13.1 © 2007 by Prentice Hall

1313ChapterChapter

Building SystemsBuilding SystemsBuilding SystemsBuilding Systems

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LEARNING OBJECTIVES

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

• Demonstrate how building new systems produces organizational change.

• Identify and describe the core activities in the systems development process.

• Evaluate alternative methods for building information systems.

• Compare alternative methodologies for modeling systems.

• Identify and describe new approaches for system-building in the digital firm era.

13.3 © 2007 by Prentice Hall

A New Ordering System for Girl Scout Cookies

• Problem: Inefficient manual procedures, high error rate.

• Solutions: Eliminate manual procedures, design new ordering process, and implement database building software to batch and track orders automatically and schedule order pickups.

• QuickBase for Corporate Workgroups software service increased efficiency and reduced errors.

• Demonstrates IT’s role in updating traditional business processes.

• Illustrates digital technology as the focus of designing and building new information systems.

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.4 © 2007 by Prentice Hall

Systems as Planned Organizational Change

• Systems development and organizational change

• Business process reengineering

• Steps in effective reengineering

• Process improvement: Business process management, total quality management, and six sigma

• Business process management (BPM

• Total quality management (TQM)

• Six sigma

• How information systems support quality improvements

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.5 © 2007 by Prentice Hall

Organizational Change Carries Risks and RewardsOrganizational Change Carries Risks and Rewards

Figure 13-1

The most common forms of organizational change are automation and rationalization. These relatively slow-moving and slow-changing strategies present modest returns but little risk. Faster and more comprehensive change—such as reengineering and paradigm shifts—carries high rewards but offers substantial chances of failure.

Systems as Planned Organizational Change

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.6 © 2007 by Prentice Hall

• Read the Interactive Session: Organizations, and then discuss the following questions:

• What was wrong with the existing computer system (ALCS) and why did SBA decide to replace it?

• What was the purpose of re-organizing the ODA and centralizing IT in a single office, and centralizing other functions like the call center in a single office?

• In what other ways could the agency use information systems to improve the process of loan application, approval, and maintenance?

Business Process Redesign at the Small Business Administration

Systems as Planned Organizational Change

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.7 © 2007 by Prentice Hall

Overview of Systems Development

• Systems analysis

• Establishing information requirements

• Systems design

• The role of end users

• Completing the systems development process

• Programming

• Testing

• Conversion

• Production and Maintenance

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.8 © 2007 by Prentice Hall

The Systems Development ProcessThe Systems Development Process

Figure 13-3

Building a system can be broken down into six core activities.

Overview of Systems Development

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.9 © 2007 by Prentice Hall

Overview of Systems Development

• Modeling and designing systems: Structured and object-oriented methodologies

• Structured methodologies

• Object-oriented development

• Computer-aided software engineering

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.10 © 2007 by Prentice Hall

High-Level Structure Chart for a Payroll SystemHigh-Level Structure Chart for a Payroll System

Figure 13-6

This structure chart shows the highest or most abstract level of design for a payroll system, providing an overview of the entire system.

Overview of Systems Development

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems

13.11 © 2007 by Prentice Hall

Class and InheritanceClass and Inheritance

Figure 13-7

This figure illustrates how classes inherit the common features of their superclass.

Overview of Systems Development

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13.12 © 2007 by Prentice Hall

Alternative Systems-Building Approaches

• Traditional systems life cycle

• Prototyping

• Steps in prototyping

• Advantages and disadvantages of prototyping

• End-user development

• Application software packages and outsourcing

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13.13 © 2007 by Prentice Hall

• Rapid application development (RAD)

• Component-based development and Web services

• Web services and service-oriented computing

Application Development for the Digital Firm

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13.14 © 2007 by Prentice Hall

• Read the Interactive Session: Management, and then discuss the following questions:

• What is the basis for vendor firms claiming they can provide IT services more economically than a firm’s own IT staff?

• Why is it difficult to write iron-clad legal contracts specifying in detail strategic alliance outsourcing relationships?

• Why do joint ventures and co-sourcing outsourcing relationships have a better chance of success?

How to Get Outsourcing Right: Avoid Getting It Wrong

Application Development for the Digital Firm

Management Information SystemsManagement Information SystemsChapter 13 Building SystemsChapter 13 Building Systems