Tutorial 3

1. For what reasons are information systems project begun? Who are the initiators?

- To improve customer service

- For better information and decision

- To be more competitive advantage

- For better control

- To increase productivity

- To reduce costs

- For better communication

- initiators - Department managers, senior executives, system analyst, owner etc

2. For each of the reason listed in Ql, describe how automation will improve the business processes or deal with the problem identified.

Reasons for initiating Information Systems Projects

a) Greater processing speed

- Using the computer's inherent ability to calculate, sort and retrieve data and information when greater speed than.that of people doing the same tasks is desired.

b)Increased volume

- Providing the capacity to process a greater amount of activity perhaps to take advantage of new business opportunities. Often a result of growth that causes business to exceed the capabilities and procedures underlying the achievements to date.

c) Faster information retrieval

- Locating and retrieving information from storage. Conducting complex searches.

d) Greater accuracy and improved consistency

- Carrying out computing steps, including arithmetic, correctly and in the dame way each time.

e) Better security

- Safeguarding sensitive and important data in a form that is accessible only to authorized personnel

f) Enhanced communication

- Speeding the flow of information and messages between remote locations as well as within offices. Includes the transmission of documents withing offices.

g) Cost monitoring

- Tracking the cost of labor, goods and facilities to determine how actual costs compare with expectations

h) Improve arrangements with suppliers

- Changing the pricing, services or delivery arrangement or relationship between suppliers and the organization to benefit the firm.

3. What is the purpose of conducting a preliminary investigation? What outcome is expected? Who carries out this investigation? On basis it is initiated?

Purpose

- The purpose of preliminary study is to evaluate project request feasibility. The 3 feasibility tests are: operational, technical feasibility and economic feasibility.

Outcomes

- If all the 3 tests pass, the project proposal will be accepted and the project will be pursued. Otherwise, it is not feasible, the requests for the project will not pursue.

Who

- System analysts

Based on what basis

- The information system are typically motivated by one of the 3 general objectives:

a. Solve a problem e.g. to reduce excessive data entry errors by eliminating manual data entry sale details

b. To improve business performance or to be more competitive advantage e.g. offering online features

c. Response to be directive e.g. government policies change

4. Should users be involved throughout the SDLC? Can you think of some specific problems or difficulties that might happen if users are not involved? Explain your answers.

- Yes, users should be involved throughout the SDLC

- This is because users have the most intimate knowledge of their own jobs. Therefore, they are the people best qualified to tell the system analysts what will work and what wont work in a new system.

-Additionally, a user who had help to design the new system will be more inclined to be satisfied with it later, regardless of its inherent quality or lack thereof.

Some of the expected problems or difficulties

- The system design will not meet the user requirements because the SA has no way to get adequate information from the users without going tbrough interviews, questionnaires and observations. Prototyping will not happen

- The users will.not have the confidence to use the new system because they are afraid they have not been expose/unfamiliar with the new system.

- The users will reject or oppose the new system.

- SA will get the wrong information from going through the outdated documents.

- Softare crisis will happen: Late system, Over-budget system, Poor-quality system, Application backlogs, Invisible backlogs

5. WRF limited intends to upgrade its computer system to improve speed and clarity of information. Each member of staff will have a PC linked to a local area network (LAN). Each PC will run Windows XP and a word processor and spreadsheet on its hard disk. The network will be used for centralized backup, access to central database and storage of data files. The LAN will also be used for communication within the office by email. The system analysts in the charge of the project thinks that users will require a Pentium IV processor running at 1 gigabytes of RAM. The network will incorporate a central file server. He is pleased that the system will cost only RM3,000 per user. The systems analysts is on a fixed term contract which terminates when the system installation is complete.

Required:

a) Briefly explain the concept of system development life cycle (SDLC)

System planning

- Initiate system request

- Briefly review existing system

- Define new system scope, nature, feasibility

System analysis

- Obtain details of current requirements such as data volumes, processing cycles, and timescales.

- Identify current problems and restrictions

- Define new system requirement, expectation and opportunity

- Consider why current methods are used and identify better alternatives

System design

- Determine what inputs, processing and storage facilities are necessary to produce the output

- Matters such as program design, file design, security need to be considered

System implementation

- Write or acquire software, test it, convert files, install hardware and start running the new system

System operation, support, security

- Ensure the new system meets current objectives and that it continues to do so

b) Explain why the SDLC would be preferred to the situation outlined above.

WRF should follow this approach:

- A system investigation is needed so that account is taken of the specific requirements of users. Since currently user are not being consulted and this is regrettable since they seem to be enthusiastic about the change and would no doubt have a good deal to contribute to the specification of an ideal system for their needs.

- More system analysis is required to determine what are the problems with the existing system. The upgrade is intended to improve the speed and clarity of information, but we have no details of how the design of the proposed new system will do this.

- Take into account of future need of the business

- The recommended system if reckoned to cost about RM3,000 per user. However, not being told about what the figure include: we need a detailed breakdown of the initial costs and also of ongoing costs over the life of the proposed systems.

- Arrangement need to be made for the implementation of the system.

Tutorial 2

1. Describe in your own words the term 'project' and how a project differs from those associated with normal day to day (operational) activities within the company? 

A project is a planned undertaking of related activities ts reach a specific objective that has a defined beginning and an end (finite lifetime).

 A project has funding limits and which usually has a primary sponsor or customer.

 A project also involves uncertainty because it is difficult to determine how long it will complete and how much it will cost. Compared to the normal day to day (operational) activities, a project is non routine (not repetitive), large and complex and takes time.

2. What is the difference between sequential and concurrent tasks? 

When tasks must be completed one after another, they are called sequential tasks. For example, if task C is dependent on tasks A and B, then task C cannot start until tasks A and B are complete. 

When tasks can be performed at the same time, they are called concurrent, or parallel, activities. If tasks A, B, and C are concurrent, they all can start at the same time.

3. At Riverside Financial, where you work as a project manager, you have been asked to conduct user training sessions during the implementation phase for a new information system. You must develop a specific schedule for the tasks listed below (the estimated task duration is shown in parentheses):

- First, you need to send an e-mail message to all department managers announcing the training sessions (1 day).

- After the e-mail message goes out, two tasks can begin at the same time: you can develop the training material (4 days).and confirm arrangements for the training facility you plan to use (11days).

- As soon as the training material is complete, you can work on two tasks at once: arrange to have copies of handout material printed (3 days) and develop a set of PowerPoint slides (4 days).

- When the PowerPoint slides are ready, you conduct a practice training session with the instructor who will assist you (l day).

- Finally, when the practice session is over, the handout material is ready, and the training facility is confirmed, you conduct the user training sessions (3 days).

Required:

Using PERT/CPM techniques, develop a chart that shows ES, EF, LS, and LF for

the project- Be sure to highlight the project's critical path.

Click picture to enlarge.

Critical path= A-C-G

4. A project X has been defined to contain the following list of activities along with

their required time for completion.

Your team is required to construct a PERT chart to identify the critical path for project X: Assume that your team is in its first week of the project and has discovered that each of the activity duration estimation is wrong. Activity B will take only two weeks to complete. Activities D and G. will each take three times longer than anticipated. All other activities will take twice as long to complete as previously estimated. In addition, a new activity, K, has been added. It will take one week to complete and its immediate predecessors are activities J and I.

Required:

a) Update the table on each of the activity duration based on the updated estimation and draw a PERT chart accordingly. Calculate and show the Earliest Start, Earliest Finish, Latest Start and Latest Finish for the activities.

Click pictures to enlarge

b) Identify the critical path from the PERT chart drawn.

A-B-D-G-I-J-K (63 weeks)

c) Why is it important to identify the critical path of a project in systems development?

Critical path is important for project manager to monitor the progress, if necessary,make prompt decision to keep the project on track. A critical path is a series of events and activities that must be completed on time. If any activity along the critical path falls behind schedule, the entire project schedule is delayed. A critical path connects the activities that have no slack time which is the amount of time by which an event can be late without delaying the project. Project managers always must know what the critical path is, so they can monitor progress and make prompt decisions, if necessary, to keep the project on track.

d) Define the term "slack time". What is the slack time for activity H?

Slack time for an event is the amount of time by which when an event can be late without delaying the whole project. Slack time for activity H = 58-50=8

5. At Lightfoot Industries, where you work as a system analyst, you have been asked to lead a Joint Application Development (JAD) session. You must develop a specific schedule for the task listed below (the estimated task duration is shown in parentheses):

- First, you need to contact the participants and explain their roles (l day).

- Then you must obtain approval from their deparment managers (5 days).

- After you obtain the approval, two tasks can begin at the same time: you can arrange the meeting room (a days) and prepare an agenda for the initial session (11 days). 

- When the agenda is ready, you can start two more concurrent tasks: prepare the information packets (4 days) and create visual aids (8 days).

- When the meeting room is arranged and the information packets are ready, you can send out an e-mail to participants (l day).

- Finally, after the e-mail is sent to participants and the visual aids are ready, you can conduct the JAD sessions (5 days).

a) Develop a PERT/CPM chart that shows the Earliest Starr (ES), Earliest Finish (EF), Latest Start (LS), and Latest Finish (LF) time for the above mentioned project. Be sure to state the project's critical path.

Click on pictures to enlarge

Critical path = A-B-D-F-H

b) How many days could activity of information packets preparation overrun without delaying the entire JAD session ?

Slack time for activity information packets preparation (E) = 24-21= 3 days.

Tutorial 1

1. What is an information system? In your answer be sure to give what components make up the system, and give at least two examples of information systems used in business.

Information system is a set of hardware, software, data, people and procedures that work together to produce information. An information system is a collection of components that work together to provide information to help employees and managers operate and manage an organization.

The components are hardware, software, data, personnel and procedures. Examples: point of sale, general ledger, inventory control, order entry, production scheduling.

2. Briefly explain why organizations collect data on daily events that occur throughout their operations.

Organizations collect data on daily events,that occur throughout their operations because these data'can be used to monitor the performance of events in order to detect any abnormalities or problems so that they can be resolved as soon as possible. These data can also be compared to expected outcomes. If the difference between actual and expected outcomes is significant then it is the manager's responsibility to investigate the cause of the discrepancy.

3. Sally recently opened her very own fabric shop. After observing customer response for the first few weeks in her new business, Sally knows that most of her customers arrive early morning (before 9:00 am) or late afternoon (between 3:00 pm and 5:30 pm)- Based on this information, she decided to close her fabric shop at 6.00 pm).

a) Is Sally making her decision under conditions of certainty, uncertainty or risk?

Sally is making her decision under conditions of certainty- From experience, she knows in advance of making the decision that most of the customers would not patronize her store after 5 p.m. she recognizes that there may be some uncontrollable variables, but she is able to estimate the probability of environmental variable; therefore risk is minimal.

b) Is her information most likely based on information or experience?

Her information is based on experience. She is a heuristic decision maker who observes her customer's patterns and makes her decision based on personal

observation

4. "People" is one of the key elements of information systems in system development within an organization. Determine and describe THREE (3) of the responsibilities for each of the role.

Information System Managers

The manager of an information system department may have a direct role in the system development process if the organization is small or if that is the manager's style. Typically, information system managers are more involved in allocating resources to and overseeing approved system development process rather than in actual development process. Thus, Information System Managers may attend some project review meetings and certainly will expect written status reports on project progress covering their areas of concern. Information System Managers may prescribe what methodologies, techniques, tools are to be used and the procedure for reporting the status of projects. As department leaders, Information System Managers are also responsible for career planning and development for system analysts and other employees and for solving problems that arise in the course of development projects

System Analysts

System Analysts are the key individuals in the system development process. To succeed as system analysts, they need to have four skills: analytical, technical, managerial and interpersonal skills. 

Programmers

Programmers convert the system specifications given to them by the analysts into instructions the computer can understand. Writing a computer program is sometimes called writing code or coding.

End Users

Non information system professionals in an organization who specify the business requirements for and use software applications. End users often request new or modified applications, test and approve applications and may serve on project terms as business experts.

Business Managers

Another group important to system development effort is business managers, such as functional department heads and corporate executives. These managers are important to systems development because they have the power to fund development projects and to allocate the resources necessary for the project's success.

Other Information System Managers/ Technicians in the System Development

In large organization where information system roles are more differentiated, there may be several additional information system professionals involved in the systems development effort. 

Database administrator usually involved in any systems project affecting the firm's databases.

Network and telecommunications experts help develop system involving data and/ or voice communication, either internal or external to the organization.

Human factors departments that are concerned with system interfaces and case of use issues, training users and writing users documentation and manuals.

Internal auditors who ensure that required control are built into the system.

5. Sandy works as a staff for Wow-Wow Dog Food Company. Since there are several different suppliers of ingredients and their prices fluctuate, she has come up with several different formulations for the same dog food product depending on the availability of different ingredients from different suppliers. She then orders ingredients accordingly based on the price quotation from suppliers. Even though she cannot predict the availability of a particular ingredient, her ordering of supplies can be considered routine. In which level of organisational management is Sandy working? Justify your answer.

Sandy is working at the operations management level. She makes decisions using predetermined rules that have predictable outcomes. Her responsibility is to manage inventories, a basic task of the organization, which must be accomplished on time and in accordance with organizational constraints.

6. Woodline Limited manufactures and retails a range of high quality wooden furniture products. The company now has made use of a number of business information system categories such as Transaction Processing System (TPS), Management Information System (MIS), Office Automation System (OAS) and Decision Support System (DSS) to assist in the company daily operation. These organizations' information systems provide data to internal support their decision-making and control activities. Briefly describe the three levels of management decision making in an organization and provide examples of decisions made for each level.

The characteristics of the decisions could be as follows:

Strategic decisions(top management):

- very long term horizon, e.g. five to ten years

- radical implications for the whole organization, e.g. new products, new market

- high risk, e.g. investment in overseas markets, new technology development 

- non-routine, e.g. setting up a new company / department 

- information on hand is very little/uncertain lead to unpredictable outcome

Tactical decisions(middle management): 

- medium time horizon, e.g. less than five years

- implication for a function under control, e.g. accounting or production

- information on hand is limited lead to moderately uncertain outcome involving the possible use of forecasting technique and information technology

- less routine / less frequent decision compare to operational decision

- moderate risk as the levels of investment is smaller and the decision are more predictable, e.g. setting product price, setting stock levels, budgetary control decision

Operational decisions(lower management): 

- Short timescale, e.g. one day to one week 

- routine and information on hand is complete/enough lead to specific outcomes

- low levels of risk with much more decision support/ information on hand

- predictable, well-documented information requirement, e.g. routine office procedures

- E.g. sales and order taking procedures, subsequent invoicing and collection of payment for the goods and services, number of items manufactured in a particular

day.

While a distinction has been drawn between these three levels, one should recognize that in practice it is often difficult to allocate a particular decision clearly to one category as opposed to another.