Chapter 11


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Chapter 11

  1. 1. 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.
  2. 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. 3.  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.
  4. 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. 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. 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