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System Planning

System Planning. Introduction to System Planning. System Planning is the examination and evaluation of an operation or task in order to identify and implement more efficient methods, usually through the use of computers. Systems planning can be broken down into three main areas:

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System Planning

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  1. System Planning

  2. Introduction to System Planning • System Planning is the examination and evaluation of an operation or task in order to identify and implement more efficient methods, usually through the use of computers. • Systems planning can be broken down into three main areas: • The production of a statement of objectives; • Determination of the methods of best achieving these objectives in a cost-effective and efficient way; • The preparation of a feasibility study.

  3. Dimensions of System Planning • Comprehensiveness: the extent as to which an organization attempts to exhaust all necessary measures in integrating strategic decisions. •  Formalization: the existence of techniques, policies and written procedures that guide the planning stage. • Focus: the balance between control orientations and creativity. • Top-down flow: should be initiated by the management heads with the help of support staff. • Broad participation: it must involve all functional areas and levels of the organization. • High consistency: should be characterized by constant assessments of the overall strategy.

  4. Corporate Strategic Planning • Ongoing process that defines mission, objectives, and strategies of an organization • Corporate strategy involves: • Mission statement • Objective statements • Description of competitive strategy

  5. Mission Statement Concise statement about the main business of the organization

  6. Statement of Objectives A series of statements that express quantitative and qualitative goals for the future position of an organization

  7. Competitive Strategy • The method by which the organization will attempt to satisfy its mission and objectives • Main types: • Low-cost producer • Product differentiation • Product focus

  8. Information Systems Planning (ISP) • An orderly means of assessing the information needs of an organization and defining systems, databases, and technologies that will best meet those needs • ISP must be done in accordance with the organization's mission, objectives, and competitive strategy.

  9. Approaches to IS Planning • Top-down planning • Attempts to gain a broad understanding of information system needs of the entire organization • Bottom-up planning • Identifies IS development projects based on solving specific operational business problems or taking advantage of specific opportunities

  10. Benefits of Top-Down Planning • Broader perspective • Improved integration • Improved management support • Better understanding But, bottom-up planning can be faster and less costly, so may be beneficial in certain circumstances

  11. Data & Fact Gathering Techniques Under Analysis phase • Review of documentation • Observation of the current system • Using questionnaires to determine user and perhaps customer satisfaction • Review of internal control procedures • Conducting interviews with individual system participants • Presentations • Group Discussions

  12. Project Feasibility • Measure of how beneficial or practical the development of an information system will be to an organization. • Process by which feasibility is measured • Continuing process of feasibility assessment • Tests of feasibility • Technical feasibility • Operational feasibility • Schedule Feasibility • Economic feasibility

  13. Tests of Feasibility • Operational Feasibility • How well will the solution work in the organization? • Technical Feasibility • How practical is the technical solution? • How available are technical resources and expertise?

  14. Tests of Feasibility • Schedule Feasibility • How reasonable is the project timetable? • Economic Feasibility • How cost-effective is the project or solution? • Cost-benefit analysis

  15. Operational Feasibility • Questions to Ask • Is the problem worth solving? • Will the solution to the problem work? • How do end users and management feel about the solution? • Has a usability analysis been conducted?

  16. Technical Feasibility • Questions to Ask • Is the proposed solution practical? • Do we possess the necessary technology? • Do we possess the necessary technical expertise?

  17. Economic Feasibility • Cost-benefit analyses • How much will the system cost? • Development costs • Operation costs • Maintenance and support costs • Do we possess the necessary technology? • Do we possess the necessary technical expertise? • Is the schedule reasonable?

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