Systems Analysis Systems Analysis StrategiesStrategies

Chapter 4Chapter 4

Alan Dennis, Barbara Wixom, and David Tegarden

John Wiley & Sons, Inc.

Slides by Fred NiedermanEdited by Solomon Negash

Slide 2

Key Definitions

The _______________ is the current system and may or may not be computerized

The ________________ is the new system that is based on updated requirements

Slide 3

Key Ideas

The goal of the ________________ is to truly understand the requirements of the new system and develop a system that addresses them -- or decide a new system isn’t needed.The line between systems analysis and systems design is very blurry.Analysis across areas:

Combines business and information technologyBalance expertise of users and analysts

Slide 4

The SDLC Process

Slide 5

Three Fundamental Analysis Strategies

1. _______________________

2. _______________________

3. _______________________

Slide 6

Business Process Automation (BPA)

Goal:

_____________

Slide 7

Identifying Improvements in As-Is Systems

______________________Asking users to identify problemsRarely finds significant monetary benefits

_______________________Prioritizing problemsTracing symptoms to their causes

Slide 8

Root Cause AnalysisSymptoms

ROOT CAUSES

Symptoms

Identify symptomsTrace each back to its causes

Slide 9

Root Cause Analysis Example

Slide 10

Business Process Improvement (BPI)

Introducing evolutionary changes

Slide 11

__________________(What BPI method uses the improvement

identification steps shown below?)

Calculate time needed for each process stepCalculate time needed for overall processCompare the twoDevelop process integration or parallelization

Slide 12

__________________ (What BPI method uses the improvement

identification steps shown below?)

Calculate cost of each process stepConsider both direct and indirect costsIdentify most costly steps and focus improvement efforts on them

Slide 13

__________________ (What BPI method uses the improvement

identification steps shown below?)

Studying how other organizations perform the same business processInformal benchmarking

Check with customersFormal benchmarking

Establish formal relationship with other organization

Slide 14

Business Process Reengineering (BPR)

Radical redesignof business processes

Slide 15

__________________(What BPR method uses the improvement

identification steps shown below?)

Consider desirable outcomes from customers’ perspectiveConsider what the organization could enable the customer to do

Slide 16

__________________(What BPR method uses the improvement

identification steps shown below?)

Identify fundamental business rulesSystematically break each ruleIdentify effects on the business if rule is broken

Slide 17

Technology Analysis

Analysts list important and interesting technologiesManagers list important and interesting technologiesThe group identifies how each might be applied to the business

Slide 18

Activity Elimination

Identify what would happen if each organizational activity were eliminatedUse “force-fit” to test all possibilities

Slide 19

Proxy Benchmarking

List similar industriesLook for techniques from other industries that could be applied by the organization

Slide 20

Process Simplification

Eliminate complexity from routine transactionsConcentrate separate processes on exception handling

Slide 21

Developing an Analysis Strategy

Key factors in selecting appropriate analysis strategy:

Potential business valueProject costBreadth of analysisRisk

Slide 22

Characteristics of Analysis Strategies

Business Business BusinessProcess Process ProcessAutomation Improvement Reeingineering (BPA) (BPI) (BPR)

Potential Business Low-Moderate Moderate HighValue

Project Cost Low Low-Moderate High

Breadth of Analysis Narrow Narrow-Moderate Very Broad

Risk Low-Moderate Low-Moderate Very High

Slide 23

Evaluating proposed IT systems

Methods of evaluating proposed IT systems:

cost-benefit analysisrisk analysiscapital investment analysis

Slide 24

Cost-Benefit Analysis

Slide 25

Risk Analysis

Slide 26

Disaster Recovery Spending

Slide 27

Your Turn

How do you know whether to use business process automation, business process improvement, or business process reengineering? Provide examples.What will you use for your term project?

Slide 28

Avoid Classic Analysis Mistakes

Reduced analysis timeRequirement gold-plating

User over-specification of features

Developer gold-platingToo many “cool” features

Lack of user involvement

Management

UserDevelopers

IT projects success

partnership model

Slide 29

Summary

The analysis process aims to create value for the organizationThree main analysis strategies are BPA, BPI, and BPRThese strategies vary in potential business value, but also in potential cost and riskThree main analysis techniques are root cause, informal benchmarking, and breaking assumptions