UNIVERSITY OF NIGERIA,

FACULTY OF BUSINESS ADDMINISTRATION,

DEPARTMENT OF ACCOUNTANCY,
ENUGU CAMPUS.

COURSE TITTLE: MANAGEMENT INFORMATION SYSTEM

COURSE CODE: ACC 825

TOPIC:
SYSTEM DESIGN

A TERM PAPER PRESENTED BY:

IGO OYEINTARE KENNEDY
PG/MSC/12/62472

COURSE LECTURER: Prof. Uche Modoum

 TABLE OF CONTENT

ABSTRACT..................................................................................................................................

INTRODUCTION.........................................................................................................................1

STATEMENT OF PROBLEM.........................................................................................................2

OBJECTIVE OF THE STUDY.........................................................................................................2

BUSINESS SYSTEM CONCEPT.....................................................................................................3

CHARACTERISTICS OF A SYSTEM............................................................................................4-5

ELEMENTS OF A SYSTEM.............................................................................................................

MEANING OF SYSTEM DESIGN AND ANALYSIS............................................................................

DIAGRAM SHOWING LEVELS OF INFORMATION NEEDS.............................................................

DIAGRAM SHOWING TYPES OF SYSTEMS...................................................................................

CHRACTERISTICS OF A GOOD MIS DESIGN..................................................................................

APPROACHES TO MIS DESIGN AND DEVELOPMENT................................................................

MAJOR STEPS IN SYSTEM DESIGN......................................................................................

CONCLUSION........................................................................................................................

....
ABSTRACT
There are a lot of misunderstandings about what system design entails in the context of
MIS. Many people see it as designing either a computer system or an engineering system.
However, this text tries to give its true meaning when we say system design in the context
of MIS. The text employs the analytical approach by examining the word system in its
entirety before delving into system design as a concept. The writer also distinguishes system
design from system analysis. The language and presentation are very lucid as the writer
explains the steps and characteristics of a good MIS design. Approaches to system design as
well as basic steps in system design are also giving lucid interpretation. The research student
concluded the paper with a two page illustration of what has been articulated. This is a must
read.
INTRODUCTION
An information system is a social artefact serving the different interests of many
stakeholders. Thus, inevitably, the design of an information system is a social activity, which
involves understanding the social, organizational context of the system-to-be and making
design decisions according to the limitations of environment and
technology(Lamsweerde,2000). In all organisation management really observe operation
directly. They attempt to make decisions, prepare plans and control activities by using what
information they can obtain from (david and Oju 2009). Information systems are crucial to
the success of modern business organizations, and new systems are constantly being
developed to make businesses more competitive. The key to successful system
development is through systems analysis and design to understand what the business
requires from the information system.
System analysis and design is used to analyze, design and implement improvements in the
functioning of businesses that can be accomplished through the use of computerized
information systems.
Design activities are central to most applied disciplines. Research in design has a long history
in many fields including architecture, engineering, education, psychology and the fine arts
(Cross 2001). The computing and information technology field since its advent in the late
1940s has appropriated many of the ideas, concepts and methods of design that have
originated in these other disciplines. However, information systems are composed of
inherently mutable and adaptable hardware, software, and human interfaces provide many
unique and challenging design problems that call for new and creative ideas. The design
science research paradigm is highly relevant to information systems research because it
directly addresses two of the key issues of the discipline: the central role of computer
information technology (Weber 1987;Orlikowski and Iacono 2001; Benbasat and Zmud
2003) and the perceived lack of professional relevance of information system research
(Benbasat and Zmud 1999; Hirschheimand Klein 2003). Design science, as conceptualized by
Simon (1996), supports pragmatic research paradigm that calls for the creation of innovative
artefacts’ to solve real-world problems. Design as a concept has been domiciled in the
Province of more technical disciplines such as computer science and electrical engineering.
However, in the early 1990s the Information system community recognized the importance
Of design science research to improve the effectiveness and utility of the management
information system.

STATEMENT OF PROBLEM

The recent breakthrough in computer science as in no doubt influenced a considerable level

in many experts view of what an information design is actually all about. There are a lot of
misnomers about the concept even as am writing this presentation. People normally refer it
to designing a computer system or one kind of architectural or engineering design.
However, Modum (2012) in her lecture class explained clearly that what we are designing
are business documents and these documents are helpful to the organisation’s policy
implementation. According to her, the documents are apparent in any system be you
payroll, control or inventory system. There is still yet to know about the various steps taken
in designing, the approaches to design, meaning, elements and characteristics of a system,
what is system design and how is it different from system analysis, etc. These are some of
the reasons behind this research.

OBJECTIVE OF THE STUDY

For a better understanding of the word system design the following objectives are crucial

 Meaning of a system
 Characteristic of a system
 Elements of a system
 Characteristics of a good MIS design
 To employ the meaning of system design and how it varies with system analysis
 To employ the approaches to system design
 To determine how and the steps taken in designing an MIS based system
 To determine the reasons and benefits of system design
Business System Concepts
The word system is widely used. It has become fashionable to attach the word system to
add a contemporary flair when referring to things or processes. People speak of exercise
system, investment system, delivery system, information system, education system,
computer system etc. System may be referred to any set of components, which function in
interrelated manner for a common cause or objective.

Definition:
The term system is derived form the Greek word systema, which means an organized
relationship among functioning units or components. A system exists because it is designed
to achieve one or more objectives. We come into daily contact with the transportation
system, the telephone system, the accounting system, the production system, and, for over
two decades, the computer system. Similarly, we talk of the business system and of the
organization as a system consisting of interrelated departments (subsystems) such as
production, sales, personnel, and an information system. None of these subsystems is of
much use as a single, independent unit. When they are properly coordinated, however, the
firm can function effectively and profitably.There are more than a hundred definitions of the
word system, but most seem to have a common thread that suggests that a system is an
orderly grouping of interdependent components linked together according to a plan to
achieve a specific objective. The word component may refer to physical parts (engines,
wings of aircraft, car), managerial steps (planning, organizing and controlling), or a system in
a multi level structure. The component may be simple or complex, basic or advanced. They
may be single computer with a keyboard, memory, and printer or a series of intelligent
terminals linked to a mainframe. In either case, each component is part of the total system
and has to do its share of work for the system to achieve the intended goal. This orientation
requires an orderly grouping of the components for the design of a successful system.
The study of systems concepts, then, has three basic implications:
1. A system must be designed to achieve a predetermined objective.
2. Interrelationships and interdependence must exist among the components.
3. The objectives of the organization as a whole have a higher priority than the objectives of
its subsystems. For example, computerizing personnel applications must conform to the
organization’s policy on privacy, confidentiality and security, as will as making selected data
(e.g. payroll) available to the accounting division on request.

Characteristics of a System
Our definition of a system suggests some characteristics that are present in all systems:
organization (order), interaction, interdependence, integration and a central objective.

Organization
Organization implies structure and order. It is the arrangement of components that helps to
achieve objectives. In the design of a business system, for example, the hierarchical
relationships starting with the president on top and leading downward to the blue – collar
workers represents the organization structure. Such an arrangement portrays a system –
subsystem relationship, defines the authority structure, specifies the formal flow of
communication and formalizes the chain of command. Like – wise, a computer system is
designed around an input device, a central processing unit, an output device and one or
more storage units. When linked together they work as a whole system for producing
information.
Interaction
Interaction refers to the manner in which each component functions with other
components of the system. In an organization, for example, purchasing must interact with
production, advertising with sales and payroll with personnel. In a computer system, the
central processing unit must interact with the input device to solve a problem. In turn, the
main memory holds programs and data that the arithmetic unit uses for computation. The
interrelationship between these components enables the computer to perform.
Interdependence
Interdependence means that parts of the organization or computer system depend on one
another. They are coordinated and linked together according to a plan. One subsystem
depends on the input of another subsystem for proper functioning: that is, the output of
one subsystem is the required input for another subsystem. This interdependence is crucial
in systems work. An integrated information system is designed to serve the needs of
authorized users (department heads, managers, etc.) for quick access and retrieval via
remote terminals. The interdependence between the personnel subsystem and the
organization’s users is obvious. In summary, no subsystem can function in isolation because
it is dependent on the data (inputs) it receives from other subsystems to perform its
required tasks. Interdependence is further illustrated by the activities and support of
systems analysts, programmers, and the operations staff in a computer centre. A decision to
computerize an application is initiated by the user, analyzed and designed by the analyst,
programmed and tested by the programmer, and run by the computer operator. None of
these persons can perform property without the required input from others in the
computer center subsystem.

Integration
Integration refers to the holism of systems. Synthesis follows analysis to achieve the central
objective of the organization. Integration is concerned with how a system is tied together. It
is more than sharing a physical part or location. It means that parts of the system work
together within the system even though each part performs a unique function. Successful
integration will typically produce a synergistic effect and greater total impact than if each
component works separately.
Central objective
The last characteristic of a system is its central objective. Objectives may be real or stated.
Although a stated objective may be the real objective, it is not uncommon for an
organization to state one objective and operates to achieve another. The important point is
that users must know the central objective of a computer application early in the analysis
for a successful design and conversion. Political as well as organizational considerations
often cloud the real objective. This means that the analyst must work around such obstacles
to identify the real objective of the proposed change.
Elements of a System
In most cases, systems analysts operate in a dynamic environment where change is a way of
life. The environment may be a business firm, a business application, or a computer system.
To reconstruct a system, the following key elements must be considered:
1. Outputs and inputs.
2. Processor(s).
3. Control.
4. Feedback.
5. Environment.
6. Boundaries and interface.

Outputs and Inputs

A major objective of a system is to produce an output that has value to its user. Whatever
the nature of the output (goods, services, or information), it must be in line with the
expectations of the intended user. Inputs are the elements (material, human resources, and
information) that enter the system for processing. Output is the outcome of processing. A
system feeds on input to produce output in much the same way that a business brings in
human, financial, and material resources to produce goods and services. It is important to
point out here that determining the output is a first step in specifying the nature, amount,
and regularity of the input needed to operate a system. For example, in systems analysis,
the first concern is to determine the user’s requirements of a proposed computer system –
that is, specification of the output that the computer is expected to provide for meeting
user requirements.
Processor(s)
The processor is the element of a system that involves the actual transformation of input
into output. It is the operational component of a system. Processors may modify the input
totally or partially, depending on the specifications of the output. This means that as the
output specifications change so does the processing. In some cases, input is also modified to
enable the processor to handle the transformation.
Control
The control element guides the system. It is the decision – making subsystem that controls
the pattern of activities governing input, processing, and output. In an organizational
context, management as a decision – making body controls the inflow, handling and outflow
of activities that affect the welfare of the business. In a computer system, the operating
system and accompanying software influence the behaviour of the system. Output
specifications determine what and how much input is needed to keep the system in
balance. In systems analysis, knowing the attitudes of the individual who controls the area
for which a computer is being considered can make a difference between the success and
failure of the installation. Management support is required for securing control and
supporting the objective of the proposed change.

Feedback
Control in a dynamic system is achieved by feedback. Feedback measures output against a
standard in some form of cybernetic procedure that includes communication and control.
Output information is fed back to the input and / or to management (Controller) for
deliberation. After the output is compared against performance standards, changes can
result in the input or processing and consequently, the output. Feedback may be positive or
negative, routing or informational. Positive feedback reinforces the performance of the
system. It is routine in nature. Negative feedback generally provides the controller with
information for action. In systems analysis, feedback is important in different ways. During
analysis, the user may be told that the problems in a given application verify the initial
concerns and justify the need for change.
Another form of feedback comes after the system is implemented. The user informs the
Analyst about the performance of the new installation. This feedback often results in
enhancements to meet the user’s requirements.
Environment
The environment is the “suprasystem” within which an organization operates. It is the
source of external elements that impinge on the system. In fact, it often determines how a
system must function. For example, the organization’s environment, consisting of vendors,
competitors, and others, may provide constraints and, consequently, influence the actual
performance of the business.
Boundaries and interface
A system should be defined by its boundaries – the limits that identify its components,
processes and interrelationship when it interfaces with another system. For example, a
teller system in a commercial bank is restricted to the deposits, withdrawals and related
activities of customers checking and savings accounts. It may exclude mortgage
foreclosures, trust activities, and the like. Each system has boundaries that determine its
sphere of influence and control. For example, in an integrated banking – wide computer
system design, a customer who has a mortgage and a checking account with the same bank
may write a check through the “teller system” to pay the premium that is later processed by
the “mortgage loan system.” Recently, system design has been successful in allowing the
automatic transfer of funds form a bank account to pay bills and other obligations to
creditors, regardless of distance or location. This means that in systems analysis, knowledge
of the boundaries of a given system is crucial in determining the nature of its interface with
other systems for successful design.
MEANING OF SYSTEM DESIGN AND SYSTEM ANALYSIS
Systems analysis: System analysis is the process of gathering and interpreting facts,
diagnosing problems, and using the information to recommend improvements to the
system. It describes what a system should do to meet the information needs of users.
System design is the process of planning a new business system or one to replace or
complement an existing system. System design specifies how the system will accomplish
this objective. Dr. Jawahar explains the two concepts in the following way:
System analysis

Analysis is a detailed study of the various operations performed by a system and their
relationships within and outside of the system. A key question is, what must be done to
solve the problem? One aspect of analysis is defining the boundaries of the system and
determining whether or not a candidate system should consider other related systems.
During analysis, data are collected on the available files, decision points, and transactions
handled by the present system. Data flow diagrams interviews, on – site observations, and
questionnaires are examples of the analysis tools. The interviews is a commonly used tool in
analysis, it requires special skills and sensitivity to the subjects being interviewed. Bias in
data collection and interpretation can be a problem. Training, experience, and common
sense are required for collection of the information needed to do the analysis

System design
The most creative and challenging phase of the system life cycle is system design. The term
design describes a final system and the process by which it is developed. It refers to the
technical specifications (analogous to the engineer’s blueprints) that will be applied in
implementing the candidate system. It also includes the construction of Programs and
program testing. The key question here is: How should the problem be solved?
Source: Dr.Ghaebi ISR LECTURE IV(1385)

Characteristics of a Good MIS Design

1. Management Oriented: It means that effort for the development of the information
system should start from an appraisal of management needs and overall business
objectives. A good management information system is not necessarily meant for top
management only, it may also meet the information requirements of middle level or
operating levels of management as well.
2. Management directed: Because of management orientation of MIS, it is necessary that
management should actively direct the system’s development efforts. Mere one time
involvement is not enough. For system’s effectiveness, it is necessary for management to
devote their sufficient time not only at the stage of designing the system but for its review
as well, to ensure that the implemented system meets the specifications of the designed
system.In brief, management should be responsible for setting system specifications and it
must play a key role in the subsequent trade off decisions that occur in system
development.
3. Integrated: Development of information should be an integrated one. It means that all
the functional and operational information sub-systems should be tied together into one
entity. An integrated information system has the capability of generating more meaningful
information to management. The word integration here means taking a comprehensive
view or a complete look at the inter locking sub-systems that operate within a company.
4. Common data flows: It means that the use of common input, processing and output
procedures and media whenever possible is desirable. Data is captured by system analysts
only once and as close to its original source as possible. They, then, try to utilise a minimum
of data processing procedures and sub-systems to process the data and strive to minimise
the number of output documents and reports produced by the system. This eliminates
duplication in data collections and documents and procedures. It also simplifies operations
and produces an efficient information system. However, some duplication is necessary in
order to insure effective information system.

5. Heavy planning element: A management information system usually takes 3 to 5 years

and sometimes even longer period to get established firmly within a company. Therefore, a
heavy planning element must be present in MIS development. It means that MIS designer
should keep in view future objectives and requirements of firm’s information in mind. The
designer must avoid the possibility of system obsolescence before the system gets into
operation.
6. Computerized: A management information system design must be computerized.
Although MIS could be manual but the speed and accuracy at which information is
processed is enormous when it is computer based
APPROACHES TO MIS DESIGN AND DEVELOPMENT
For developing MIS, David and Oju stated (2009) stated top-down approach, bottom-up
approach and the integrative approach.

1.Top down approach: The development of MIS under top down approach starts with the
defining of the objectives of the organisation, the kind of business it is in, and the
constraints under which it operates. The activities or functions for which information would
be required are also identified (Zani, 1970).. The crucial strategic and tactical decisions are
also defined and the decisions necessary to operate the activities are specified. From the
activities or functions and the decisions to be made, the major information requirements
are ascertained. This approach develops a model of information flow in the organization,
which acts as a guide for designing the information system. By using the model of
information flow, various information sub-systems may be defined. Each sub–system
comprises of various modules. The selection of a module for developing system is made on
the basis of the priority assigned to it. The various sub–systems and their modules are
coordinated to achieve the objective of integration. The information system so developed is
viewed as a total system, which is fully integrated, rather than as a collection of loosely
coordinated sub–systems. It is also evident from the nomenclature that top management
takes the initiative in formulating major objectives, policies and plans in a comprehensive
manner and communicates them down the line to middle and supervisory management
levels for translating them into performance results. Managers other than those at top
levels have little role in planning, they have to only concentrate on implementation and
day–to–day control.

2. Bottom-up approach: The development of information system under this approach starts
from the identification of life stream systems. Life stream systems are those systems, which
are essential for the day–to–day business activities. The examples of life stream systems
include payroll, sales order, inventory control and purchasing etc. The development of
information system for each life stream system starts after identifying its basic transactions,
information file requirements and information processing programs. After ascertaining the
data/information requirements, files requirement and processing programs for each life
stream system, the information system for each is developed. The next step is towards the
integration of data kept in different data files of each information system. The data is
integrated only after thoroughly examining various applications, files and records. The
integrated data enhances the shareability and evolvability of the database. It also ensures
that all programs are using uniform data. Integrated data also provides added capability for
inquiry processing and ad–hoc requests for reports. The next step under bottom up
approach may be the addition of decision model and various planning models for supporting
the planning activities involved in management control. Further, these models are
integrated to evolve model base. The models in the model base facilitate and support higher
management activities. They are useful for analysing different factors, to understand
difficult situations and to formulate alternative strategies and options to deal them.

(iii) Integrative approach: This approach can overcome the limitations of the above two
approaches when used objectively ( Blumenthal, 1969). Integrative approach permits
managers at all levels to influence the design. Top management identifies the structure and
design of MIS suitable to the concern. This design is further presented to lower level
managers for their views and modifications. The managers at the lower level are permitted
to suggest changes, additions, or deletions and return the design with their suggestions to
the top level for approval. The revised design is drawn and evaluated by the top level and
sent down again in a modified form for further consideration if required. This evaluation
modification and approval process continues until a final design is achieved, that is suitable
for all levels.

MAJOR STEPS INVOLVED IN SYSTEM DESIGN OF MIS

According to Modum (2005), an organisation must first and foremost design its output
before input due to it varied importance of guiding the organisation’s objectives. However
She and the UK online MBA noted the following steps involved in system design.

Input Design – Input design is defined as the input requirement specification as per a format
required. Input design begins long before the data arrives at the device. The analyst will
have to design source documents, input screens and methods and procedures for getting
the data into the computer.

Preliminary investigation- This is where the system analysis tries to discover the needs,
objectives and constraints of the organisation.

Output Design – The design of the output is based on the requirement of the user –
manager, customer etc. The output formats have to very friendly to the user. Therefore the
designer has to ensure the appropriateness of the output format.

Development – When the design and its methodology are approved, the system is
developed using appropriate business models. The development has to be in accordance to
a given standard. The norms have to be strictly adhered to.

Testing – Exhaustive and thorough testing must be conducted to ascertain whether the
system produces the right results. Testing is time consuming: Test data must be carefully
prepared, results reviewed and corrections made in the system. In some instances, parts of
the system may have to be redesigned. Testing an information system can be broken down
into three types of activities: unit testing, system testing and acceptance testing. Unit
testing or program testing consists of testing each program separately in the system. The
purpose of such testing is to guarantee that programs are error free, but this goal is
realistically impossible. Instead, testing should be viewed as a means of locating errors in
programs, focusing on finding all ways to make a program fail. Once pinpointed, problems
can be corrected. System testing tests the functioning of the information system as a whole.
It tries to determine if discrete modules will function together as planned and whether
discrepancies exist between the way the system actually works and the way it was
conceived. Among the areas examined are performance time, capacity for file storage and
handling peak loads, recovery and restart capabilities and manual procedures. Acceptance
testing provides the final certification that the system is ready to be used in a production
setting. Systems tests are evaluated by users and reviewed by management. When all
parties are satisfied that the new system meets their standards, the system is formally
accepted for installation.
Documentation, Implementation and Maintenance

Once a system is installed it must be documented to enable other users to follow the
instructions giving in the manual without calling for the system expert.moreso, a system
must be implemented to the later as soon as it starts operation and secondary adequate
maintenance must also be giving for it to last long.

Conversion – Conversion is the process of changing from the old system to the new system.
Four main conversion strategies can be employed. They are the parallel strategy, the direct
cutover strategy, the pilot strategy and the phased strategy.

 In a parallel strategy both the old system and its potential replacement are run
together for a time until everyone is assure that the new one functions correctly.
This is the safest conversion approach because, in the event of errors or processing
disruptions, the old system can still be used as a backup. But, this approach is very
expensive, and additional staff or resources may be required to run the extra system.
 The direct cutover strategy replaces the old system entirely with the new system on
an appointed day. At first glance, this strategy seems less costly than the parallel
conversion strategy. But, it is a very risky approach that can potentially be more
costly than parallel activities if serious problems with the new system are found.
There is no other system to fall back on. Dislocations, disruptions and the cost of
corrections are enormous.
 The pilot study strategy introduces the new system to only a limited area of the
organization, such as a single department or operating unit. When this version is
complete and working smoothly, it is installed throughout the rest of the
organization, either simultaneously or in stages.
 The phased approach strategy introduces the new system in stages, either by
functions or by organizational units. If, for example, the system is introduced by
functions, a new payroll system might begin with hourly workers who are paid
 weekly, followed six months later by adding salaried employees( who are paid
monthly) to the system. If the system is introduced by organizational units,
corporate headquarters might be converted first, followed by outlying operating
units four months later.

Moving from an old system to a new system requires that end users be trained to use the
new system. Detailed documentation showing how the system works from both a technical
and end user standpoint is finalized during conversion time for use in training and everyday
operations. Lack of proper training and documentation contributes to system failure, so this
portion of the systems development process is very important.

Production and maintenance

After the new system is installed and conversion is complete, the system is said to be in
production. During this stage the system will be reviewed by both users and technical
specialists to determine how well it has met its original objectives and to decide whether
any revisions or modifications are in order. In some instances, a formal post implementation
audit document will be prepared. After the system has been fine-tuned, it will need to be
maintained while it is in production to correct errors, meet requirements or improve
processing efficiency.

Once a system is fully implemented and is being used in business operations, the
maintenance function begins. Systems maintenance is the monitoring, or necessary
improvements. For example, the implementation of a new system usually results in the
phenomenon known as the learning curve. Personnel who operate and use the system will
make mistake simply because they are familiar with it. Though such errors usually diminish
as experience is gained with a new system, they do point out areas where a system may be
improved.

Maintenance is also necessary for other failures and problems that arise during the
operation of a system. End users and information systems personnel then perform a
troubleshooting function to determine the causes of and solutions to such problems.
Maintenance also includes making modifications to an established system due to changes in
the business organizations, and new e-business and ecommerce initiatives may require
major changes to current business systems.

CONCLUSION
Systems development can generally be thought of as having two major components:
Systems analysis and Systems design. System design is the process of planning a new
business system or one to replace or complement an existing system. Before this planning
can be done, we must thoroughly understand the old system and determine how computers
can best be used to make its operation more effective. System analysis, then, is the process
of gathering and interpreting facts, diagnosing problems, and using the information to
recommend improvements to the system. This is the job of the systems analyst. Consider,
for example, the stockroom operation of a clothing store. To better control its inventory and
gain access to more up – to – date information about stock levels and reordering, the store
asks a system analyst, to “computerize” its stockroom operations. Before one can design a
system to capture data, update files, and produce reports, one needs to know more about
the store operations: what forms are being used to store information manually, such as
requisitions, purchase orders, and invoices and what reports are being produced and how
they are being used. To proceed, you then seek out information about lists of reorder
notices, outstanding purchase orders, records of stock on hand, and other reports. You also
need to find out where this information originates, whether in the purchasing department,
Stockroom, or accounting department. In other words, you must understand how the
existing system works and, more specifically, what the flow of information through the
system looks like. You also must know why the store wants to change its current operations.
Does the business have problems tracking orders, merchandise, or money? Does it seem to
fall behind in handling inventory records? Does it need a more efficient system before it can
Expand operations? Only after you have collected these facts can you being to determine
how and where a computer information system can benefit all the users of the system. This
accumulation of information, called a systems study, must precede all other analysis
activities. Systems analysts do more than solve current problems. They are frequently called
upon to help handle the planned expansion of a business. In the case of the clothing store,
the systems study is future oriented, since no system currently exists. Analysts assess as
carefully as possible what the future needs of the business will be and what changes should
be considered to meet these needs. In this instance and in most others, analysts may
recommend alternatives for improving the situation. Usually more than one strategy is
possible. Working with managers and employees in the organization, systems analysts
recommend which alternative to adopt, based on such concerns as the suitability of the
solution to the particular organization and setting, as well as the employee support the
solution is likely to have. Sometimes the time required to develop one alternative,
compared with others, is the most critical issue. Costs and benefits are also important
determinants. In the end, management, which will pay for and use the result, actually
decides which alternative to accept. Once this decision is made, a plan is developed to
implement the recommendation. The plan includes all systems design features, such as new
data capture needs, file specifications, operating procedures, equipment and personnel
needs. The systems design is like the blueprint for a building: it specifies all the features that
are to be in the finished product. Designs for the stockroom will provide ways to capture
data about orders and sales to customers and specify the way the data will be stored,
whether on paper forms or on a computer – readable medium, such as magnetic tape or
disk. The designs will also designate work to be performed by people and by computers.
Designs vary in their division of human and computer tasks. The stockroom personnel will
also need information about the business. Each design describes output to be produced by
the system, such as inventory reports, sales analyses, purchasing summaries, and invoices.
The systems analysts will actually decide which outputs to use, as well as how to produce
them. Analysis specifies what the system should do. Design states how to accomplish
the objective. Notice that each of the processes mentioned involves people. Managers and
employees have good ideas about what works and what does not, about what flows
smoothly and what causes problems, about where change is needed and where it is not,
and especially about where change will be accepted and where it will not. Despite
technology, people are still the keys that make the organizations work. Thus,
communicating and dealing with people are very important parts of the systems analyst’s
job.

Thank you for listening!

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