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Introduction to Systems

Development and Systems Analysis


Chapter 20

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Learning Objectives
 Explain the five phases of the systems development life cycle.

 Discuss the people involved in systems development and the roles they
play.

 Explain the importance of systems development planning and describe


planning techniques.

 Discuss the various types of feasibility analysis and calculate economic


feasibility.

 Explain why system changes trigger behavioral reactions, what form this
resistance to change takes, and how to avoid or minimize the resulting
problems.

 Discuss
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1. Introduction
 Why need to improve the information system?
 Changes in user or business needs
 Technology changes
 Improved business process
 Competitive advantage
 Productivity gains
 System integration
 System age and need to be replaced

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Recent Significant IT Failures

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2. Systems Development Life Cycle (SDLC)

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Processes and Deliverables

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Who Is Involved in the SDLC?
 Information Systems Steering  Systems Analysts
Committee  Determine information
 Executive level, plans and needs, prepare specifications
oversees IS function; for programmers
facilitates coordination with  Management
integration of systems  Get users involved in the
activities process, provide support for
 Project Development Team development projects, align
 Plan and monitor project projects to meet
progress organizations strategic needs
 Programmers  Users
 Write and test programs  Communicate needs to
according to analysts system developers, help
specifications design and test to ensure
complete and accurate
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3. Systems Development Planning
Proper planning provides for achieving goals
and objectives
For systems development, two plans needed:
Master Plan
 Long-range and authored by steering committee
outlining prioritized projects and timetables
Project Development Plan
 Specific to a project and authored by the project
team identifies people, hardware, software, and
financial resources needed

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Planning Techniques
Diagram that depicts all
project activities that
Program evaluation and require time and
review technique resources with
(PERT) completion estimates.
Determines critical
path.

Bar chart that organizes


activities on the left
hand side and project
Gantt chart time scheduled with a
bar drawn to show the
progress to date for that
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Reasoning for Returning to SDLC

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4.0 Overview of Feasibility

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Business Case (Feasibility Analysis)
Do benefits of new system justify the costs
Economic (time and resources) to implement?

Technical Can we use existing technology?

Does new system comply with regulations,


Legal laws, and contractual obligations?

Can the system be developed in the time


Scheduling allotted?

Do we have the people to design and


Operational implement the system? Will people use the
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Operational Feasibility
Does management support the project?
Do users support the project?
Is the current system well liked and effectively used?
Do users see the need for change?
Will the new system result in a workforce
reduction?
If so, what will happen to affected employees?
Will the new system require training for users?
If so, is the company prepared to provide the
necessary resources for training current employees?
Will users be involved in planning the new
system
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Operational Feasibility (Cont…)
Will the new system place any new demands on users
or require any operating changes?
For example:
 Will any information be less accessible or produced
less frequently?
 Will performance decline in any way? If so, will an
overall gain to the organization outweigh
individual losses?
Will customers experience adverse effects in any way,
either temporarily or permanently?
Will any risk to the company’s image or goodwill result?
Does the development schedule conflict with other
company priorities?
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Do legal or ethical issues need to be considered?
Technical Feasibility
Does the company have the necessary
hardware, software, and network
resources?
If not, can those resources be acquired without
difficulty?
Does the company have the needed
technical expertise?
If not, can it be acquired?
Does the proposed platform have
sufficient capacity for future needs?
If not, can it be expanded?
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Technical Feasibility (Cont….)
Will a prototype be required?
Will the hardware and software environment be reliable?
Will it integrate with other company information
systems, both now and in the future?
Will it interface properly with external systems operated
by customers and suppliers?
Will the combination of hardware and software supply
adequate performance?
Do clear expectations and performance specifications
exist?
Will the system be able to handle future transaction
volume and company growth?

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Economic Feasibility
Costs for people, including IT staff and users
Costs for hardware and equipment
Cost of software, including in-house
development as well as purchases from vendors
Cost for formal and informal training, including
peer-to-peer support
Cost of licenses and fees
Cost of consulting expenses
Facility costs
The estimated cost of not developing the system
or postponing the project
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Schedule Feasibility
Can the company or the IT team control the
factors that affect schedule feasibility?
Has management established a firm timetable
for the project?
What conditions must be satisfied during the
development of the system?
Will an accelerated schedule pose any risks?
If so, are the risks acceptable?
Will project management techniques be
available to coordinate and control the project?
Will a project manager be appointed?
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Evaluating Feasibility
Identify and weed out systems requests that
are not feasible
Even if the request is feasible, it might not
be necessary
Requests that are not currently feasible can
be resubmitted as new hardware, software,
or expertise becomes available

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Capital Budgeting
• Calculate the number of years required
Payback for the net savings to equal the initial
period cost of investment

• Estimate future cash flows with


Net Present discounted rate for (time value of
Value (NPV) money)

Internal Rate • Calculates the interest rate that makes


of Return the present value of total costs equal to
the present value of total earnings
(IRR)
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5. Why People Resist Change?
Fear
• Of failure, the unknown, losing status

Lack of top-management
support
• If the top management is not
supportive why should the employee
change?

Bad prior experiences


• Bad experience with prior IS changes

Poor communication
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change is necessary
5. Why People Resist Change? (Cont..)

• Additional requests for


information and additional
Disruption burdens of time is distracting
and prompts negative feelings

Manner • Approaches are different for top


change is level and lower level employees
introduced

Biases and
emotions

Personal • Age
characteristics • Open to technology and
and
comfortable with it
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How People Resist Change
• Intended to destroy.
Aggressio
n
Cripple & weaken
system effectiveness

• Blame everything to
Projection new system and
become scapegoat.

• User ignore a new IS


Avoidance and hoping it
eventually go away.

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6. How to Prevent Behavioral Problems

Management Involve users


support • Participation
• Provide resources
Satisfy user needs improves
and motivation communication and
commitment

Reduce fears,
Avoid
emphasize Provide training
emotionalism
opportunities

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6. How to Prevent Behavioral Problems
(Cont..
Performance evaluation
• Reevaluate to ensure performance standards are consistent
with the new system
Keep open communications

Test the system prior to implementation

Keep system simple


• Avoid radical changes

Control user’s expectations


• Be realistic
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7. Phase 1: Systems Analysis

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Initial Investigation
To Screen the request for system development
Nature of the problem must be determined
Must firm with the project scope. (What is
should do and dont).
Determine project viability, preliminary cost &
benefit.

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System Survey
Gain an understanding of company operation,
policies, procedure and information flow.
Establish preliminary assessment of current &
future need.
Create a working relationship with users and
build support.
Collect data to identify user needs, conduct
feasibility analysis.

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Data Gathering
Items Advantage Disadvantage

Interview Answer Why Question Time Consuming

Can probe & Follow up Expensive

Questionnaire More time to think Difficult to develop

Observation Greater understanding Difficult to interpret


in system properly
System Documentation Describe how it works Easy to find

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System Documentation
Physical Illustrate how a system function by
Model describing document flow, computer
process performed,
People performing them, the
equipment used

Logical Model Essential activities and the flow of


the information.

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Feasibility Study - Strategy

Ask User what they need


Analyze external systems
Examine existing systems
Create a prototype

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System Analysis Report

End goal to summarized the


document activities.

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