Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Unit Iii


Published on

Published in: Business, Technology
  • Be the first to comment

  • Be the first to like this

Unit Iii

  1. 1. Extra Questions Unit III Concepts of planning and control Ques 1.What is Total quality management (TQM)? Ques 2.What are the different levels of management? Ques 3.Why is planning important for Information systems? Ques 4.What is organizational planning? Ques 5.What is a business model? What are the components of a business model? Ques 6.What is Information technology architecture for any business? Ques 7.Discuss system analysis and design Ques 8.Discuss MIS development procedure Ques 9.Discuss quality in Information systems Ques 10.Discuss acquisition of hardware, software and services for Information systems Ques 11.Discuss computer peripherals and storage devices available Ques 12.Discuss software available for IS development Ques 13.What are structured and unstructured decisions? What are programmable and un- programmable decisions? Ques 14.What is Information system audit? Ques 15.Briefly discuss the planning process. Discuss the three stage model of the planning process Ques 16.Discuss computational support for planning Ques 17.Why is control important for management Ques 18.Discuss different types of control. Ques 19.What is feedback and why is it important? Ques 20.Discuss the factors to be considered for Information system organization? Ques 21.Discuss NOLANs four and six stage model Ques 22.Discuss the content of IS master plan Ques 23.Discuss post audit evaluation of IS applications
  2. 2. Ques 24.How do you determine the IS requirements?
  3. 3. Answers 1.9.Quality in Information Systems An application has quality relative to its primary and secondary users, operations personnel, control personnel, maintenance personnel, and so forth. Ensuring continuous quality in IS throughout development process is called Total quality management. TQM is a strategic approach to business improvement. Quality in information systems has a number of characteristics. The importance of each depends on the application and its context. The following are some of the characteristics included in the concept of quality in information systems: Complete Data All data items are captured and stored for use. Data items are properly identified with time periods. Accurate data The correct data values are recorded Precise data Measurement of variables meets user needs for precision Understandable output The output of the system is understandable Timely output The output of the application is available in time for actions and decisions Relevant output The outputs are relevant to the actions and decisions to be taken Meaningful output The format, labelling, data provided, and context in which data is presented makes the output meaningful for actions and decisions User friendly operation The system provides user interfaces that are understandable and designed to confirm to human capabilities Error resistant operations Suitable error prevention and detection procedures are in place. There are procedures for reporting and correcting errors. Various audit procedures are applied. Authorized use Only authorized personnel have access to facilities, applications and data Protection system and The system and its operations are protected from various operations environmental and operational risks. There are provisions for recovery in the event of failure or destruction of part or all of the system. The role of top management in information system quality control is to establish the overall organization structure, select the information system executive, approve the information system plan and budget, and evaluate performance. 2. Top level-Strategic management Middle management –Tactical Operational management-Operating management 3-4. Planning is an ongoing organizational function that provides the framework for operational activities and decision making. The organization mission is translated into operational objectives through an organizational hierarchy of planning activities. Formal organizational planning focuses the energies and activities of the organization on achievement of its objectives, to reconcile
  4. 4. differences in objectives and plans of subareas and individuals within the organization, and to remove doubts about what organization should do. Thus planning can help in motivation 5. A business model is a conceptual framework that expresses the underlying economic logic and system that prove how a business can deliver value to customer at an appropriate cost and make money. Components of business model are: Components Questions Customer value How is the firm offering its customers something distinctive at lower cost using IT Scope To which customer is the firm offering this value Pricing How does the firm price the value Revenue resource Where do the revenues come from Connected activities Set of activities to be performed Implementation What organizational structure, people, systems and environment is needed by people to carry out these activities Capabilities What are the capabilities or lack in capabilities of firm Sustainability What keeps the firm in a strategic advantage It is a valuable tool because it focuses attention on how all the essential components of a business fit into a complete system. On the basis of such business models, new strategies can be built during the planning phase. 6. It architecture is created by the strategic/ IT planning process and includes the following major components: • Technology platform consists of the networks, computer systems, software, applications • Data resources include databases, warehouses etc. • Application architecture is the architecture of the implemented system which may be cross functional such as ERP, CRM etc. • IT organization is the organizational structure for IS specialists 7. System Analysis and design is performed before the system is actually implemented. It forms the basis for implementation and gives direction to the system implementation. Steps in System Analysis and Design 1. Need for information (Nature of information) 2. Define the system (Nature of system) 3. Feasibility study (Technical, Economic, Operational) 4. Detailing the requirements (Precise requirements) 5. Conceptual System Design (Input, Process, Output) 6. Detailing the System design (DFDs, Data flows) 7. Structuring the system design (Hierarchy) 8. Conceptual model of computer system (processes) 9. Break the system in programmable modules 10. Develop the test data for checking the system ability 11. Install the system 12. Implementation 13. Review and maintenance
  5. 5. 8. Depending upon uncertainty level about the requirements gathered the development strategy is selected. Following four strategies are discussed. 1. Acceptance assurance strategy is applied when the requirements are complete and correct. Once the requirements are gathered they are implemented in the system. 2. Linear assurance process starts with requirement gathering and in each subsequent stage there are assurance checks to confirm correct implementation 3. Iterative assurance process goes ahead like other methods, but whenever there is a need to improve the requirements, it goes back to the first stage, thus being called iterative. 4. Experimental assurance process creates a prototype (a demo version) and then builds the whole system on its basis, if it gets approved. The implementation activities include: 1. Acquisition of hardware and software 2. Software development 3. End user training 4. System documentation 5. Conversion of system (Application in the organization) 10. Companies evaluate the hardware and software required for IS implementation, before they acquire it. First the requirements are laid down in a request for quotation document. Basic performance requirements are stated and quotations received for the product. Several companies use a scoring system for evaluating multiple proposals. Independent hardware and software information services can be used to gain detailed specifications. It should be ensured that hardware is safe to use and technically competent. Software used should be reliable and compatible. Services are generally provided with purchase of new hardware and software. 11. Review of Hardware and Software Technologies Peripherals is the generic name given to all input, output and secondary storage devices that are part of a computer system. Peripherals depend on direct connections or telecommunications links to the central processing unit of a computer system. Input technologies 1. Keyboard 2. Pointing devices 1. Electronic mouse 2. Trackball 3. Touchpad 4. Pointing stick 5. Touch screens use infrared beam, sound waves, or a slight electric current that is broken when the screen is touched 3. Handwriting recognition through pen-based computing. PDAs have a pressure sensitive layer like a graphics pad under their slate like liquid crystal display screen. 4. Speech recognition systems digitize, analyze, and classify your speech and its sound patterns. The software compares your speech patterns to a database of sound patterns in its vocabulary and passes recognized words to your application software. 5. Optical scanning devices read text or graphics and convert them into digital input for your computer. Another technology is optical character recognition. 6. Magnetic stripe 7. Smart cards
  6. 6. 8. Digital cameras 9. Magnetic ink character recognition detects iron oxide-based ink Output Technologies 1. Video output 1. Video monitors use a cathode ray tube technology 2. Liquid crystal displays (LCDs) 2. Printed output 1. Inkjet printers spray ink onto a page one line at a time. 2. Laser printers use an electrostatic process similar to a photocopying machine. Storage 1. Magnetic tape records data in the form of magnetized spots on the iron oxide coating of the plastic tape. 2. Magnetic disks contain metal disks that are coated on both sides with an iron oxide recording material. Several disks are mounted together on which data is stored in the form of tiny magnetized spots to form the binary digits 1. Floppy disks 2. Hard disk drives 3. RAID (redundant arrays of independent disks) 3. Optical disks are used by business for image processing 1. CD-ROM use a laser device to read the binary codes created by burning microscopic pits in a spiral track by laser 2. CD-R records permanently 3. CD-RW use magneto optical technology 4. DVD 5. DVD-ROM 6. DVD-RAM 12.Software Types of programming languages 1. Machine language/ Ist generation language: It is a series of 0s and 1s 2. Assembler language/ IInd generation language: It uses mnemonic names for operations 3. High level language/ IIIrd level language: Instructions are in the form of statements which are compiled or interpreted before being executed 4. Fourth level languages are more non-procedural with simpler syntax 5. Object oriented language Classification of software 1. Application software which performs processing for end user 2. System software that supports operations of computer networks and systems Types of software 1. Software suites are two or more packages bundled together e.g. Microsoft office, Lotus notes suite 2. Software packages are a combination of some functions of several programs e.g. Microsoft works 3. Web browsers enable easy use of internet 4. E-mail is a way of communicating with people 5. Word processors e.g. Microsoft word 6. Electronic spreadsheets e.g. Microsoft excel
  7. 7. 7. Presentation graphics e.g. Microsoft PowerPoint 8. Database management systems (DBMS) 9. Technologies for multimedia 10. Personal information managers e.g. lotus notes 11. Operating systems 12. Model generators facilitate the development of models and DSS. It includes programming language, spreadsheets, and statistical packages. A good model generator should have easy usability, access t o wide variety of data and analysis capability. 13. Model Base Management Systems (MBMS) manage models and analysis programs in much the same way as the DBMS manages data. 13. Structured decisions are the ones that involve a methodological process for decision making and a lot of experience is available for such decision making. Established models can be followed for making such decisions. But some decisions are not structured and require personal judgement and intuition. These decisions are based on the decision maker’s values and perception. It is difficult to build a system which can replicate such decision making. Similarly programmable decisions can be modelled whereas non-programmable decisions cannot be replicated. 14. Auditors evaluate the Information systems against the laid down standards. Auditors specializing in IS audits are called EDPs. External auditors study and evaluate the internal control. Their evaluation process consists of the following steps: 1. Preliminary phase of review which forms the guideline for the rest of the review 2. Complete the review with a detailed study of the other control system 3. Obtain evidence to the compliance of existing system 4. Evaluation of the evidence Internal auditors are the employees of the company and provide the controlling activities for the system. They report to the managers and participate in post audit evaluation, periodic tests of security and backup procedures. 15. Three stage model of the planning process • It clarifies the generic planning activities, the order of activities, and the alternative techniques and methodologies that apply
  8. 8. 16. Computational support for planning There are four types of computational support needed for the analysis preparatory to planning, the preparation of plan, and the output of results. 1. An analysis of historical data 2. Projections and forecasts for estimating future values 3. Computations internal to the plan and computations required for outputs 4. Organized output of results Historical data analysis Time trend analysis states the past trend over time for a particular quantity such as sales growth over the past 5 years. Correlation analysis finds the degree of association between two sets of data. Data description and dispersion using mean, median, mode and standard deviation Historical Extrapolation Techniques It involves combining past data analysis with planning. Time series extrapolation would state that if past growth rate of data has been 5%, then it will be the same the next year as well. Similarly on the basis of regression analysis we can assume the past patterns to maintain themselves. Similarly percentages and ratios can be calculated Financial Planning Computations Rate of return, Break even analysis etc can be calculated 17. Managerial control implies the measurement of accomplishment against the standard and the correction of deviations to assure attainment of objectives according to plans. It is a continuous process of verifying whether actions are being taken as planned and taking corrective action to ensure that events conform to plans as closely as possible. Planning is meaningless without control and control is aimless without planning. Control helps understand the need for revision of plans if required. 18. Information feedback systems Open and closed loop Information feedback is essential to an understanding of the self regulating nature of systems in general and how this attribute can be applied in a MIS to aid in decision making
  9. 9. Control and feedback Feed-forward control These models of control can be implemented in IS and the reports generated can be used to find deviations from plans 19. Once the plan has been implemented, it is important to see if it is being implemented or operated in the right manner and it serves the business purpose correct. For this we evaluate the system frequently and send reports in the form of feedback to the system. Feedback is important because it helps in knowing the current position of business. Feedback that helps dampen and reduce fluctuations around the standard is termed negative feedback and the feedback that reinforces the direction in which the system is moving is called positive feedback. 20. Major issues are: • Centralization and Decentralization • Allocation of hardware and software • Maintenance of the service level • Fitting the organization of the MIS in corporate organization, its culture and management philosophy 21. Information system growth models Assumptions of NOLAN model • Organizational learning • Stages cannot be skipped • Other than the natural process, these processes can be planned, coordinated, and managed to move through the stages effectively and efficiently • The NOLAN stage model The organization must go through each stage of growth before it can progress to the next one, thus giving an insight to planning regarding the stage of an IS Stages of Information system growth Stages of growth Description
  10. 10. Initiation Early use Expansion Experimentation, rising cost Formalization Organizational controls Maturity Integration of applications Stages NOLAN six stage model Stage Level of control or slack I Low control. Some slack. No planning II Greater slack due to encouraged use, integration and lack of planning III High controls, planning given importance IV Use of databases for integration V Slack due to focus on strategically important systems VI Application portfolio complete and matches organizational objectives NOLAN alternative model Due to technological changes the growth curve shifts as follows
  11. 11. Advantages and disadvantages of NOLAN model • Advantages – Evolutionist model as it focuses on development • Disadvantages – Lack of specificity as it does not define the mechanism for change 22. Content of Master development plan/ Information System plan/ Information Resource plan The master plan has two components:- a long-range plan and a short-range plan. The long- range plan provides general guidelines for direction and the short-range plan provides a basis for specific accountability as to operational and financial performance. It consists of the following subheadings:- – Information system goals, objectives, and architecture – Inventory of current capabilities – Forecast of developments against the plan – The specific plan 1. Information system goals, Objectives, and architecture – Organizational goals, objectives, and strategies – External environment (industry, government regulations, customers, and suppliers) – Internal organizational constraints such as management philosophy – Assumptions about business risks and potential consequences – Overall goals, objectives, and strategy for the information system – Architecture of the information system 2. Current capabilities – Inventory of – Hardware – Software (System software, DBMS, etc) – Application systems (classified on the basis of functional systems, organizational strategy, maintenance need) – Analysis of – Expense – Hardware utilization – Software utilization – Personnel utilization (further classification such as job, skill, functional area) – Status of projects in progress – Assessment of strengths and weaknesses 3. Forecast of developments Affecting plan
  12. 12. – Hardware and software technological availabilities should be forecasted with expected impact on existing IS – Methodology changes should be forecasted – Environmental developments such as government regulations, tax laws and competitors affecting IS should be stated 4. Specific plan – Hardware acquisition schedule – Purchased software schedule • System Software • Applications software – Application development schedule – Software maintenance and conversion schedule – Personnel resources required and schedule of hiring and training – Financial resources required by object of expenditure The master plan is prepared from the CIO’s point of view and focuses on the planning strategy e.g. if the planning strategy for consideration is the end-user computing, then the plan will highlight the end users in the IS. 23. Post audit evaluation of IS Applications The audit group reviews the objectives and cost-benefit representations made on behalf of the project and compare them with actual performance and actual costs. It also reviews the operational characteristics, documentation, backup and maintainability considerations. Control and security provisions are examined. The results of post audit evaluation are used for improving profitability, reference for future projects, replacing of application if no longer useful. The system is evaluated on technical, operational and economic basis. The existing hardware and software is also evaluated using monitors that detect performance, idle resources, bottlenecks and load imbalance. Also system logs can be made that provide important information for evaluation such as job times, problems with reruns etc. 24. Analysis of Organizational information requirements • Information requirements are required at the organizational level for information system planning, identifying applications, and planning an information system architecture. • More detailed information requirements are required for detailed design of applications. Strategy approach to the determination of Information requirements • Constraints – Humans as information processors – Variety and complexity – Complex patterns of interaction – Unwillingness of some users • Levels of requirements – Organizational level requirements help in making the master plan. The overall information architecture and the boundaries and interfaces of the individual application subsystem are defined. – Database level requirements define the data associated with organizational processes. – Detailed requirements for an application (social and technical) are based on the needs of tasks or jobs.
  13. 13. Steps: • Identify those characteristics of the four elements in the development process that affect uncertainty in the determination of information requirements – Utilizing system (Identify the existing business systems) – Information system or application (Identify the existing information systems) – Users (Identify the existing users) – Analysis • Evaluate the effect of the characteristics of the four elements in the development process on three process uncertainties: (Which of these can be relied for collecting information) – Existence and availability of a set of usable requirements – Ability of users to specify requirements – Ability of analysis to elicit and evaluate requirements • Evaluate the combined effect of the process uncertainties on overall requirements uncertainty • Select a primary strategy for requirements determination based on the overall requirements uncertainty. – Asking • Closed questions • Open questions • Brainstorming • Guided brainstorming • Group consensus – Deriving from an existing information system • Existing system being replaced by the new system • Existing system in another , similar organization • Proprietary system or commercial package • Descriptions in textbooks, handbooks, industry studies etc. – Synthesizing from characteristics of the utilizing system • Normative analysis (normal or general requirements of any system) • Strategy set transformation (organizational requirements) • Critical factors analysis approach (critical success factors CSFs) • Process analysis (Business systems planning BSP) studies the business processes to understand the underlying requirements • Ends-means analysis distinguishes inputs from outputs and identifies both by interacting with the managers • Decision analysis identifies the information required for decision making • Socio-technical analysis • Input-process-output analysis – Discovering from experimentation with an evolving information system i.e. build a sample program and understand from that system. • Select one or more methods from the set of methods to implement the primary strategy