Advanced topic in software

Engineering
Title: Home Work 5 (Exam Bonus question)

Instructor: Prof. Dr. Derviş Zihni DENİZ

Student Name: Abdulhaseeb Qadeer

Student ID: 21811224

Cost of the Manual system

For calculation of the manual System

system EMPLOYER Employee salary Total Total salary

Field Number salary in one year($)
Manual Section Managers : 1 4800 48000
system 0 624000
Officer : 12 3000 360000
0
Repair workers : 12 1800 216000
0

Total salary in 6 years

Total in 6 year
($)

3744000

Cost of the Automated system

For calculation of the Automated System

system EMPLOYER workers salary Total Total salary

salary in one
year($)
Automate Section Managers : 1 4800 48000
d 0 540000
system Officer : 8 3000 240000
0
Repair workers : 14 1800 252000
0

Total salary in 6 years

Total in 6 year
($)

3240000
Extra purchasing for Automated System

We should adding these extra purchasing items to Automated System.

Annual Service/Support Cost Purchase Total of

Purchasing items ($) price Amount Automated
System
Server 500 5000 1 5000
PC 200 1000 5 5000
Loptop+Pc+ GPS 200 2000 3 6000
Special PDA 100 1000 3 3000
Software all 5000 50000   50000
Remote system support 2000      
Personal retraining   60000   60000
(1 year)
Total 8000     129000
Personal training will be just for one year.

Finding savings per unit and per year (whichever applies) and extend to 6 years.

Saving for first year until sixth year.

Manual System – Automated
year Manua Automated System+
l Extra purchasing for Automated system = Total
SystemSaving
($)
Automated system
1 624000 540000 + -53000
137000 = 677000
2 624000 540000 + 76000
8000 = 548000
3 624000 540000 + 76000
8000 = 548000
4 624000 540000 + 76000
8000 = 548000
5 624000 540000 + 76000
8000 = 548000
6 624000 540000 + 76000
8000 = 548000
tota 327000
l
For the first year, we don’t have benefit because of personal training.

Finding the total savings at the end of the 6 years.

 Automated system cost (All costs) 3417000
total cost of manual system 3744000
Total saving 327000

Using information in the tables draw a cost versus time diagram for both the manual and the
automated systems.
Drawing cost versus time diagram to showing the break-even point for the investment.
Why municipality want to change system from manual to automate?

According to our break-even point graph, there are many reasons, I want to mention just two of them,
first reason that we should consider about it, it is saving money. The difference between these systems
(manual and automate) are 327000 $, it is a big amount,

And the second things that we should consider about it, it is time. The difference between these two
systems (manual and automate) are close to one year.

Because of these reason municipality should change the system.

State the tangible and intangible benefits of the automated system
Tangible benefits are quantifiable and measurable. They are used to weigh the value of a job for example
Tangible assets include money, land, buildings, investments, inventory, cars, trucks, boats, or other
valuables... On the other hand, intangible benefits are much harder to measure because of their
subjectivity. Intangible benefits derive from how a person feels about their work…
Tangible benefits:
Resource cost saving: when systems are automated, this benefit is obvious as automation can save manual
process time. This benefit can also realize when system issues are fixed.
Often system changes are aimed at making processes efficient so it is very common that a manual task
will not be required after the system changes are implemented.
This benefit could mean that the organization can make some roles redundant or relocate some roles to a
different department.
Cost Savings and Greater Efficiency, Improved Data Quality and Accessibility, Enforce Accountability,
Minimize Cost and Manual Errors,
Intangible benefits:
Consider about following issues.
Easier Reporting and Planning, Standardized and Simplified Processes, More Complete Organizational
Visibility, Better Regulatory and Security Compliance…