Module V

Selection of Hardware and Software

Processor, memory, Peripherals
Vendor Selection
Software Selection; Operating System
Performance and Acceptance Criteria

Computers
Computers are automatic, electronic machines that
accept data & instructions from a user (INPUT)
store the data & instructions (STORAGE)
manipulate the data according to the instructions
(PROCESSING)
store &/or output the results to the user (OUTPUT)
A computer system is composed of hardware and

software
Hardware components are the physical, tangible
pieces that we can see and touch

Software
Program
a sequence of instructions to accomplish a result
a computer processes information under the direction of a
program
Data
information to be processed by a program
Example
Data: for each employee, the employee number, hours
worked & hourly pay rate
Program: instructions on how to process the data to produce
pay cheques, payroll register, etc.

Hardware

Digital Computers
The computers that we use are digital, not analogue

computers
Analogue technology

The signal is directly analogous to the information it

represents
The signal is continuous and in direct proportion to the
source of the information
In a thermometer, mercury rises in direct proportion to the
temperature
In an amplifier or telephone, the electronic voltage signal varies in
direct proportion to the frequency and amplitude of the sound
waves it represents

Digital Technology
Digital technology
The signal is discrete
The information is broken down into pieces, and each piece is
represented separately
Analogue information is measured many times per second (the
sampling rate) and each measurement is represented as a number
How music is stored on a compact disc - the disc stores numbers
representing specific voltage levels sampled at specific times
Can be used to digitize sound, video, graphics, etc.

Our computers work with digital technology, hence the

term digital computers

Storage of Programs and Data

Sampling is only one way to digitize information
Since our computers work ONLY with numbers,

everything (not just analogue information such as

sound and video) must be converted to numbers
Text (letters and special characters) gets converted to
numbers (A = 65), using a standard coding convention
called ASCII
Graphics (images), gets broken down into pieces
(pixels) and each colour gets a number

Binary Numbers
But how do we store numbers in a computer?
We could use the digits 0, 1, 2,.., 9 from the base 10
(decimal) numbering system that we are used to?
We would need a unique physical representation in the
computer for each of the 10 digits, 0, 1, 2,..,9

Binary Numbers
Devices that store and move information are cheaper and more reliable if they have

to represent only two states

A circuit conducts current (1) or does not (0)
A position on a diskette is magnetized in one direction (1) or the opposite
direction (0)
A position on a CD is pitted (1) or is not (0)

Once information is digitized, it is represented and stored in memory using the

binary number system

A single binary digit (0 or 1) is called a bit

A single bit can represent two possible states, like a light bulb that is either on (1) or

off (0)

Permutations of bits are used to store values. All information is represented as

combinations of the two digits 0 and 1.

Binary Numbers
1 bit

2 bits

3 bits

0
1

00
01
10
11

000
001
010
011
100
101
110
111

Each permutation can represent a particular item

1 bit = 2 choices, a 0 or a 1
8 bits = 1 byte = 256 different combinations of 0s and 1s
There are 2N permutations of N bits
Therefore, N bits are needed to represent 2 N unique items

4 bits
0000
0001
0010
0011
0100
0101
0110
0111

1000
1001
1010
1011
1100
1101
1110
1111

Binary Numbers
So how do we convert decimal numbers to binary

numbers?

i.e. if we enter the number 9 into the computer, how is

it changed to 1001 for computer storage and
processing?

Or when we want to display or output information

from the computer, how do we convert binary

numbers to decimal numbers?
See the slides titled Number Systems in the
Additional Material at the end of this lecture

Hardware
Units of measure

All done relative to a Byte (8 bits - 1 character)

KB = Kilobyte - 1 thousand bytes (1024)
MB = Megabyte - 1 million bytes (1,048,576)
GB = Gigabyte - 1 billion bytes
TB = Terabyte - 1 trillion bytes

To understand how data is represented and stored

on a diskette, see the slides titled Diskettes in the

Additional Material at the end of this lecture

A simplified view of a computer

system
Monitor

Keyboard

Central
Processing
Unit

Hard Disk
Main
Memory
Floppy Disk

Hardware Devices
Input Devices (Get information)
Keyboard
Mouse
Scanner

Output Devices (Give information)

Screen/monitor
Printer

Hardware Devices
Processing Device (Arithmetic/logic/repetition)
Central Processing Unit (CPU)
286, 386, 486, Pentium, K5, K6

Has three basic parts

Arithmetic Logic Unit (ALU)
executes all the arithmetic and logic instructions
Control Unit
decodes instructions and determines which is next to be
executed
Buses/Registers
Buses are paths for information entering/exiting the CPU
Registers are memory for processing information

The Central Processing Unit

The CPU continuously follows the fetch-decode-

execute cycle:
Retrieve an instruction from main memory

fetch
execute
Carry out the
instruction

decode
Determine what the
instruction is

Hardware Devices
Storage
Two types
Primary and secondary

Primary Storage (main memory)

On board memory (located on the motherboard)
Very fast, but expensive
Two types
RAM Random Access Memory
ROM Read Only Memory

Hardware Devices
RAM - Random Access Memory

Read/write capability
Contents lost when computer is turned off (volatile)
A program must be in RAM for it to execute
128 to 256MB for a typical desktop computer

Hardware Devices
ROM - Read Only Memory
Read but not write capability
Permanent (non volatile)
Stores the preliminary instructions to be executed when
the computer is turned on, for example
To check RAM
To check communications with peripheral devices
Bootstrap loader program

Hardware Devices
Secondary Storage (secondary memory)
External devices (not on the motherboard); either inside or
outside the computer
Store programs and data permanently
Slower, but cheaper
RAM - nanoseconds, Drive - milliseconds

Different sizes/styles

Floppy Disk - 1.4MB (portable)

Zip Drive - 100-750MB (portable)
CD - 650MB (portable)
Jaz Drive 1-2GB (portable) discontinued
Hard Disk Drive >=20GB (not portable)
Tape - 50GB (portable, very slow)
Flash drives (portable)

Hardware Devices
Other devices
Port
For connecting peripheral devices
USB, Parallel and serial ports

Modem (internal or external)

For communicating over telephone lines

Software

Software
A computer program is a series of instructions
each instruction is expressed in a format consistent with
a predefined set of rules
a computer processes data under the direction of the
instructions in a program
there are instructions to input, process, store and output
data
the user of a program (as distinct from its creator) has no
need to be aware of the details of its construction
the user is only interested in the services that the
program is able to provide

Software
Programming Languages
1st generation
machine language
instructions coded using combinations of 0s & 1s

2nd generation
assembly languages (low-level symbolic languages)
instructions coded using letters & numbers
one assembly language instruction is translated into one
machine language instruction

Software
Programming Languages
3rd generation
high-level symbolic languages
one instruction generates multiple machine language
instructions

4th generation programming languages

non-procedural languages
code what not how

Software

HIGHLEVEL ASSEMBLY MACHINE

z=x+y MOVAL,X 001010010001
MOVAH,Y 001011000010
ADDAL,AH 010000010010
MOVZ,AL 001000101011

Software
Translation Software
Interpreters
translate each instruction as it is entered
Advantage: easier to find/correct mistakes
Disadvantage: redundant translation

Compilers
translate a group of instructions
Advantage: generally faster
Disadvantage: all errors are given at one time

Software
A file is a unit for storing information
All information on a computer is stored in files
Data Files
created by the user of the computer
My_Thesis.doc, Assign1.xls

Program Files
created by a programmer
Word, Excel, Windows98

Naming Convention
[File Name].[Extension]
the extension, (usually 3 letters long), describes the type of program used for
that file
doc(Word), xls(Excel), ppt(PowerPoint)

Software categories
Operating System

controls all machine activities

provides the user interface to the computer
manages resources such as the CPU and memory
Windows XP, Unix, Linux, Mac OS

Application program
generic term for any other kind of software
word processors, games, . . .

Most operating systems and application programs have a

graphical user interface (GUI)

Software
Operating Systems
The most important software on a computer
always running to perform the following tasks
create and manage files
run programs
control information going to/from the peripherals
Eg: MS-DOS
create and manage files - several programs
run programs - COMMAND.COM
peripherals - IO.SYS, MSDOS.SYS

Software
Directories
to organize files
tree structure
root directory
files within each directory

current or active directory

change, make or remove directories
path
the complete name for a file
starts from the root directory
separates directories with a \

Software
\
Windows

c:\windows

MSOffice

c:\MsOffice

Excel

c:\MsOffice\Excel

WinWord

c:\MsOffice\WinWord

PowerPoint

c:\MsOffice\PowerPoint

MoneyMap

c:\MoneyMap

Software
Standard Commands
Disk Level
Format (Prepare a disk)
Vol
(Displays the disks volume label)

Directory Level

MD (Make Directory)
RD (Remove Directory)
CD (Change Directory)
DelTree (Erase everything below this level)

File Level

Dir (List all the files)

Copy (Copy a file)
Move (Move a File, Copy and erase)
Rename (Change the name of the file)
Del (Erase a file)

Disk Operating System (DOS)

Example of command line interface (DOS prompt

in bold; user entries in italics)

c:\ a:
a:\ format
a:\ Format another (Y/N)? n
a:\ c:
c:\ cd csi1301\lectures
c:\csi1301\lectures copy lecture2 a:
c:\csi1301\lectures a:
a:\ dir /p

Windows
An operating system that has four advantages over

MS-DOS
Graphical user interface (GUI)

uses pictures & symbols ( not just text & numbers)

replaces the DOS command line interface

Multitasking

allows running or opening 2 or more programs simultaneously

click on the taskbar to switch between open programs

Windows
Uniformity among applications
menus look the same: File, Edit, Help
use of similar dialog boxes, bars and buttons

Object linking and embedding

ability to transfer information from one program to another
allows changes in the source document to be automatically
reflected in the destination documents

Windows
File Management
2 programs
My Computer
displays the parts of a computer in a window

Explorer
displays the parts of a computer in a tree form
files can be copied or cut and pasted as with other selected data

Starting (Booting) the Computer

Turn on the power
CPU loads the instructions from ROM into RAM,
including the bootstrap loader program
CPU executes the bootstrap loader program which
Starts drive a: (diskette drive)
Reads the boot record (bootstrap program) from the
diskette in drive a: and loads it into RAM; if no
diskette is in drive a:, reads the boot record from the
c: drive (hard drive) and loads it into RAM
CPU executes the bootstrap program which
Loads a portion of the operating system into RAM

Computer Hardware Components:

CPU, Memory, and I/O
What is the typical configuration of a
computer sold today?

Computer Hardware Components

In this chapter:
How did the computer become known as the storedprogram computer?
Do they all have the same characteristics?

Memory on chips and memory on magnetic media, how

do they differ?
What do you look for when comparing memory devices?
How is information moved around within the computer?
How can you help your computer run better?

Basic Concepts of
Hardware

Computer

Primary Memory

Input
Units

CPU
(Central Processing Unit)

This model of the typical digital computer is often called the

Output
Units

von Neumann

computer.

Programs and data are stored in the same memory: primary

memory.
The computer can only perform one instruction at a time.

Sources of Data
for the Computer
Two types of data stored within a computer:
Original data or information: Data being
introduced to a computing system for the first time.
Computers can deal directly with printed text, pictures,
sound, and other common types of information.

Previously stored data or information: Data that

has already been processed by a computer and is
being stored for later use.
These are forms of binary data useful only to the computer.
Examples: Floppy disks, DVD disks, and music CDs.

Input Devices
Two categories of input hardware:
Those that deal with original data.
Those that handle previously stored data.

Input Devices
Input hardware: Those that deal with original data.

Keyboard
Mouse
Voice recognition hardware
Scanner
Digital camera

Digitizing: The process of taking a visual image, or audio

recording and converting it to a binary form for the computer.

Used as data for programs to display, play or manipulate the digitized
data.

Input Devices
Connecting Hardware to the computer:
Hardware needs access through some general input/output
connection.
Port: The pathway for data to go into and out of the computer from
external devices such as keyboards.
There are many standard ports as well as custom electronic ports
designed for special purposes.
Ports follow standards that define their use.
SCSI, USB: Multiple peripheral devices (chain).
RS-232, IDE: Individual peripheral devices.
Peripheral device: A piece of hardware like a printer or disk drive,
that is outside the main computer.

Input Devices
Connecting Hardware to the computer:

(continued)
Hardware needs software on the computer that can
service the device.
Device driver: Software addition to the operating system that
will allow the computer to communicate with a particular
device.

Input Devices
Common Basic Technologies for Storing Binary

Information:
Electronic
Magnetic
Optical

Input Devices
Electronic Circuits
Most expensive of the three forms for storing binary
information.
A flip-flop circuit has either one electronic status or the
other. It is said to flip-flop from one to the other.
Electronic circuits come in two forms:
Permanent
Non-permanent

Input Devices
Magnetic Technology
Two parts to most of the magnetic forms of information
storage:
The medium that stores the magnetic information.
Example: Floppy disk. Tiny spots on the disk are
magnetized to represent 0s and 1s.
The device that can read that information from the medium.
The drive spins the disk.
It has a magnetic sensing arm that moves over the disk.
Performs nondestructive reading.

Input Devices
Optical
Uses lasers to read the binary information from the
medium, usually a disc.
Millions of tiny holes are burned into the surface of the disc.
The holes are interpreted as 1s. The absence of holes are
interpreted as 0s.

Input Devices
Secondary Memory Input Devices
These input devices are used by a computer to store
information and then to retrieve that information as
needed.
External to the computer.
Commonly consists of floppy disks, hard disk drives, or CDROMs.

Secondary memory uses binary.

The usual measurement is the byte.
A byte consists of 8 binary digits (bits). The byte is a
standard unit.

Input Devices
The four most important characteristics of storage

devices:

Speed and access time

Cost / Removable versus non-removable
Capacity
Type of access

Input Devices
Speed (Access time) - How fast information can

be taken from or stored onto the computer

memory devices medium.
Electronic circuits: Fastest to access.
40 billionths of a second.

Floppy disks: Very slow in comparison.

Takes up to 1/2 second to reach full speed before access is
even possible.

Input Devices
Cost
Megabyte: A Million bytes.
Gigabyte: A billion bytes.
Two parts to a removable secondary storage device:
The cost of the medium. (Cheaper if bought in quantity)
The cost of the drive.
Examples:
Cost for drive
Cost for medium

Floppy drive (1.4MB)59.00

.50
Zip 100 (100 MB)
99.00
10.00
CD-WR (650 MB)
360.00 and up

1.00

Input Devices
Capacity - The amount of information that can be

stored on the medium.

Unit
1 bit
1 nibble
1 byte
1 kilobyte
1 megabyte
1 gigabyte
1 terabyte

Description
1 binary digit
4 bits
8 bits
1,024 bytes
1,048,576 bytes
1 million bytes
1,073,741,824 bytes
1 billion bytes
1 trillion bytes

Approximate Size

1 character
1/2 page, double spaced
500,000 pages
5 million pages
5 billion pages

Input Devices
Type of Access
Sequential - Obtained by proceeding through the storage
medium from the beginning until the designated area is
reached (as in magnetic tape).
Random Access - Direct access (as in floppy and hard disks).

Primary Memory
Primary storage or memory: Is where the data and program that are

currently in operation or being accessed are stored during use.

Consists of electronic circuits: Extremely fast and

expensive.
Two types:
RAM (non-permanent)
Programs and data can be stored here for the computers use.
Volatile: All information will be lost once the computer shuts
down.
ROM (permanent)
Contents do not change.

The Central Processing Unit

The Central Processing Unit ( CPU)
Often referred to as the brain of the computer.
Responsible for controlling all activities of the computer system.
The three major components of the CPU are:
1. Arithmetic Unit (Computations performed)
Accumulator (Results of computations kept here)
2. Control Unit (Has two locations where numbers are kept)
Instruction Register (Instruction placed here for analysis)
Program Counter (Which instruction will be performed next?)
3. Instruction Decoding Unit (Decodes the instruction)

Motherboard: The place where most of the electronics

including the CPU are mounted.

Output Devices
Output units store and display information (calculated

results and other messages) for us to see and use.

Floppy disk drives and Hard disk drives.
Display monitors: Hi-resolution monitors come in two
types:
Cathode ray tube (CRT) - Streams of electrons make phosphors
glow on a large vacuum tube.
Liquid crystal display (LCD) - A flat panel display that uses
crystals to let varying amounts of different colored light to pass
through it.
Developed primarily for portable computers.

Output Devices
Audio Output Devices
Windows machines need special audio card for audio output.
Macintosh has audio playback built in.
Audio output is useful for:
Music
CD player is a computer.
Most personal computers have CD players that can access both
music CDs and CD-ROMs.
Voice synthesis (becoming more human sounding.)
Multimedia
Specialized tasks (i.e.: elevators floor announcements)

Output Devices
Optical Disks: CD-ROM and DVD
CD-ROM (Compact Disk - Read Only Memory)
By its definition, CD-ROM is Read Only.
Special CD drives burn information into blank CDs.
Burn: A laser is used to burn craters into the surface to
represent a binary 1.
Two main types of CDs:
CD-R (Compact Disk - Recordable)
CD-WR (Compact Disk - ReWritable)
It takes longer to write to a CD-R than a hard drive.
Special software is needed to record.

Output Devices
DVD (Digital Versatile Disk)
Allows up to 17 gigabytes of storage (from 4.7 GB to
17 GB).
Compatible with older CD-ROM technology.
The four versions of the DVD:

Output Devices
Storage Requirements: How much storage capacity is

needed for

One keystroke on a keyboard.

One page single-spaced document.
Nineteen pages formatted text.
One second of high-fidelity sound.
Complete word processing program.

1 byte (8 bits)
4.0 K
75 K
95-110 K
8.4 MG

Storage Capacity: How much data can be stored on

One inch of 1/2 in. wide magnetic tape.

One 3 1/2 floppy disk, high density.
One Compact Disk.
One DVD.

4K
1.4 MG
650 MG
up to 17 GB

Moving Information
Within the Computer
How do binary numerals move into, out of, and

within the computer?

Information is moved about in bytes, or multiple bytes
called words.
Words are the fundamental units of information.
The number of bits per word may vary per computer.
A word length for most large IBM computers is 32 bits:

Moving Information
Within the Computer
Bits that compose a word are

passed in parallel from place to

place.
Ribbon cables:
Consist of several wires,
molded together.
One wire for each bit of
the word or byte.
Additional wires
coordinate the activity of
moving information.
Each wire sends
information in the form of
a voltage pulse.

Moving Information
Within the Computer
Example of sending

the word WOW over

the ribbon cable

Voltage pulses
corresponding
to the ASCII
codes would
pass through
the cable.

Packaging the Computer

Fast Expensive Complex Large
The many physical forms of the

general purpose computer:

Super Computers

All follow general

organization:

Mainframe Computers

Primary memory
Input units
Output units
Central Processing Unit

Grouped according to
speed, cost, size, and
complexity.

Minicomputers
Microcomputer
Palmtop Computer
Calculator
Slow Cheap Simple Small

Software Tools for Maintaining

Your Computer Hardware
Utility Programs exist that can help diagnose and solve computer hardware

problems.

Four major problem areas where utility programs are helpful:

Finding and fixing problems.
Testing Input/Output peripherals.
Testing RAM, motherboard, video cards.
Recovering deleted files or fixing damaged disks.

Improving computer performance.

De-fragmenting a disk (Packs all files closer together).

Preventative maintenance.
Troubleshooting.
Locates incompatible programs.

Supplier Evaluation and Selection

Agenda
Importance of Supplier Selection
Supplier Selection Process
Supplier Evaluation Criterias
Supplier Evaluation Methods
AHP
Other Methods

Importance of Supplier Selection - 1

One of the most important processes performed in

organizations today is the evaluation, selection and

continuous measurement of suppliers.
Selecting a vendor is now as important a process as

developing new products.

Importance of Supplier Selection - 2

Supplier selection process is a multi-criteria problem, which includes

both qualitative and quantitative factors.

Purchasing commands a significant position in most organizations
sincepurchased parts, components, and supplies typically represent 40
to 60 percent of the sales of its end products.
Thus relatively small cost reductions gained in the acquisition of
materials can have a greater impact on profits.
Suppliers have a large and direct impact on the cost,
quality,technology, and time-to-market of new products.

Importance of Supplier Selection - 3

Organizations ability to produce a quality product at a reasonable

cost and in a timely manner is heavily influenced by its

supplierscapabilities.

Supplier selection is one of the key issues of SCM because the cost

of raw materials and component parts constitutes the main cost of

a product Management.

A sound supplier selection decision today can reduce or

prevent a host of problems tomorrow

Supplier Selection Process

Steps in Supplier Selection Process

Evaluating Needs and Defining Objectives

Gathering a Limited Pool of Vendors
Interviewing with Vendors
Selecting and Applying the Method

Evaluating Needs and Defining Objectives

What need you are looking to satisfy?
Increase product quality
Which evaluation categories you will use?
What are your business, technical and usability requirements?
What are the must requirements?
Max price, min performance, etc
How will you score the requirements?

OUTCOME: list of requirements, objective and criterias to

evaluate the vendors and the way to score different criterias

Gathering a Limited Pool of Vendors

Evaluating all potential vendors takes much time
Basic screening and elimination due to lack of

must requirements

OUTCOME: vendors pool

Interviewing with Vendors

One by one interview with vendors
Gap analysis between your requirements,

objectives and vendor properties

Scoring each criteria

OUTCOME: criteria-score list for each vendor

Selecting and Applying the Method

Select one among various methods
AHP, fuzzy logic method, etc

Calculate overall vendor score using selected

method
Select the vendor with best score

Supplier Evaluation Criterias

The evaluation criterias are fundamental to choose the best

supplier. They are specific to each firm, because they vary

according to the needs.

The criteria exposed in the following slides are the most

common ones.*

Six categories of criteria selected

(*) We have analysed almost 30 texts in order to select the most

common criterias

Supplier Evaluation Criterias

The six classes for the suppliersevaluation
measurement:

FINANCIAL HEALTH
EXPERTISE
OPERATIONAL PERFORMANCE METRICS
BUSINESS PROCESSES & PRACTICES
ENABLING BEHAVIORS OR CULTURAL FACTORS
RISK FACTORS

Financial Health
In order to evaluate if a potential supplier is in good
financial position, a buyer can use indicators such as:
Sales
Profitability
Liquidity
ROI
Debt ratio
Transparency of finances

Expertise
The purchasing department of the firm should choose
its suppliers according to its capabilities:

Network capabilities
Quality and production capabilities (dedicated level?)
Technical level compared to sector average
Spread of technical creation
Investment in R&D

Operational Performance
There are a large number of criteria in this category, such
as:

On-time delivery
Lead time
Responsiveness
Inventory management and control: reorder management,
forecasting capabilities
Order acceptance, processing & fulfillement
Customer service
Preventive maintenance
Hours of operators training in Total Quality Control (TQC) or JIT

Business Processes and Practices

How does supplier provide a product or service at the
best value, on time and exactly as required from the
buyers?
Best practice and quality based information.
This evaluation business can help get at the root causes of supplier

problems.
For example: is the quality standard of the products met by the
production process (preventing defection) or by inspecting the
quality of the products after production?

Behaviors and Cultural factors

The evaluation criteria of such a category focus on the
long term sustainability of potential suppliers:
What is the improvement culture of the supplier? Are
his information capabilities always up-to-date?
What is his intention of coordination?

Risk Factors
A suppliers risks are risks for the buyer. Indeed, if

a supplier takes too much risk, it can have a great

impact on his customer.
Risk factors can be uncovered in the previous
criteria exposed, but also in criteria such as: trade
relations, currency exchange, insurance,
legislations.

Criteria Selection
In reality, these mesures of supplier performance are

difficult to obtain (financial publications, questionnaires,

surveys, site visits).
Whichever criteria chosen, the assessment system must be
optimal for good decision making.
Markov chain concept: the decision environment is
dynamic, i.e. there must be interaction between the
cooperation patterns and the supplier evaluation criteria.

Analytic Hierarchy Process

For Complex Decisions raher than Correct Decision
Mathematics and Human Psychology
Government, Business, Industry, Healthcare, and Education.
Decomposition of a problem into a hierarchy
Evaluation of various elements comparing them to one another in pairs
A numerical weight or priority is derived for each element of the

hierarchy

Ex. Complex Decision Situations

Deciding how best to reduce the impact of global climate change
Quantifying the overall quality of software systems (Microsoft

Corporation)
Deciding where to locate offshore manufacturing plants(University of
Cambridge)
Assessing risk in operating cross-country petroleum pipelines
(American Society of Civil Engineers)
Deciding how best to manage U.S. Watersheds (U.S. Department of
Agriculture)
Etc...

AHP Process
State the Objectives
Define the Criteria
Pick the Alternatives
Establish Hierarchy
Pairwise Comparison
Synthesize Judgments
Check Consistency Index
Comparison between Criteria and Alternatives
Calculate Final Rankings

AHP Process
Objective is to open an ice cream shop for young children and families.
Establish Criteria
Neighborhood
Visibility
Competition
Price
Identify Alternatives
Suburban Shopping Center
Main Business District
Suburban Mall Location
Example based on Decision By Objectives (How to convince others that you are
right)
By: Ernest Forman, DSc., George Washington University & Mary Ann Selly, Expert
Choice Inc.

AHP Process
Hierarchical Arrangement

AHP Process
Hierarchical Arrangement

AHP Process
Pairwise Comparison Matrix
1- Equally preferred
2 - Equally to moderately preferred
3 - Moderately preferred
4 - Moderately to strongly preferred
5 - Strongly preferred
6 - Strongly to very strongly preferred
7 - Very Strongly preferred
9 - Extremely preferred
8 - Very Strongly to extremely preferred

AHP Process

Synthesize Judgments
Check Consistency Index

AHP Process
Comparison between

Criteria and Alternatives

AHP Process
Recall Ranking for the Criteria
Calculate Final Rankings
First choice: Shopping Center (59%)
Second choice: The Mall (32%)
Third choice: Main Street (9%)

AHP Major Benefits

Precise assessment of values through hierarchical structuring and pair-

wise comparison.
Programmable on a computer.
Value assessment, forecasting, alternative selection and resource
allocation.
Widely accepted and applied by major business corporations and
government agencies world wide.

AHP Major Pitfalls

Human perception can distort pair-wise comparison.
Hierarchy is one directional and it is difficult to

accommodate feedback.
Values are highly aggregated and difficult to reflect the
degree of uncertainty.

Other Analytic Vendor Selection Methods

IT Consultants
and
Packaged Software Selection

Research Focus
The process of selection and procurement of a

software package within a small organization

Analyses the case in the context of Markus and
Bjorn-Andersons (1987) framework of power

Packaged software
Increasing numbers of organizations shifting from

custom to packaged software

Sold as an IT solution with a track record of
success
Delivers complex systems in short time-frame
Package paradox (Williams, 2005)

Product-oriented development
Focus is on developing and shipping a generic

product
Standardisation is pre-requisite for
commodification (Fan et al. 2000)
Developers (rather than users) needs are central
IT consultants role is crucial as they position
themselves between IT vendors and the client

Inscribed assumptions
Packaged software is itself embedded or inscribed

with assumptions, values and opinions

frozen organizational discourse (Bowker and Star,
1994)

Software embodies scripts of particular behaviours

(Akrich, 1992)
Organization may need to change itself or the package

Guidelines on selection and

procurement

Define
User
Requirements

Package
Evaluation

Final selection
and
purchase

Power framework
Markus and Bjorn-Anderson drawn on Lukes

(1974) three-dimensional view of power

Considers covert power
Seeks to problematize consensus

This framework is applied to custom systems

development

Power framework
Technical exercise of power
IS professionals select design features that users object to
Structural exercise of power
IS professionals create organizational structures and
routines that give them formal authority
Conceptual exercise of power
IS professionals define the parameters of design
Symbolic exercise of power
IS professionals shape users desires and values

Research Method
Action research
Our role as researchers ranged from that of

detached observer to fully engaged participant

Our primary responsibility was to the IT Manager
Multiple techniques of data collection

Case study setting

Owner-managed business
Established in 1990, three locations, with a

turnover of 1.1m
Around 20 internal staff and 20 external
consultants
MD had a strong organizational vision
IT systems established in an ad-hoc manner,
running independently of each other

The Client Tracking Process

The Research Department and External Consultants

Client(s)

Mentoring

Mentoring

Employed or
Performance
Improvement

Gathering Requirements
We advised of the importance of discussing

requirements with users

A focus day was planned
Documentation hoped to appeal to senior
management

to provide a business class service and grow

effectively in the future whilst maintaining
efficiency in all areas
(Board of Directors Document)

The Product Search

Project team made use of marketing literature,

internet, commercial product guides etc. to shortlist products

Negotiations set up with three CRM vendors.
Party A: Siebel
Vendor B: Sage
Party C and D: Goldmine

The Beauty Parade

Party Cs standard product
Goldmine isnt for us
Wanted exploration of custom development

Party Ds personalised product

Vendor primed by project team

Marginally more expensive than Party C
Same Product
Budget Doubled
Scope extended

Implementation Process
The package roll out order changed significantly
Workflow day planned with end-users
Signing off the workflow document

This isnt over, I expect the workflow document

to be double the size it is now you just see.
(Interview with IT Manager)

PS and the technical exercise of

power
Sociotechnical boundary is fluid
Arguably, Goldmine is already fixed to a certain

degree
IT
consultants
position
themselves
as
knowledgeable
experts
and
define
the
sociotechnical boundary according to their
audience

PS and the structural exercise of

power
Appointment of the IT Manager initiated a process

of IS professionalisation which saw the

development of a number of policies
Linked to the desire to provide greater control over
the forthcoming project
Externally, there are guidelines that govern how
packages should be adopted
Policies on new product releases, patches, and
upgrades are also determined by vendor
organizations

PS and the conceptual exercise of

power
At the market level, packaged software products are

sold on the basis of realising an ideal

System objectives were decided by the senior
management team
improved profitability and enhanced market share

Boundaries shift over time to fit the changing needs of

senior management

consultants do not so much target themselves at a particular

niche as seek to create a niche and persuade clients that they
are within it (Bloomfield and Danieli, 1995 )

PS and the symbolic exercise of

power
The

myths or fictional narratives of PS become

increasingly pervasive as the benefits are evangelised
Technology = progress
the CRM package would contribute towards enhancing
productivity and profitability via standardisation of
activities
The power of the Board of Directors is evident in the
process of persuasion and enrolment surrounding the
securing of the financial resources for the project
Legitimizing devices of language, myth, ceremony, and
rituals are all evident

Conclusion
The categories of power should not be viewed separately, but

are interwoven
M&BA Framework has resonance in a packaged software
environment
Increasing market-orientation (Sawyer, 2001) has meant that
power issues are operationalised both within the organization
and in the marketplace, thus influencing the role of various
parties
IT consultants play a primary role as third-party implementers, liaising
between vendors and the adopting organization
IT professionals are expected to negotiate a range of financial and
contractual issues with IT consultants
end-users involved in operational issues have minimal participation
and influence.