SlideShare a Scribd company logo
GG Freightways (GGFRT) IT Decision Paper Assignment
Before you begin this assignment, be sure you have read the
“GG Freightways Case Study,” any feedback on your proposed
IT project from your ITSP Part 2 assignment, and the previously
assigned course materials.
Purpose of this Assignment
This assignment gives you the opportunity to apply the course
concepts to develop an IT Decision Paper to explain and defend
an IT project at GG Freightways (GGFRT). This assignment
specifically addresses the following course outcomes to enable
you to:
· Apply best practices in information technology management
and governance to make, defend, and justify an IT decision.
IT Decision Paper for Your Proposed IT Project
For your ITSP, Part 2, you proposed an IT project for GGFRT.
Lance, the CIO at GGFRT, has asked you to write an IT
Decision Paper to explain your proposed project. He wants to
use the Paper to gain approval from the Governance Board to
move forward with the project. This assignment uses a format
for a Decision Paper that has been tailored to the course
material covered in this class. You may work for an
organization that has a format for IT decision papers, and it
would be a good idea for you to look at it, but it will likely be
structured a little differently from this one. Each organization
develops tools and techniques that will work for them.
Assignment
You will develop an IT Decision Paper, using the outline below.
Each of the topics to be included in your outline is covered in
the course content readings assigned thus far. In addition to the
course materials, at least one external resource (resource other
than those provided in the class) must be used. Two or more
cited references will earn top credit. Use a separate References
page to list just the references you have cited. Remember to use
the APA formatting rules and correctly cite and reference your
sources with APA format. Use the Grading Rubric to be sure
you have covered everything.
Please use this outline to build your IT Decision Paper. Use the
numbering and headings shown below.
1. Project Description – In two or three sentences:
(1) describe the IT project you proposed for GGFRT in Part 2
of your ITSP.
(2) Describe what major function(s) the system would
perform and who would use it. (Do not provide a technical
description with hardware, software, etc.)
2. Strategic Alignment – In a short paragraph:
(1) explain how the proposed project aligns to the business
strategic objectives in Part 1 of your ITSP, and,
(2) how the proposed project aligns to the IT strategies in Part
2 of your ITSP.
Your proposed project must be aligned directly with at least one
business strategic objective and one IT strategy shown in your
ITSP.
3. IT Portfolio Roadmap Alignment – In a short paragraph:
(1) Briefly explain where this project fits into the IT Portfolio
Roadmap you included in Part 2 of your ITSP.
(2) What functional area does it support?
(3) Where should it be included in the timeline – i.e., should it
take priority or be done before another project in the IT
Portfolio?
4. IT Architecture – In a short paragraph:
(1) Briefly explain how this project fits in with other systems
in place or in development at GGFRT.
(2) Explain whether it should interface with (share data of any
kind with) other systems either in place or in development, what
information is being shared, and its purpose.
(3) Explain whether it replaces another system or multiple
systems in use at GGFRT.
Refer to the Inventory of Current IT Projects in Part 1 of your
ITSP and the IT Portfolio in Part 2 of your ITSP.
5. Benefits: Describe at a high level three (3) benefits the
project provides to GGFRT. The benefits should correspond to
the business strategies and the strategic alignment discussed in
section 2 above. State the Business Strategic Objective. Then,
discuss this relationship/alignment for each benefit to the
Business Strategic Objective. Refer to course content readings
from Week 4 on Value Attainment. External research may also
be beneficial.
Please copy/paste the following table into your paper and
complete it:
Benefit (Spring 2019)
Business Strategic Objective/Explanation of Alignment of
Benefit to Business Strategic Objective
Example: do not use but leave it in the table when completing
this section.
If the project is updating the Route Optimization/Freight
Tracking System to include a package tracking feature: Better
visibility for GGFRT and its customers into the delivery status
of packages.
Tracking freight to provide customers with better delivery dates
& times
This real-time feature of package status will allow both
customers and GGFRT employees to see where the package is,
while in transit. This will allow the customer to know
where/when the package will be delivered.
1.
2.
3.
6. Requirements – List and briefly explain the high-level
requirements for the project. First, explain the primary driver of
the project (major need of the business area related to the
project you have chosen), in a well-written introductory
paragraph. Refer to course content readings regarding
requirements (Week 7). External research may also be
beneficial. Requirements were also covered in IFSM 300 (the
prerequisite to be taken prior to this course; in Stage 3
requirements you noted requirements; refer to this assignment
for examples). Develop ten (10) requirements for the project
and include what category of the requirements below your
presented requirements fit into:
a. Business/user requirements
b. IT/system requirements
c. At least one system performance requirement
Defining Requirements - The next step is to identify the
essential requirements for your chosen project. User
requirements express specifically what the user needs the
system to do. This can be in terms of tasks/processes the users
need to perform, data they need to input, what the system might
do with that data input, and output required. System
performance requirements express how the system will perform
in several performance areas and security. IT/System
requirements present what the system will do, the functions it
must perform.They include characteristics that a product must
have to meet the needs of the stakeholders and can include
function or nonfunction requirements.As a member of the CIO's
organization, you will use your professional knowledge to
ensure all 3 types of requirements are covered (User/Business,
IT/System and System Performance. Refer to Week 7 content
on requirements. Additional research can expand your
knowledge of these areas.
Once you have identified the 10 requirements, evaluate each one
using the criteria below and create 10 well-written requirements
statements for your chosen project.
The requirement statement:
· Is a complete sentence, with a subject (system) and predicate
(intended result or action)
· Identifies only one requirement; does not include the words
"and," "also," "with," and "or."
· For User Requirements, states what tasks/processes the system
will support or perform.
· For System Performance Requirements, states how the system
will perform.
· For IT/System Requirements, states what the system will do.,
the functions it must perform.
· Includes a measure or metric that can be used to determine
whether the requirement is met (time or quantity), where
appropriate.
· Is stated in positive terms and uses "must" (not "shall," "may"
or "should"); "the system must xxxx" not "the system must not
xxx".
· Avoids the use of terms that cannot be defined and measured,
such as "approximately," "robust," "user friendly," etc.
· Is achievable and realistic; avoids terms such as "100%
uptime," or "no failures".
Do not provide generic statements but relate to the needs of
GGFRT and your project.
Please copy/paste the following table into your paper and
complete it:
Requirement/Explanation of the Requirement (explanation
should refer to the case study) (Spring 2019)
Business/User; IT/System or System Performance (state one or
more of these categories)
Example: do not use but leave it in the table when completing
this section. The Route Optimization/Freight Tracking System
package status must be available to users 24/7/365.
System Performance
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
7. Cost Estimation - During the Assessment Phase, Cost
Estimation consists of estimating the size and complexity of the
project, not the effort required or the actual projected dollar
costs. Copy the table below and place an X (or other
indication) in the box that most closely describes the size and
complexity of your proposed solution. Use your judgment and
then write a short paragraph to introduce and explain the
assessments in your table. Refer to course content readings
from Week 4 on Cost Estimation, especially the Assessment
Phase.
Assessment of Project Size and Complexity (Spring 2019)
Size/Complexity
Small
Medium
Large
Very Complex
Moderately Complex
Straightforward
8. Performance Measures – This section explains how GGFRT
will know whether the project is achieving the benefits
identified above in section 5. First, present the table with a
brief paragraph discussing the solution, table that follows, and
to properly evaluate benefits, they should be
measurable/quantifiable. Review the benefits, and look at the
requirements you identified, and come up with three (3)
performance measures that will indicate the extent to which the
projected benefits have been achieved. (For example, if you
had identified a benefit that the project would result in more
repeat customers, then a measurement for that would be the
number of repeat customers with the goal that the number would
increase.) Refer to course content readings on Performance
Measurement. This may be a good area to do some web
research. The measures should be presented in a table with an
introductory sentence or two:
Benefit to Business (stated from section #5) (Spring 2019)
Measure (quantifiable)
Example: do not use but leave it in the table when completing
this section.
Better visibility for GGFRT and its customers into the delivery
status of packages.
Reduction in the number of packages returned for next-day
delivery because of more efficient scheduling as customers can
also reschedule packages when they see delivery status; or,
Increase in the number on same-day deliveries due to better
communication between GGFRT dispatchers, drivers and
customers.
1.
2.
3.
9. System Development - Describe how you will use the System
Development Life Cycle (SDLC) process to approach this
project. Include only the following 5 stages: Plan, Design,
Build, Test, Launch. List the stage followed by a colon, then in
two to three sentences each, explain how each stage would be
handled by Lance’s IT team and who else in GGFRT should be
involved in each stage. Refer to course content materials on
SDLC in Week 8.
Formatting Your Assignment
· In the CIO Memo assignment, you are preparing the document
based on the feedback from the second assignment and scoring
rubric.
· Continue to use a title page from the ITSP #1 assignment that
includes: The company name, title of assignment, your name,
Course and Section number and date.
· Use the outline format in the assignment instructions above,
for these sections:
1. Project Description
2. Strategic Alignment
3. IT Portfolio Roadmap Alignment
4. IT Architecture
5. Benefits
6. Requirements
7. Cost Estimation
8. Performance Measures
9. System Development
a. Plan:
b. Design:
c. Build:
d. Test:
e. Launch:
· Write a short concise paper: Use the recommendations
provided in each area for length of response. It’s important to
value quality over quantity.
· Content areas should be double spaced; table entries should be
single spaced.
· To copy a table: Move your cursor to the table, then click on
the small box that appears at the upper left corner of the table to
highlight the table; right click and COPY the table; put the
cursor in your paper where you want the table and right click
and PASTE the table.
· Ensure that each of the tables is preceded by an introductory
sentence that explains what is contained in the table, so the
reader understands why the table has been included.
1. Use at least two resources with APA formatted citation and
reference. Any course content should be from the class reading
content, not the assignment instructions or case study itself.
For information on APA format, refer to Content>Course
Resources>Writing Resources.
· Begin a Reference Page for resources required for this
assignment. Use APA format for your reference page.
· Running headers are not required for this report.
· Writing should always be in third person.
· Compare your work to the Grading Rubric below to be sure
you have met content and quality criteria.
· Submit your paper as a Word document, or a document that
can be read in Word. Keep tables in Word format – do not paste
in graphics.
· Your submission should include your last name first in the
filename: Lastname_Firstname_IT Decision
The "right" and "wrong" answers have to do with if you
correctly incorporated the course concepts from the course
content and addressed all parts of the assignment. You need to
do some external research on at least one aspect of the
assignment - your choice - and incorporate it and cite/reference
it in APA format in your response. The project you propose is
not as important as that it makes sense considering the course
content and the Case Study. Use the Rubric below to be sure
you have covered all aspects of the assignment.
GRADING RUBRIC:
Criterion
90-100%
Far Above Standards
80-89%
Above Standards
70-79%
Meets Standards
60-69%
Below Standards
< 60%
Well Below Standards
Possible Points
Project Description
5 Points
Description of the project is clear and concise, covers functions
and users, and sets the stage for the remainder of the paper;
demonstrates understanding of course concepts, analysis and
critical thinking.
4 Points
Description of the project is clear and concise, covers functions
and users, and sets the stage for the remainder of the paper.
3.5 Points
Description of the IT Project includes what it does (functions it
performs) and who uses it.
3 Points
Description of the project is unclear, not concise, and/or does
not set the stage for the remainder of the paper.
0-2 Points
Little or no description of the proposed IT project is included.
5
Strategic Alignment
9-10 Points
Explanation of proposed project includes clear and well-
supported alignment to at least one (1) business objective in
Part 1 of the ITSP 1 assignment and one (1) IT strategy from
Part 1 of the ITSP 2 assignment; explanation is very appropriate
to the Case Study and clearly tied to the proposed IT project.
8 Points
Explanation of proposed project includes clear alignment to at
least one (1) business objective in Part 1 of the ITSP 1
assignment and one (1) IT strategy from Part 1 of the ITSP 2
assignment; explanation is appropriate to the Case Study and
tied to the proposed IT project.
7 Points
Explanation of proposed project includes direct alignment to at
least one (1) business strategic objective in Part 1 of the ITSP 1
assignment and one (1) IT strategy from Part 1 of the ITSP 2
assignment.
6 Points
Explanation of business objectives and/or IT strategies are
incomplete; and/or are only partially appropriate to the Case
Study or the proposed IT project.
0-5 Points
Explanation of Strategic Alignment is minimal or not included.
10
IT Portfolio Roadmap Alignment
9-10 Points
This section thoroughly explains the relationship of the
proposed IT project to the IT Portfolio Roadmap in Part 2 of the
ITSP, including a full explanation of the functional area
supported, and where this project fits in the timeline.
8 Points
This section clearly explains the relationship of the proposed IT
project to the IT Portfolio Roadmap in Part 2 of the ITSP,
including a good explanation of the functional area supported,
and where this project fits in the timeline.
7 Points
This section has an explanation of the relationship of the
proposed IT project to the IT Portfolio Roadmap in Part 2 of the
ITSP, including:
where the proposed project fits into the IT Portfolio roadmap;
identification of the functional area it supports; and where it
should be included in the timeline in the ITSP.
6 Points
This section includes only part of the required information on
the relationship of the proposed IT project to the IT Portfolio
Roadmap in Part 2 of the ITSP (where it fits, the functional area
supported, and the timeline); and/or is not relevant to Case
Study.
0-5 Points
This section minimally covers the relationship of the proposed
IT project to the IT Portfolio Roadmap in Part 2 of the ITSP, or
does not cover it at all.
10
IT Architecture
9-10 Points
A correct and convincing explanation of the IT Architecture
includes how the project fits with, interfaces with and/or
replaces other systems; explanation is clearly relevant to the
Case Study and the proposed project; demonstrates thorough
understanding of course concepts, analysis and critical thinking.
8 Points
An accurate explanation of the IT Architecture includes how the
project fits with, interfaces with and/or replaces other systems;
explanation is relevant to the Case Study and the proposed
project; demonstrates understanding of course concepts,
analysis and critical thinking.
7 Points
Explanation of the IT Architecture includes: how the proposed
IT project fits in with other systems in place or in development
at the business in the Case Study; whether it should interface
with other systems either in place or in development; and
whether it replaces another system or multiple systems in use at
the business in the Case Study.
6 Points
IT Architecture explanation partially covers how the project fits
with, interfaces with and/or replaces other systems; is not
relevant to the Case Study or the proposed project.
0-5 Points
IT Architecture explanation is minimal or not included.
10
Benefits
9-10 Points
Three (3) or more business benefits are thoroughly and
convincingly explained; are clearly stated and aligned to the
business objectives and IT strategies noted above in section 2;
benefits are highly applicable to and appropriate for the
proposed solution and the Case Study.
8 Points
Three (3) or more business benefits are fully explained; are
stated and aligned to the business objectives and IT strategies
noted above in section 2; benefits are clearly applicable to and
appropriate for the proposed solution and the Case Study.
7 Points
At least two (2) business benefits that the proposed IT project
provides to the organization in the Case Study are stated and
described at a high level. The benefits correspond to the
business objectives and the IT strategies discussed in section 2
above.
6 Points
Fewer than two (2) business benefits are shown; benefits are not
aligned to business objectives and IT strategies above; are not
applicable to or appropriate for the proposed solution and/or the
Case Study.
0-5 Points
Business benefits are minimally addressed or not included.
10
Requirements
9-10 Points
This section includes an effective and well-written introduction
that is applicable to the Case Study and thoroughly and
convincingly explains the primary business driver for the
proposed IT project. At least ten (10) unique requirements are
identified and discussed, clearly applicable to the Case Study;
requirements cover items a-c in the assignment; demonstrates
thorough understanding of course concepts, analysis and critical
thinking.
8 Points
This section includes a well-written introduction that is
applicable to the Case Study and fully explains the primary
business driver for the proposed IT project. At least nine (9)
unique requirements are identified and discussed, clearly
applicable to the Case Study; requirements cover items a-c in
the assignment; demonstrates understanding of course concepts,
analysis and critical thinking.
7 Points
This section includes an introduction that explains the primary
driver behind the system (major business need). Then, at least
eight (8) requirements are listed and briefly explained,
applicable to the Case Study and include: (a) business/user
requirements, (b) IT/system requirements; and (c) at least one
system performance requirement.
6 Points
This section does not include an introduction identifying the
primary driver for the system; eight (8) or fewer requirements
are identified; requirements are not applicable to the Case
Study; and/or items a-c in the assignment are not covered.
0-5 Points
This section minimally addresses requirements, or requirements
are not included.
10
Cost Estimation
9-10 Points
This section includes an effective and well-written introductory
paragraph that is applicable to the Case Study and thoroughly
and convincingly justifies the assessments in the table that
follows. Cost estimation table is included, with appropriate
selection for size and complexity.
8 Points
This section includes an appropriate introductory paragraph that
is applicable to the Case Study and provides a good explanation
of the assessments in the table that follows. Cost estimation
table is included, with appropriate selection for size and
complexity.
7 Points
This section includes an introductory paragraph that explains
the assessments and applies to the Case Study. Cost estimation
table is included; selections are made for size and complexity.
6 Points
This section does not include an introductory paragraph; and/or
cost estimation table is included, but selection for size and
complexity are not appropriate or adequately justified.
0-5 Points
This section provides little or no information on the cost
estimation; cost estimation table is missing; and/or information
presented does not apply to the Case Study.
10
Performance Measures
9-10 Points
This section includes an effective and well-written introductory
paragraph that is applicable to the Case Study, the proposed
solution and the table that follows. The completed table
contains all required information, accurately reflecting the Case
Study and the proposed solution; demonstrates thorough
understanding of course concepts, analysis and critical thinking.
8 Points
This section includes an appropriate introductory paragraph that
is applicable to the Case Study, the proposed solution and the
table that follows. The completed table contains all required
information, accurately reflecting the Case Study and the
proposed solution; demonstrates understanding of course
concepts, analysis and critical thinking.
7 Points
This section includes at least one or two sentences that
introduce the table. Performance Measures Table is included
showing three (3) benefits and three (3) measures that are
appropriate to the proposed solution and the Case Study.
6 Points
This section includes fewer than three (3) benefits and
associated performance measures; measures do not align to
benefits; benefits and measures are not appropriate to the Case
Study and the proposed solution; and/or introduction is missing.
0-5 Points
This section provides little or no information on Performance
Measures; table is missing; and/or information presented does
not apply to the Case Study.
10
System Development
9-10 Points
The five (5) stages of the SDLC are thoroughly covered;
explanation is tied directly to the project and to the case study;
includes IT team responsibilities and appropriate involvement
of others at the business in the Case Study; demonstrates
thorough understanding of course concepts and vocabulary.
8 Points
The five (5) stages of the SDLC are fully covered; explanation
includes discussion of the project and the case study; includes
IT team responsibilities and appropriate involvement of others
at the business in the Case Study; demonstrates understanding
of course concepts and vocabulary.
7 Points
The five (5) stages of the SDLC are covered:
Plan, Design, Build, Test, Launch. Two to three sentences are
used to explain how each stage would be handled by the team
and identify others who need to be involved at the business in
the Case Study.
6 Points
The five (5) stages of the SDLC are not all covered;
explanations are not appropriate to the project and the Case
Study; and/or do not include IT team responsibilities and/or
appropriate involvement of others at the business in the Case
Study.
0-5 Points
The stages of the SDLC are minimally addressed or are not
included.
10
External Research
5 Points
Two (2) or more sources other than the course materials are
incorporated in two or more sections of the paper and are used
effectively. Sources used are relevant and timely and contribute
to the analysis. References are appropriately incorporated and
cited using APA style.
4 Points
At least one (1) source other than the course materials is
incorporated and used effectively. Source(s) are relevant and
contribute to the analysis. References are appropriately
incorporated and cited using APA style.
3.5 Points
At least one (1) source other than the course materials is used
and properly incorporated into the text. Reference is cited using
APA style.
3 points
A source other than the course materials may be used, but is not
properly incorporated or used and/or is not effective or
appropriate and/or is not relevant or timely; and/or does not
follow APA style for references and citations.
0-2 Points
No external research is incorporated or reference listed is not
cited within text.
5
Report Format
9-10 Points
Report is very well organized and is easy to read. Very few or
no errors in sentence structure, grammar, and spelling;
presented in a professional format.
8 Points
Report reflects effective organization; has few errors in
sentence structure, grammar, and spelling; presented in a
professional format.
7 Points
Report has some organization; may have some errors in
sentence structure, grammar and spelling.
6 Points
Report is not well organized, and/or contains several grammar
and/or spelling errors.
0-5 Points
Report is extremely poorly written, has many grammar and/or
spelling errors, or does not convey the information.
10
TOTAL
Possible Points
100
2
November 23, 2019
When working on Major Project 1 please choose an approach
you are most comfortable with.
Excel template (in a separate file) is intended to help you. If it
confuses you instead, please disregard it completely or modify
it the way you see necessary.
The following checklist is intended to help you verify that your
work covers all major calculations and points necessary for
successful completion of the projectProject 1 submission
checklist
Basic Analysis
Future Electricity prices downloaded and converted into $/kWh
after adjustment for regional discount
Depreciation using both methods is calculated, comparison is
made and a justified recommendation is given
Direct and Fixed Cost are properly identified and net income is
calculated. Attention is paid to finding fixed cost based on
allocation numbers and capacity
Lost after-tax profit from Monza's cannibalized sales is properly
calculated
OCF is calculated based on approach used in earlier homework
Opportunity costs are identified and properly calculated
FCFs are calculated, combining together OCF, CapEx,
investment in NWC, and opportunity costs
NPV and IRR are properly calculated (attention to NPV formula
use – check Excel mistakes screencast). For preliminary check,
if WACC is not calculated yet, 8% can be used. For final
submission, WACC calculated in WACC tab should be used
WACC
Assumptions about risk-free rate, MRP, tax rates and peer
companies are made. Sources of information are provided in
pink cells
Data about peer companies downloaded from recommended
sources (Yahoo Finance, EDGAR, Morning Star et al.) – levered
beta, market value of equity, value of debt (book value of debt
can be used instead), and possibly actual tax rates (unless
assumption is made)
D/E, E/Total Value ratios, and unlevered beta are calculated
Mean and median of unlevered beta are found
Zeta's relevered beta is estimated with proper Zeta's D/E ratio
used
Cost of equity is calculated using CAPM formula, calculated
beta, and downloaded numbers for risk-free and MRP.
After-tax cost of debt is calculated
WACC is calculated
Scenarios
Electricity scenario summary is created by repeating basic
analysis when using six different scenarios of electricity prices
Sales volume scenario summary is created by repeating basic
analysis when using three different scenarios of future sales
volumes
Electricity Breakeven
Arbitrary year 1 electricity cost is chosen and electricity costs
in subsequent years are made dependent on this initial cost
EBIT is calculated either by using a complicated formula or by
inserting extra rows and redoing calculations from basic
analysis, but now as dependent on new electricity prices. DO
NOT COPY VALUES of Body Materials electricity costs from
Basic Analysis
Investment in NWC is calculated either by using a complicated
formula or by using already inserted extra rows
FCF is calculated
NPV is calculated by properly using NPV function
Break-even year 1 electricity cost (making NPV = 0) is found
either by trial and error or by using Excel Goal Seek
Crystal Ball (Optional, extra 5% bonus)
Assumptions cells are set at least for variables described in the
project (Investment, Debt Financing %, interest rate, NWC
Investment %, number of cannibalized cars, sales volume for
each year, and electricity costs for each year). Averages should
be the same as in the base case scenario. Additional
assumptions can be made
Simulation is run for NPV and IRR as forecast cells
Probability of positive NPV is found based on NPV distribution
chart
Tornado chart is created
Report
Report starts from executive summary with your main
conclusions and recommendations put there!
Main part:
· Very briefly describes work performed
· Presents results
· Analyzes results, focusing on risk analysis (different
scenarios, sensitivities,
breakeven etc.).
· If simulation was performed, results are analyzed and
discussed
· Conclusions are drawn
All sources used are properly cited and put in a reference list at
the end. Remember that your instructor will submit your report
to Turnitin. If you have your own access to Turnitin, I
recommend submitting the report yourself and notify the
instructor
Formatting, spelling and grammar are checked. Proof reading
helps to catch typos missed by software.
Basic AnalysisZeta Spenza ProjectGivenMonza's
sales10,000MACRS Schedule
Solution
LegendMonza's price$65,000year 133%Value given in
problemMonza Cost structure per caryear
245%Formula/Calculation/Analysis requiredBody
materials$11,000year 315%Assumptions, Qualitative analysis or
Short answer requiredEngine$4,000year 47%Goal Seek,
Scenario or Data Table cellDrivetrain$6,000Crystal Ball
InputBattery Pack$20,000Crystal Ball
OutputElectronics$5,000Labor (allocated)
Dima Leshchinskii: Dima Leshchinskii:
based on 10,000 Monzas sold annually$4,000Overhead
(allocated)
Dima Leshchinskii: Dima Leshchinskii:
based on 10,000 Monzas sold annually$2,000Consulting
Fees$50,000Spenza Price$80,000Spenza Sales projections
(number of cars)Year 1Year 2Year 3Year 4Year 5Base Case
Scenario5,0007,0006,0004,0003,000Optimistic
Scenario5,5007,5006,5004,5003,500Pessimistic
Scenario4,5006,5005,5003,5002,500Plant
Investment250000000Alternative Land Use15000000Plant
Capacity10,000 carsProject life4 yearsPercentage of Debt
Financing50%Interest Rate7%Tax rate21%NWC as % of direct
manufacturing costs4.75%Monza Sales Cannibalization1,000
carsHistorical Electricity Cost$0.07 per kWh70% of national
averageCarbon Body Cost per Car$14,000Percentage of
electricity80%Electricity used per carOther Spenza direct
costsBody materials
(other than electricity)Engine$4,000Drivetrain$6,000Battery
Pack$15,000Electronics$5,000

More Related Content

Similar to GG Freightways (GGFRT) IT Decision Paper AssignmentBefore you be.docx

Capstone Project Report GuidelinesThe Capstone Project represent.docx
Capstone Project Report GuidelinesThe Capstone Project represent.docxCapstone Project Report GuidelinesThe Capstone Project represent.docx
Capstone Project Report GuidelinesThe Capstone Project represent.docx
annandleola
 
IT 510 Final Project Guidelines and Rubric Overview .docx
IT 510 Final Project Guidelines and Rubric  Overview .docxIT 510 Final Project Guidelines and Rubric  Overview .docx
IT 510 Final Project Guidelines and Rubric Overview .docx
vrickens
 
HomeInformation Systems homework helpReport Issue
HomeInformation Systems homework helpReport IssueHomeInformation Systems homework helpReport Issue
HomeInformation Systems homework helpReport Issue
sorayan5ywschuit
 
Over the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docxOver the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docx
karlhennesey
 
Over the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docxOver the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docx
honey690131
 
System Proposal TemplateCSC 545 System Design When preparing a.docx
System Proposal TemplateCSC 545 System Design When preparing a.docxSystem Proposal TemplateCSC 545 System Design When preparing a.docx
System Proposal TemplateCSC 545 System Design When preparing a.docx
ssuserf9c51d
 
IT 600 Final Project Milestone Two Template Analytical Organi.docx
IT 600 Final Project Milestone Two Template Analytical Organi.docxIT 600 Final Project Milestone Two Template Analytical Organi.docx
IT 600 Final Project Milestone Two Template Analytical Organi.docx
priestmanmable
 

Similar to GG Freightways (GGFRT) IT Decision Paper AssignmentBefore you be.docx (7)

Capstone Project Report GuidelinesThe Capstone Project represent.docx
Capstone Project Report GuidelinesThe Capstone Project represent.docxCapstone Project Report GuidelinesThe Capstone Project represent.docx
Capstone Project Report GuidelinesThe Capstone Project represent.docx
 
IT 510 Final Project Guidelines and Rubric Overview .docx
IT 510 Final Project Guidelines and Rubric  Overview .docxIT 510 Final Project Guidelines and Rubric  Overview .docx
IT 510 Final Project Guidelines and Rubric Overview .docx
 
HomeInformation Systems homework helpReport Issue
HomeInformation Systems homework helpReport IssueHomeInformation Systems homework helpReport Issue
HomeInformation Systems homework helpReport Issue
 
Over the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docxOver the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docx
 
Over the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docxOver the next two years, your organization needs to shift its busi.docx
Over the next two years, your organization needs to shift its busi.docx
 
System Proposal TemplateCSC 545 System Design When preparing a.docx
System Proposal TemplateCSC 545 System Design When preparing a.docxSystem Proposal TemplateCSC 545 System Design When preparing a.docx
System Proposal TemplateCSC 545 System Design When preparing a.docx
 
IT 600 Final Project Milestone Two Template Analytical Organi.docx
IT 600 Final Project Milestone Two Template Analytical Organi.docxIT 600 Final Project Milestone Two Template Analytical Organi.docx
IT 600 Final Project Milestone Two Template Analytical Organi.docx
 

More from shericehewat

You have been asked to explain the differences between certain categ.docx
You have been asked to explain the differences between certain categ.docxYou have been asked to explain the differences between certain categ.docx
You have been asked to explain the differences between certain categ.docx
shericehewat
 
You have been asked to help secure the information system and users .docx
You have been asked to help secure the information system and users .docxYou have been asked to help secure the information system and users .docx
You have been asked to help secure the information system and users .docx
shericehewat
 
You have been asked to participate in a local radio program to add.docx
You have been asked to participate in a local radio program to add.docxYou have been asked to participate in a local radio program to add.docx
You have been asked to participate in a local radio program to add.docx
shericehewat
 
You have been hired asa cons.docx
You have been hired asa cons.docxYou have been hired asa cons.docx
You have been hired asa cons.docx
shericehewat
 
You have been appointed as a system analyst in the IT department of .docx
You have been appointed as a system analyst in the IT department of .docxYou have been appointed as a system analyst in the IT department of .docx
You have been appointed as a system analyst in the IT department of .docx
shericehewat
 
You choose one and I will upload the materials for u.Choose 1 of.docx
You choose one and I will upload the materials for u.Choose 1 of.docxYou choose one and I will upload the materials for u.Choose 1 of.docx
You choose one and I will upload the materials for u.Choose 1 of.docx
shericehewat
 
You are Incident Commander and principal planner for the DRNC even.docx
You are Incident Commander and principal planner for the DRNC even.docxYou are Incident Commander and principal planner for the DRNC even.docx
You are Incident Commander and principal planner for the DRNC even.docx
shericehewat
 
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docxYou DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
shericehewat
 
You are working as a behavioral health specialist in a neurological .docx
You are working as a behavioral health specialist in a neurological .docxYou are working as a behavioral health specialist in a neurological .docx
You are working as a behavioral health specialist in a neurological .docx
shericehewat
 
You are to write up a reflection (longer than 2 pages) that discusse.docx
You are to write up a reflection (longer than 2 pages) that discusse.docxYou are to write up a reflection (longer than 2 pages) that discusse.docx
You are to write up a reflection (longer than 2 pages) that discusse.docx
shericehewat
 
You can only take this assignment if you have the book Discovering t.docx
You can only take this assignment if you have the book Discovering t.docxYou can only take this assignment if you have the book Discovering t.docx
You can only take this assignment if you have the book Discovering t.docx
shericehewat
 
You are to interview a woman 50 and older and write up the interview.docx
You are to interview a woman 50 and older and write up the interview.docxYou are to interview a woman 50 and older and write up the interview.docx
You are to interview a woman 50 and older and write up the interview.docx
shericehewat
 
You are to complete TWO essays and answer the following questions.  .docx
You are to complete TWO essays and answer the following questions.  .docxYou are to complete TWO essays and answer the following questions.  .docx
You are to complete TWO essays and answer the following questions.  .docx
shericehewat
 
You are the vice president of a human resources department and Susan.docx
You are the vice president of a human resources department and Susan.docxYou are the vice president of a human resources department and Susan.docx
You are the vice president of a human resources department and Susan.docx
shericehewat
 
You are the purchasing manager of a company that has relationships w.docx
You are the purchasing manager of a company that has relationships w.docxYou are the purchasing manager of a company that has relationships w.docx
You are the purchasing manager of a company that has relationships w.docx
shericehewat
 
You are to briefly describe how the Bible is related to the topics c.docx
You are to briefly describe how the Bible is related to the topics c.docxYou are to briefly describe how the Bible is related to the topics c.docx
You are to briefly describe how the Bible is related to the topics c.docx
shericehewat
 
You are the manager of an accounting department and would like to hi.docx
You are the manager of an accounting department and would like to hi.docxYou are the manager of an accounting department and would like to hi.docx
You are the manager of an accounting department and would like to hi.docx
shericehewat
 
You are the new chief financial officer (CFO) hired by a company. .docx
You are the new chief financial officer (CFO) hired by a company. .docxYou are the new chief financial officer (CFO) hired by a company. .docx
You are the new chief financial officer (CFO) hired by a company. .docx
shericehewat
 
You are the manager of a team of six proposal-writing professionals..docx
You are the manager of a team of six proposal-writing professionals..docxYou are the manager of a team of six proposal-writing professionals..docx
You are the manager of a team of six proposal-writing professionals..docx
shericehewat
 
You are the environmental compliance officer at a company that is .docx
You are the environmental compliance officer at a company that is .docxYou are the environmental compliance officer at a company that is .docx
You are the environmental compliance officer at a company that is .docx
shericehewat
 

More from shericehewat (20)

You have been asked to explain the differences between certain categ.docx
You have been asked to explain the differences between certain categ.docxYou have been asked to explain the differences between certain categ.docx
You have been asked to explain the differences between certain categ.docx
 
You have been asked to help secure the information system and users .docx
You have been asked to help secure the information system and users .docxYou have been asked to help secure the information system and users .docx
You have been asked to help secure the information system and users .docx
 
You have been asked to participate in a local radio program to add.docx
You have been asked to participate in a local radio program to add.docxYou have been asked to participate in a local radio program to add.docx
You have been asked to participate in a local radio program to add.docx
 
You have been hired asa cons.docx
You have been hired asa cons.docxYou have been hired asa cons.docx
You have been hired asa cons.docx
 
You have been appointed as a system analyst in the IT department of .docx
You have been appointed as a system analyst in the IT department of .docxYou have been appointed as a system analyst in the IT department of .docx
You have been appointed as a system analyst in the IT department of .docx
 
You choose one and I will upload the materials for u.Choose 1 of.docx
You choose one and I will upload the materials for u.Choose 1 of.docxYou choose one and I will upload the materials for u.Choose 1 of.docx
You choose one and I will upload the materials for u.Choose 1 of.docx
 
You are Incident Commander and principal planner for the DRNC even.docx
You are Incident Commander and principal planner for the DRNC even.docxYou are Incident Commander and principal planner for the DRNC even.docx
You are Incident Commander and principal planner for the DRNC even.docx
 
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docxYou DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
You DecideCryptographic Tunneling and the OSI ModelWrite a p.docx
 
You are working as a behavioral health specialist in a neurological .docx
You are working as a behavioral health specialist in a neurological .docxYou are working as a behavioral health specialist in a neurological .docx
You are working as a behavioral health specialist in a neurological .docx
 
You are to write up a reflection (longer than 2 pages) that discusse.docx
You are to write up a reflection (longer than 2 pages) that discusse.docxYou are to write up a reflection (longer than 2 pages) that discusse.docx
You are to write up a reflection (longer than 2 pages) that discusse.docx
 
You can only take this assignment if you have the book Discovering t.docx
You can only take this assignment if you have the book Discovering t.docxYou can only take this assignment if you have the book Discovering t.docx
You can only take this assignment if you have the book Discovering t.docx
 
You are to interview a woman 50 and older and write up the interview.docx
You are to interview a woman 50 and older and write up the interview.docxYou are to interview a woman 50 and older and write up the interview.docx
You are to interview a woman 50 and older and write up the interview.docx
 
You are to complete TWO essays and answer the following questions.  .docx
You are to complete TWO essays and answer the following questions.  .docxYou are to complete TWO essays and answer the following questions.  .docx
You are to complete TWO essays and answer the following questions.  .docx
 
You are the vice president of a human resources department and Susan.docx
You are the vice president of a human resources department and Susan.docxYou are the vice president of a human resources department and Susan.docx
You are the vice president of a human resources department and Susan.docx
 
You are the purchasing manager of a company that has relationships w.docx
You are the purchasing manager of a company that has relationships w.docxYou are the purchasing manager of a company that has relationships w.docx
You are the purchasing manager of a company that has relationships w.docx
 
You are to briefly describe how the Bible is related to the topics c.docx
You are to briefly describe how the Bible is related to the topics c.docxYou are to briefly describe how the Bible is related to the topics c.docx
You are to briefly describe how the Bible is related to the topics c.docx
 
You are the manager of an accounting department and would like to hi.docx
You are the manager of an accounting department and would like to hi.docxYou are the manager of an accounting department and would like to hi.docx
You are the manager of an accounting department and would like to hi.docx
 
You are the new chief financial officer (CFO) hired by a company. .docx
You are the new chief financial officer (CFO) hired by a company. .docxYou are the new chief financial officer (CFO) hired by a company. .docx
You are the new chief financial officer (CFO) hired by a company. .docx
 
You are the manager of a team of six proposal-writing professionals..docx
You are the manager of a team of six proposal-writing professionals..docxYou are the manager of a team of six proposal-writing professionals..docx
You are the manager of a team of six proposal-writing professionals..docx
 
You are the environmental compliance officer at a company that is .docx
You are the environmental compliance officer at a company that is .docxYou are the environmental compliance officer at a company that is .docx
You are the environmental compliance officer at a company that is .docx
 

Recently uploaded

Francesca Gottschalk - How can education support child empowerment.pptx
Francesca Gottschalk - How can education support child empowerment.pptxFrancesca Gottschalk - How can education support child empowerment.pptx
Francesca Gottschalk - How can education support child empowerment.pptx
EduSkills OECD
 
Chapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptxChapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptx
Mohd Adib Abd Muin, Senior Lecturer at Universiti Utara Malaysia
 
Language Across the Curriculm LAC B.Ed.
Language Across the  Curriculm LAC B.Ed.Language Across the  Curriculm LAC B.Ed.
Language Across the Curriculm LAC B.Ed.
Atul Kumar Singh
 
Supporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptxSupporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptx
Jisc
 
Guidance_and_Counselling.pdf B.Ed. 4th Semester
Guidance_and_Counselling.pdf B.Ed. 4th SemesterGuidance_and_Counselling.pdf B.Ed. 4th Semester
Guidance_and_Counselling.pdf B.Ed. 4th Semester
Atul Kumar Singh
 
2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...
Sandy Millin
 
Synthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptxSynthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptx
Pavel ( NSTU)
 
CACJapan - GROUP Presentation 1- Wk 4.pdf
CACJapan - GROUP Presentation 1- Wk 4.pdfCACJapan - GROUP Presentation 1- Wk 4.pdf
CACJapan - GROUP Presentation 1- Wk 4.pdf
camakaiclarkmusic
 
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
Nguyen Thanh Tu Collection
 
The geography of Taylor Swift - some ideas
The geography of Taylor Swift - some ideasThe geography of Taylor Swift - some ideas
The geography of Taylor Swift - some ideas
GeoBlogs
 
"Protectable subject matters, Protection in biotechnology, Protection of othe...
"Protectable subject matters, Protection in biotechnology, Protection of othe..."Protectable subject matters, Protection in biotechnology, Protection of othe...
"Protectable subject matters, Protection in biotechnology, Protection of othe...
SACHIN R KONDAGURI
 
special B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdfspecial B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdf
Special education needs
 
Introduction to AI for Nonprofits with Tapp Network
Introduction to AI for Nonprofits with Tapp NetworkIntroduction to AI for Nonprofits with Tapp Network
Introduction to AI for Nonprofits with Tapp Network
TechSoup
 
Lapbook sobre os Regimes Totalitários.pdf
Lapbook sobre os Regimes Totalitários.pdfLapbook sobre os Regimes Totalitários.pdf
Lapbook sobre os Regimes Totalitários.pdf
Jean Carlos Nunes Paixão
 
Honest Reviews of Tim Han LMA Course Program.pptx
Honest Reviews of Tim Han LMA Course Program.pptxHonest Reviews of Tim Han LMA Course Program.pptx
Honest Reviews of Tim Han LMA Course Program.pptx
timhan337
 
The approach at University of Liverpool.pptx
The approach at University of Liverpool.pptxThe approach at University of Liverpool.pptx
The approach at University of Liverpool.pptx
Jisc
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
Delapenabediema
 
Additional Benefits for Employee Website.pdf
Additional Benefits for Employee Website.pdfAdditional Benefits for Employee Website.pdf
Additional Benefits for Employee Website.pdf
joachimlavalley1
 
Embracing GenAI - A Strategic Imperative
Embracing GenAI - A Strategic ImperativeEmbracing GenAI - A Strategic Imperative
Embracing GenAI - A Strategic Imperative
Peter Windle
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
JosvitaDsouza2
 

Recently uploaded (20)

Francesca Gottschalk - How can education support child empowerment.pptx
Francesca Gottschalk - How can education support child empowerment.pptxFrancesca Gottschalk - How can education support child empowerment.pptx
Francesca Gottschalk - How can education support child empowerment.pptx
 
Chapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptxChapter 3 - Islamic Banking Products and Services.pptx
Chapter 3 - Islamic Banking Products and Services.pptx
 
Language Across the Curriculm LAC B.Ed.
Language Across the  Curriculm LAC B.Ed.Language Across the  Curriculm LAC B.Ed.
Language Across the Curriculm LAC B.Ed.
 
Supporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptxSupporting (UKRI) OA monographs at Salford.pptx
Supporting (UKRI) OA monographs at Salford.pptx
 
Guidance_and_Counselling.pdf B.Ed. 4th Semester
Guidance_and_Counselling.pdf B.Ed. 4th SemesterGuidance_and_Counselling.pdf B.Ed. 4th Semester
Guidance_and_Counselling.pdf B.Ed. 4th Semester
 
2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...
 
Synthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptxSynthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptx
 
CACJapan - GROUP Presentation 1- Wk 4.pdf
CACJapan - GROUP Presentation 1- Wk 4.pdfCACJapan - GROUP Presentation 1- Wk 4.pdf
CACJapan - GROUP Presentation 1- Wk 4.pdf
 
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
BÀI TẬP BỔ TRỢ TIẾNG ANH GLOBAL SUCCESS LỚP 3 - CẢ NĂM (CÓ FILE NGHE VÀ ĐÁP Á...
 
The geography of Taylor Swift - some ideas
The geography of Taylor Swift - some ideasThe geography of Taylor Swift - some ideas
The geography of Taylor Swift - some ideas
 
"Protectable subject matters, Protection in biotechnology, Protection of othe...
"Protectable subject matters, Protection in biotechnology, Protection of othe..."Protectable subject matters, Protection in biotechnology, Protection of othe...
"Protectable subject matters, Protection in biotechnology, Protection of othe...
 
special B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdfspecial B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdf
 
Introduction to AI for Nonprofits with Tapp Network
Introduction to AI for Nonprofits with Tapp NetworkIntroduction to AI for Nonprofits with Tapp Network
Introduction to AI for Nonprofits with Tapp Network
 
Lapbook sobre os Regimes Totalitários.pdf
Lapbook sobre os Regimes Totalitários.pdfLapbook sobre os Regimes Totalitários.pdf
Lapbook sobre os Regimes Totalitários.pdf
 
Honest Reviews of Tim Han LMA Course Program.pptx
Honest Reviews of Tim Han LMA Course Program.pptxHonest Reviews of Tim Han LMA Course Program.pptx
Honest Reviews of Tim Han LMA Course Program.pptx
 
The approach at University of Liverpool.pptx
The approach at University of Liverpool.pptxThe approach at University of Liverpool.pptx
The approach at University of Liverpool.pptx
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
 
Additional Benefits for Employee Website.pdf
Additional Benefits for Employee Website.pdfAdditional Benefits for Employee Website.pdf
Additional Benefits for Employee Website.pdf
 
Embracing GenAI - A Strategic Imperative
Embracing GenAI - A Strategic ImperativeEmbracing GenAI - A Strategic Imperative
Embracing GenAI - A Strategic Imperative
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
 

GG Freightways (GGFRT) IT Decision Paper AssignmentBefore you be.docx

  • 1. GG Freightways (GGFRT) IT Decision Paper Assignment Before you begin this assignment, be sure you have read the “GG Freightways Case Study,” any feedback on your proposed IT project from your ITSP Part 2 assignment, and the previously assigned course materials. Purpose of this Assignment This assignment gives you the opportunity to apply the course concepts to develop an IT Decision Paper to explain and defend an IT project at GG Freightways (GGFRT). This assignment specifically addresses the following course outcomes to enable you to: · Apply best practices in information technology management and governance to make, defend, and justify an IT decision. IT Decision Paper for Your Proposed IT Project For your ITSP, Part 2, you proposed an IT project for GGFRT. Lance, the CIO at GGFRT, has asked you to write an IT Decision Paper to explain your proposed project. He wants to use the Paper to gain approval from the Governance Board to move forward with the project. This assignment uses a format for a Decision Paper that has been tailored to the course material covered in this class. You may work for an organization that has a format for IT decision papers, and it would be a good idea for you to look at it, but it will likely be structured a little differently from this one. Each organization develops tools and techniques that will work for them. Assignment You will develop an IT Decision Paper, using the outline below. Each of the topics to be included in your outline is covered in the course content readings assigned thus far. In addition to the course materials, at least one external resource (resource other than those provided in the class) must be used. Two or more cited references will earn top credit. Use a separate References page to list just the references you have cited. Remember to use
  • 2. the APA formatting rules and correctly cite and reference your sources with APA format. Use the Grading Rubric to be sure you have covered everything. Please use this outline to build your IT Decision Paper. Use the numbering and headings shown below. 1. Project Description – In two or three sentences: (1) describe the IT project you proposed for GGFRT in Part 2 of your ITSP. (2) Describe what major function(s) the system would perform and who would use it. (Do not provide a technical description with hardware, software, etc.) 2. Strategic Alignment – In a short paragraph: (1) explain how the proposed project aligns to the business strategic objectives in Part 1 of your ITSP, and, (2) how the proposed project aligns to the IT strategies in Part 2 of your ITSP. Your proposed project must be aligned directly with at least one business strategic objective and one IT strategy shown in your ITSP. 3. IT Portfolio Roadmap Alignment – In a short paragraph: (1) Briefly explain where this project fits into the IT Portfolio Roadmap you included in Part 2 of your ITSP. (2) What functional area does it support? (3) Where should it be included in the timeline – i.e., should it take priority or be done before another project in the IT Portfolio? 4. IT Architecture – In a short paragraph: (1) Briefly explain how this project fits in with other systems in place or in development at GGFRT. (2) Explain whether it should interface with (share data of any kind with) other systems either in place or in development, what information is being shared, and its purpose.
  • 3. (3) Explain whether it replaces another system or multiple systems in use at GGFRT. Refer to the Inventory of Current IT Projects in Part 1 of your ITSP and the IT Portfolio in Part 2 of your ITSP. 5. Benefits: Describe at a high level three (3) benefits the project provides to GGFRT. The benefits should correspond to the business strategies and the strategic alignment discussed in section 2 above. State the Business Strategic Objective. Then, discuss this relationship/alignment for each benefit to the Business Strategic Objective. Refer to course content readings from Week 4 on Value Attainment. External research may also be beneficial. Please copy/paste the following table into your paper and complete it: Benefit (Spring 2019) Business Strategic Objective/Explanation of Alignment of Benefit to Business Strategic Objective Example: do not use but leave it in the table when completing this section. If the project is updating the Route Optimization/Freight Tracking System to include a package tracking feature: Better visibility for GGFRT and its customers into the delivery status of packages. Tracking freight to provide customers with better delivery dates & times This real-time feature of package status will allow both customers and GGFRT employees to see where the package is, while in transit. This will allow the customer to know where/when the package will be delivered. 1.
  • 4. 2. 3. 6. Requirements – List and briefly explain the high-level requirements for the project. First, explain the primary driver of the project (major need of the business area related to the project you have chosen), in a well-written introductory paragraph. Refer to course content readings regarding requirements (Week 7). External research may also be beneficial. Requirements were also covered in IFSM 300 (the prerequisite to be taken prior to this course; in Stage 3 requirements you noted requirements; refer to this assignment for examples). Develop ten (10) requirements for the project and include what category of the requirements below your presented requirements fit into: a. Business/user requirements b. IT/system requirements c. At least one system performance requirement Defining Requirements - The next step is to identify the essential requirements for your chosen project. User requirements express specifically what the user needs the system to do. This can be in terms of tasks/processes the users need to perform, data they need to input, what the system might do with that data input, and output required. System performance requirements express how the system will perform in several performance areas and security. IT/System requirements present what the system will do, the functions it must perform.They include characteristics that a product must have to meet the needs of the stakeholders and can include function or nonfunction requirements.As a member of the CIO's organization, you will use your professional knowledge to
  • 5. ensure all 3 types of requirements are covered (User/Business, IT/System and System Performance. Refer to Week 7 content on requirements. Additional research can expand your knowledge of these areas. Once you have identified the 10 requirements, evaluate each one using the criteria below and create 10 well-written requirements statements for your chosen project. The requirement statement: · Is a complete sentence, with a subject (system) and predicate (intended result or action) · Identifies only one requirement; does not include the words "and," "also," "with," and "or." · For User Requirements, states what tasks/processes the system will support or perform. · For System Performance Requirements, states how the system will perform. · For IT/System Requirements, states what the system will do., the functions it must perform. · Includes a measure or metric that can be used to determine whether the requirement is met (time or quantity), where appropriate. · Is stated in positive terms and uses "must" (not "shall," "may" or "should"); "the system must xxxx" not "the system must not xxx". · Avoids the use of terms that cannot be defined and measured, such as "approximately," "robust," "user friendly," etc. · Is achievable and realistic; avoids terms such as "100% uptime," or "no failures". Do not provide generic statements but relate to the needs of GGFRT and your project. Please copy/paste the following table into your paper and complete it:
  • 6. Requirement/Explanation of the Requirement (explanation should refer to the case study) (Spring 2019) Business/User; IT/System or System Performance (state one or more of these categories) Example: do not use but leave it in the table when completing this section. The Route Optimization/Freight Tracking System package status must be available to users 24/7/365. System Performance 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 7. Cost Estimation - During the Assessment Phase, Cost Estimation consists of estimating the size and complexity of the project, not the effort required or the actual projected dollar costs. Copy the table below and place an X (or other indication) in the box that most closely describes the size and
  • 7. complexity of your proposed solution. Use your judgment and then write a short paragraph to introduce and explain the assessments in your table. Refer to course content readings from Week 4 on Cost Estimation, especially the Assessment Phase. Assessment of Project Size and Complexity (Spring 2019) Size/Complexity Small Medium Large Very Complex Moderately Complex Straightforward 8. Performance Measures – This section explains how GGFRT will know whether the project is achieving the benefits identified above in section 5. First, present the table with a brief paragraph discussing the solution, table that follows, and to properly evaluate benefits, they should be measurable/quantifiable. Review the benefits, and look at the requirements you identified, and come up with three (3) performance measures that will indicate the extent to which the projected benefits have been achieved. (For example, if you had identified a benefit that the project would result in more repeat customers, then a measurement for that would be the number of repeat customers with the goal that the number would
  • 8. increase.) Refer to course content readings on Performance Measurement. This may be a good area to do some web research. The measures should be presented in a table with an introductory sentence or two: Benefit to Business (stated from section #5) (Spring 2019) Measure (quantifiable) Example: do not use but leave it in the table when completing this section. Better visibility for GGFRT and its customers into the delivery status of packages. Reduction in the number of packages returned for next-day delivery because of more efficient scheduling as customers can also reschedule packages when they see delivery status; or, Increase in the number on same-day deliveries due to better communication between GGFRT dispatchers, drivers and customers. 1. 2. 3. 9. System Development - Describe how you will use the System Development Life Cycle (SDLC) process to approach this project. Include only the following 5 stages: Plan, Design, Build, Test, Launch. List the stage followed by a colon, then in two to three sentences each, explain how each stage would be handled by Lance’s IT team and who else in GGFRT should be involved in each stage. Refer to course content materials on SDLC in Week 8. Formatting Your Assignment
  • 9. · In the CIO Memo assignment, you are preparing the document based on the feedback from the second assignment and scoring rubric. · Continue to use a title page from the ITSP #1 assignment that includes: The company name, title of assignment, your name, Course and Section number and date. · Use the outline format in the assignment instructions above, for these sections: 1. Project Description 2. Strategic Alignment 3. IT Portfolio Roadmap Alignment 4. IT Architecture 5. Benefits 6. Requirements 7. Cost Estimation 8. Performance Measures 9. System Development a. Plan: b. Design: c. Build: d. Test: e. Launch: · Write a short concise paper: Use the recommendations provided in each area for length of response. It’s important to value quality over quantity. · Content areas should be double spaced; table entries should be single spaced. · To copy a table: Move your cursor to the table, then click on the small box that appears at the upper left corner of the table to highlight the table; right click and COPY the table; put the cursor in your paper where you want the table and right click and PASTE the table. · Ensure that each of the tables is preceded by an introductory sentence that explains what is contained in the table, so the reader understands why the table has been included. 1. Use at least two resources with APA formatted citation and
  • 10. reference. Any course content should be from the class reading content, not the assignment instructions or case study itself. For information on APA format, refer to Content>Course Resources>Writing Resources. · Begin a Reference Page for resources required for this assignment. Use APA format for your reference page. · Running headers are not required for this report. · Writing should always be in third person. · Compare your work to the Grading Rubric below to be sure you have met content and quality criteria. · Submit your paper as a Word document, or a document that can be read in Word. Keep tables in Word format – do not paste in graphics. · Your submission should include your last name first in the filename: Lastname_Firstname_IT Decision The "right" and "wrong" answers have to do with if you correctly incorporated the course concepts from the course content and addressed all parts of the assignment. You need to do some external research on at least one aspect of the assignment - your choice - and incorporate it and cite/reference it in APA format in your response. The project you propose is not as important as that it makes sense considering the course content and the Case Study. Use the Rubric below to be sure you have covered all aspects of the assignment. GRADING RUBRIC: Criterion 90-100% Far Above Standards 80-89% Above Standards 70-79% Meets Standards 60-69% Below Standards < 60%
  • 11. Well Below Standards Possible Points Project Description 5 Points Description of the project is clear and concise, covers functions and users, and sets the stage for the remainder of the paper; demonstrates understanding of course concepts, analysis and critical thinking. 4 Points Description of the project is clear and concise, covers functions and users, and sets the stage for the remainder of the paper. 3.5 Points Description of the IT Project includes what it does (functions it performs) and who uses it. 3 Points Description of the project is unclear, not concise, and/or does not set the stage for the remainder of the paper. 0-2 Points Little or no description of the proposed IT project is included. 5 Strategic Alignment 9-10 Points Explanation of proposed project includes clear and well- supported alignment to at least one (1) business objective in Part 1 of the ITSP 1 assignment and one (1) IT strategy from Part 1 of the ITSP 2 assignment; explanation is very appropriate to the Case Study and clearly tied to the proposed IT project. 8 Points
  • 12. Explanation of proposed project includes clear alignment to at least one (1) business objective in Part 1 of the ITSP 1 assignment and one (1) IT strategy from Part 1 of the ITSP 2 assignment; explanation is appropriate to the Case Study and tied to the proposed IT project. 7 Points Explanation of proposed project includes direct alignment to at least one (1) business strategic objective in Part 1 of the ITSP 1 assignment and one (1) IT strategy from Part 1 of the ITSP 2 assignment. 6 Points Explanation of business objectives and/or IT strategies are incomplete; and/or are only partially appropriate to the Case Study or the proposed IT project. 0-5 Points Explanation of Strategic Alignment is minimal or not included. 10 IT Portfolio Roadmap Alignment 9-10 Points This section thoroughly explains the relationship of the proposed IT project to the IT Portfolio Roadmap in Part 2 of the ITSP, including a full explanation of the functional area supported, and where this project fits in the timeline. 8 Points This section clearly explains the relationship of the proposed IT project to the IT Portfolio Roadmap in Part 2 of the ITSP, including a good explanation of the functional area supported, and where this project fits in the timeline. 7 Points This section has an explanation of the relationship of the
  • 13. proposed IT project to the IT Portfolio Roadmap in Part 2 of the ITSP, including: where the proposed project fits into the IT Portfolio roadmap; identification of the functional area it supports; and where it should be included in the timeline in the ITSP. 6 Points This section includes only part of the required information on the relationship of the proposed IT project to the IT Portfolio Roadmap in Part 2 of the ITSP (where it fits, the functional area supported, and the timeline); and/or is not relevant to Case Study. 0-5 Points This section minimally covers the relationship of the proposed IT project to the IT Portfolio Roadmap in Part 2 of the ITSP, or does not cover it at all. 10 IT Architecture 9-10 Points A correct and convincing explanation of the IT Architecture includes how the project fits with, interfaces with and/or replaces other systems; explanation is clearly relevant to the Case Study and the proposed project; demonstrates thorough understanding of course concepts, analysis and critical thinking. 8 Points An accurate explanation of the IT Architecture includes how the project fits with, interfaces with and/or replaces other systems; explanation is relevant to the Case Study and the proposed project; demonstrates understanding of course concepts, analysis and critical thinking. 7 Points
  • 14. Explanation of the IT Architecture includes: how the proposed IT project fits in with other systems in place or in development at the business in the Case Study; whether it should interface with other systems either in place or in development; and whether it replaces another system or multiple systems in use at the business in the Case Study. 6 Points IT Architecture explanation partially covers how the project fits with, interfaces with and/or replaces other systems; is not relevant to the Case Study or the proposed project. 0-5 Points IT Architecture explanation is minimal or not included. 10 Benefits 9-10 Points Three (3) or more business benefits are thoroughly and convincingly explained; are clearly stated and aligned to the business objectives and IT strategies noted above in section 2; benefits are highly applicable to and appropriate for the proposed solution and the Case Study. 8 Points Three (3) or more business benefits are fully explained; are stated and aligned to the business objectives and IT strategies noted above in section 2; benefits are clearly applicable to and appropriate for the proposed solution and the Case Study. 7 Points At least two (2) business benefits that the proposed IT project provides to the organization in the Case Study are stated and described at a high level. The benefits correspond to the business objectives and the IT strategies discussed in section 2
  • 15. above. 6 Points Fewer than two (2) business benefits are shown; benefits are not aligned to business objectives and IT strategies above; are not applicable to or appropriate for the proposed solution and/or the Case Study. 0-5 Points Business benefits are minimally addressed or not included. 10 Requirements 9-10 Points This section includes an effective and well-written introduction that is applicable to the Case Study and thoroughly and convincingly explains the primary business driver for the proposed IT project. At least ten (10) unique requirements are identified and discussed, clearly applicable to the Case Study; requirements cover items a-c in the assignment; demonstrates thorough understanding of course concepts, analysis and critical thinking. 8 Points This section includes a well-written introduction that is applicable to the Case Study and fully explains the primary business driver for the proposed IT project. At least nine (9) unique requirements are identified and discussed, clearly applicable to the Case Study; requirements cover items a-c in the assignment; demonstrates understanding of course concepts, analysis and critical thinking. 7 Points This section includes an introduction that explains the primary driver behind the system (major business need). Then, at least eight (8) requirements are listed and briefly explained,
  • 16. applicable to the Case Study and include: (a) business/user requirements, (b) IT/system requirements; and (c) at least one system performance requirement. 6 Points This section does not include an introduction identifying the primary driver for the system; eight (8) or fewer requirements are identified; requirements are not applicable to the Case Study; and/or items a-c in the assignment are not covered. 0-5 Points This section minimally addresses requirements, or requirements are not included. 10 Cost Estimation 9-10 Points This section includes an effective and well-written introductory paragraph that is applicable to the Case Study and thoroughly and convincingly justifies the assessments in the table that follows. Cost estimation table is included, with appropriate selection for size and complexity. 8 Points This section includes an appropriate introductory paragraph that is applicable to the Case Study and provides a good explanation of the assessments in the table that follows. Cost estimation table is included, with appropriate selection for size and complexity. 7 Points This section includes an introductory paragraph that explains the assessments and applies to the Case Study. Cost estimation table is included; selections are made for size and complexity. 6 Points
  • 17. This section does not include an introductory paragraph; and/or cost estimation table is included, but selection for size and complexity are not appropriate or adequately justified. 0-5 Points This section provides little or no information on the cost estimation; cost estimation table is missing; and/or information presented does not apply to the Case Study. 10 Performance Measures 9-10 Points This section includes an effective and well-written introductory paragraph that is applicable to the Case Study, the proposed solution and the table that follows. The completed table contains all required information, accurately reflecting the Case Study and the proposed solution; demonstrates thorough understanding of course concepts, analysis and critical thinking. 8 Points This section includes an appropriate introductory paragraph that is applicable to the Case Study, the proposed solution and the table that follows. The completed table contains all required information, accurately reflecting the Case Study and the proposed solution; demonstrates understanding of course concepts, analysis and critical thinking. 7 Points This section includes at least one or two sentences that introduce the table. Performance Measures Table is included showing three (3) benefits and three (3) measures that are appropriate to the proposed solution and the Case Study. 6 Points This section includes fewer than three (3) benefits and associated performance measures; measures do not align to benefits; benefits and measures are not appropriate to the Case
  • 18. Study and the proposed solution; and/or introduction is missing. 0-5 Points This section provides little or no information on Performance Measures; table is missing; and/or information presented does not apply to the Case Study. 10 System Development 9-10 Points The five (5) stages of the SDLC are thoroughly covered; explanation is tied directly to the project and to the case study; includes IT team responsibilities and appropriate involvement of others at the business in the Case Study; demonstrates thorough understanding of course concepts and vocabulary. 8 Points The five (5) stages of the SDLC are fully covered; explanation includes discussion of the project and the case study; includes IT team responsibilities and appropriate involvement of others at the business in the Case Study; demonstrates understanding of course concepts and vocabulary. 7 Points The five (5) stages of the SDLC are covered: Plan, Design, Build, Test, Launch. Two to three sentences are used to explain how each stage would be handled by the team and identify others who need to be involved at the business in the Case Study. 6 Points The five (5) stages of the SDLC are not all covered; explanations are not appropriate to the project and the Case Study; and/or do not include IT team responsibilities and/or appropriate involvement of others at the business in the Case
  • 19. Study. 0-5 Points The stages of the SDLC are minimally addressed or are not included. 10 External Research 5 Points Two (2) or more sources other than the course materials are incorporated in two or more sections of the paper and are used effectively. Sources used are relevant and timely and contribute to the analysis. References are appropriately incorporated and cited using APA style. 4 Points At least one (1) source other than the course materials is incorporated and used effectively. Source(s) are relevant and contribute to the analysis. References are appropriately incorporated and cited using APA style. 3.5 Points At least one (1) source other than the course materials is used and properly incorporated into the text. Reference is cited using APA style. 3 points A source other than the course materials may be used, but is not properly incorporated or used and/or is not effective or appropriate and/or is not relevant or timely; and/or does not follow APA style for references and citations. 0-2 Points No external research is incorporated or reference listed is not
  • 20. cited within text. 5 Report Format 9-10 Points Report is very well organized and is easy to read. Very few or no errors in sentence structure, grammar, and spelling; presented in a professional format. 8 Points Report reflects effective organization; has few errors in sentence structure, grammar, and spelling; presented in a professional format. 7 Points Report has some organization; may have some errors in sentence structure, grammar and spelling. 6 Points Report is not well organized, and/or contains several grammar and/or spelling errors. 0-5 Points Report is extremely poorly written, has many grammar and/or spelling errors, or does not convey the information. 10 TOTAL Possible Points 100 2
  • 21. November 23, 2019 When working on Major Project 1 please choose an approach you are most comfortable with. Excel template (in a separate file) is intended to help you. If it confuses you instead, please disregard it completely or modify it the way you see necessary. The following checklist is intended to help you verify that your work covers all major calculations and points necessary for successful completion of the projectProject 1 submission checklist Basic Analysis Future Electricity prices downloaded and converted into $/kWh after adjustment for regional discount Depreciation using both methods is calculated, comparison is made and a justified recommendation is given Direct and Fixed Cost are properly identified and net income is calculated. Attention is paid to finding fixed cost based on allocation numbers and capacity Lost after-tax profit from Monza's cannibalized sales is properly calculated OCF is calculated based on approach used in earlier homework Opportunity costs are identified and properly calculated FCFs are calculated, combining together OCF, CapEx, investment in NWC, and opportunity costs NPV and IRR are properly calculated (attention to NPV formula use – check Excel mistakes screencast). For preliminary check,
  • 22. if WACC is not calculated yet, 8% can be used. For final submission, WACC calculated in WACC tab should be used WACC Assumptions about risk-free rate, MRP, tax rates and peer companies are made. Sources of information are provided in pink cells Data about peer companies downloaded from recommended sources (Yahoo Finance, EDGAR, Morning Star et al.) – levered beta, market value of equity, value of debt (book value of debt can be used instead), and possibly actual tax rates (unless assumption is made) D/E, E/Total Value ratios, and unlevered beta are calculated Mean and median of unlevered beta are found Zeta's relevered beta is estimated with proper Zeta's D/E ratio used Cost of equity is calculated using CAPM formula, calculated beta, and downloaded numbers for risk-free and MRP. After-tax cost of debt is calculated WACC is calculated Scenarios Electricity scenario summary is created by repeating basic analysis when using six different scenarios of electricity prices
  • 23. Sales volume scenario summary is created by repeating basic analysis when using three different scenarios of future sales volumes Electricity Breakeven Arbitrary year 1 electricity cost is chosen and electricity costs in subsequent years are made dependent on this initial cost EBIT is calculated either by using a complicated formula or by inserting extra rows and redoing calculations from basic analysis, but now as dependent on new electricity prices. DO NOT COPY VALUES of Body Materials electricity costs from Basic Analysis Investment in NWC is calculated either by using a complicated formula or by using already inserted extra rows FCF is calculated NPV is calculated by properly using NPV function Break-even year 1 electricity cost (making NPV = 0) is found either by trial and error or by using Excel Goal Seek Crystal Ball (Optional, extra 5% bonus) Assumptions cells are set at least for variables described in the project (Investment, Debt Financing %, interest rate, NWC Investment %, number of cannibalized cars, sales volume for each year, and electricity costs for each year). Averages should be the same as in the base case scenario. Additional assumptions can be made
  • 24. Simulation is run for NPV and IRR as forecast cells Probability of positive NPV is found based on NPV distribution chart Tornado chart is created Report Report starts from executive summary with your main conclusions and recommendations put there! Main part: · Very briefly describes work performed · Presents results · Analyzes results, focusing on risk analysis (different scenarios, sensitivities, breakeven etc.). · If simulation was performed, results are analyzed and discussed · Conclusions are drawn All sources used are properly cited and put in a reference list at the end. Remember that your instructor will submit your report to Turnitin. If you have your own access to Turnitin, I recommend submitting the report yourself and notify the instructor Formatting, spelling and grammar are checked. Proof reading helps to catch typos missed by software. Basic AnalysisZeta Spenza ProjectGivenMonza's sales10,000MACRS Schedule
  • 25. Solution LegendMonza's price$65,000year 133%Value given in problemMonza Cost structure per caryear 245%Formula/Calculation/Analysis requiredBody materials$11,000year 315%Assumptions, Qualitative analysis or Short answer requiredEngine$4,000year 47%Goal Seek, Scenario or Data Table cellDrivetrain$6,000Crystal Ball InputBattery Pack$20,000Crystal Ball OutputElectronics$5,000Labor (allocated) Dima Leshchinskii: Dima Leshchinskii: based on 10,000 Monzas sold annually$4,000Overhead (allocated) Dima Leshchinskii: Dima Leshchinskii: based on 10,000 Monzas sold annually$2,000Consulting Fees$50,000Spenza Price$80,000Spenza Sales projections (number of cars)Year 1Year 2Year 3Year 4Year 5Base Case Scenario5,0007,0006,0004,0003,000Optimistic Scenario5,5007,5006,5004,5003,500Pessimistic Scenario4,5006,5005,5003,5002,500Plant Investment250000000Alternative Land Use15000000Plant
  • 26. Capacity10,000 carsProject life4 yearsPercentage of Debt Financing50%Interest Rate7%Tax rate21%NWC as % of direct manufacturing costs4.75%Monza Sales Cannibalization1,000 carsHistorical Electricity Cost$0.07 per kWh70% of national averageCarbon Body Cost per Car$14,000Percentage of electricity80%Electricity used per carOther Spenza direct costsBody materials (other than electricity)Engine$4,000Drivetrain$6,000Battery Pack$15,000Electronics$5,000