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Changing World, Fifth Edition
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Learning Objectives
 Prioritize the system requirements based on the
desired scope and level of automation for the new
system

 Describe the strategic decisions that integrate the

application deployment environment and the design
approach for the new system

 Determine alternative approaches for system

implementation

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Learning Objectives (continued)
 Evaluate and select an implementation approach
based on the needs and resources of the
organization

 Describe key elements of a request for proposal

(RFP) and evaluate vendors’ proposals for
outsourced alternatives

 Develop a professional presentation of findings to

management

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Overview
 Chapter explains two activities of analysis
 Prioritize systems requirements
 Evaluate requirements with users
 Refocus project direction
 Transition from discovery and analysis to solutions
and design
 Set direction for design and implementation of
solution system

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Deciding on Scope and Level of
Automation
 Prioritizing requirements include tasks to define both
scope and level of automation for a new system
 Scope determines which business functions will be
included in system
 Level of automation is how much computer support
exists for functions included in scope

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Deciding on Scope
 Scope creep
 Requests for addition of system functions after
requirements have been defined and decision has
been made
 Solution: formalize the process to identify, categorize
and prioritize requirements; get agreement from users
and sign-off

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Deciding on Scope
 Users typically request more business functions than
budget allows
 Rate according to priority: mandatory, important,
desirable
 Predictive projects – easier to control and finalize
scope
 Adaptive projects – difficult to control the scope;
require partial decisions at various points of the
project

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Determining the Level of Automation
 Low level
 Functions automated for simple computer record keeping
 Medium level
 Midrange point that combines features from low and high
alternatives
 High level
 System automates most processing of business functions

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RMO Customer Support System

Fig 8-1 RMO’s CSS functions with priorities and three levels of automation

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Selecting Alternatives
 Entire group of alternatives is evaluated together to provide “big
picture” view of proposed system

 Key criteria that are used

 Strategic plan – need to plan for both long-term organizational strategy
and for IT to support the plans

 Economic feasibility – need to generate an accurate cost-benefit analysis

 Schedule and resource feasibility – plan carefully for future upgrades

 Technological feasibility – need to review technical feasibility and also

expertise of staff (in-house vs outside staff)

 Operational, organizational, and cultural feasibility – need to provide user

support to manage risks and changes

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Defining the Application
Deployment Environment
 One of the primary considerations in developing a new
system is the application deployment environment:
 Configuration of computer hardware, system software, and
networks for the new system

 Need to ensure the application development environment

is defined and well-matched to application requirements

 Existing environment generally considered and compared

with proposed environment

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Range of Application Types
 Stand-alone applications on desktops or laptops,
small servers and PDA devices

 Online interactive applications – wired & wireless

 Distributed applications across multiple platforms

 Internet-based applications

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Hardware, System Software, and
Networks
 Computers range from handheld to super computers
 Operating systems range from Windows to Unix
 Database management systems range from Oracle
to SQL Server to IBM DB2
 Software components and standards range from
Java 2 Enterprise (J2EE) to Microsoft .NET
 Web servers range from Internet Information Server
to Apache

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Deployment Environment
Characteristics to Consider
 Compatibility with system requirements
 Check on user locations, speed of access and update,
security, and transaction volume
 Compatibility among hardware and system software
 Good compatibility simplifies installation and
configuration, improves performance, and minimize
long-term operating costs
 Required interfaces to external systems
 Implementing external interfaces may require certain
software

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Deployment Environment
Characteristics to Consider
 Conformity with IT strategic plan and architecture
plans
 Expensive to support various hardware and software;
focus on limited set of hardware and software
alternatives
 Cost and schedule
 Choices that match the IT strategic plan and existing
systems are the fastest and least expensive to acquire,
configure, and support

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Existing Processing Environment at
RMO

Fig 8-3 The existing processing environment at RMO

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Processing Environment Alternatives

Fig 8-4 Processing environment alternatives

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Development Tools
 Development environment – programming
languages, CASE tools, and other software used to
develop application software
 Java and Visual Studio .NET are examples
 Application deployment environment decisions limit
development tool choices

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Strategic Directions for RMO
Processing Environment

Fig 8-5 Strategic directions for the processing environment at RMO

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Choosing Implementation Alternatives

Fig 8-6 Implementation alternatives

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Choosing Implementation Alternatives
 Variations on obtaining system
 Facilities management
 The outsourcing of all data processing and IT to an
outside vendor
 Computers, software systems, networks, technical staff
 Service provider solutions
 Only buys the required technology services
 No need for computer expertise or computer personnel –
provided as a service by the hosting company

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Choosing Implementation Alternatives
 Variations on obtaining system (cont.)
 Packaged software
 Software that is already built and can be purchased as a
package
 Software is used as is, with no modifications
 Advantage: works well, inexpensive, well-documented,
relatively error free and stable
 Turnkey system
 A complete system solution, including software and hardware,
that can be turned over to the purchasing organization
 Disadvantage: do not exactly meet the requirements of system

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Choosing Implementation Alternatives
 Variations on obtaining system (cont.)
 ERP system
 Supports all operational functions of an entire
organization
 Advantage: new system can be obtained at lower cost
and risk; has good track record of success
 Disadvantage: do not exactly meet the organization’s
needs

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Choosing Implementation Alternatives
 Variations on obtaining system (cont.)
 Custom-built software system
 Developed partly or completely by outside organization
from scratch
 Staffed entirely by consulting firm – team combination of
in-house staff and outside consultants
 Advantage: have experts from consultants
 Disadvantage: high costs

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Selecting an Implementation
Alternative
 Identifying criteria for selection
 Comparisons can be difficult
 Different proposed systems have strengths in different
areas
 Three major areas to consider
 General requirements
 Functional requirements
 Technical requirements

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Selecting an Implementation
Alternative
 General requirements
 Include considerations that are important but not directly
associated with the computer system itself

 Functional requirements
 Represent the functions that must be included within the system;
unique for each project

 Technical requirements
 Constraints under which the system operate

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Making the Selection using Weighted
Score Method
 First assign weight factor to each requirements
 Rate each alternative with raw score
 Ranges for raw score vary from 3-point to 6-point
scales
 Weighted scores are calculated by multiplying raw
score with the weighting factor
 Sum the individual criteria score for each alternative
 Highest overall score is selected

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Sample table of general requirements and
weighting factors

Fig 8-7 A matrix showing a partial list of general requirements

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Sample table of functional requirements and
weighting factors

Fig 8-8 A matrix showing a partial list of functional requirements

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Sample table of technical requirements and
weighting factors

Fig 8-9 A matrix showing a partial list of technical requirements

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Contracting with Vendors
 Generate request for proposal (RFP)
 Formal document sent to vendors if in-house
development is not selected
 States requirements and solicits proposed solutions
 Considered a competitive contract offer, and a
vendor’s response represents an acceptance of that
offer
 Bid on supplying hardware, software, and/or support
services

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Sample
RFP Table
of Contents

Fig 8-10 A sample of RFP table of

contents

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Choosing a Vendor Methods
 Observe in use or install trial version
 Productive method, but expensive and difficult

 Benchmark
 Evaluate the system against a standard

 Visit another company using a particular system

 Observe and talk with other clients, but not permitted to test the
system with own data

 Ascertain the level of ongoing research and development

by the vendor
 For future upgrades and fixes
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Developing a Contract
 Types of contract
 Fixed-dollar
 Risk is on vendor – vendor assumes the burden of project

delays and overruns

 High priced to compensate for the risk

 Cost-plus-percentage
 Risk is on purchaser

 Encourages vendor to spend more as its income is directly

proportional to the costs of the project
 Cost-plus-fixed-fee
 Risk is shared by both

 Both benefit if project finish as quickly as possible

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Presenting Results and Making
Decisions
 Compile and organize documentation
 Present alternatives and critical issues in easy-to-
understand but complete manner
 Final choice generally made by executive steering
committee
 Format of documentation and presentation style
varies with organization
 Written report with oral presentation

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Summary
 These activities are primarily project manager
responsibilities with support from project team
 Focus of project changes from discovering
requirements to developing solution system
 Prioritize requirements based on scope and level of
automation
 Scope of new system determines functions it will
support
 Level of automation is a measure of how automated
the selected functions will be

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Summary (continued)
 Application deployment environment
 Computer hardware, systems software, and networks
in which new system will operate
 Determines constraints imposed on system
development alternatives
 Analyst must define environment to match
 Application requirements
 Organization’s strategic application plans
 Organization’s technology architecture plans

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Summary (continued)
 Determine what alternatives are possible for
developing solution
 Implementation alternatives include
 Building system in-house
 Buying packaged or turnkey solution
 Contracting with developer to build system (outsource)
 Develop recommendations and present to
management to make funding decisions

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