Chapter 03

Introduction to System Introduction to System Analysis and Design Analysis and Design

- Dr. Mahmoud Abu-Arra- Dr. Mahmoud Abu-Arra

- Mr. Ahmad Al-Ghoul- Mr. Ahmad Al-Ghoul

System Analysis and System Analysis and DesignDesign

AvicennaAvicennaSystem Analysis and Design System Analysis and Design

Introduction to SADIntroduction to SAD 22

Learning ObjectivesLearning Objectives Use profiles and models to understand Use profiles and models to understand

business functions and operationsbusiness functions and operations Describe kinds of companiesDescribe kinds of companies Explain the Explain the Business Drivers for Today’s Business Drivers for Today’s

Information Systems and their impacts Information Systems and their impacts on information systemson information systems



IntroductionIntroduction

Information systems must supports Information systems must supports business and information needsbusiness and information needs

First you need to understand the business First you need to understand the business needs and needs and the the Business Drivers for Business Drivers for Today’s Information Systems and Today’s Information Systems and their impacts on information their impacts on information systemssystems, then you will build a business , then you will build a business model to understand the specific operation model to understand the specific operation and processesand processes



Understanding The BusinessUnderstanding The Business Every business has its operations, rules and Every business has its operations, rules and

constraints. IT professionals must understand constraints. IT professionals must understand business operations to create successful systems.business operations to create successful systems.

For example a retail store, an internet auction, For example a retail store, an internet auction, library, and hotel chain, have unique information library, and hotel chain, have unique information system requirements. Even with the same business system requirements. Even with the same business each company has its own rules, requirements, and each company has its own rules, requirements, and constraint.constraint.

System analysts use a process called business System analysts use a process called business process modeling to represent a company's operation process modeling to represent a company's operation and information needs. To do that the analyst needs.and information needs. To do that the analyst needs.

Business ProfileBusiness Profile Business ModelsBusiness Models



Understanding The BusinessUnderstanding The Business Business ProfileBusiness Profile

Is an overview that describes the company's Is an overview that describes the company's overall functions, process, organization, services, overall functions, process, organization, services, customers, suppliers, competitors, constraints, customers, suppliers, competitors, constraints, rules, and future directions.rules, and future directions.

The analysts must study all that in addition to The analysts must study all that in addition to interactivity among the firms information systems, interactivity among the firms information systems, specialized information needs, and future specialized information needs, and future expected growth.expected growth.

Armed with a business profile, the analyst then Armed with a business profile, the analyst then creates a series of business modelscreates a series of business models



Understanding The BusinessUnderstanding The Business Business ModelsBusiness Models

Business models make it easier for Business models make it easier for managers and system analysts to managers and system analysts to understand day-to-day business understand day-to-day business operationoperation

Is a graphical representation of one or Is a graphical representation of one or more business processes that a more business processes that a company performs.company performs.

Complex business operations require a Complex business operations require a series of linked models in order to show series of linked models in order to show the overall picture.the overall picture.

Business models support communication Business models support communication between analyst and system users to between analyst and system users to determine if the system achieve the determine if the system achieve the user requirementsuser requirements

[1]



Understanding The BusinessUnderstanding The Business New kinds of companiesNew kinds of companies

Traditionally, Companies are classified Traditionally, Companies are classified based on their main activities to:based on their main activities to:

Production-oriented: Production-oriented: the companies the companies who manufactured and sell products who manufactured and sell products such as computers, furniture, clothes such as computers, furniture, clothes and so on and so on

Service-oriented: Service-oriented: primarily offer primarily offer services like information, or sell goods services like information, or sell goods produced by others.produced by others.



Understanding The BusinessUnderstanding The Business New kinds of companiesNew kinds of companies

Now a days IT industry is a growing sector in Now a days IT industry is a growing sector in business world, many companies offer a mix of business world, many companies offer a mix of products, services, information, and technical products, services, information, and technical resources to a customer.resources to a customer.

The newest company category is the Internet-The newest company category is the Internet-dependent firm, often described as a ( dependent firm, often described as a ( Dot-com Dot-com (.com)(.com) ) company because its primary business ) company because its primary business depends on the Internet rather than a traditional depends on the Internet rather than a traditional business channel, Like Yahoo.com. business channel, Like Yahoo.com.

At the other end of the spectrum are traditional At the other end of the spectrum are traditional companies, sometimes called companies, sometimes called brick-and-mortarbrick-and-mortar companies because they conduct business from companies because they conduct business from physical locations.physical locations.

Many of the traditional companies have added Web-Many of the traditional companies have added Web-based marketing channels to increase sales and based marketing channels to increase sales and serve customers more effectivelyserve customers more effectively



Business Drivers for Today’s Business Drivers for Today’s Information SystemsInformation Systems

Globalization of the EconomyGlobalization of the Economy

Impact of the internetImpact of the internet

Security and PrivacySecurity and Privacy

Collaboration and PartnershipCollaboration and Partnership

Knowledge Asset ManagementKnowledge Asset Management

Continuous Improvement and Total Quality Continuous Improvement and Total Quality

ManagementManagement




Globalization of the EconomyGlobalization of the Economy The biggest players in todayThe biggest players in today’’s global marketplace s global marketplace

are multinational corporationsare multinational corporations Global Economy bringsGlobal Economy brings

New and expanded international marketsNew and expanded international markets New international competitorsNew international competitors

Impact on information systemsImpact on information systems Require support of multiple languages, currency Require support of multiple languages, currency

exchange rates, business culturesexchange rates, business cultures Require consolidation of international dataRequire consolidation of international data Demand for players who can communicate, orally and in Demand for players who can communicate, orally and in

writing, with management and users that speak different writing, with management and users that speak different languageslanguages




Impact of the InternetImpact of the Internet The Internet can be used for any business application The Internet can be used for any business application

that involves data communication, including both that involves data communication, including both communication inside the firm and with the environmentcommunication inside the firm and with the environment

UUnlike proprietary networks, the Internet can be used nlike proprietary networks, the Internet can be used with any computer platform without any special effort to with any computer platform without any special effort to access the networkaccess the network

The Internet also makes it possible to transmit a wider The Internet also makes it possible to transmit a wider variety of media than can be handled over most variety of media than can be handled over most conventional networksconventional networks

Internet offers Internet offers E-commerceE-commerce

Buying and selling of goods and services over the Buying and selling of goods and services over the internetinternet

E-BusinessE-Business The use of the internet to conduct and support The use of the internet to conduct and support

day-to-day business activitiesday-to-day business activities




Impact of the InternetImpact of the Internet Internet-based commerceInternet-based commerce

Called E-Commerce (I-Commerce), open a Called E-Commerce (I-Commerce), open a wide area for new systems development wide area for new systems development called Internet-based system development called Internet-based system development and add a new functions for a traditional and add a new functions for a traditional information systems. E-Commerce includes information systems. E-Commerce includes several sectors the main two are:several sectors the main two are:

B2C (Business-to-Consumer)B2C (Business-to-Consumer) B2B (Business-to-Business),B2B (Business-to-Business),




Impact of the InternetImpact of the Internet B2C (Business-to-Consumer)B2C (Business-to-Consumer)

A commercial exchange (e.g. products or A commercial exchange (e.g. products or services) between businesses and services) between businesses and consumers conducted over the internet. consumers conducted over the internet.

B2C commerce is changing traditional B2C commerce is changing traditional business models, that means more demand business models, that means more demand for system analysts, designer, and for system analysts, designer, and programmers to produce efficient, attractive programmers to produce efficient, attractive Web-based information systems.Web-based information systems.

Until now B2C transactions accounted for Until now B2C transactions accounted for small portion of total retail sales, but B2C small portion of total retail sales, but B2C activity is expected to grow significantly.activity is expected to grow significantly.




Impact of the InternetImpact of the Internet B2B (Business-to-Business),B2B (Business-to-Business), A commercial A commercial

exchange (e.g. products or services) between exchange (e.g. products or services) between businesses, typically enabled by the internet or businesses, typically enabled by the internet or electronicelectronic means.means.

The volume of B2B transactions is many times greater The volume of B2B transactions is many times greater than B2C transactions, than B2C transactions, about 94% of electronic about 94% of electronic commerce is B2B leaving 6% for B2Ccommerce is B2B leaving 6% for B2C

B2B allows companies to access the global market B2B allows companies to access the global market place, B2B is especially important to firms under place, B2B is especially important to firms under pressure to reduce costspressure to reduce costs

B2B enables smaller suppliers to contact large B2B enables smaller suppliers to contact large customerscustomers

On an industry-wide scale, B2B sites exist where buyers, On an industry-wide scale, B2B sites exist where buyers, seller, distributors, and manufacturers transact seller, distributors, and manufacturers transact business, exchange information, and collaboratebusiness, exchange information, and collaborate

As B2B volume increased, the development of As B2B volume increased, the development of extensible markup language (XML) enabled company-to-extensible markup language (XML) enabled company-to-company traffic to migrate to the Internetcompany traffic to migrate to the Internet




Impact of the InternetImpact of the Internet extensible markup language (XML)extensible markup language (XML) XML is a data description language that allows XML is a data description language that allows

Web-based communication between different Web-based communication between different hardware and software environmentshardware and software environments

XML is flexible because it is concerned with the XML is flexible because it is concerned with the data itself rather than the output formatdata itself rather than the output format

In XML data description is not linked to output In XML data description is not linked to output formatting, and this is just the opposite of formatting, and this is just the opposite of HTML (hypertext markup language), where the HTML (hypertext markup language), where the language controls the way the information is language controls the way the information is displayed on a Web browser. displayed on a Web browser.




Impact of the InternetImpact of the Internet The Path to Electronic CommerceThe Path to Electronic Commerce

Implementing an e-commerce system Implementing an e-commerce system includes a significant risk of failureincludes a significant risk of failure

The first step is a commitment to implement The first step is a commitment to implement the system as part of a strategic business the system as part of a strategic business plan to use e-commerce to achieve plan to use e-commerce to achieve competitive advantagecompetitive advantage

The firm then gathers business intelligence The firm then gathers business intelligence to understand the potential role each to understand the potential role each environmental element will playenvironmental element will play




Impact on Information SystemsImpact on Information Systems Most new ISs designed for internet Most new ISs designed for internet Client operating system less Client operating system less

important as only client-side important as only client-side software is a web browsersoftware is a web browser




Security and PrivacySecurity and Privacy SecuritySecurity

How will the business continue in the event of a security How will the business continue in the event of a security breach, terrorist attack, or disaster?breach, terrorist attack, or disaster?

How can the business protect its digital assets from How can the business protect its digital assets from outside threats?outside threats?

PrivacyPrivacy Consumer demands for privacy in e-commerce Consumer demands for privacy in e-commerce

transactionstransactions Government requirementsGovernment requirements

Impact on information systemsImpact on information systems Need to incorporate stringent security and privacy controlsNeed to incorporate stringent security and privacy controls




Collaboration and PartnershipCollaboration and Partnership Organizations seek to break down the Organizations seek to break down the

walls that separate organizational walls that separate organizational departments and functions.departments and functions.

Organizations collaborate with outside Organizations collaborate with outside business partners and even competitors.business partners and even competitors.




Knowledge Asset ManagementKnowledge Asset Management DataData

Raw facts about an organisation and its business transactionsRaw facts about an organisation and its business transactions InformationInformation

Data that has been refined and organised by processing and Data that has been refined and organised by processing and purposeful intelligencepurposeful intelligence

KnowledgeKnowledge – data and information that is further – data and information that is further refined based on the facts, truths, beliefs, judgments, refined based on the facts, truths, beliefs, judgments, experiences, and expertise of the recipient. experiences, and expertise of the recipient.

Knowledge Asset ManagementKnowledge Asset Management Recognizes that data, information, and knowledge Recognizes that data, information, and knowledge

are critical business resourcesare critical business resources




Continuous Improvement and Total Quality Continuous Improvement and Total Quality ManagementManagement Business ProcessesBusiness Processes

Tasks that respond to business events (e.g., an order). Tasks that respond to business events (e.g., an order). Business processes are the work, procedures, and rules Business processes are the work, procedures, and rules required to complete the business tasks, independent required to complete the business tasks, independent of any information technology used to automate or of any information technology used to automate or support them.support them.

Continuous process improvementContinuous process improvement (CPI)(CPI) The continuous monitoring of business processes to The continuous monitoring of business processes to

effect small but measurable improvements in cost effect small but measurable improvements in cost reduction and value added.reduction and value added.

Total quality management (TQM)Total quality management (TQM) Comprehensive approach to facilitating quality Comprehensive approach to facilitating quality

improvements and management within a companyimprovements and management within a company



Sequence SummarySequence Summary

A systems analysts starts with a business profile, which A systems analysts starts with a business profile, which is an overview of company functions, and then he is an overview of company functions, and then he creates a series of business models that represent creates a series of business models that represent business processes, which describe specific transactions, business processes, which describe specific transactions, events, tasks, and resultsevents, tasks, and results

Companies are production oriented, service oriented, or Companies are production oriented, service oriented, or a combination of the twoa combination of the two

The newest category is the Internet-dependent firm, The newest category is the Internet-dependent firm, which relies solely on Internet-based operations.which relies solely on Internet-based operations.

Business drivers for today’s information systemsBusiness drivers for today’s information systems are are

globalization of the Economy, electronic Commerce and globalization of the Economy, electronic Commerce and

Business, security and Privacy, collaboration and Business, security and Privacy, collaboration and

Partnership, knowledge Asset Management, continuous Partnership, knowledge Asset Management, continuous

Improvement and Total Quality Management, business Improvement and Total Quality Management, business

Process RedesignProcess Redesign




In this Sequence we haveIn this Sequence we have Described how systems analysis and Described how systems analysis and

design in organizations has changed design in organizations has changed over the past 40 yearsover the past 40 years

Defined the terms system and Defined the terms system and information systeminformation system

Described the characteristics of systemDescribed the characteristics of system Described information system Described information system

componentscomponents




In this Sequence we haveIn this Sequence we have Distinguished between business profile Distinguished between business profile

and business modeland business model Described the various types of Described the various types of

companiescompanies Described the major Described the major business drivers business drivers

for today’s information systemsfor today’s information systems



ReferenceReference

[1] System Analysis and Design, Sixth Edition[1] System Analysis and Design, Sixth Edition Authors: Gary B. Shelly, Thomas J. Cashman and Harry J. Rosenblatt , Authors: Gary B. Shelly, Thomas J. Cashman and Harry J. Rosenblatt , Publisher: SHELLY CASHMAN SEWIES.Publisher: SHELLY CASHMAN SEWIES.

[2] Modern Systems Analysis and Design Third Edition[2] Modern Systems Analysis and Design Third Edition Authors: Jeffrey A. Hoffer , Joey F. George, Joseph S. ValacichAuthors: Jeffrey A. Hoffer , Joey F. George, Joseph S. Valacich Publisher: prentice hall Publisher: prentice hall

[3] Systems analysis and design methods[3] Systems analysis and design methodsAuthors: Authors: Jeffrey L.; Bentley, Lonnie D., Jeffrey L.; Bentley, Lonnie D., Dittman, KevinDittman, Kevin Publisher:Publisher: McGraw-Hill McGraw-Hill

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Chapter 03