Systems Development and Project Management

 DEVELOPING ENTERPRISE APPLICATIONS

      Developing Software

           Business-Related Consequences of Software Success and
            failures

                 Increases or decreases revenues – organizations have
                  the ability to directly increase profits by implementing
                  successful IT systems.

           Repair or damage to brand reputation – CRM can directly
            enhance a company’s brand. Software can also seriously
            damage a company’s reputation if it fails to work as
            advertised.

           Prevent or incur liabilities – CT Scans and MRI’s help save lives
            and faulty technology on airlines, cars, or pacemakers can
            cause serious injury or death

           Increase or decrease productivity – CRM and SCM can directly
            increase productivity and software malfunctions can cause
            losses

      The System Development Life Cycle

           The systems development life cycle (SDLC) is the overall
            process for developing information systems from planning and
            analysis through implementation and maintenance.

           The seven phases:

                 Planning – involves establishing a high-level plan of
                  intended project and determining project goals.
 Analysis – involves analyzing end-user business
             requirements and refining project goals into defined
             functions and operations of the intended system.

            Design – involves describing the desired features and
             operations of the system including screen lay-outs,
             business rules, process diagrams, pseudo code, and
             other documentation.

            Development – involves taking all the detailed design
             documents from the design phase and transforming
             them into the actual system.

            Testing – involves bringing all the project pieces
             together into a special testing environment to test for
             errors, bugs, and interoperability and verify that system
             meets all business requirements defined in the analysis
             phase.

            Implementation – involves placing the system into
             production so users can begin to perform actual
             business operations with the systems.

            Maintenance – Maintaining the system is the final
             sequential phase of any systems development effort.

      Rapid Application Development (RAD) Methodology

            Rapid application development emphasizes extensive
             user involvement in the rapid and evolutionary
             construction of working prototypes of system to
             accelerate the systems development process.

 Rational Unified Process (RUP)

      RUP provides a framework for breaking down the
       development of software into gates.
 The gates include:

                Gate One – inception phase includes inception of the
                 business case

                Gate Two – Elaboration phase provides a rough order of
                 magnitude.

                Gate Three – Construction – phase includes building and
                 developing the product.

                Gate Four – Transition – addresses ownership of the
                 system and training of key personnel.

     Developing Successful Software

          Slash the budget – small budgets force developers and users to
           focus on the essentials.

          If it Doesn’t Work, Kill It – Bring all key stakeholders together
           at the beginning of a project and as it progresses bring them
           together again to evaluate the software.

          Keep Requirements to a Minimum – start each project with
           what the software must absolutely do.

          Test and Deliver Frequently

          Assign Non-IT Executives to Software Projects

 PROJECT MANAGEMENT

     The Project Management Institute

          Project deliverables – are any measurable, tangible, verifiable
           outcome, result or item that is produced to complete a project
           or part of a project.
 Project milestones – represent key dates when a certain group
       of activities must be performed.

      Project manager – is an individual who is an expert in project
       planning and management

      Project management office (PMO) – an internal department
       that oversees all organizational projects

 Understanding Project Planning

      Project Charter – is a document issued by the project manager
       with the authority to apply organizational resources to project
       activities

      Project charters include:

            Project scope – the work that must be completed to
             deliver a product with the specified features and
             functions

            Project objectives – criteria that must be met for the
             project to be considered a success

            Project constraints – factors that can limit options

            Project assumptions – factors that are considered to be
             true, real, or certain without proof or demonstration.

      Project Plan – a formal, approved document that manages and
       controls project execution

            Kill switch – a trigger that enables a project manager to
             close the project prior to completion.

 Outsourcing Projects

      Three different forms of outsourcing
 Onshore – engaging another company within the same
        country for service

       Nearshore – contracting an outsourcing arrangement
        with a company in a nearby country

       Offshore – using organizations from developing
        countries to write code and develop systems

 Drivers affecting the growth of outsourcing:

       Core competencies

       Financial savings

       Rapid growth

       Industry changes

       The internet

       Globalization

 Benefits of Outsourcing

       Increased quality and efficiency of process, service, or
        function

       Reduced operating expenses

       Resources focused on core profit-generating
        competencies

       Reduced exposure to risks involved with large capital
        investments

       Access to outsourcing service providers economies of
        scale

       Access to outsourcing service providers expertise
 And best-in-class

      Access to advanced technology

      Increased flexibility with the ability to respond quickly to
       changing market demands

      No costly outlay of capital funds

      Reduced head count and associated overhead expense

      Reduced frustration and expense related to hiring and
       retaining employees in an exceptionally tight job market

 Challenges of Outsourcing

      Contract length

           o Difficulties in getting out of contracts

           o Problems forecasting the next 5-10 years

           o Problems reforming internal IT

      Competitive edge

      Confidentiality

      Scope definition

Chapter 11

  • 1.
    Systems Development andProject Management  DEVELOPING ENTERPRISE APPLICATIONS  Developing Software  Business-Related Consequences of Software Success and failures  Increases or decreases revenues – organizations have the ability to directly increase profits by implementing successful IT systems.  Repair or damage to brand reputation – CRM can directly enhance a company’s brand. Software can also seriously damage a company’s reputation if it fails to work as advertised.  Prevent or incur liabilities – CT Scans and MRI’s help save lives and faulty technology on airlines, cars, or pacemakers can cause serious injury or death  Increase or decrease productivity – CRM and SCM can directly increase productivity and software malfunctions can cause losses  The System Development Life Cycle  The systems development life cycle (SDLC) is the overall process for developing information systems from planning and analysis through implementation and maintenance.  The seven phases:  Planning – involves establishing a high-level plan of intended project and determining project goals.
  • 2.
     Analysis –involves analyzing end-user business requirements and refining project goals into defined functions and operations of the intended system.  Design – involves describing the desired features and operations of the system including screen lay-outs, business rules, process diagrams, pseudo code, and other documentation.  Development – involves taking all the detailed design documents from the design phase and transforming them into the actual system.  Testing – involves bringing all the project pieces together into a special testing environment to test for errors, bugs, and interoperability and verify that system meets all business requirements defined in the analysis phase.  Implementation – involves placing the system into production so users can begin to perform actual business operations with the systems.  Maintenance – Maintaining the system is the final sequential phase of any systems development effort.  Rapid Application Development (RAD) Methodology  Rapid application development emphasizes extensive user involvement in the rapid and evolutionary construction of working prototypes of system to accelerate the systems development process.  Rational Unified Process (RUP)  RUP provides a framework for breaking down the development of software into gates.
  • 3.
     The gatesinclude:  Gate One – inception phase includes inception of the business case  Gate Two – Elaboration phase provides a rough order of magnitude.  Gate Three – Construction – phase includes building and developing the product.  Gate Four – Transition – addresses ownership of the system and training of key personnel.  Developing Successful Software  Slash the budget – small budgets force developers and users to focus on the essentials.  If it Doesn’t Work, Kill It – Bring all key stakeholders together at the beginning of a project and as it progresses bring them together again to evaluate the software.  Keep Requirements to a Minimum – start each project with what the software must absolutely do.  Test and Deliver Frequently  Assign Non-IT Executives to Software Projects  PROJECT MANAGEMENT  The Project Management Institute  Project deliverables – are any measurable, tangible, verifiable outcome, result or item that is produced to complete a project or part of a project.
  • 4.
     Project milestones– represent key dates when a certain group of activities must be performed.  Project manager – is an individual who is an expert in project planning and management  Project management office (PMO) – an internal department that oversees all organizational projects  Understanding Project Planning  Project Charter – is a document issued by the project manager with the authority to apply organizational resources to project activities  Project charters include:  Project scope – the work that must be completed to deliver a product with the specified features and functions  Project objectives – criteria that must be met for the project to be considered a success  Project constraints – factors that can limit options  Project assumptions – factors that are considered to be true, real, or certain without proof or demonstration.  Project Plan – a formal, approved document that manages and controls project execution  Kill switch – a trigger that enables a project manager to close the project prior to completion.  Outsourcing Projects  Three different forms of outsourcing
  • 5.
     Onshore –engaging another company within the same country for service  Nearshore – contracting an outsourcing arrangement with a company in a nearby country  Offshore – using organizations from developing countries to write code and develop systems  Drivers affecting the growth of outsourcing:  Core competencies  Financial savings  Rapid growth  Industry changes  The internet  Globalization  Benefits of Outsourcing  Increased quality and efficiency of process, service, or function  Reduced operating expenses  Resources focused on core profit-generating competencies  Reduced exposure to risks involved with large capital investments  Access to outsourcing service providers economies of scale  Access to outsourcing service providers expertise
  • 6.
     And best-in-class  Access to advanced technology  Increased flexibility with the ability to respond quickly to changing market demands  No costly outlay of capital funds  Reduced head count and associated overhead expense  Reduced frustration and expense related to hiring and retaining employees in an exceptionally tight job market  Challenges of Outsourcing  Contract length o Difficulties in getting out of contracts o Problems forecasting the next 5-10 years o Problems reforming internal IT  Competitive edge  Confidentiality  Scope definition