1. Phase 1 Systems Planning
Preliminary Investigation

2. SDLC Phases Phase 1: Systems Planning
Systems Analysis and Design Fourth Edition

3. SDLC Phases Phase 1: Systems Planning Objectives
Learn how projects get started
Learn how projects are evaluated initially
Systems Analysis and Design Fourth Edition

4. Chapter 2 Preliminary Investigation
Systems Analysis and Design Fourth Edition

5. Objectives
Describe the strategic planning process, and why it is important to IT managers
Explain the purpose of a mission statement
Explain the SDLC as a framework for systems development and business modeling
Explain the reasons for information systems projects and the factors that affect such projects
Systems Analysis and Design Fourth Edition

6. Objectives
Describe the initial review of systems requests and the role of the systems review committee
Describe the internal and external factors that affect information systems projects
Define operational feasibility, technical feasibility, and economic feasibility
Describe the steps and end product of a preliminary investigation
Systems Analysis and Design Fourth Edition

7. Introduction Systems planning tasks Examine the systems request
Conduct a preliminary investigation
Using SDLC and CASE tools to provide a framework
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8. The Importance of Strategic Planning
Overview of the strategic planning process
SWOT analysis
Strengths
Weaknesses
Opportunities
Threats
Systems Analysis and Design Fourth Edition
Click to see Figure 2-1

9. The Importance of Strategic Planning
From the strategic plan to business results
Examples of mission statements
nFront
Quebecor Printing Corp.
Federal Express
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Click to see Figure 2-2

10. The Importance of Strategic Planning
The future
Thriving e-commerce
Rapid change
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11. A Framework for Systems Development
A business model example
IT director favors SDLC using System Architect 2001 (S/A 2001)
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Click to see Figure 2-3

12. A Framework for Systems Development
A business model example
IT director favors SDLC using System Architect 2001 (S/A 2001)
Critical success factors
Critical business issues
Case for action
S/A 2001 encyclopedias
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Click to see Figure 2-4

13. A Framework for Systems Development
The role of the IT department
Close link between operations and IT
JAD and RAD
Some companies see IT as technology gatekeeper
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14. Information Systems Projects
Starting point is a systems request
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15. Information Systems Projects
Reasons for systems projects
Improved service
Better performance
More information
Stronger controls
Reduced cost
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Click to see Figure 2-5

16. Information Systems Projects
Reasons for systems projects
Improved service
Better performance
More information
Stronger controls
Reduced cost
Systems Analysis and Design Fourth Edition
Click to see Figure 2-6

17. Information Systems Projects
Factors affecting systems projects
User requests
Top-management directives
Existing systems
Information technology department
The economy
Technology
Government
Software and hardware vendors
Competitors
Customers
Suppliers
Click to see Figure 2-7
Systems Analysis and Design Fourth Edition
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18. Information Systems Projects
Systems request forms
Streamlines the process
Ensures consistency
Must be easy to understand and use
Must include clear instructions
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Click to see Figure 2-9

19. Evaluation of Systems Requests
Evaluation of projects
Systems review committee
Evaluate requests
Set priorities
Assess feasibility
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20. Evaluation of Systems Requests
Overview of feasibility
Feasibility study uses three main yardsticks:
Operational feasibility
Technical feasibility
Economic feasibility
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Click to see Figure 2-10

21. Evaluation of Systems Requests
Operational feasibility
Is the system a practical and effective approach?
Operational feasibility depends on:
Management and user support
User involvement in planning
Impact on performance, customers, and company image
Reasonable schedules
Systems Analysis and Design Fourth Edition

22. Evaluation of Systems Requests
Technical feasibility
Does the organization have resources to develop/purchase and operate the system?
Technical feasibility depends on:
Technical expertise within the organization
Availability of necessary equipment
Hardware and software reliability
Adequate performance that will meet specifications
Capacity for future needs/projected growth
Systems Analysis and Design Fourth Edition

23. Evaluation of Systems Requests
Economic feasibility
Do the projected benefits outweigh the estimated costs of development, installation, and operation?
Economic feasibility depends on:
Costs — one time and continuing costs
Benefits — tangible and intangible benefits
Timing of various costs and benefits
Cost of not developing the system
Systems Analysis and Design Fourth Edition

24. Evaluation of Systems Requests
Determining feasibility
First step is a determination of feasibility
Goal is to identify nonfeasible projects as soon as possible
Feasibility can change over time
Nonfeasible projects can be resubmitted
Initially feasible projects can be rejected later
Systems Analysis and Design Fourth Edition

25. Evaluation of Systems Requests
Criteria used to evaluate systems requests
Reduce costs
Increase revenue
Produce more information or better results
Serve customers and the organization better
Reasonable time frame and lasting results
Resources available
Necessary or discretionary
Tangible or intangible factors
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26. Evaluation of Systems Requests
Discretionary and non-discretionary projects
Necessity of project
Possibly no need to review non-discretionary projects in committee
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27. Preliminary Investigation Overview
Purpose
To decide whether to continue the project
Objectives for a preliminary investigation
1. Understand the problem
2. Define the project scope and constraints
3. Identify the benefits
4. Estimate the time and costs
5. Report to management
Interaction with managers and users
Systems Analysis and Design Fourth Edition
Click to see Figure 2-11

28. Steps in the Preliminary Investigation
Step 1: Understand the problem
Identify the true nature of the problem and the reason for the systems request
Stated problem may not be the real problem
Clear statement defines the investigation scope
Systems Analysis and Design Fourth Edition
Click to see Figure 2-12

29. Steps in the Preliminary Investigation
Step 2:Define the project scope and constraints
Project scope
Define the range or extent of the project
Set project boundaries
Constraints
Identify conditions, restrictions, or requirements
Present vs. future
Internal vs. external
Mandatory vs. desirable
Systems Analysis and Design Fourth Edition
Click to see Figure 2-13

30. Steps in the Preliminary Investigation
Step 3: Perform fact finding
Analyze organization charts
Conduct interviews
Observe operations
Carry out a user survey
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Click to see Figure 2-14

31. Steps in the Preliminary Investigation
Step 4: Determine feasibility
Determine operational, technical, and economic feasibility
Systems Analysis and Design Fourth Edition

32. Steps in the Preliminary Investigation
Step 5: Estimate time and cost to continue development
Determine what information is needed
Identify the sources of information
Decide whether to use interviews, if so how many, and what time needed
Decide whether to use surveys, if so who to complete it, and what time needed
Estimate the cost of gathering, analyzing, and reporting the information to management
Systems Analysis and Design Fourth Edition

33. Steps in the Preliminary Investigation
Step 6: Present results and recommendations to management
Final task in the preliminary investigation
Key elements
Evaluation of systems request
Estimate of costs and benefits
Recommendations
Systems Analysis and Design Fourth Edition
Click to see Figure 2-15

34. Steps in the Preliminary Investigation
Step 6: Present results and recommendations to management
Final task in the preliminary investigation
Key elements
Evaluation of systems request
Estimate of costs and benefits
Recommendations
Oral and written presentations
Systems Analysis and Design Fourth Edition
Click to see Figure 2-16

35. SOFTWEAR, LIMITED Background
SWL uses outside firm (BIS) for payroll processing
Payroll deductions permitted for credit union and SWL stock purchase
Recent reports of problems
Errors in employee deductions
Overtime necessary to correct
Future Employee Savings Investment Plan (ESIP) is possible
Systems Analysis and Design Fourth Edition

36. SOFTWEAR, LIMITED Request for information technology services
Systems request submitted by Michael Jeremy
Describes problem generally
Does not identify cause or propose solution
Systems Analysis and Design Fourth Edition
Click to see Figure 2-17

37. SOFTWEAR, LIMITED Request for information technology services
Systems request submitted by Michael Jeremy
Describes problem generally
Does not identify cause or propose solution
IT department response
SWL does not have systems review committee
Rick Williams assigned to preliminary investigation
Systems Analysis and Design Fourth Edition
Click to see Figure 2-18

38. SOFTWEAR, LIMITED Request for information technology services
Systems request submitted by Michael Jeremy
Describes problem generally
Does not identify cause or propose solution
IT department response
SWL does not have systems review committee
Rick Williams assigned to preliminary investigation
Michael Jeremy issues authorization memo
Systems Analysis and Design Fourth Edition
Click to see Figure 2-19

39. SOFTWEAR, LIMITED Organization charts
Current organization charts not available
Rick obtains job descriptions and draws charts
Systems Analysis and Design Fourth Edition
Click to see Figure 2-20

40. SOFTWEAR, LIMITED Interviews Michael Jeremy, vice president of finance
Mike Feiner, director of human resources
Amy Calico, director of payroll
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41. SOFTWEAR, LIMITED Current documentation Results and findings
Specific procedures are being followed by the payroll department
Written descriptions for these procedures are outdated
Payroll department has never seen the stock plan deduction form
Systems Analysis and Design Fourth Edition
Click to see Figure 2-21

42. SOFTWEAR, LIMITED Presentation to Management IT department tasks
Prepared a preliminary investigation report
Attached a cover memo
Scheduled a presentation
Management decisions
Analyze the payroll system as requested
Scope to include whether current BIS can handle new ESIP options
Systems Analysis and Design Fourth Edition
Click to see Figure 2-22

43. SOFTWEAR, LIMITED Presentation to Management IT department tasks
Prepared a preliminary investigation report
Attached a cover memo
Scheduled a presentation
Management decisions
Analyze the payroll system as requested
Scope to include whether current BIS can handle new ESIP options
Systems Analysis and Design Fourth Edition
Click to see Figure 2-23

44. End Chapter 2