SAD101 Study Guide Module 2 PDF

FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ STUDY GUIDE FOR MODULE NO. 2 Business Drivers for Today's Information Systems MODULE OVERV...

FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ STUDY GUIDE FOR MODULE NO. 2 Business Drivers for Today's Information Systems MODULE OVERVIEW The development of information systems is driven by both business and technology needs. Businesses today face globalization, competition, and rising customer expectations for fast and reliable services, which push them to adopt better systems. They also need to meet regulatory and sustainability goals. On the technology side, innovations like cloud computing, artificial intelligence, big data, and mobile technology allow for more efficient, scalable, and automated systems. New trends like IoT and blockchain bring additional possibilities and challenges. The process of developing information systems follows a clear structure. It begins with understanding the problem and identifying requirements. Then, a system design is created, focusing on how data flows and how users will interact with it. After that, the system is built, tested for functionality and security, and then implemented. Regular maintenance ensures the system stays up- to-date and effective. MODULE LEARNING OBJECTIVES At the end of the module, the students are expected to: Create a learning overview regarding the following objectives. 1. Describe current business drivers that influence information systems development 2. Describe current technology drivers that influence information systems development. 3. Briefly describe a simple process for developing information systems. LEARNING CONTENTS (Business Drivers for Today's Information Systems) BUSINESS DRIVERS FOR TODAY'S INFORMATION SYSTEMS Another way to look at our information system product is from the perspectives of business drivers. Using Figure 1-5, let's now briefly examine the most important business trends that are Impacting Information systems. Many trends quickly become fads, but here are some business trends we believe with influence systems development in the coming years. Many of these trends are related and integrated such that they form a new business philosophy that will impact the way everyone works In the coming years. PANGASINAN STATE UNIVERSITY 1  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ Business Drivers for an Information System GLOBALIZATION OF THE ECONOMY Since 1990s, there has been a significant trend of economic globalization. Competition is global with emerging h1dustrial nations offering lower-cost or higher quality alternatives to many products. American businesses find themselves with new in-ternational competitors, On the other hand, many American businesses have dis- covered new and expanded international markets for their own goods and services. The bottom line is that most businesses were forced to reorganize to operate In this global economy. PANGASINAN STATE UNIVERSITY 2  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ How does economic globalization affect the players In the systems game? first, information systems and computer applications must be Internationalized. They must support multiple languages, currency exchange rates, international trade reg-ulations, and different business cultures and practices. Second, most information systems ultimately require Information consolidation for performance analysis and decision making. The aforementioned language barriers, currency exchange rates, trans border Information regulations, and the like complicate such consolidation. Finally, there exists a demand for players who can communicate, orally and in writ-ing, with management and users that speak different languages, dialects, and slang. Opportunities for International employment of systems analysts should continue to expand. ELECTRONIC COMMERCE AND BUSINESS In part due to the globalization of the economy, and in part because of the pervasiveness of the internet businesses are changing or expanding their business model to implement electronic commerce (e-commerce) and electronic business (e-business). The internet is fundamentally changing the rules by which business is conducted. We live in a world where consumers and businesses will increasingly expect to conduct commerce (bush1ess transactions) using the Internet. But the Impact is even more substantive. Because people who work in the business world have become so com-fortable with surfing the Web; organizations are increasingly embracing the Web In-terface as a suitable architecture for conducting day-to-day business within the organization. There are three basic type of e-commerce- and e-business-enabled information systems applications: Marketing of corporate image, products, and services is the simplest form of electronic commerce application. The Web is used merely to “inform" customers about products, services, and policies. Most businesses have achieved this level of electronic commerce. Business to Consumer (B2C) electronic commerce attempts to offer new. Web-based channels of distribution for traditional products and services. You, as a typical consumer, can research, order, and pay for products directly via the Internet. Examples in dude Amazon.com (for books and music) and E-trade.com (for stocks and bonds). Both companies are businesses that were created on the Web. Their competition, however, includes traditional businesses that have added Web-based electronic commerce front ends as an alternative consumer option. Business to Business (B2B) electronic commerce is the real future. This is the most complex form of electronic commerce and could ultimately evolve into electronic businesses complete, paperless, and digital processing of virtually all business transactions that occur within and between businesses. One example of B2B electronic commerce is electronic procurement. All busi-nesses purchase raw materials, equipment, and supplies-frequently tens or hundreds of millions of dollars’ worth per year. 828 procurement allows employees to browse electronic storefronts and catalogs, initiate purchase requisitions and work orders, route requisitions and work orders electronically for expenditure approvals, order the goods and services, and pay for the delivered goods and completed services-all without the traditional time-consuming and costly paper flow and bureaucracy. PANGASINAN STATE UNIVERSITY 3  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ An Electronic Commerce Storefront Largely due to the trend toward these e-business and e-commerce applications, most new information systems applications are being designed for an Internet architecture. Not that long ago, we were redesigning most: applications to operate within a Windows user interface, Today, we increasingly see applications designed to run within an Internet browser sud1 as Internet Explorer or Netscape. The choice of a desktop operating system, such as Windows, macintosh, or linux, is becoming less important than the availability of the browser itself. SECURITY AND PRIVACY As the digital economy continues to evolve, citizens and organizations alike have developed a heightened awareness of the security and privacy Issues involved in today's economy. Security issues tend to revolve arow1d business continuity; that is, "how will the business continue in the event of a breach or disaster-any event that causes a dis-ruption of business activity?’ Additionally, businesses must ask themselves,” How can the business protect its digital assets from outside threats?" It is true that these ques-tions ultimately come down to technology; however, the concerns have become fundamental business concerns. PANGASINAN STATE UNIVERSITY 4  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ An Electronic Commerce Procurement Storefront Security is the issue of privacy. Consumers are increasingly demanding privacy in the digital economy. Governments are regulating privacy Issues, and the regulations will Uke.ly become more stringent as the digital economy continues to evolve. Go to your favorite commercial Web sites. Almost every business now has a privacy policy. Consumer groups are beginning to analyze and monitor such privacy policies, holding companies accountable and lobbying governments for stricter regulations and enforcement. As Information systems are developed and changed, you will increasingly be expected to incorporate more stringent security and privacy controls. In the global economy, you will need to become sensitive to a wide array of regulations that vary considerably from one cow1try 10 another. Certainly, security and privacy mechanisms will be subject to the same internal audits that have become routine in systems that support or interact with financial systems. COLLABORATION AND PARTNERSHIP Collaboration and partnership are significant business trends that are influend.ag in-formation systems applications. Within organizations, management is emphasis the need to break down the walls that separate organization departments and functions. Management speaks of "cross- functional” teams that collaborate to address common business goals from interdisciplinary perspectives. For example new product design used to be the exclusive domain of engineers. Today, new product design typically involves a cross-functional team of representatives from many organizational units, such as engineering, marketing, sales, manufacturing, inventory control, distribution, and, yes, information systems. PANGASINAN STATE UNIVERSITY 5  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ KNOWLEDGE ASSET MANAGEMENT What is knowledge? Knowledge is the result of a continuum of how we process raw data into useful information. Information systems collect raw data by capturing business facts (about products, employees, customers, and the like) and processing busl-ne55 transactions. Data gets combined, filtered, organized, and analyzed to produce Information to help managers plan and operate the business. Ultimately, information is refined by people to create knowledge and expertise. Increasingly, organizations are asking themselves. How can the company m.1nage and share knowledge for com­petitive advantage? And as workers come and go, how can the workers knowledge and expertise be preserved within the organization?" Thirty years of data processing and information systems have resulted in an enor-mous volume of data, Information, and knowledge. All three are considered critical business resources, equal In importance to the classic economic resources of land, labor and capital. The need for knowledge asset management impacts information systems on a variety of fronts. Although we have captured (and continue to capture) a great amount of data and information in information systems, they are loosely Integrated In most organizations-indeed, redundant and contradictory data and information are com-mon in information systems, As new information systems are built, we will increas-ingly be expected to focus on integration of the data and Information that can create and preserve knowledge In the organizations for whld1 we work. Tills will greatly complicate systems analysis and design. Continuous Improvement and Total Quality Management Information systems automate and support business processes. In an effort to con-tinuously improve a business process, continuous process improvement (CPI) examines a business process to implement a series of small changes for improvement. These changes can result in cost: reductions, improved efficiencies, or increased value and profit. Systems analysts are both affected by continuous process improvements and expected to initiate or suggest such improvements while designing and implementing information items. Another ongoing business driver is total quality management (TQM). Businesses have learned that quality has become a critical success factor in competition. They have also learned that quality management does not begin and end with the products and services sold by the business. Instead, it begins with a culture that recognizes that everyone in the business is responsible for quality. TQM commltmet1ts require that every business function, including Information services, Identify quality indicators, measure quality, and make appropriate changes to Improve quality. BUSINESS PROCESS REDESIGN Many businesses are learning that those business processes have not changed substantially in decades and that those business processes are grossly inefficient and/or costly. Many business processes are overly bureaucratic, and all their steps do not truly contribute value to the business. Unfortunately, information systems have merely au-tomated many of these inefficiencies, Enter business process redesign! Business process redesign (BPR) Involves malting substantive changes to business, processes across a larger system. In effect, BPR seeks to implement more substantial changes and improvements than does CPL In a BPR, business processes are carefully documented and analyzed for timeliness, bottlenecks, costs, and whether or not each step or task truly adds value to the organization (or, conversely, adds only bureaucracy). Business processes are then redesigned for maximum efficiency and lowest possible cost So how does BPR affect information systems? There are two basic ways to Imple-ment any Information system-build it or buy it. In other words, you can write the software yourself, or you can purchase and Implement a commercial software pack-age. In both cases, BPR figures prominently. In writing your own software, It Is useful to redesign business processes before wrfth1g the software to automate them. This way, you avoid automating underlying inefficiencies. Alternatively, In purchasing software packages, most businesses have discovered it is easier to redesign the business PANGASINAN STATE UNIVERSITY 6  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ processes to work with the software package than to attempt to force (and even cripple) the software package to work with existing business processes. LEARNING CONTENTS (Technology Drivers for Today's Information Systems) TECHNOLOGY DRIVERS FOR TODAY'S INFORMATION SYSTEMS Advances in information technology can also be drivers for information systems. In some cases, outdated technologies can present significant problems that drive information system development projects. In other cases, newer technologies present business opportunities. Let's examine several technologies that are influencing today's Information systems. NETWORKS AND THE INTERNET Scott McNealy, Sun Computer's charismatic CEO, is often cited as stating, “The network has become the computer;" Few would argue that today's Information systems are installed on a network architecture consisting of local and wide area networks. These networks include mainframe computers, network servers, and a variety of desk-top, Laptop, and handheld client computers. But today, the most pervasive networking technologies are based on the Internet. Some of the more relevant Internet technolo-gies that you need to become aware of, lf not develop some basic skill with, are described in the following list. e HTML and XML are the fundamental languages of Web page authoring and Internet application development. Extensible Hypertext Markup language xHTML) is the emerging second-generation version of HTML, the language used to construct Web pages. Extensible Madn1p Language (XML) is the language used to effective transport data content along with its proper Interpretation over the Internet. Introductory xHTML and XML courses have become core requirements in most information systems and Information technology college curricula. PANGASINAN STATE UNIVERSITY 7  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ Scripting languages are simple programming languages designed specifically for Internet applications. Examples Include Per4 VBScript and JavaScript. These languages are increasingly taught in college Web development and programming courses. Web specific programming languages such as Java and Cold Fusion have emerged to specifically address construction of complex, Web-based applications that involve multiple servers and Web browsers. These languages are also becoming prevalent in college programming curricula. Intranets are essentially private internets designed for use by employees of an organization,. They offer the look and feel of the internet; however, security and firewalls restrict their use to employees. Extranets, like intranets, are private Internets. But extranets are for use between specific organizations. Only the employees of those identified businesses can access and use the extranet. For example, an automotive manufacturer such as Chevrolet might set up an extranet for the sole use of its dealer. Through this extranet, the manufacturer can communicate information about parts, problems, sales Incentives, and the like. Portals (in corporations) are home pages" that can be customized to the specific needs of different individuals who use them. For example, portal technology can define Web pages that provide appropriate information and applications for different roles in the same company. Each individual role determines which information and applications that person can use from her or his Web page. Example of roles include "customer;' "supplier; and different types of employee. Portals can also effectively integrate public internet, private Intranet, and extranet content into each individual user's home page. Web services are the latest page. Web services are reusable, Web-based pro-grams that can be called 6om any other Internet program. For example, let's say you need to write a program to accept credit card payments over the Web. Sure you could write, debug, and test the credit card validation pro- gram yourself. But an alternative approad1 would be to purchase the right to use a credit card validation program over the Web. By doing so, you need not maintain responsibility for the credit card validation code. You need only call the Web service from your program, mud, as you would call an internal subroutine. Of course, you will pay for the privilege of using Web services since somebody had to write the original Web service program. MOBILE AND WIRELESS TECHNOLOGIES Mobile and wireless technologies are poised to significantly change the next generation of information systems. Handheld computers, or personal data assistants (PDAs, such as the HP IPaq, Palm, and RIM Blackberry"), have become common in the ranks of information workers. These devices are increasingly including wireless capabilities (see margin photo) that provide Web access and e-mail. Cellphones are also increasingly featuring internet and e-mail capabilities. And now, integrated devices such as smart phones are emerging that integrate the capabilities of POAs and cell phones into a single de>ice (see margin photo). For those who prefer separate devices, technologies like Bluetooth are emerging to allow the separate devices to interoperate as one logical device while presenting each one's form factors and advantages. Additionally, laptop computers are increasingly equipped with wireless and mobile capabilities to allow information workers to more easily move between locations while preserving connectivity to Information systems. All of these technical trends will significantly impact the analysis and design of new information systems. Increasingly, wireless access, must be assumed. And the limitations of mobile devices and screen sizes must be accommodated tools and techniques information to deal PANGASINAN STATE UNIVERSITY 8  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ with system's design. OBJECT TECHNOLOGIES Today, most contemporary information systems are built using object technologies. Today’s pervasive programming languages are object – oriented. They include C++, Java, small talk and Visual Basic. Net technologies allow programmers to build software from software parts called objects. Object-oriented software offers two fundamental advantages over non-object software. First, objects are reusable. Once they are designed and built, objects can required be reused in multiple information system applications. This reduces the time required to develop future software applications. Second objects are extensible. They can be changed or expanded easily without adversely impacting any previous application that used them. This reduces the lifetime costs of maintaining and improving software. The impact of object technology is significant in the world of system analysis and design. Prior to object technologies, most programming languages were based on so-called structured methods. Examples include COBOL (the dominant language), C, FORTRAN, Pascal, and PL/I. It is not important at this time for you to be able to differentiate between structured and object technologies at this time and for methods. Suffice able to say, structured methods are inadequate to the task of analy7ing and designing systems that will be built using object technologies. Accordingly, object- oriented analysis and design methods ha,--e emerged as the preferred approach for building mo.st contem-porary information systems. For this reason, we will integrate object-oriented analysis and design tools and techniques throughout this look to give you a competitive advantage in tomorrow's job market. At the same time, structured tools and techniques are still important. Database, for example, are still commonly designed using structures tools. And structured tools are still preferred by many systems analysts for analyzing designing works flows and business processes. COLLABORATIVE TECHNOLOGIES Another significantly technology trend is the use of collaborative technologies. Collaborative technologies are those that enhance interpersonal communications and teamwork. Four important classes of collaborative technologies are email, instant messaging, groupware, and work flow. Everybody knows what e-mail is. But e-mail’s importance information systems development is changing. Increasingly, modern information systems are e-mail-enabled; that is, e-mail capabilities are built right into the application software. There is no need to switch to a dedicated e-mail program such as Outlook. The application merely invokes the user's or organization's default e-mail program to enable relevant messages to be sent or received. Related to e-mail technology is instant messaging (e.g., AOL's instant Messenger and Microsoft's MSN Messenger service). Instant messaging was popularized in public and private "chat rooms" on the Internet. Bur instant messaging is slowly being incorporated into enterprise information systems applications as well. For example, instant messaging can implement immediate response capabilities Imo a help system for a business application. Imagine being able to instantly send and receive messages with the corporate help desk when using a business application. The productivity and service-level Implications are significant. Finally, groupware technology allows teams of individuals to collaborate on projects and tasks regardless of their physical location. Examples of groupware technolo-gies include Lotus's Same Time and Microsoft NetMeeting. Using such groupware allows multiple individuals to participate in meetings and share software tools across a network. As with e-mall and instant messaging, groupware capabilities can be built into appropriate business applications. Clearly, system analysts and system designers must build these innovative collaborative technologies into their applications. PANGASINAN STATE UNIVERSITY 9  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ ENTERPRISE APPLICATIONS Virtually all organizations, large and small require a core set of enterprise applications to conduct business. Most businesses the core applications include financial management, human resource management, marketing and sales, and operations management (inventory and/or manufacturh1g control). At one time, most organizations custom-built most or all of these core enterprise applications. But today, these enterprise applications are frequet1tly purchased, Installed, and config-ured for the business and integrated into the organization’s business processes. Why? Because these core enterprise applications in different organizations or industries tend to be more alike than they are different. Today, these "Internal' core applications are beh1g supplemented with other enterprise applications that integrate an organization's business processes with those of its suppliers and customers. These applications, called customer relationship management and supply chain management. The trend toward the use of purchased enterprise applications significantly impacts system analysis and design. Purchased and installed enterprise applications are never sufficient to meet all of the needs for Information systems in any organization. 11ms, systems analysts and other developers are asked to develop value-added applications to meet additional needs of the business. But the purchased and installed enterprise applications become a technology constraint. Any custom application must properly integrate with and interface to the purchased enterprise applications. This is often called systems integration, and this is the business and systems environment into which most of you will graduate. Let's briefly explore some of the more common enterprise applications and describe their implications for systems analysis and design. Enterprise Resource Planning (ERP) The core business information system applications in most businesses were developed in-house incrementally over many years. Each system had its own files and databases with loose and awkward Integration of all applications. During the 1990s, businesses tried very hard to integrate these legacy lnform1tion systems, usually with poor results. Organizations would have probably preferred to redevelop these core business applications from scratch as a single integrated information system. Unfortunately, few if any businesses had enough resources to attempt this. Recognizing that the basic applications needed by most businesses were more similar than different, the software industry developed a solution-enterprise resource planning (ERP) applications. An ERP solution is built around a common database shared by common business functions, Examples of ERP software vendors are listed in the margin. PANGASINAN STATE UNIVERSITY 10  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ ENTERPRISE APPLICATIONS An ERP solution provides the core information system functions for the entire business. But usually an organization must redesign its business. Processes to fully ex-ploit and use an ERP solution. Most organizations must still supplement the F.RP solution with custom software application to fulfill business requirements that are unique to the industry or business. For most organizations, an ERP implementation and integration represents the single largest information system project ever under-taken by the organization. It can cost tens of millions of dollars and require a small army of managers, users, analysts, technical specialists, programmers, and consultants, ERP applications are significant to systems analysts for several reasons. First, sys-tems analysts may be involve In the decision to select and purchase an ERP solution, Second, and more common, systems analysts are frequently involved in the customization of the ERP solution, as well as the redesign of business processes to use ERP solutions. Third, if custom-built applications are to be developed within an organization that uses an ERP core solution, the ERP system's architecture significantly Impacts the analysis and design of the custom application that must coexist and In-teroperate with the ERP system. SUPPLY CHAIN MANAGEMENT Supply Chain Management (SCM) a software application that optimizes business processes of raw materials procurement through finished product distribution of directly integrating the logistical information systems of organizations with those of their suppliers and distributors. SCM applications are significant to systems analysts for the same reasons as stated for ERP applications. As an analyst, you may be involved in the evaluation and selection of an SCM package. Or you may be expected to implement and perl1aps customizes such packages to meet the organization's needs. And again, you may expect to participate in redesigning existing business processes to work appropriately with the SCM solution. SUPPLY CHAIN MANAGEMENT PANGASINAN STATE UNIVERSITY 11  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Customer Relationship Management is software that provides customer with access to a business’s processes from initial inquiry through post sale service and support. any companies have discovered that highly focused customer relationship management can create loyalty that results in increased sales, Thus, many businesses are implementing customer relationship management (CRM) solutions that enable customer self-service via the internet. The theme of all CRM solutions is a focus on the customer." CRM is concerned with not only providing effective customer inquiry responses and assistance but also helping the business better profile its customer base for the purpose of im-proving customer relations and marketing. Examples of CRM vendors are listed In the margin. As was the case with SCM technologies, many ERP vendors are devel-oping or acquiring CRM capabilities to complement and extend their ERP solu-tions. And as with SCM, the larger number of players will likely be reduced through acquisition and attrition. CRM technology Impacts systems analysis in precisely same ways as tl1ose we described for ERP and SCM technology. In many businesses, new applications must in-terface with a core, CRM enterprise application. ENTERPRISE APPLICATION INTEGRATION (EAI) Enterprise Application Integration the process and technologies used to link applications to support the flow of data and information between those applications. Many companies face the significant challenge of integrating their existing legacy systems wltl1 new applications such as ERP, SCM and CRM solutions, Any company that wants to do business across the internet will also have to meet the challenge of integrating its systems with those of other organizations and their different systems :u1d technologies. To meet tills challenge, many organizations are looking at enterprise application Integration software. Enterprise application integration (EAI) involves linking applications, purchased or developed in house, so that they can transparently interoperate with one another. ENTERPRISE APPLICATION INTEGRATION PANGASINAN STATE UNIVERSITY 12  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ Emerging Technology Drivers for Today's Information Systems Advancements in technology play a crucial role in shaping modern information systems, enabling organizations to innovate, improve efficiency, and adapt to changing demands. Key technology drivers include: 1. Cloud Computing: Offers scalable and cost-effective infrastructure, enabling businesses to store, access, and process data over the internet. It supports remote work, reduces hardware dependency, and enhances system flexibility. 2. Artificial Intelligence (AI): Automates complex processes, improves decision-making through predictive analytics, and enhances customer experiences with tools like chatbots and recommendation systems. 3. Big Data Analytics: Enables organizations to analyze vast amounts of structured and unstructured data, uncover patterns, and make data-driven decisions for improved performance and customer insights. 4. Mobile Technologies: Facilitates anywhere, anytime access to systems and services, supporting remote users and improving communication and productivity. 5. Internet of Things (IoT): Connects devices to collect and share data, optimizing operations, improving efficiency, and enabling real-time monitoring in industries like healthcare, manufacturing, and transportation. 6. Blockchain Technology: Provides secure and transparent data management, particularly for transactions and supply chain processes, ensuring data integrity and reducing fraud. 7. Cybersecurity Innovations: Protect systems and data from increasing cyber threats, ensuring privacy and compliance with regulations. These technology drivers collectively transform how organizations design, build, and use information systems, enabling greater scalability, automation, and innovation. LEARNING CONTENTS (SYSTEM DEVELOPMENT PROCESS) A SIMPLE SYSTEM DEVELOPMENT PROCESS System Development process a set of activities, methods, best practices, deliverables, and automated tools that stakeholders use to develop and maintain information systems and software. Most organizations have a formal system development process consisting of a standard set of processes or step they expect will be followed on any system development project. While these processes may vary greatly for different organizations, a common characteristic can be found: Most organizations' system development process follows a problem-solving approach. That approach typically incorporates the following general problem-solving steps: A general problem-solving approach 1. Identify the problem. 2. Analyze and understand the problem. 3. Identify solution requirements or expectations. 4. Identify alternative solutions and choose the “best” course of action. 5. Design the chosen solution. PANGASINAN STATE UNIVERSITY 13  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ 6. Implement the chosen solution. 7. Evaluate the results. If the problem is not solved, return to step 1 or 2 as appropriate. System Development process perspective that we will use (with appropriate refinements) throughout tills book as we study the development process, tools, and techniques. For the sake of simplicity our initial problem-solving approach establishes four stages or phases that must be completed for any system development project-system Initiation, system analysis, system design, and system implementation. A Simple System Development Process Our Simplified System General Problem-Solving Steps Development Process System initiation 1. Identify the problem. System analysis 1. Analyze and understand the problem. 2. Identify solution requirements or expectations. System design 1. Identify alternative solutions and choose the “best” course of action. 2. Design the chosen solution. System implementation 1. Implement the chosen solution. 2. Evaluate the results. If the problem is not solved, return to step 1 or 2 as appropriate. PANGASINAN STATE UNIVERSITY 14  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ SYSTEMS DEVELOPMENT AND PROBLEM SOLVING Project Management the activity of defining, planning, directing monitoring, and controlling a project to develop an acceptable system within the allotted time and budget System Development Process Overview SYSTEM INITIATION- The initial planning for a project to define initial business scope, goals, schedule and budget. Information system projects are usually complicated. They require a significant time, effort, and economic investment. The problems to be solved are frequently stated vaguely, which means that the Initial envisioned solution may be premature. For these reasons, system projects should be carefully planned. System initiation establishes project scope and the problem-solving plan. We see that system Initiation establishes the project scope, goals, schedule, and budget required to solve the problem or opportunity represented by the project. Project scope defines the area of the business to be addre55ed by the project and the goals to be achieved. Scope and goals ultimately impact the resource commitments, namely, schedule and budget, which must be made to successfully complete the project. By establishing a project schedule and budget against the initial scope and goals, you also PANGASINAN STATE UNIVERSITY 15  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ establish a baseline against which all stakeholders can accept the reality that any future changes in scope or goals will impact the schedule and budget. SYSTEM ANALYSIS-is the study of a business problem domain to recommend improvements and specify the business requirements and priorities for the solution. The next step in our system development process is system analysis. System analysis is intended to provide the project team with a more thorough understanding of the problems and needs that triggered the project. As such, the busi-ness area (scope of the project-as defined during system initiation) may be studied and analyzed to gain a more detailed understanding of what works, what doesn’t, and what's needed. The system analysis requires working with system users to dearly define business requirements and expectations for any new system that is to be purchased or developed. Also, business priorities may need to be established In the event that schedule and budget are insufficient to accomplish all that is desired. Recall the business drivers discussed earlier in the chapter. These (and future) business drivers most closely affect system analysis, which often defines business re-quirements in response to the business drivers. For example, we discussed a current trend toward e-business and e-commerce. This business driver may influence the busi-ness requirement for any information system, leading us to establish project goals to conduct all business transactions on Web. The completion of a system analysis often results In the need to update many of the deliverables produced earlier, during system initiation. The analysis may reveal the need to revise the business scope or project goals-perhaps we now feel the scope of the project is too large or too small. Accordingly, the schedule and budget for the project may need to be revised. Finally, the feasibility of the project itself becomes questionable.The project could be canceled or could proceed to the next phase. Project managers, System analysts, and system users are the primary stakeholders in a system analysis. Typically, results must be summarized and defended to the system owners, who will pay to design and Implement an information system to fulfill the business requirements. SYSTEM DESIGN- the specification or construction of a technical, computer based solution for the business requirements for the business requirements identified in a system analysis. Increasingly, the design takes the form of working prototype. Given an understanding of the business requirements for an information system, we can now proceed to system design. During system design we will initially need to explore alternative technical solutions. Rarely is there only one solution to any problem for example, today most companies need to choose between purchasing solution that is good enough and building a custom solution in-house. Once a technical alternative is chosen and approved, the system design phase de-velops the technical blueprints and specifications required to implement the final solution. These blueprints and specifications will be used implement required databases, programs, user interfaces, and networks for the information system, in the case where we choose to purchase software instead of build it, the blueprints specify how the pur-chased software will be Integrated Into the business and with other information systems. These (and future) technology drivers most closely Impact the system design process and decisions. Many organizations define a common information technology architecture based on these technology drivers. Accordingly, all system designs for new information system must conform to the standard IT architecture. SYSTEM IMPLEMENTATION- the construction, installation, testing, and delivery of a system into production (meaning day-to-day operation) The final step in our simple system development process is system implementation. System implementation constructs the new information system and puts It into operation. It is during system PANGASINAN STATE UNIVERSITY 16  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ Implementation that any new hardware and system software are installed and tested. Any purchased application software and databases are Installed and configured. And any custom software and databases are constructed using the technical blueprints and specification developed during system design. As system components are constructed or instead, they must be individually tested. And the complete system must also be tested to ensure that It works properly and meets user requirements and expectations. Once me system h.as been fully tested, it must: be placed into operation. Data from the previous system may have to be converted or entered into start-up databases, and system users must: be trained to properly use the system. Finally, some sort of transition plan from older business processes and Information systems may have to be implemented. SYSTEM SUPPORT AND CONTINUOUS IMPROVEMENT Implemented information systems are rarely perfect. Your users will find errors (bugs) and you will discover, on occasion, design and Implementation flaws that require attention and fixes. Also, business and user requirements constantly change. 11ms, there will be a need to continuously improve any information system until the time it becomes obsolete. So where does system support and change fit into our development process? A change made for system support or Improvement is merely another project, sometimes called a maintenance or enhancement project. Such a project should follow the exact same problem solving approach defined for any other project. The only difference is the effort and budget required to complete the project. Many of the phases will be completed much more quickly, especially if the original stakeholders properly documented the system as initially developed. Of course, If they did not, a system improvement project a quickly consume much greater time, effort, and money. Much of what we will teach you in this module is intended to help you appropriately document information systems to significantly reduce lifetime costs of supporting and improving your Information systems. LEARNING ACTIVITIES Individual Assessment Task Consider the following case scenario: 1. Briefly explain the impact of Web services on Web development. Give some examples of Web services. 2. Research the average and/or median salaries for IT professionals; you can use a variety of methods to find this information, such as searching the Web for online sites that publish the results of salary surveys for IT professionals. You can also look at classified ads in newspapers, trade magazines, and/or online a. Is there a significant difference between typical salaries for system analysts, designers and developers? b. Roughly, what is tile difference in the typical salaries for d1ese different groups? c. What do you think are the reasons for the difference? d. Is there a gender gap in the salaries of IT professionals? PANGASINAN STATE UNIVERSITY 17  FM-AA-CIA-15 Rev. 0 10-July-2020 Study Guide in (SAD 101 – SYSTEM ANALYSIS AND DESIGN) Module No._1_ 3. What do you think will be possible technology 10 years from now? How about 20 or 30 years from now? Research a new and interesting technology that is in the research and development stage. Prepare a presentation using a PowerPoint on this technology and presents it to the class. Submit a short paper on the Impacts this new technology might have on society and/or businesses. Instructions for document format before submission: Write your final answers in a pad of paper and submit on or before the given deadline. Your answer for each question should be a maximum of 10 sentences only. Check grammar, spelling errors before submitting. Place your name, year level and section at the beginning of the page. SUMMARY Information technology can be a driver of information systems. Out-dated technologies can pre-sent problems that drive the need to develop new systems. Newer technologies such the following are influencing today's information systems: ✓ Networks and the internet ✓ Mobile and wireless technologies ✓ Object Technologies ✓ Collaborative Technologies ✓ Enterprise applications Many organizations have a formal systems development process consisting of a standard set of processes or steps they expect will be followed on any systems development project systems develop processes tend to mirror genera) problem-solving approaches. This chapter presented a simplified system development process that Is composed of the following phases: ✓ Initiation ✓ System Analysis ✓ System Design ✓ System Implementation REFERENCES 1. Bentley, Lonnie D., Whitten, Jeffrey L., 2007. System Analysis & Design Methods 7th edition, McGraw-Hill Education. 2. http://searchsoftwarequality.techtarget.com/definition/systems-development-life-cycle PANGASINAN STATE UNIVERSITY 18