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© 2005 by Prentice Hall© 2005 by Prentice Hall
Chapter 4 Identifying and Selecting
Systems Development Projects
Modern Systems Analysisand Design
Fourth Edition
Jeffrey A. Hoffer Joey F. George
Joseph S. Valacich
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Learning Objectives Describe the project identification and selection
process. Describe corporate strategic planning and information
systems planning. Explain the relationship between corporate strategic
planning and IS planning. Describe how IS planning can assist in system
development project identification and selection. Analyze IS planning matrices. Describe three classes of E-Commerce applications.
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Project Identification Tasks
Identifying potential development projects Identification from a stakeholder group
Classifying and ranking potential IS projects Using value chain analysis or other evaluation
criteria
Selecting projects Based on various factors
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Each stakeholder group brings their own perspective and motivation to the IS decision.
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Factors for Project Selection
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Multicriteria Analysis
Each requirement or constraint: Score = weight X ratingEach alternative: sum scores across requirements/constraints
Alternative with highest score wins
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Corporate Strategic Planning
Ongoing process that defines mission, objectives, and strategies of an organizationCorporate strategy involves: Mission statement Objective statements Description of competitive strategy
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Mission Statement
Concise statement about the main business of the organization
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Statement of Objectives
A series of statements that express quantitative and qualitative goals for the future position of an organization
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Competitive Strategy
The method by which the organization will attempt to satisfy its mission and objectivesMain types: Low-cost producer Product differentiation Product focus or niche
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Information Systems Planning (ISP)
An orderly means of assessing the information needs of an organization and defining systems, databases, and technologies that will best meet those needsISP must be done in accordance with the organization's mission, objectives, and competitive strategy.
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The key activities in ISP process
1. Describe the current situation2. Describing the target situation, trends
and constraints3. Developing a transition strategy and
plans
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Strategic and IS Planning Relationships
IS planning must be kept in line with corporate strategic planning.
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Approaches to IS Planning
Top-down planning Attempts to gain a broad understanding of
information system needs of the entire organization
Bottom-up planning Identifies IS development projects based
on solving specific operational business problems or taking advantage of specific opportunities
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Benefits of Top-Down Planning
Broader perspectiveImproved integrationImproved management supportBetter understanding
But, bottom-up planning can be faster and less costly, so may be beneficial in certain circumstances
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Identifying Functions, Processes, and Data Entities
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Functional Decomposition
Decomposition: breaking high-level abstract information into smaller units for more detailed planning
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IS Planning Matrix
Matrices describe relationships between pairs of organizational elements (location, function, business unit, objective, process, data, information system).
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IS Plan Components
Briefly describe mission, objectives, and strategy of the organization
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IS Plan Components (cont.)
Provide summary of current and future processes, functions, data entities, and information needs of the enterprise
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IS Plan Components (cont.)
Describe primary role IS will play in the organization to transform enterprise from current to future state
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IS Plan Components (cont.)
Describe limitations imposed by technology and current levels of financial, technical, and personnel resources
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IS Plan Components (cont.)
Summarize overall information systems needs in the company and set long-term strategies for filling the needs
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IS Plan Components (cont.)
Show detailed inventory of present projects and systems and detailed plan for the current year
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IS Plan Components (cont.)
Describe unknown but likely events that can affect the plan, presently known business change elements, and description of their impact on the plan
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Electronic Commerce Applications
The Internet A large worldwide network of networks that
use a common protocol to communicate with each other
Electronic Commerce Internet-based communications to support
day-to-day business activities
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Three Modes of E-Commerce
Internet-based Supports business activities between a business
and individual consumersIntranet-based Supports business activities within a single
organizationExtranet-based Supports business-to-business activities A form of Electronic Data Interchange (EDI) – use
of telecommunications for direct transfer of business documents between organizations
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Issues in Internet Application Development
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SummaryIn this chapter you learned how to: Describe the project identification and selection
process. Describe corporate strategic planning and
information systems planning. Explain the relationship between corporate
strategic planning and IS planning. Describe how IS planning can assist in system
development project identification and selection. Analyze IS planning matrices. Describe three classes of E-Commerce
applications.