Introduction to Systems Development and Systems Analysis Chapter 20 Copyright © 2015 Pearson Education, Inc 20-1 Learning Objectives • Explain the five phases of the systems development life cycle • Discuss the people involved in systems development and the roles they play • Explain the importance of systems development planning and describe planning techniques • Discuss the various types of feasibility analysis and calculate economic feasibility • Explain why system changes trigger behavioral reactions, what form this resistance to change takes, and how to avoid or minimize the resulting problems • Discuss the key issues and steps in systems analysis Copyright © 2015 Pearson Education, Inc 20-2 Systems Development Life Cycle (SDLC) Copyright © 2015 Pearson Education, Inc 20-3 Who Is Involved in the SDLC? • Information Systems Steering Committee ▫ • Systems Analysts ▫ Executive level, plans and oversees IS function; specifications for programmers facilitates coordination with integration of systems activities • • • Write and test programs according to analysts specifications Get users involved in the process, provide support for development projects, align projects to meet Plan and monitor project progress Programmers ▫ Management ▫ Project Development Team ▫ Determine information needs, prepare organizations strategic needs • Users ▫ Communicate needs to system developers, help design and test to ensure complete and accurate processing of data Copyright © 2015 Pearson Education, Inc 20-4 Systems Development Planning • • Proper planning provides for achieving goals and objectives For systems development, two plans needed: ▫ Master Plan Long-range and authored by steering committee outlining prioritized projects and timetables ▫ Project Development Plan Specific to a project and authored by the project team identifies people, hardware, software, and financial resources needed Copyright © 2015 Pearson Education, Inc 20-5 Planning Techniques • Program evaluation and review technique (PERT) ▫ Diagram that depicts all project activities that require time and resources with completion estimates Determines critical path • Gantt chart ▫ Bar chart that organizes activities on the left hand side and project time scheduled with a bar drawn to show the progress to date for that particular activity Copyright © 2015 Pearson Education, Inc 20-6 Business Case (Feasibility Analysis) • Economic • Technical • Legal • Scheduling • Operational ▫ Do benefits of new system justify the costs (time and resources) to implement? ▫ Can we use existing technology? ▫ Does new system comply with regulations, laws, and contractual obligations? ▫ Can the system be developed in the time allotted? ▫ Do we have the people to design and implement the system? Will people use the new system? Copyright © 2015 Pearson Education, Inc 20-7 Capital Budgeting • Payback period ▫ Calculate the number of years required for the net savings to equal the initial cost of investment • Net Present Value (NPV) ▫ • Estimate future cash flows with discounted rate for (time value of money) Internal Rate of Return (IRR) ▫ Calculates the interest rate that makes the present value of total costs equal to the present value of total earnings Copyright © 2015 Pearson Education, Inc 20-8 Why People Resist Change? • Fear ▫ • ▫ Of failure, the unknown, losing status burdens of time is distracting and prompts negative If the top management is not supportive why • Bad experience with prior IS changes Poor communication ▫ Employees need to understand why change is necessary Copyright © 2015 Pearson Education, Inc Manner change is introduced ▫ Bad prior experiences ▫ Additional requests for information and additional feelings should the employee change? • Disruption Lack of top-management support ▫ • • Approaches are different for top level and lower level employees • • Biases and emotions Personal characteristics and background ▫ ▫ Age Open to technology and comfortable with it 20-9 How to Prevent Behavioral Problems • Management support • • Satisfy user needs Involve users ▫ ▫ Provide resources and motivation Participation improves communication and commitment • Reduce fears, emphasize opportunities • Avoid emotionalism • Provide training • Performance evaluation ▫ consistent with the new system • Keep open communications • Test the system prior to implementation • Keep system simple ▫ • Avoid radical changes Control user’s expectations ▫ Copyright © 2015 Pearson Education, Inc Reevaluate to ensure performance standards are Be realistic 20-10 Phase 1: Systems Analysis Copyright © 2015 Pearson Education, Inc 20-11 Key Terms • • • • • • • • • • • Systems development life cycle (SDLC) Systems analysis Conceptual design Physical design Implementation and conversion Operations and maintenance Information systems steering committee Systems analyst Computer programmer Project development plan Master plan Copyright © 2015 Pearson Education, Inc • • • • • • • • • • • • Program evaluation and review technique (PERT) Critical path Gantt chart Feasibility study Economic feasibility Technical feasibility Legal feasibility Scheduling feasibility Operational feasibility Capital budgeting model Payback period Net present value (NPV) 20-12 Key Terms (continued) • • • • • • • Internal Rate of Return (IRR) Behavioral aspects of change Aggression Projection Avoidance Request for systems development Initial investigation Copyright © 2015 Pearson Education, Inc 20-13 ... Implementation and conversion Operations and maintenance Information systems steering committee Systems analyst Computer programmer Project development plan Master plan Copyright © 201 5 Pearson... issues and steps in systems analysis Copyright © 201 5 Pearson Education, Inc 20- 2 Systems Development Life Cycle (SDLC) Copyright © 201 5 Pearson Education, Inc 20- 3 Who Is Involved in the SDLC? • Information. .. complete and accurate processing of data Copyright © 201 5 Pearson Education, Inc 20- 4 Systems Development Planning • • Proper planning provides for achieving goals and objectives For systems development,