan. Ask students to describe what the columns of this table mean. It looks at six different possible situations, given a user of the system attempting to change a record in the database, from trying to change an existing address in the system (2.1) to not completing the record change (2.6). Ask students what they understand about system testing from looking at this example.

*This slide describes the fifth stage of systems development, conversion. Ask students to describe each of the strategies. What would make one approach more appropriate than another? Is there any case in which a direct cutover would be the optimal strategy?

*This slide describes the sixth and final stage of systems development, production and maintenance, and shows that an information system is never finished. Situations and business environments always change, and systems have to change along with the business. Of course many businesses do not want to spend the resources to change their systems as required by a changing environment. And for this reason, systems can become dysfunctional, costing the firm money fixing the problems created by an outdated system. Ask students to discuss if any of the types of maintenance work listed here could be eliminated by better analysis and design?

*This slide summarizes the six stages in system development. Ask students what the difference is between information requirements and design specifications.

*This slide identifies the two most prominent methodologies for modeling systems and introduces the core concepts behind a structured methodology. Ask students what a process is or to give an example of a process. What does it mean to separate data from processes?

*This slide continues the discussion of the structured methodology, looking at the tools and techniques that it uses to model an information system. An example data flow diagram is shown on the next slide, so it may be helpful to move to that slide to discuss these diagrams. A data dictionary is needed so that system builders know exactly what data is stored and manipulated. Process specifications express the logic that is used when one piece of data is transformed by a process. A structure chart looks at the main function of the system, breaks it down into sub-functions, breaks sub-functions into more detailed sub-functions, until the smallest level of detail is reached. Ask students to give an example of what the smallest level of detail might look like, for example, in a university system managing student grades and reports.

*This graphic is a data flow diagram. Ask students what the rounded boxes represent (processes) and what the square box represents (an external entity). What about the open rectangle and the arrows? Where does the process begin? Ask a student to step through the process of registering a student for a course, noting what data is transferred at each step. Its always fun to do data flow diagrams as a group because it illustrates how the same process is seen differently by different people.

*This graphic shows a high-level structure chart. Note that this is high-level and subfunctions exist for the functions Get inputs, Validate inputs, etc. What might be a subfunction for Calculate gross pay?

**CLASSROOM EXERCISEAround SDLC Break your students into groups and have them correlate the SDLC to building a house.This activity helps students understand the different types of activities that occur during each phase of the systems development life cycleHave your students present their answers to the entire class

CLASSROOM VIDEOWindows ErrorsThis is a short video clip spoofing Windows Error Reporting - scroll down on the website to view the video clip! It's old but funny!http://www.updatexp.com/we-share-your-pain.html

*CLASSROOM EXERCISESpace Needle ExerciseBreak your students into groups and give them equal materials from a Tinker Toy set, a Zome set, or a product of your choice. Give them each the following instructions and observe the groups as they build their prototypes.Review the IM for details on the project*CLASSROOM EXERCISECampus of the FutureA $61 million dorm development project at the University of Hawai'i-Manoa is being called an example of "the future of residence halls" at a local gathering of national higher education officials.As the demolition of Frear Hall began yesterday on the UH-Manoa campus, plans for its replacement received praise from some members of the Association of College and University Housing Officers, made up of campus housing officials from across the nation, for its sustainable and student-friendly design.For the rest of the article follow this link: http://www.honoluluadvertiser.com/apps/pbcs.dll/article?AID=/20060711/NEWS0701/607110340/1013/NEWS

*CLASSROOM EXERCISESpace Needle ExerciseBreak your students into groups and give them equal materials from a Tinker Toy set, a Zome set, or a product of your choice. Give them each the following instructions and observe the groups as they build their prototypes. Read the IM for more details on the Space Needle Exercise

**Waterfall methodology a sequential, activity-based process in which each phase in the SDLC is performed sequentially from planning through implementation and maintenanceRapid application development methodology (RAD) emphasizes extensive user involvement in the rapid and evolutionary construction of working prototypes of a system to accelerate the systems development processExtreme programming (XP) methodology breaks a project into tiny phases, and developers cannot continue on to the next phase until the first phase is completeAgile methodology a form of XP, aims for customer satisfaction through early and continuous delivery of useful software components

CLASSROOM VIDEOIf Programmers Made PlanesExcellent video: If Programmers Made Planeshttp://www.clipupload.com/clip/showphoto.php/photo/3478/cat/

*The waterfall methodology is one of the oldest software development methods and has been around for over 30 yearsThe success rate for software development projects that follow this approach is only about 10 percent, or 1 in 10The biggest problem with the waterfall methodology is that it assumes users can specify all business requirements in advanceAsk your students to define another issue with the waterfall methodologyAns: It also assumes that business requirements do not change over timeStress to your students that if they ever find themselves on a software development project that is using the waterfall methodology they should do everything they can to change the methodology

CLASSROOM VIDEOTesting or perhaps not!I love to show this clip prior to the SDLC class. Makes you wonder how much testing the manufacturer did on this vehicle.http://video.google.com/videoplay?docid=2889527841583480458&q=pwnz

*The Aglie Alliance is a group of software developers whose mission is to improve software development processes and whose manifesto includes the following:Satisfy the customer through early and continuous delivery of valuable softwareWelcome changing requirements, even late in developmentBusiness people and developers must work together daily throughout the projectBuild projects around motivated individualsThe best architectures, requirements, and designs emerge from self-organizing teamsAt regular intervals, the team reflects on how to become more effective, then tunes and adjusts its behavior accordingly*RAD is a more popular route for system development projectsThe fundamentals of RAD include:Focus initially on creating a prototype that looks and acts like the desired systemActively involve system users in the analysis, design, and development phasesAccelerate collecting the business requirements through an interactive and iterative construction approach**The primary difference between the waterfall and XP methodologies is that XP divides its phases into iterations with user feedbackIf organizations choose to adopt agile methodologies, it is important to educate those involved. For an agile process to work, it must be simple and quick. The Agile Alliance is a group of software developers whose mission is to improve software development processes; the groups manifesto is highlighted above

CLASSROOM DEBATEOpen-Source on Company TimeThis article offers an interesting dilemma - how do you handle employees that want to develop open-source code to help with a business problem, and then post it back to the community?The Enterprise Committer: When Your Employee Develops Open-Source Code on the Company Payrollhttp://www.cio.com/article/28487/

**Slash the budget Small budgets force developers and users to focus on the essentialsIf it doesnt work, kill it Bring all key stakeholders together to evaluate and assess the softwareKeep requirements to a minimum Start each project with what the software must absolutely doTest and deliver frequently As often as once a week, and not less than once a month, complete a part of the project or a piece of softwareAssign non-IT executives to software projects Non-IT executives should coordinate with the technical project manager, test iterations to make sure they are meeting user needs, and act as liaisons between executives and IT

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Building and Implementing Information Systems - June 2014

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