Quiz 2 Flashcards
What does PADIM stand for?
- Planning
- Analysis
- Design
- Implementation
- Maintenance
Where are make or buy decisions made in the SDLC process?
Between Analysis and Design phases
What two major steps does the Planning phase include?
“Project Identification and Selection Project Initiation and Planning “
Learning Objectives
- 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
What are the steps in Project Identification and Selection?
- Identifying potential development projects
- Classifying and ranking IS development projects
- Selecting IS development projects
Where are potential products identified?
What are the sources?
- Top Down:
- Top management (Apple)
- Steering committee (UVA)
- Bottom-up:
- Functional area (Sears)
- IS Development group (Google)
What types of projects come from Top Management?
- Greater strategic focus
- Enterprise-wide consideration
- Largest project size and longest duration
What types of projects come from Steering Committees?
- Cross-functional focus
- Formal cost-benefit analysis
- Larger and riskier projects
What types of projects come from Functional Areas?
- Narrow, non-strategic focus
- Fewer users & business functions involved
- Faster Development
What types of projects come from an IS Development Group?
- Integration with existing systems focus
- Less concern with cost-benefit analysis
How are IS Development Projects classfied and ranked?
- Potential Benefits
- Resource Availability
- Project Size/Duration
- Technical Difficulty/Risks
- Strategic Alignment
- (See Table 4-2 in Textbook)
What does classification according to Strategic Alignment mean?
extent to which the project is viewed as helping the organization achieve its strategic objectives and long-term goals
What is Competitive Strategy?
the method by which an organization attempts to achieve its mission and objectives.
What is the essence of a Mission Statement?
What business the company is in
What is the essence of Objective Statements?
What specific goals the company has
Why is competitive strategy important?
It is the way to gain competitive advantage
What are the generic competitive strategies?
- Low-cost Producer
- Product Differentiation
- Product Focus/Niche Market
What is the low cost competitive strategy?
lower product/service cost to the consumer
What is the product differentiation competitive strategy?
Differentiated products (quality, style, …)
What is the product focus competitive strategy?
Focus on a narrow or niche market
What is an example of a company with a product differentiation strategy?
Whole Foods Market (or Zara)
What is an example of a company with a low-cost strategy?
Men’s Wearhouse (or H&M)
What is an example of a company with a product niche strategy?
Louis Vuitton
What solutions matched up with Zara, H&M, and LV?
- Zara - Customized Handheld Computer
- H&M - Employee Scheduling System
- Louis Vuitton - CRM System
Project Identification and Selection Process (diagram)
…
What is the core of Project Initiation?
- Business case
- Pre-feasibility study
- Project workbook (project charter included)
What is the business case used for?
- 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
What are the areas for assessing project feasability?
- Economic
- Political
- Legal and contractual
- Operational
- Technical
- Scheduling
“EPLOTS”
“What is Economic feasibility? “
Economic feasibility (cost-benefit analysis): a process of identifying the financial benefits and costs associated with a development project
At what points in the SDLC is economic feasability assessed?
economic feasibility is assessed at all phases
tangible benefit
A benefit derived from the creation of an information system that can be measured in dollars and with certainty.
intangible benefit
A benefit derived from the creation of an information system that cannot be easily measured in dollars or with certainty.
Reduced personal expense is what type of benefit?
tangible benefit
“Increased employee morale is what type of benefit? “
intangible benefit
“Higher profit margin is what type of benefit? “
tangible benefit
“Improved confidence in decision quality is what type of benefit? “
intangible benefit
“Positive social impact is what type of benefit? “
intangible benefit
Increased sales is what type of benefit?
tangible benefit
tangible cost
A cost associated with an information system that can be easily measured in dollars and certainty.
intangible cost
A cost associated with an information system that cannot be easily measured in terms of dollars or with certainty.
“Hardware costs are what type of cost? “
tangible cost
“Reduced feeling of control are what type of cost? “
intangible cost
“Employee training costs are what type of cost? “
tangible cost
“Decreased employee loyalty are what type of cost? “
intangible cost
“Loss of customer good will “
intangible cost
“Labor costs are what type of cost? “
tangible cost
What are some techniques that are used to perform cost-benefit analysis?
- “Present Value Analysis
- Break-even Analysis”
net present value
NPV = Sum(PV Income) - Sum(PV Costs)
PV formula
PV = FV / (1+r)^n
Break-even Analysis
The point in time that benefits and costs “break even”
What is technical feasability?
“Does the organization has the ability to construct the proposed system? “
What is technical feasability in regards to Users?
“Familiarity with system development process and application area “
What is technical feasability in regards to the development group?
“(Development Group?s) Familiarity with the technology “
What is technical feasability in regards to the project size?
“Project Size (# people, # time, # features?) “
What is technical feasability in regards to the system?
“(System?s) compatibility issues with existing systems “
“What is Operational Feasibility? “
“Does the proposed system solve problems or take advantage of opportunities? “
“What is Scheduling Feasibility? “
“Can the project time frame and completion dates meet organizational deadlines? “
“What is Legal & Contractual Feasibility? “
“What are legal and contractual ramifications of the proposed system development project? “
“What is Political Feasibility? “
“How do key stakeholders view the proposed system? “
What is the Baseline project plan?
“contains all information collected and analyzed during initiation and planning stage “
“What is included in the Baseline project plan? “
- Task plan
- Resource plan
- Communication plan
- Risk plan
- etc…
