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SICS 3533 Information Systems Analysis and Design

Lecture 02 9TH FEBRUARY 2010


Lecturer: Felix Amponsah-Kubi. Regent University 1

LECTURER: FELIX AMPONSAH-KUBI


Tel.: 0268333883
Email:

felixaamponsah@yahoo.co.uk
felixamponsah@hotmail.co.uk

Lecturer: Felix Amponsah-Kubi. Regent University

An Overview of Information Systems (IS)

General Introduction
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An Overview of Information Systems

What is Information?
Data are facts that are entered, stored, and processed by an Information System.
Information in turn is organised, meaningful, and useful data.
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Value of Information?
The Value of Information is the benefit produced by the information minus the cost of producing it.

Lecturer: Felix Amponsah-Kubi. Regent University

Value of Information?
1. Major Benefits:
i. Improved decision making ii. Better ability to plan activities iii. Better ability to schedule activities iv. Reduce uncertainty

Lecturer: Felix Amponsah-Kubi. Regent University

Value of Information?
2. Costs: Time and resources expended in
i. Capturing, ii. Processing, iii. Storing, iv. Reporting/Retrieving, v. Updating, and vi. Controlling the information
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Value of Information?
The costs and especially the benefits of information are difficult to quantify. It is difficult to determine the value of information before it has been produced and utilised. Nevertheless, the expected value of information should be calculated as effectively as possible so that the costs associated with the information do not exceed its Benefits.

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Information Overload
Information Overload is state where additional information cannot be used efficiently and has no marginal value. It is costly in that decision-making performance decreases while the costs associated with providing the information increase.
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Characteristics of Useful Information:


1. Relevant 2. Reliable or Accurate 3. Volume 4. Complete 5. Timely 6. Understandable or Clear 7. Verifiable 8. Cost
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Characteristics of Useful Information:


1. Relevant: Adds knowledge or value to decision makers by reducing uncertainty, increasing their ability to predict, or confirming or correcting earlier expectations.

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Characteristics of Useful Information:


2. Reliable or Accurate: Is free from error or bias and accurately represents the events or activities of the organisation

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Characteristics of Useful Information:


3. Volume: Should be within the physically and mentally absorbable limits of the user

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Characteristics of Useful Information:


4. Complete: Does not omit important data users expect it to contain 5. Timely: Is provided in time to affect the decision making process
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Characteristics of Useful Information:


6. Understandable or Clear: Appears in useful and intelligible format. 7. Verifiable: Allows two knowledgeable persons to produce the same information independently.

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Characteristics of Useful Information:


8. Cost: The value gained from using information should objectively exceed the cost of acquiring, keeping and retrieving it .

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What is an Information System (IS)?


1. Information is organised, meaningful, and useful data. 2. System: A set of interrelated components, with a clearly defined boundary, working together to achieve a common set of objectives by accepting inputs and producing outputs in an organised transformation process.
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What is an Information System (IS)?


1. It is a system that processes data to provide users with the information they need to plan, control, and operate their businesses.

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What is an Information System (IS)?


2. It can also technically be defined as a set on interrelated components that collect (or retrieve), process, store, and distribute information to supportdecision making and control in an organisation.
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What is an Information System (IS)?


3. A more elaborate definition of IS can be any organised combination of people, hardware, software, communication networks, data resources, and policies and procedures that stores, retrieves, transforms and disseminates information in an organisation.
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What is an Information System (IS)?


People rely on modern information systems to communicate with each other using a variety of physical devices (hardware), information processing instructions and procedures (software), communications channels (networks),and stored data (data resources). [IS has
been in existence since the dawn of civilisation e.g. smoke signal communication; card catalogues in libraries]
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Why Study IS:


1. IS have become Fundamental parts of modern education 2. Skills in IS are necessary ingredients to a successful business manager. 3. IS form key components in business decision making. 4. Good IS will meet your information needs as a manager. 5. You will be affected by the Information Technology Revolution.
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Task to be Performed to Produce IS


1. Collect accurate, relevant and reliable data collected and entered into the IS 2. Process the data. 3. Store data for future use. 4. Provide users with the information they need by producing a report. 5. Control the whole process to ensure information accuracy and reliability.
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SICS 3533 Information Systems Analysis and Design


Lecture 03 16TH FEBRUARY 2010
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Types of IS:
1. Executive Information Systems (EIS): Developed to provide
executives and managers with easyto-understand access to the information they need to make strategic plans, monitor business and economic conditions, identify business problems and opportunities, and make decisions.
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Types of IS:
2. Decision Support Systems (DSS):
Developed to help users make decisions in instructed environments where there is a high degree of uncertainty and illdefined reporting requirements. It allows users to explore alternatives, ask what-if questions, deal with changing business situations and make decisions in unanticipated situations
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Types of IS:
3. Expert Systems (ES): They contain
knowledge and expertise of one or more specialists in a well-defined area. An expert system guides decision processes, produces more consistent decisions, and ensures that important decision criteria are considered.

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Types of IS:
4.End-User Systems(EUS): Developed by users to meet their own information retrieval, personal productivity, and application development needs.
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How IS add value to businesses


1. Increases Efficiency and Decision making 2. Provides Timely and Reliable Information 3. Provides quality information to both internal and external stakeholders 4. Provides a company with Competitive Advantage 5. Improves communication 6. Improves the use of knowledge 7. Enables a company to reengineer and reinvent itself to survive and succeed
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Strategic Business Objectives of Information Systems


Businesses invest so much in Information Systems and Technologies for the following reasons:

1. Operational Excellence: This improves the efficiency of their operations in order to achieve higher profitability especially when coupled with changes in business practices and management behaviour.
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Strategic Business Objectives of Information Systems


2. Improved Decision Making: Information Systems and Technologies enable managers to use real-time data to make informed decisions. This removes the tendency of managers relying on guesses, forecasts, or luck. It assists managers to have control over processes and allow effective allocation of resources for best results.

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Strategic Business Objectives of Information Systems


3. Changes in User or business Needs: Increased competition, business growth or consolidation, mergers and divestitures, new regulations, or changes in regional or global relationship can alter an organisations structure and purpose. To remain responsive to company needs, the organisations information system must change as well.

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Strategic Business Objectives of Information Systems


4. Downsizing: Companies often move from centralised mainframes to networked PCs in order to take advantage of their plunging prices/ever increasing performance ratios. This places decision making and its corresponding information as far down the organisational chart as possible.

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Strategic Business Objectives of Information Systems


5. New Product, Services and Business Models: IS and technologies

are a major enabling tool for businesses to create new products and services as well as entirely new business model. A business model describes how a company produces, delivers, and sells a product or service to create wealth.
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Strategic Business Objectives of Information Systems


6. Quality Improvements: It is difficult
to improve quality without improving the system that generates the data needed to measure and evaluate quality.

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Strategic Business Objectives of Information Systems


7. Customer and Supplier Intimacy: When a business really knows its customers and serves them well, the way they want to be served, the customers generally respond by returning and purchasing more. This raises revenues and profits. Likewise with suppliers: the more a business engages its suppliers, the better the suppliers can provide vital inputs. This lowers cost and removes fluctuations of inputs.
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Strategic Business Objectives of Information Systems


8. Competitive Advantage: In a situation where Information Systems and Technologies enable a business to achieve i)Operational Excellence, ii) New Product/Service/Business Models, iii) Customer/Supply Intimacy, and iv) Improved decision making, it follows that the business has achieved competitive advantage i.e. doing business batter that the competition.
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Strategic Business Objectives of Information Systems


9. Survival or Continuity: Crave for efficiency and effectiveness, the ability to stay in the competition, industrial level changes and sometimes state statutes and regulations create the necessities for businesses to invest in Information Systems to conform to standards and to survive.

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Using Information Systems To Achieve Competitive Advantage


Investments in Information Systems can only enable the business to survive and succeed in the long run only if it successfully develops strategies to confront the five (5) competitive forces that shape the structure of competition in its industry.

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With the right Information Systems in place, management should ask themselves questions like: 1. Why do some businesses do better than others? 2. How do they achieve competitive advantage? 3. How do we analyse our business and achieve strategic advantages? 4. Importantly how do Information Systems contribute to strategic advantages?
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Using Information Systems To Achieve Competitive Advantage

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Competitive Forces

Michael Porters Classic Model of Competitive Forces: Businesses develop and implement strategies to effectively counter the Competitive Forces that shape the fate of the business in order to survive and succeed. Porters model provides a general view of the business, its competitors, and the businesss environment.

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Competitive Forces

Michael Porters Classic Model of Competitive Forces: 1. The Rivalry of Competitors within the Industry (Traditional Competitors): These are the competitors who share the market space with the business and are continuously devising new business models. Competitors share natural, and often healthy, rivalry. This force requires significant resource, especial very modern information systems on the part of the business to stay in the competition.
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Competitive Forces

Michael Porters Classic Model of Competitive Forces: 2. Threat of Potential New Entrants: In a free economy with mobile labour and financial resources, new companies are always entering the marketplace. The extent of this threat depends on how easily they can overcome barriers to entry.

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Competitive Forces

Michael Porters Classic Model of Competitive Forces: 3. Substitute Products and Services: These refer to products and services in other industries that can perform the same function. E.g. using cans instead bottles. 4. Buyers/ Customers: Seek lower prices or higher quality at constant prices, thus forcing down prices and profitability especially where the buyer buys a large chunk of product and there are many other suppliers on the market.
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Competitive Forces

Michael Porters Classic Model of Competitive Forces: 5. Suppliers: When suppliers bargaining power gets too strong, they can drive prices and starve the business of parts or raw materials essential to production.

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Managements Recognition of IS Needs

In businesses where major strategic decision makers do not recognise Information System as a means of creating core competences and advantages, growth, survival and success become stifled.

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Senior management needs to be involved in critical Information Systems decision making to optimise the business value and performance of the IS function. Critical Questions include: i. How much do we spend on IS? ii. Which business processes should have IS iii. Which IS capabilities need to be companywide? iv. How much do we invest in training and developing employee to use the businesss IS
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Managements Recognition of IS Needs

v. How good do our IS need to be? vi. What security and privacy risks will we accept?

Managements Recognition of IS Needs

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Managers also need to consider a wide range Of Costs (i.e. the Total Cost of Ownership TCO) that will include: i. Acquisition cost ii. Ongoing Administration cost iii. Maintenance cost iv. Technical Support cost v. System Upgrading cost vi. Employee Training cost vii. Cost of housing the Information Systems

Managements Recognition of IS Needs

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Case Study Wal-Marts Successful Use of IT


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SICS 3533 Information Systems Analysis and Design


Lecture 04 23RD FEBRUARY 2010
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TOPIC
Elements and Procedures of IS
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Information Need for business activities Information Systems are basically developed to provide opportunities to improve system efficiency and effectiveness
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Information Need for business activities


Business need for IS come with questions like: 1) How do we organise things? 2) What information do we need in order to run the Information Systems effectively? 3) How can we provide that information? 4) How do we collect and process data about all types of business activities? 5) How do we organise all the data collected? 6) How do we design the IS so that the information provided is reliable and accurate?
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Three (3) basic functions performed by IS 1) To collect and process data about the organisation's business activities efficiently and effectively

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Three (3) basic functions performed by IS 2) To provide information useful for decision making

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Three (3) basic functions performed by IS


3) To provide adequate controls to ensure that the data about business activities are recorded and processed accurately and to safeguard those data and other related organisational assets
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Data Flow Diagrams (DFDs)


One popular means of documenting a system is to develop data flow diagrams, flowcharts, tables, and other graphical representations of information. They are then supported by a narrative description of the system, a written step-by-step explanation of the system components and interactions.
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Data Flow Diagrams (DFDs)


A Data Flow Diagram (DFD)

defined as a graphical diagramming tool that uses a few simple symbols to illustrate the flow of data among external entities, processing activities, and data storage elements. (OBrien, 2008)
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can be

Data Flow Diagrams (DFDs)


A DFD graphically describes the flow of data within an organisation. It is used to document existing systems and to plan and design new ones. There is no ideal way to develop a DFD.

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Data Flow Diagrams (DFDs)


Documentation: The narratives, flowcharts, diagrams, and other written material that explain how a system works. This information covers the Who, What, When, Where, Why, and How of data entry, processing, storage, information output, and system controls
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Data Flow Diagrams (DFDs)


A DFD is composed of four (4) basic elements: 1) Data sources and destinations 2) Data flows 3) Transformation processes 4) Data stores Each element is represented on a DFD by a symbol:
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Symbols

DATA FLOW DIAGRAM SYMBOLS Name Explanation Data sources and destinations Data flows

Transformation processes

Data stores

The people & organisations that send data to and receive data from the system are represented by square boxes The flow of data into or out of a process is represented by curved or straight lines with arrows The processes that transform data from inputs to outputs are represented by circles. They are often referred to as bubbles The storage of data is represented by two horizontal lines.
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Guidelines for Drawing a DFD 1)Determine System Boundaries:


This is to include all relevant data elements. Since anything excluded will not be considered during system development, data elements should be included until a definitive decision can be made to discard them. Once the system boundary has been determined, all data flows entering or leaving the boundary should be identified.
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Guidelines for Drawing a DFD 2)Determine System Data Flows and Relationships: This step
emphasises actual versus expected data flows and relationships. It is usually best to construct a DFD by concentrating first on data flows, rather than on processes or data stores. Where the data originates and its final destination should be identified. Circles should be placed wherever work is required to transform from one data flow into another.
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Guidelines for Drawing a DFD 3)Label DFD Elements: The names


given to DFD elements significantly impact the quality and readability of the diagram. Since the main emphasis of a DFD is the flow of information through a system, all the data flows should be named first. This approach forces the developer to concentrate on data flow, rather than on the processes or stores.
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Guidelines for Drawing a DFD Label DFD Elements Naming Guidelines (contd)
i. First name all DFD elements ii. Make sure the names describe all the data or the entire process iii. Avoid names that are not fully descriptive. E.g. Input Data or Update Processes but use names like Daily Inventory; Validate Transaction iv. Never combine unrelated items
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Data Flow Diagram of Customer Payment Process

Credit Manager

Update Receivables

Process Payment

Customer

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Guidelines for Drawing a DFD 1)Data Sources and Destinations:


A source or destination symbol on the DFD represents an organisation or individual that sends or receives data used or produced by the system. An entity can be both a source and a destination. Data sources and data destinations are represented by squares. E.g. Customer, Bank and Credit Manager.
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Guidelines for Drawing a DFD 2)Data Flow: Represents the flow of


data between processes, data stores, and data sources and destinations. Data that pass between data stores and either a data source or a destination must go through some form of data processing that is through a transformation process.
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Guidelines for Drawing a DFD 3)Processes: It is the execution of


systematic sequence of operations performed upon data to transform them into information. It represents the transformation of data. E.g. in the last diagram Process payment takes customer payment and splits it into the remittance data and the bank deposit
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Guidelines for Drawing a DFD 4)Data Stores: It is a temporary or permanent repository of data

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Guidelines for Drawing a DFD 5)Data Dictionary: It contains a description of all the data elements, stores and flows in a system, including the storage and processing of data, the documents, and physical items and their interrelationships.
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Data Entry versus Data Processing


1) Data Entry : The process of
converting data into o form suitable for entry into a computer system. It is also called data capture or input operation.

2) Data Processing: It is the

execution of systematic sequence of operations performed upon data to transform them into information.
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SICS 3533 Information Systems Analysis and Design


Lecture 05 2ND MARCH 2010
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Flowcharts
Flowchart : It is an analytical technique
used to describe some aspect of an Information system in a clear, concise, and logical manner. Flowcharts use a standard set of symbols to describe pictorially the business activity procedures used by a company and the flow of data through a system.
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Flowcharts
Flowchart (contd): Each symbol
has a special meaning that is easily conveyed by its shape. The shape indicates and describes the operations performed and the input, output, processing media employed.

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Categories of Flowcharting Symbols


1) Input/output symbols represent
devices or media that provide input or record output from processing operations.

2) Processing symbols either show


what type of device is used to process data or indicate when processing is completed manually.
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Categories of Flowcharting Symbols (contd)


3) Storage symbols represent the devices used to store data that the system is not currently using. 4) Flow and Miscellaneous indicate the flow of data and goods. They also represent such operations as where flowcharts begin or end, where decisions are made, and when to add explanatory note to flowcharts.
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Input/Output Symbols
Document Symbol Display Symbol

Multiple Copies of One Document

On-Line Keying

Input/Output Symbol

Transmit tal Tape

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Processing Symbols
Computer Processing
Off-line Keying Operation

Manual Operation

Auxiliary Operations

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Storage Symbols

Magnetic Disk

On-Line Storage

Magnetic Tape

File (N)

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Document Flowchart
It illustrates the flow of documents and Information between areas of responsibility within an organisation. Document flowcharts trace a document from its cradle to its grave. It shows where each document originates, its distribution, the purposes for which it is used, its ultimate disposition, and everything that happens as it flows through the system. It is yseful in analysing the adequacy of control procedures in a system.
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Systems Flowchart
It depicts the relationship among the input, processing, and output of an Information System. A system flowchart begins by indentifying both the inputs that enter the system and their origins. The input can be new data entering the system, data stored for future use, or both. The input is followed by the processing portion of the flowchart, the steps performed on the data. System flowcharts are important tool of systems analysis, design, and evaluation.
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Programme Flowchart Illustrates the sequence of logical operations performed by a computer in executing a programme.

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Differences between DFDs and Flowchart


1) DFD emphasises the flow of data and what is happening in a system, whereas a flowchart emphasises the flow of documents or records containing data. A DFD represents the logical flow of data, whereas a flowchart represents the physical flow of data.

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Differences between DFDs and Flowchart


The logical view of data is the way users conceptually organise and understand The relationships between data items. It shows what the system does with data where data originate and are subsequently stored, the processes data undergo, and what ultimately happens to the processed Data.
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Differences between DFDs and Flowchart


The physical view refers to how, where, and by whom data are physically arranged and stored on disks or tapes. Concerned with the physical aspects of the system, such as hardware, software, data structure and file organisation.

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Differences between DFDs and Flowchart


2) Flowcharts are used primarily to document existing systems, since they emphasise how data are processed and stored. DFDs, in contrast, are primarily used in the design of new systems, and do not concern themselves with the physical devices used to process, store, and transform data.
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Differences between DFDs and Flowchart


3) DFDs make use of only four symbols Flowcharts, on the other hand, use many symbols and thus can show more pictorially than can DFDs. Flowcharts show sequence of processes and data flow but DFDs do not. Flowcharts convey the timing of events but DFDs cannot.

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Decision Table
It is a tabular representation of decision logic. For any given situation a decision table lists all the conditions (the ifs) that are possible in making a decision. It also lists the alternative actions (the thens) as well. Each unique relationship (if this condition exists, then take this action) is referred to as decision rule.

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Simple Decision Table for Processing Credit Orders


Aztec Co. Condition Stubs Credit Approved Order Inventory on Hand Order > 500 units Action Stubs Reject Order Back-order Fill order X X
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City Shop

Atlantic Ltd

Aspect Bros.

Condition Entries N Y N Y Y N Action Entries Y Y Y

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Decision Table
A decision table has four parts: i. The Condition Stub: Which contain contains the various logic conditions for which the input data are tested. ii. The Action Stub: Contains the actions the programme should take. E.g. Reject the order, back-order, fill the order, or give a discount

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Decision Table
A decision table has four parts: iii. The Condition Entry: Consists of a set of vertical columns, each representing a decision rule in which the entries must be either yes (Y) or no (N), or a dash (--). The dash indicates an indifferent result of the condition set. E. g. When credit is not approved, the quantity or inventory on hand is not relevant. iv. The Action Entry: Indicates when an action is to occur. They display an X if the action is performed (if the input data meet the condition tests. A blank indicates the action is not performed.
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System Development Processes


Overview of System Development: Because we line in a highly competitive and everchanging world, organisations continually face the need for new, faster, and more reliable ways of obtaining information. To meet this need, an IS must continually undergo changes, ranging from minor adjustments to major overhauls.
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System Development Processes


Overview of System Development: Companies usually change there is for one of the following reasons: Note: Refer to slides on Strategic Business Objectives of Information Systems
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System Development Process: Feasibility Studies


Because the process of development can be costly, the systems investigation stage typically requires the development of a feasibility studies This is a preliminary study where the information needs of prospective users and the resource requirements, costs, benefits, and feasibility of proposed project are determined by a team of business professionals and IS specialists.
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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

1) Operational Feasibility: This assessment


focuses on the degree to which the proposed development project fits with the existing business environment and objectives with regard to development schedule, delivery date, corporate culture, and existing business processes.
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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

2) Economic Feasibility: This assessment is


to determine the extent to which the proposed system will provide positive economic benefits. To the organisation. This also includes all the explicit costs of the project. It involves tangible (quantifiable) and intangible (unquantifiable) costs and benefits.

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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

3) Technical Feasibility: This assessment


focuses on gaining an understanding of the present technical resources of the organisation and their applicability to the expected needs of the proposed system. The analyst must access the degree to which the current technical resources , including hardware, software, and operating environments, can be upgraded to meet the organisations IS needs.
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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

4) Human Factor Feasibility: This


assessment focused on the most important components of a successful system implementation: managers and end-users. No matter how elegant the technology, the system will not work if the end-users and managers do not perceive it to be relevant and, therefore, do not support it.
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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

5) Legal/Political Feasibility: This assessment


focuses on thorough analysis of any potential legal ramifications resulting from the construction and implementation or the new system. These include copyright or patent infringements, violation of existing anti-trust laws, foreign trade restrictions, or any existing contractual obligations of the organisation. The political side of the assessment focuses on gaining an understanding of who the key stakeholders are and the degree to which the proposed system may positively or negatively affect distribution of power
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System Development Process: Feasibility Studies


Five Types of Feasibility Studies:

5) Legal/Political Feasibility:
a) Copyright is a statutory grant that protects creators of intellectual property against copying by others for any purpose for a minimum of 70 years. patent infringements: anti-trust laws: (Microsoft in 1998)

b) c)

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SICS 3533 Information Systems Analysis and Design


Lecture 06 9TH MARCH 2010
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9TH MARCH 2010 Systems Development and Organisational Change

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Organisational Change Model: Risks and Rewards


There are four kinds structural organisational change that are enabled by information technology or systems: 1) Automation 2) Rationalisation 3) Reengineering 4) Paradigm Shift

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High Risk

Paradigm Shifts Reengineering Low Risk

Automation

Rationalisation

Low Return Lecturer: Felix Amponsah-Kubi. RegentHigh Return


University

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Organisational Change Model: Risks and Rewards


1) Automation: It is the most common form of IS-enabled organisational change. The first applications of information systems involves assisting employees with performing their tasks more effectively. E .g. Using systems to calculate; payroll register; bank cashier instant access to customer account; telephonist having access to telephone directory stored by the IS
Lecturer: Felix Amponsah-Kubi. Regent University 108

Organisational Change Model: Risks and Rewards 2) Rationalisation of Procedures: This


is a deeper form of organisational change that follows from automation. Rationalisation of procedures is the streamlining of standard operation procedures. It moves from mere use of computers to how systems should be designed to make organisations more efficient and effective.

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Organisational Change Model: Risks and Rewards 3) Business Process Reengineering:


This is a more powerful type of organisational change in which business processes are analysed, simplified, and redesigned. It enables organisations to rethink and streamline their business processes to improve speed, service, and quality. It reorganises workflows, combining steps to cut waste and eliminating repetitive , paper intensive tasks (or even jobs at times) E.g. Ford Motor Company introduces invoiceless processing and reduces Accounts Payable staff from 500 to 75 in Fords N. American
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Organisational Change Model: Risks and Rewards 4) Paradigm Shift: This involves
rethinking the nature of the business, defining a new business model, and often changing the very nature of the organisation. New IS can ultimately affect the design of entire organisation by transforming how the organisation carries out its business. E.g. MMM changing from metal works to post-it paper manufacturing.

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Organisational Change Model: Risks and Rewards


Paradigm Shifts and Reengineering often fail because extensive organisational change is so difficult to orchestrate. Why then the need? Because though risky, rewards are high. In many instances, firm seeking paradigm shifts and pursuing reengineering strategies achieve stunning, order-of-magnitude increases in their return on investment (or productivity).
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Five (5) System Development Life Cycle


1) System Investigation (Product: Feasibility Studies) 2) System Analysis (Product: Functional Requirements) 3) System Design (Product: System Specification) 4) System Implementation (Product: Operational System) 5) System Maintenance (Product: Improved System)
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SYSTEM DEVELOPMENT LIFE CYCLE

Understand the Business Problem or Lecturer: Felix Amponsah-Kubi. Regent University Opportunity (Feasibility Studies)

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Five (5) System Development Life Cycle

2) System Analysis: It is the analysis of a


problem that an organisation seeks to solve with an information system. It is an in-depth study of end user information needs that produces functional requirements that are used as the basis of the design of a new information system.

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Five (5) System Development Life Cycle 2) System Analysis:


PROBLEM SOLUTION STEPS:

a) b) c) d)

Define the problem Identify its causes, Specify the solution, Identify the information requirements that must be met by a system solution. It involves the gathering of information needed to purchase or develop a new system. In-depth study of the proposed system is conducted to determine its feasibility (i.e. strength and weakness)
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System Analysis Procedures


1) Organisational Analysis: Members of the IS
development team have to know something about the organisation, its management structure, its people, its business activities, the environmental systems it must deal with, and its current information systems.

2) Analysis of Present System: This is the


study of the system that will be improved or replaced (assuming there is one already). It analyses how the current system uses hardware, software, network, and people resources to convert data resources.
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System Analysis Procedures 3) Logical Analysis: The logical model can be


thought of as the blueprint of the current system which displays only what the current system does without regard to how it does it. By constructing and analysing the logical model of the current system, a system analyst can more easily understand the various processes, functions, and data associated with the system without getting bogged down with all the issues surrounding the hardware or software.
Lecturer: Felix Amponsah-Kubi. Regent University 118

System Analysis Procedures


4) Functional Requirements Analysis and Determination: This is the most difficult step in
system analysis. The analyst need to work as a team with the IS analysts and other end users to determine the specific business information needs. You need to determine what type of information each business activity requires, its format, volume, and frequency. Secondly, you must try to determine the information processing capabilities required for each system activity (input, processing, output, storage, control) to meet these information needs. The main goal is to identify what should be done, not how to do its
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Interactive session

Case Study:

BUSINESS PROCESS REDESIGN AT THE UNITED STATES SMALL BUSINESS ADMINISTRATION (SBA)
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SICS 3533 Information Systems Analysis and Design


Lecture 07 16TH MARCH 2010
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Five (5) System Development Life Cycle

3) System Design: System analysis


describes what a system should do to meet information requirements, and system design shows how the system will fulfill this objective. It is like the blueprint of a building, it consists of all the specifications that give the system its form and structure. It represents what the system will do.
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Five (5) System Development Life Cycle


3) System Design: Specific activities
include the development of specifications for hardware, software, people, network, and data resources, and the information products that will satisfy the functional requirements of the proposed business information system. It is also includes the development of logical models of the new system.
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Three Activities of System Design


User Interface Design Data Design Process Design

Screen, Form, Report, and Dialog Design

Data Element Structure Design

Programme and Procedure Design

This results in specifications for user interface methods and Lecturer: Felix Amponsah-Kubi. Regent products, database structures, and processing and control University procedures

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2 TYPES OF SYSTEM DESIGN


i. Conceptual Design: This is where the
company decides how to meet user needs by first identifying and evaluating appropriate design alternatives. Detail specifications outlining what the system is to accomplish and how it is to be controlled are developed.

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2 TYPES OF SYSTEM DESIG


ii. Physical Design: Translates the
broad, user-oriented requirements of the conceptual design into detailed specifications that are used to code and test the computer programmes. Input and output documents are designed, computer programmes are written, files are created, procedures are developed, and controls are built into the new system.
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PROTOTYPING
Prototyping is an approach to system design in which a simplified working model, or prototype, of an information system is developed This scaled down experimental first draft is quickly and inexpensively built and provided to users for testing. Experimenting with the prototype allows users to determine what they like and do not like about the system. Based on their reaction and feedback, developers modify the system and again present it to the users.
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PROTOTYPING
The basic premise of prototyping is that it is easier for people to express what they like or dislike about an existing system (the prototype) than to imagine what they would like in a system. In other words, if users can try out an actual application, they can provide feedback as to what they do and do not like about it.

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Example of Prototyping Development


Team A few end users and IS developers form a team to develop a business application

Schematic

The initial prototype schematic design is developed

Prototype

The schematic is converted into a simple point-andclick prototype using prototyping tools

Presentation

A few screens and routine linkages are presented to users

Feedback

After the team gets feedback from users, the prototype is reiterated
Lecturer: Felix Amponsah-Kubi. Regent University 129

Example of Prototyping Development


Reiteration Further presentations and reiterations are made

Consultation

Consultations are held with IT consultants to identify the potential improvements and conformance to existing standards The prototype is used as a model to create a finished application

Completion

Acceptance

Users review and sign off on their acceptance of the new business system

Installation

The new business software is installed on network servers


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4) System Implementation and Conversion


This is the process of installing hardware and software and getting the IS up and running. This is when the Information System is implemented as a working system and maintained to keep it operating properly. This process generally consists of developing a plan, developing and testing software, preparing the site, selecting and training personnel, developing documentation, and testing the system.
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4) System Implementation and Conversion


Implementation (contd): It typically
requires project management that enforces a project plan which includes job responsibility, time lines for major stages of development, and financial budgets. This is necessary if a project is to be completed on time and within its established budget, while still meeting its design objective.
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4) System Implementation and Conversion


Implementation Plan: This consists of
implementation tasks, expected completion dates, cost estimates, and the person or persons responsible for each task. The implementation team should identify risk factors that decrease the likelihood of successful implementation, and the plan should contain a strategy for coping with each one.
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4) System Implementation an Conversion


Implementation Plan (contd): Two
techniques for scheduling and monitoring implementation are PERT (Programme Evaluation and Review Technique) and Gantt Chart

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System Conversion Strategies


1) System Testing: This involves testing and debugging software, testing website performance, and testing new hardware. System Conversion: This is the implementation activity required when the new system resources in the processes of installing new software and databases. E.g. changing data format, correcting data, filtering out unwanted data, consolidating data from several databases, organising data into new data subsets.
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System Conversion Strategies


3) Documentation: This is a detailed record of the system design. It serves as a method of communication among the people responsible, for developing, implementing, and maintaining a computer-based-system. Training: IS personnel must be sure that end users are trained to operate a new business system.
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4)

System Conversion Strategies


1) Testing: Exhaustive and thorough testing must be conducted to ascertain whether the system produces the right results. It answers the question, Will the system produce the desired results under know conditions? Test data must be carefully prepared, results reviewed, and corrections made in the system. Testing can be broken into three types of activities.
Lecturer: Felix Amponsah-Kubi. Regent University 137

System Conversion Strategies


Four Types of Testing: a) Unit or Programme Testing: Consists of testing each programme separately in the system to guarantee that the programmes are error free. b) System Testing: This tests the functioning of the system as a whole to ascertain whether discrete modules will function together. c) Acceptance Testing: This provides the final certification that the system is ready
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System Conversion Strategies


This is the process that requires a Conversion from the use of a present system to the operation of a new or improved application. Four major form of conversion are: 1) Direct Conversion 2) Parallel Conversion 3) Pilot Conversion 4) Phased Conversion
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Implementation: System Conversion Strategies


1) Direct Conversion: This is the simplest conversion strategy, and probably the most disruptive and risky to the organisation. The old system is simply turned off, and the new system is turned on in its place on an appointed date. This strategy though abrupt is sometimes the only viable solution in an emergency or where the old and new systems cannot co-exist under any condition.
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Implementation: System Conversion Strategies


2) Parallel Conversion: Here the old and new systems are run simultaneously until the end users and project coordinators are fully satisfied that the new system is functioning correctly and the old system is no longer necessary. It can either be (a) single cutover where a predetermined date for stopping the parallel operation is set; or (b) phased cutover where some predetermined method of phasing out pieces of the old system is employed. It is the safest strategy.
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Implementation: System Conversion Strategies


3) Pilot Conversion: Here the new system is installed in selected multiple locations. E.g. geographical location, single department or operating unit. This approach allows for the conversion to the new system, using either direct or parallel method, at a single location. The advantage to this approach is a location can be selected that best represents the conditions across the organisation. The process can be evaluated and any changes to the system made to prevent problems encountered at pilot site from recurring at the remaining installations.
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Implementation: System Conversion Strategies


4) Phased/Gradual Conversion: This strategy attempts to take advantage of the best features of both direct and parallel approaches, while minimising the risks involved. This incremental approach to conversion allows for the new system to be brought online as series of functional components that are logically ordered so as to minimise disruption to the end users and the flow of business.
Lecturer: Felix Amponsah-Kubi. Regent University 143

5) Operation and Maintenance


Post-implementation Activities: A single most costly activity occurs after the system implementation i.e. post- implementation maintenance phase. The primary objectives are to correct errors or faults in the system, provide changes to effect performance improvement or adapt the system to changes in the operating or business environment.
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5) Operation and Maintenance


Post-implementation Activities (contd): After the system is up and running the system is said to be in production. It is studied to detect and correct any design deficiencies. During its life, the system is periodically 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 still needed. It is a high-value-adding function
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Basic Categories of Maintenance


1) Corrective Maintenance: This activity focuses on fixing bugs and logic errors not detected during the implementation testing period. Adaptive Maintenance: This refers to those activities associated with modifying existing functions or adding new functionality to accommodate changes in the business or operating environments.
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2)

Basic Categories of Maintenance


3) Perfective Maintenance: This activity involves changes made to an existing system that are intended to improve the performance of a function or interface. Preventive Maintenance: This activity involves those activities intended to reduce the chances of a system failure or extend the capacity of a current systems useful life.
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4)

SICS 3533 Information Systems Analysis and Design


Lecture 08 23RD MARCH 2010
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Information Systems Operations (People Resources)


The introduction of any new way of doing things usually generate fear and resistance. This creates challenges to management. One of the keys to solving this problem is proper education and training. Even more important is end user involvement in organisational changes and in the development of new IS. The basic requirement is involvement and commitment.
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Information Systems Operations (People Resources)


Direct end user participation in business planning and application development projects before a new system is implemented is especially important in reducing the potential for end user resistance. Such involvement helps ensure that end users assume ownership of a system and that its design meets their needs. Systems that tend to inconvenience or frustrate users cannot be effective, no matter how technically elegant they are and how efficiently they process data.
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Information Systems Operations (People Resources)


People are the essential ingredient for the successful operation of all IS. These people resources include: 1) End Users (also called users or clients): These are people who use an IS or the information it produces. E.g. employees, customers, salespersons, managers are all found at all levels of the organisation.
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Information Systems Operations (People Resources)


2) IS Specialists: These are people who develop operate IS. They include system analysts, software developers, system operators, and other managerial, technical, and clerical IS personnel. Briefly, system analysts design IS based on the information requirements of end users, software developers create computer programmes based on the specifications of system analysts, and system operators help to monitor and operate large computer systems and networks.
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Change Management
People are the major focus of organisational change. Some key tactics experts recommend include: 1) Involve as many people as possible in IS planning and application development. 2) Make constant change an expected part of the culture. 3) Tell every one as much as possible about every thing as often as possible, preferably in person. 4) Make liberal use of financial incentives and recognition. 5) Work within the company culture, not around it.
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Eight-Level Processes of Change Management


1) i. ii. iii. 2) i. ii. iii. Create Change Vision: Understand strategic vision Create compelling change story Make vision comprehensive and operational Define Change Strategy: Assess readiness for change Select best change configuration Establish change governance
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Eight-Level Processes of Change Management


3) i. ii. iii. 4) i. ii. iii. iv. v. Develop Leadership: Create leadership resolve Lead change programme Develop leadership capability Build Commitment: Build teams Manage stakeholders Communicate Manage resistance Transfer knowledge and skills

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Eight-Level Processes of Change Management


5) Manage People Performance:
i. Establish needs ii. Implement performance management iii. Implement people practices

6) Deliver Business Benefits:


i. Build business case ii. Quantify benefits iii. Sustain benefits
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Eight-Level Processes of Change Management


7) Develop Culture:
i. Understand current culture ii. Design target culture iii. Implement cultural change

8) Design Organisation:
i. Understand current organisation ii. Design target organisation iii. Implement organisational change
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End-User Development
End-user development occurs when information users develop their own applications using computer specialists as advisers.

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Benefits of End-User Development


1) User Creation, Control, and Implementation: End users rather than IS department control development process. They decide what information needs are important. 2) Systems that Meet User Needs: End users who develop their own systems are more likely to end up with system that meet their needs. They can also discover flaws in the systems that IS people would not catch.
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Benefits of End-User Development


3) Timeliness: Much of the lengthy delay inherent in the traditional system development process is avoided. E.g. Expensive and time-consuming cost benefit analyses, detailed requirements definitions, and the inevitable delays and red tape (official rules that seem unnecessary and prevent things from being done quickly and easily) inherent in the approval process. 4) Freeing Up IS Resources: The more information needs user can meet, the more IS department has to spend on other information and maintenance activities.
Lecturer: Felix Amponsah-Kubi. Regent University 160

Benefits of End-User Development


5) Reduced Communication Problems: The user-analyst-programmer communication problems inherent in traditional programme development is avoided since users develop the system. 6) Literacy: Working on an end-user computing environment improves the computer literacy of users. This allows them to make better use current technology and technological advancements.
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Benefits of End-User Development


7) Versatility and Ease of Use: Most end-user computing software is easy to understand and use. Users can change the information they produce or modify their application anytime their requirements change. 8) Ownership: People are more interested in and take better care of thing they own. The sense of ownership that comes with enduser development makes users better workers and decision makers.
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Risks of End-User Computing


However there occur some significant drawbacks to end-user computing when analyst / programer involvement in development process are eliminated.

1) Logic and Development Errors: End users


have little experience in systems development and are more likely to make errors and less likely to recognise when they occur. The userdeveloper may solve the wrong problem, poorly define system requirements, apply inappropriate analytical method, use the wrong software, or use incomplete or outdated information.
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Risks of End-User Computing


2) Inadequate Tested Applications: Users are not as likely to test their applications rigorously, either because they do not recognise the need to do so or because of the difficulty or time involved. 3) Inefficient Systems: Most end users are not programmers and have not been trained in system development. Although the system they develop may get the job done, they are not always efficient.
Lecturer: Felix Amponsah-Kubi. Regent University 164

Risks of End-User Computing


4) Poorly Controlled Systems: Many end users fail to implement controls to protect their systems. Applications developed without regard to organisational standards or objectives lack sufficient input, output, or processing 5) Systems Incompatibility: Some companies add end-user equipment without considering the technological implications. As a result, they have a diversity of hardware and software that is very hard to support or to network.
Lecturer: Felix Amponsah-Kubi. Regent University 165

Risks of End-User Computing


6) Poorly Documented Systems: User-created
systems are often poorly documented, because the users consider the task boring or unimportant. They fail to realise that without documentation, other users cannot understand their system and how it works. 7) Dysfunctional Behaviour: Some users go overboard in developing end user systems, and the result is a variety of dysfunctional behaviour. End users may develop an information system to enhance their power, position, or reputation.
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Managing and Controlling End-User Computing


1) Provide hot-line assistance to help solve problems. This serves as a clearing house for
information, coordination, and assistance. 2) Train end users to use specific hardware and software and provide corresponding technical maintenance and support. Evaluate new enduser hardware and software products. 3) Assist with application development. 4) Develop and implement standards for
Lecturer: Felix Amponsah-Kubi. Regent University 167

Managing and Controlling End-User Computing


4) Develop and implement standards for : i. Hardware and software purchases to ensure compatibility ii. Documentation and application testing iii. Control of security issues such as fraud, software piracy, and viruses.

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Managing and Controlling End-User Computing


5. i. ii. iii. Control Corporate Data so that : Authorised end users can access and share, It is not duplicated, Access to confidential data is restricted

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Reengineering Business Processes through IS


One of the most important implementations of competitive strategies is business process reengineering (BPR), also called reengineering. It is a fundamental rethinking of and radical redesign of business processes to achieve dramatic performance improvements in costs, quality, speed, and service. It is a thorough analysis and complete redesign of business processes and information systems
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Reengineering Business Processes through IS


It is a revolutionary process that challenges traditional organisation structures, rules, assumptions, work flows, job descriptions, management procedures, controls, and organisational values and cultures associated with underperformance. Undertaking BRP with IS completely reshapes organisational work practices and information flows to take advantage of technological advancements
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SICS 3533 Information Systems Analysis and Design


Lecture 09 TUESDAY 30TH MARCH 2010
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Managing Control of Information Systems


In an abstract sense, control is the process of exercising a restraining or direct influence over the activities of an object, organism, or system. Assisting management in the control of a business organisation is one of the primary objectives of an Information System. The goal of control is to prevent losses to the organisation arising from several possible hazards: 1) Wasteful and inefficient use of resources, 2) Poor management decision,
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Managing Control of Information Systems


3) Unintentional errors in recording or processing data, 4) Accidental loss or destruction of records or other system resources, 5) Loss of assets through employees carelessness or pilferage, 6) Lack of compliance by employees with mgt policies or government regulations 7) Unauthorised changes to an IS or one of its components, 8) Embezzlement (the theft or misappropriation of assets by employees)
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Managing Control of Information Systems


9) Other illegal acts by, employees such as accepting bribes, 10) Penalties or damages arising from failure to comply with regulatory or contractual requirements.

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Overview of Control Concepts


1) Internal Control: It is the plan of organisation and the methods a business uses to safeguard assets, provide accurate and reliable information, promote and improve operational efficiency, and encourage adherence to prescribed management policies.

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