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Building the IS

MIS

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System AcquisitionStrategies

Develop Custom Application In-house

Buying Packaged System and Customize it

Rely on a external resource to build the

system.

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Who develops the IS?

In-house applications

Software packages

Outsourced Custom solutions Application Service provider (SaaS)

Do not consider implementation options tillthe company has a clear set of goals andobjectives for it business needs.

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Selecting a AcquisitionStrategy

When to use CustomDevelopment

When to usePackaged

When toOutsource

Business Need Unique Common Not core tobusiness

In-houseexperience Functional & Technicalexists Functionalexists None exists

Project Skills Desire to build in-houseskills

Skills are notstrategic

Desire to outsourceis strategic

Project Mgmt. Expert PM and provenmethodology

Good PM withvendorcoordination

PM at the level oforganizationmatching scope ofoutsourcing

Time Frame Flexible Short Short / Flexible

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Sources of ApplicationSoftware

Cloud computing

Managed Service Providers

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Packaged SoftwareProducers

Microsoft is the leader in prepackagedsoftware production.

Prepackaged software is off-the-shelfsoftware.

Often, prepackaged software is turnkeysoftware(i.e. not customizable).

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Custom SoftwareProducers

Firms like Infosys, TCS, WIPRO,Accenture, EDS etc are leading customsoftware producers.

Consulting firms develop software tomeet the clients specific requirements.

Consulting firms are usually called whenthe client company does not have in-house expertise or manpower available

to develop the system.

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Enterprise SolutionsSoftware

Enterprise Resource Planning (ERP)systems that integrate individual traditional

business functions into modules enablinga single seamless transaction to cutacross functional boundaries.

SAP is the leading vendor of ERPsystems.

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Application ServiceProviders

ASP: an organization that hosts and runscomputer applications for other companies,typically on a per-use or license basis

Business Growth limits the use of applicationthrough ASPs.

Brought in MSPs Managed ServiceProviders

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In-House Development

If sufficient system development expertisewith the chosen platform exists in-house,then some or all of the system can bedeveloped by the organizations own staff.

Often, there are a variety of sources used,with in-house staff playing a role as well asconsultants or ERP vendors.

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Criteria for Choosing Off-the-Shelf Software

Cost

Functionality

Vendor support Viability of vendor

Flexibility

Documentation

Response time

Ease of installation

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What is a system?

A system is a group of interacting,interrelated, and interdependent componentsthat form a complex and unified whole.

Has a objective

Has a boundary

Has importance

Has a purpose

Has a nature (closed/open and probabilistic /deterministic)

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Analysis and Design of a IS

Get Business Requirements

Model / re-Model them to get better control,

better results

Increase the efficiencies of the business

processes

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Analysis and Design

Systems analysis and design is a systematicapproach to identifying problems,opportunities, and objectives; analyzing the

information flows in organizations; anddesigning computerized information systemsto solve a problem

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Who does it?

Systems / Business Analyst performsanalysis and design based upon:

Understanding of organizations objectives,

structure and processes

Knowledge of how to exploit informationtechnology for advantage

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Organizational Responsibilitiesin Systems Development

Programmers (Developers) Convert specifications into instructions that the

computer understands

Write documentation and testing programs Business Managers

Have power to fund projects and allocateresources

Set general requirements and constraints forprojects

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Database Administrator Involved in design, development and

maintenance of databases

Network and telecommunications experts

Develop systems involving data and/or voicecommunications

Human Factors Specialists

Involved in training users and writingdocumentation

Internal Auditors

Ensure that required controls are built into the

system

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IS Manager (Project Manager)

May have a direct role in systems development if the project is small

Typically involved in allocating resources to and overseeing systemdevelopment projects.

Systems Analyst

Key individual in the systems development process

Analytical Understanding of organizations

Problem solving skills

System thinking

Ability to see organizations and information systems as systems

Technical Understanding of potential and limitations of technology

Management

Ability to manage projects, resources, risk and change

Interpersonal

Effective written and oral communication skills

Wh t i d d f l i

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What is needed for analysisand Design?

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Approach to Analysis &Design

A process used to create an information system

Consists of: Methodologies

A sequence of step-by-step approaches that help develop theinformation system

Techniques Processes that the analyst follows to ensure thorough,

complete and comprehensive analysis and design

Tools Computer programs that aid in applying techniques

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Data and Processes Three key components of an information system

Data Data Flows

Processing Logic

Data

Understanding the source and use of data is thekey to good system design

Various techniques are used to describe data and

the relationship amongst data Data Flows

Groups of data that move and flow through thesystem

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Data and Processes

Data Flows (Continued)

Include description of sources and destination foreach data flow

Processing Logic

Describe steps that transform data and eventsthat trigger the steps

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Systems DevelopmentLife Cycle (SDLC)

Traditional methodology for developing,maintaining, and replacing information systems

Phases in SDLC:

Planning

Analysis

Design

Implementation Maintenance

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Systems DevelopmentLife Cycle

Phases are not necessarily sequential

Each phase has a specific outcome and

deliverable

Individual companies use customized life cycles

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Standard and EvolutionaryViews of SDLC

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SDLC Planning Phase

Identify, analyze,prioritize, andarrange IS needs

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Phases of the SystemsDevelopment Life Cycle

Project Identification and Selection Two Main Activities

Identification of need

Prioritization and translation of need into a developmentschedule

Helps organization to determine whether or notresources should be dedicated to a project.

Project Initiation and Planning Two Activities

Formal preliminary investigation of the problem at hand

Presentation of reasons why system should or should not bedeveloped by the organization

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Feasibility Analysis

Detailed business case for the project

Technical feasibility

Economic feasibility

Operational / Organizational feasibility

Compiled into a feasibility study

Feasibility is reassessed throughout the project

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Technical Feasibility:CanWe Build It?

Users and analysts familiarity with thebusiness application area

Familiarity with technology Have we used it before? How new is it?

Project size Number of people, time, and features

Compatibility with existing systems

Organizational Feasibility

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Organizational FeasibilityIf we build it, will they

come?

Strategic alignment

How well do the project goals align with businessobjectives?

Stakeholder analysis

Project champion(s)

Organizational management

System users adaptability

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Economic FeasibilityShouldWe Build It?

Identify costs and benefits

Assign values to costs and benefits

Determine cash flow Assess financial viability

Net present value (NPV)

Return on investment (ROI)

Break even point (BEP)

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SDLC Analysis Phase

Study andstructure systemrequirements

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Analysis

Study of current procedures and information systems

Determine requirements

Study current system

Structure requirements and eliminate redundancies

Generate alternative solutions

Compare alternatives

Recommend best alternative

Learn the who, what, where, when and the why for these

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SDLC Design Phase

Convertrecommendedsolution to systemspecifications

Logical design:functional featuresdescribedindependently ofcomputer platform

Physical design:logicalspecificationstransformed totechnology-

specific details

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Design Logical Design

Concentrates on business aspects of the system

Physical Design Technical specifications

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SDLC ImplementationPhase

Code, test, install,and support theinformation system

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Implementation

Hardware and software installation

Programming

User Training Documentation

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SDLC Maintenance Phase

Systematicallyrepair and improvethe informationsystem

S D l

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Maintenance System changed to reflect changing conditions

System obsolescence

T di i l W f ll SDLC

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Traditional Waterfall SDLC

One phase begins

when anothercompletes, littlebacktracking andlooping

P bl i h W f ll

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Problems with WaterfallApproach

System requirements locked in after being

determined (can't change)

Limited user involvement (only inrequirements phase)

Too much focus on milestone deadlines ofSDLC phases to the detriment of sound

development practices

Alt ti t T diti l

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Alternatives to TraditionalWaterfall SDLC

Joint Application Design (JAD)

Rapid Application Development (RAD)

Prototyping

Agile Methodologies

eXtreme Programming

J i t A li ti D i

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Joint Application Design(JAD)

Structured process involving users, analysts,and managers

Several-day intensive workgroup sessions

Purpose: to specify or review systemrequirements

R id A li ti

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Rapid ApplicationDevelopment (RAD)

Methodology to decrease design and implementation time

Involves: prototyping, JAD, CASE tools, and codegenerators

Prototyping

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Prototyping

Iterative development process:

Requirements quickly converted to a working system

System is continually revised

Close collaboration between users and analysts

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Prototyping

Building a scaled-down working version ofthe system

Advantages:

Users are involved in design

Captures requirements in concrete form

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Agile Methodologies

Motivated by recognition of softwaredevelopment as fluid, unpredictable, anddynamic

Three key principles

Adaptive rather than predictive

Emphasize people rather than roles

Self-adaptive processes

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eXtreme Programming

Short, incremental development cycles

Automated tests

Two-person programming teams

Coding and testing operate together

Advantages: Communication between developers

High level of productivity High-quality code

Object Oriented Analysis

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Object-Oriented Analysisand Design

Based on objects rather than data or processes

Object: a structure encapsulating attributes andbehaviors of a real-world entity

Object class: a logical grouping of objectssharing the same attributes and behaviors

Inheritance: hierarchical arrangement of classesenable subclasses to inherit properties of

superclasses

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CASE Tools

CASE tools are automated, microcomputer-basedsoftware packages for systems analysis and design

Project dictionary/workbook: system descriptionand specifications

Diagramming tools

Example products: Oracle Designer, Rational Rose

Facilitate creation of a central repository for systemdescriptions and specifications

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CASE Tools

Four reasons for using CASE tools are:

To increase analyst productivity

Facilitate communication among analysts and

users

Providing continuity between life cycle phases

To assess the impact of maintenance

Selecting THE

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Selecting THEMethodology

Clarity of User Requirements

Familiarity with Technology

System Complexity

System Reliability

Short Time Schedules

Schedule Visibility

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Your Turn

Suppose you are an analyst for the ABC Company, a largeconsulting firm with offices around the world. The companywants to build a new knowledge management system thatcan identify and track the expertise of individual consultants

anywhere in the world on the basis of their education andthe various consulting projects on which they have worked.Assume that this is a new idea that has never before beenattempted in ABC or elsewhere. ABC has an internationalnetwork, but the offices in each country may use somewhat

different hardware and software. ABC management wantsthe system up and running within a year.

What methodology would you recommend ABC Company use?

MIS Session 5 2011

Documents