1. 10.1 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development SYSTEMS DEVELOPMENT

2. 10.2 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development How could developing a new system change the way an organization works?How could developing a new system change the way an organization works? How can a company make sure that the new information systems it develops fit its business plan?How can a company make sure that the new information systems it develops fit its business plan? What are the steps required to develop a new information system?What are the steps required to develop a new information system? continued OBJECTIVES

3. 10.3 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development What alternative methods for developing information systems are available?What alternative methods for developing information systems are available? Are there any techniques or system- building approaches to help us develop e-commerce and e-business applications more rapidly?Are there any techniques or system- building approaches to help us develop e-commerce and e-business applications more rapidly? OBJECTIVES (continued)

4. 10.4 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development USING TECHNOLOGY TO WIN THE INSURANCE GAME

5. 10.5 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 1.Major risks and uncertainties in systems development 2.Determining when new systems and business processes can have the greatest strategic impact MANAGEMENT CHALLENGES

6. 10.6 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Information Systems Plan Road map indicating direction of systems developmentRoad map indicating direction of systems development The rationale, the current situation, the management strategy, the implementation plan, and the budgetThe rationale, the current situation, the management strategy, the implementation plan, and the budget 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE Linking Information Systems to the Business Plan

7. 10.7 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Enterprise Analysis (Business Systems Planning) Analysis of organization-wide information requirementsAnalysis of organization-wide information requirements Identifies key entities and attributesIdentifies key entities and attributes Establishing Organizational Information Requirements 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

8. 10.8 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Strategic Analysis or Critical Success Factors Small number of easily identifiable operational goalsSmall number of easily identifiable operational goals Shaped by industry, firm, manager, and broader environmentShaped by industry, firm, manager, and broader environment Believed to assure the success of an organizationBelieved to assure the success of an organization Used to determine information requirements of organizationUsed to determine information requirements of organization Establishing Organizational Information Requirements 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

9. 10.9 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Establishing Organizational Information Requirements 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

10. 10.10 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Development and Organizational Change 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

11. 10.11 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development The Spectrum of Organizational Change Automation :Automation : –Speeding up performance Rationalization of Procedures:Rationalization of Procedures: –Streamlining of operating procedures Business Process Reengineering:Business Process Reengineering: –Radical design of business processes Paradigm Shift:Paradigm Shift: –Radical reconceptualization Systems Development and Organizational Change 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

12. 10.12 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Development and Organizational Change 10.1 SYSTEMS AS PLANNED ORGANIZATIONAL CHANGE

13. 10.13 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Business Process Reengineering Reorganizes work flows, combining steps to eliminate redundant paper- intensive tasksReorganizes work flows, combining steps to eliminate redundant paper- intensive tasks Large payoff from IT investment if processes are redesigned before applying technologyLarge payoff from IT investment if processes are redesigned before applying technology 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT Business Process Re-engineering

14. 10.14 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Workflow Management Streamlining business procedures so that documents can be moved easily from one location to anotherStreamlining business procedures so that documents can be moved easily from one location to another 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT Business Process Re-engineering

15. 10.15 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT Business Process Re-engineering Figure 10.3 (A)

16. 10.16 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT Business Process Re-engineering Figure 10.3 (B)

17. 10.17 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Senior management needs to develop broad strategic visionSenior management needs to develop broad strategic vision Management must understand and measure performance of existing processes as baselineManagement must understand and measure performance of existing processes as baseline Information technology should be allowed to influence process design from startInformation technology should be allowed to influence process design from start IT infrastructure should be able to support business process changesIT infrastructure should be able to support business process changes Steps in Effective Re-engineering 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT

18. 10.18 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Process Improvement: Total Quality Management (TQM) and Six Sigma 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT Total Quality Management (TQM) A concept that makes quality control a responsibility to be shared by all people in an organizationA concept that makes quality control a responsibility to be shared by all people in an organization Six Sigma A specific measure of quality representing 3.4 defects per million opportunitiesA specific measure of quality representing 3.4 defects per million opportunities Used to designate a set of methodologies and techniques for improving quality and reducing costsUsed to designate a set of methodologies and techniques for improving quality and reducing costs

19. 10.19 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development How Information Systems Support Quality Improvements Simplify product or production processSimplify product or production process Enable benchmarkingEnable benchmarking Use customer demands as guide to improving products and servicesUse customer demands as guide to improving products and services Reduce cycle timeReduce cycle time Improve quality and precision of designImprove quality and precision of design Increase precision of productionIncrease precision of production Process Improvement: Total Quality Management (TQM) and Six Sigma 10.2 BUSINESS PROCESS REENGINEERING AND PROCESS IMPROVEMENT

20. 10.20 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Development Activities that go into producing an information systems solutionActivities that go into producing an information systems solution 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

21. 10.21 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

22. 10.22 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Analysis Analysis of a problem that the organization will try to solve with an information systemAnalysis of a problem that the organization will try to solve with an information system Feasibility Study Part of systems analysis processPart of systems analysis process Way to determine whether the solution is achievable, given the organization’s resources and constraintsWay to determine whether the solution is achievable, given the organization’s resources and constraints 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT Systems Analysis

23. 10.23 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Establishing Information Requirements Detailed statement of the information needs that the new system must satisfyDetailed statement of the information needs that the new system must satisfy Identifying who needs what information, and when, where, and how the information is neededIdentifying who needs what information, and when, where, and how the information is needed 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT Systems Analysis

24. 10.24 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Details how a system will meet the information requirements as determined by systems analysisDetails how a system will meet the information requirements as determined by systems analysis Specifications for the system solutionSpecifications for the system solution Should reflect user business priorities and information needsShould reflect user business priorities and information needs Systems Design 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

25. 10.25 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Design 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

26. 10.26 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Programming Process of translating system specifications into program codeProcess of translating system specifications into program codeTesting Checks whether the system produces desired results under known conditionsChecks whether the system produces desired results under known conditions –Test plan created –Testing includes: Unit testingUnit testing System testingSystem testing Acceptance testingAcceptance testing Completing the Systems Development Process 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

27. 10.27 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Completing the Systems Development Process 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

28. 10.28 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Conversion: Process of changing from old system to new system Conversion Strategies include:Conversion Strategies include: –Parallel –Direct cutover –Pilot study –Phased approach DocumentationDocumentation Completing the Systems Development Process 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

29. 10.29 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Production and Maintenance Production: The stage after new system is installed and the conversion is completeMaintenance Changes in hardware, software, documentation, or procedures of production system to correct errors, meet new requirements or improve processing Completing the Systems Development Process 10.3 OVERVIEW OF SYSTEMS DEVELOPMENT

30. 10.30 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Systems Development Lifecycle Traditional methodology for developing information systemTraditional methodology for developing information system Partitions systems development process into formal stages that must be completed sequentiallyPartitions systems development process into formal stages that must be completed sequentially Formal division of labour between end users and information system specialistsFormal division of labour between end users and information system specialists 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES Traditional Systems Development Lifecycle

31. 10.31 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Prototyping Process of building experimental system quickly and inexpensively for demonstration and evaluationProcess of building experimental system quickly and inexpensively for demonstration and evaluation Allows users to better determine information requirementsAllows users to better determine information requirementsPrototype Preliminary working version of information system for demonstration and evaluationPreliminary working version of information system for demonstration and evaluation Prototyping – Beta Testing 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

32. 10.32 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Prototyping 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

33. 10.33 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Steps in Prototyping Identify user’s basic requirementsIdentify user’s basic requirements Develop initial prototype – Alpha TestingDevelop initial prototype – Alpha Testing Use prototype – Beta Testing 1Use prototype – Beta Testing 1 Revise and enhance prototype – Beta Testing 2Revise and enhance prototype – Beta Testing 2 Prototyping 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

34. 10.34 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Advantage Useful in designing information system’s end-user interfaceUseful in designing information system’s end-user interfaceDisadvantage Rapid prototyping can gloss over essential steps in systems developmentRapid prototyping can gloss over essential steps in systems development Prototyping 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

35. 10.35 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Application Software Packages Set of prewritten, precoded application software programs commercially available for sale or leaseSet of prewritten, precoded application software programs commercially available for sale or leaseCustomization Modification of software package to meet organization’s unique requirements without destroying the software’s integrityModification of software package to meet organization’s unique requirements without destroying the software’s integrity Application Software Packages 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

36. 10.36 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Application Software Packages 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

37. 10.37 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Selecting Software Packages: Request for Proposal (RFP) Detailed list of questions submitted to vendors of software or other servicesDetailed list of questions submitted to vendors of software or other services Determines how well vendor’s product can meet organization’s specific requirementsDetermines how well vendor’s product can meet organization’s specific requirements Application Software Packages 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

38. 10.38 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Development of information systems by end users with little or no formal assistance from technical specialistsDevelopment of information systems by end users with little or no formal assistance from technical specialists Allows users to specify their own business needsAllows users to specify their own business needs End-User Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

39. 10.39 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Advantage Improves requirements gathering leading to higher level of user involvement and satisfactionImproves requirements gathering leading to higher level of user involvement and satisfactionLimitation Cannot easily handle processing of large numbers of transactions or applicationsCannot easily handle processing of large numbers of transactions or applications End-User Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

40. 10.40 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Managing End-User Development Information Centre A special facility that provides training and support for end-user computing End-User Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

41. 10.41 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development End-User Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

42. 10.42 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Practice of contracting computer centre operations, telecommunications networks, or applications development to external vendorsPractice of contracting computer centre operations, telecommunications networks, or applications development to external vendors Outsourcing 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES

43. 10.43 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES (A)

44. 10.44 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development 10.4 ALTERNATIVE SYSTEM-BUILDING APPROACHES (B)

45. 10.45 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development System modelled as a collection of objects and relationships between themSystem modelled as a collection of objects and relationships between them Iterative and incrementalIterative and incremental Shifts focus from modelling business processes and data to combining data and procedures to create objectsShifts focus from modelling business processes and data to combining data and procedures to create objects 10.5 APPLICATION DEVELOPMENT FOR THE DIGITAL FIRM Object-Oriented Software Development

46. 10.46 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development RAD Process for developing systems in short time periodProcess for developing systems in short time period Uses prototyping, fourth-generation tools, and close teamworkUses prototyping, fourth-generation tools, and close teamwork JAD: Joint Application Design Process to accelerate the generation of information requirements by having end users and IS specialists work together in intensive iterative sessionsProcess to accelerate the generation of information requirements by having end users and IS specialists work together in intensive iterative sessions 10.5 APPLICATION DEVELOPMENT FOR THE DIGITAL FIRM Rapid Application Development (RAD)

47. 10.47 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development Software components deliverable over InternetSoftware components deliverable over Internet Enable one application to communicate with another with no translation requiredEnable one application to communicate with another with no translation required Standards and protocols: XML, SOAP, WSDL, UDDIStandards and protocols: XML, SOAP, WSDL, UDDI Web Services 10.5 APPLICATION DEVELOPMENT FOR THE DIGITAL FIRM

48. 10.48 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development E-commerce and e-business require systems planning and systems analysis based on a broader view of organizationE-commerce and e-business require systems planning and systems analysis based on a broader view of organization Looking Beyond the Organization 10.5 APPLICATION DEVELOPMENT FOR THE DIGITAL FIRM

49. 10.49 Copyright © 2005 Pearson Education Canada Inc. Management Information Systems, Second Canadian Edition Chapter 10: Systems Development SYSTEMS DEVELOPMENT