The System Study Dr. Merle P. Martin CSU Sacramento

Agenda t Waterfall Model t Preliminary Design Checklists t The System Study t Go / No-go Decision t The FHC Presentation

Waterfall Model t Development process not really serial t May redo steps t Waterfall model of Systems Analysis u Figure 9-9

Preliminary Design Checklists t Pages t Output t Input t Files t Interactive screens t Processes

Output t Make report look good t Include only fields needed t 80-position format t Print layout form (Figure 9-1)

Input t Easy to use t Concise (only required fields) t Aesthetically pleasing t Machine-readable

Files t Consolidate files with similar names t Not too much detail at this time t ERD t Data-element-to-file table (Figure 9-5)

Interactive Screens t Well-balanced (e.g., spacing) t Not cluttered (20% rule) t Minimize use of color t Use highlighting (15%)

Processes t Eliminate if don’t alter data t Consolidate similar processes t Make serial processes parallel u e.g., multiple form copies t Decouple processes u place data store between

The System Study t Problem Statement t Existing System Documentation u project may be delayed t Problem Correction Alternatives t Recommended Solutions t Documentation u in appendices

Go / No-go Decision t Possibilities u Rework u Scrap u Delay u Proceed with SDLC t Figure 9-9, page 314

FHC System Proposal t Foundation Health Corporation existing systems: u PROMIS: memberships and renewals u PROGRES: price quotes u QCARE: medical claims / other customer service

Proposal t Replace PROMIS and PROGRES with new system t Link to QCARE t Two phases t New system is Foundation Rating and Enrollment System (FARE)

Today’s Systems PROMIS Sales Under- writing Premium Accounting Q/Care IBM Mainframe Q/Care IBM Mainframe Underwriting Spreadsheets Underwriting Spreadsheets PROGRESS & Other Quoting Systems PROGRESS & Other Quoting Systems Quote Disks Spreadsheets

FARE Phase 1 (Eliminate PROGRESS) FARE Sales Under- writing Premium Accounting Q/Care DB2 IBM Mainframe Q/Care DB2 IBM Mainframe New Premium Accounting Interface

FARE Phase 2 (Eliminate PROMIS) FARE Sales Under- writing Premium Accounting Q/Care DB2 IBM Mainframe Q/Care DB2 IBM Mainframe Renewal Process New Premium Accounting Interface

FARE Objectives t Multi-state, multi- product rating system t Step to paperless process t Manage work flows t Integrate info sources t FHC common look for proposals t Utilize existing technology t Enterprise-level database

FARE Cost / Benefit t Cost reductions t Revenue enhancements t Alternatives u reengineer current system u in-house design new system u off-the-shelf product u culture eliminated outsourcing design t Tangible / Intangible matrix

Benefits Grid TangibleIntangible Improve ProfitabilityCross-Selling Opportunities of New Business of New Business Improved Member Retention More Less Paperwork and Revenue Administration Costs / Higher System Availability Increase in Prospecting of New Business of New Business Elimination of DuplicateAccurate Rating (Single-Rating Data Entry Engine Concept) Data Entry Engine Concept) Less Costs Multiple Proposals / Improved Audit Process Improved Communication Improved Communication Improved Speed of Turnaround Rekeying of Proposals in Word

Concepts to Remember t Preliminary Design checklists t System Study contents t Go / No-go decision