Quiz 2

Question 1

What does PADIM stand for?

Answer 1

• Planning
• Analysis
• Design
• Implementation
• Maintenance

Question 2

Where are make or buy decisions made in the SDLC process?

Answer 2

Between Analysis and Design phases

Question 3

What two major steps does the Planning phase include?

Answer 3

“Project Identification and Selection Project Initiation and Planning “

Question 4

Learning Objectives

Answer 4

• Understand the project identification and selection process
• List and describe various methods for identifying and ranking projects
• Understand the project initiation and planning process
• List and describe various methods for assessing project feasibility
• Differentiate between tangible and intangible benefits/costs
• Describe baseline project plan

Question 5

What are the steps in Project Identification and Selection?

Answer 5

1. Identifying potential development projects
2. Classifying and ranking IS development projects
3. Selecting IS development projects

Question 6

Where are potential products identified?

What are the sources?

Answer 6

• Top Down:
  
  • Top management (Apple)
  • Steering committee (UVA)
• Bottom-up:
  
  • Functional area (Sears)
  • IS Development group (Google)

Question 7

What types of projects come from Top Management?

Answer 7

• Greater strategic focus
• Enterprise-wide consideration
• Largest project size and longest duration

Question 8

What types of projects come from Steering Committees?

Answer 8

• Cross-functional focus
• Formal cost-benefit analysis
• Larger and riskier projects

Question 9

What types of projects come from Functional Areas?

Answer 9

• Narrow, non-strategic focus
• Fewer users & business functions involved
• Faster Development

Question 10

What types of projects come from an IS Development Group?

Answer 10

• Integration with existing systems focus
• Less concern with cost-benefit analysis

Question 11

How are IS Development Projects classfied and ranked?

Answer 11

• Potential Benefits
• Resource Availability
• Project Size/Duration
• Technical Difficulty/Risks
• Strategic Alignment
• (See Table 4-2 in Textbook)

Question 12

What does classification according to Strategic Alignment mean?

Answer 12

extent to which the project is viewed as helping the organization achieve its strategic objectives and long-term goals

Question 13

What is Competitive Strategy?

Answer 13

the method by which an organization attempts to achieve its mission and objectives.

Question 14

What is the essence of a Mission Statement?

Answer 14

What business the company is in

Question 15

What is the essence of Objective Statements?

Answer 15

What specific goals the company has

Question 16

Why is competitive strategy important?

Answer 16

It is the way to gain competitive advantage

Question 17

What are the generic competitive strategies?

Answer 17

• Low-cost Producer
• Product Differentiation
• Product Focus/Niche Market

Question 18

What is the low cost competitive strategy?

Answer 18

lower product/service cost to the consumer

Question 19

What is the product differentiation competitive strategy?

Answer 19

Differentiated products (quality, style, …)

Question 20

What is the product focus competitive strategy?

Answer 20

Focus on a narrow or niche market

Question 21

What is an example of a company with a product differentiation strategy?

Answer 21

Whole Foods Market (or Zara)

Question 22

What is an example of a company with a low-cost strategy?

Answer 22

Men’s Wearhouse (or H&M)

Question 23

What is an example of a company with a product niche strategy?

Answer 23

Louis Vuitton

Question 24

What solutions matched up with Zara, H&M, and LV?

Answer 24

• Zara - Customized Handheld Computer
• H&M - Employee Scheduling System
• Louis Vuitton - CRM System

Question 25

Project Identification and Selection Process (diagram)

Answer 25

...

Question 26

What is the core of Project Initiation?

Answer 26

* Business case * Pre-feasibility study * Project workbook (project charter included)

Question 27

What is the business case used for?

Answer 27

* Justification for an information system * Why need it? * Why it is the best solution? * Present the tangible and intangible economic benefits and costs * Describe the technical and organizational feasibility of the proposed system

Question 28

What are the areas for assessing project feasability?

Answer 28

* Economic * Political * Legal and contractual * Operational * Technical * Scheduling **"EPLOTS"**

Question 29

"What is Economic feasibility? "

Answer 29

Economic feasibility (cost-benefit analysis): a process of identifying the financial benefits and costs associated with a development project

Question 30

At what points in the SDLC is economic feasability assessed?

Answer 30

economic feasibility is assessed at all phases

Question 31

tangible benefit

Answer 31

A benefit derived from the creation of an information system that can be measured in dollars and with certainty.

Question 32

intangible benefit

Answer 32

A benefit derived from the creation of an information system that cannot be easily measured in dollars or with certainty.

Question 33

Reduced personal expense is what type of benefit?

Answer 33

tangible benefit

Question 34

"Increased employee morale is what type of benefit? "

Answer 34

intangible benefit

Question 35

"Higher profit margin is what type of benefit? "

Answer 35

tangible benefit

Question 36

"Improved confidence in decision quality is what type of benefit? "

Answer 36

intangible benefit

Question 37

"Positive social impact is what type of benefit? "

Answer 37

intangible benefit

Question 38

Increased sales is what type of benefit?

Answer 38

tangible benefit

Question 39

tangible cost

Answer 39

A cost associated with an information system that can be easily measured in dollars and certainty.

Question 40

intangible cost

Answer 40

A cost associated with an information system that cannot be easily measured in terms of dollars or with certainty.

Question 41

"Hardware costs are what type of cost? "

Answer 41

tangible cost

Question 42

"Reduced feeling of control are what type of cost? "

Answer 42

intangible cost

Question 43

"Employee training costs are what type of cost? "

Answer 43

tangible cost

Question 44

"Decreased employee loyalty are what type of cost? "

Answer 44

intangible cost

Question 45

"Loss of customer good will "

Answer 45

intangible cost

Question 46

"Labor costs are what type of cost? "

Answer 46

tangible cost

Question 47

What are some techniques that are used to perform cost-benefit analysis?

Answer 47

* "Present Value Analysis * Break-even Analysis"

Question 48

net present value

Answer 48

NPV = Sum(PV Income) - Sum(PV Costs)

Question 49

PV formula

Answer 49

PV = FV / (1+r)^n

Question 50

Break-even Analysis

Answer 50

The point in time that benefits and costs "break even"

Question 51

What is technical feasability?

Answer 51

"Does the organization has the ability to construct the proposed system? "

Question 52

What is technical feasability in regards to Users?

Answer 52

"Familiarity with system development process and application area "

Question 53

What is technical feasability in regards to the development group?

Answer 53

"(Development Group?s) Familiarity with the technology "

Question 54

What is technical feasability in regards to the project size?

Answer 54

"Project Size (# people, # time, # features?) "

Question 55

What is technical feasability in regards to the system?

Answer 55

"(System?s) compatibility issues with existing systems "

Question 56

"What is Operational Feasibility? "

Answer 56

"Does the proposed system solve problems or take advantage of opportunities? "

Question 57

"What is Scheduling Feasibility? "

Answer 57

"Can the project time frame and completion dates meet organizational deadlines? "

Question 58

"What is Legal & Contractual Feasibility? "

Answer 58

"What are legal and contractual ramifications of the proposed system development project? "

Question 59

"What is Political Feasibility? "

Answer 59

"How do key stakeholders view the proposed system? "

Question 60

What is the Baseline project plan?

Answer 60

"contains all information collected and analyzed during initiation and planning stage "

Question 61

"What is included in the Baseline project plan? "

Answer 61

* Task plan * Resource plan * Communication plan * Risk plan * etc...