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SYSTEM ANALYSIS AND DESIGN The Systems Concepts:- Systems analysis and information systems were founded in general systems theory, which emphasizes a close look at all parts of a system. Too often analysts focus on only one component and over look other equally important component. General systems theory is concerned with “developing a systematic, the oretieal framework upon which to make decisions’. It discourages thinking in a vacuum and encourages consideration of all the activities of the organization and its external environment. Pionerring work in general systems theory emphasized that organizations be viewed as total systems. The idea of systems has become most practical and necessary in conceptualizing the interrelationships and integration of operations, especially when using computers. Thus a system is a way of thinking about organizations and their problems. It also involves a set of techniques that helps in solving problems. Definition of a System:- The term system is derived from the Greek word systema, which means an organized relationship among functioning units or components. A system exists because it is designed to achieve one or more objectives. We come into daily contact with the transportation system, the telephone system etc. Similarly we talk of the business system and of the organization as a system consisting of interrelated departments such as production, sales, personnel. There are more than a hundred definitions of the word system but most seem to have a common thread that suggests that a system is an orderly grouping of interdependent components linked together according to a plan to achieve a specific objective. The word component may refer to physical parts or a subsystem in a multilevel structure. The components may be simple or complex, basic or advanced. They may be a single computer with a keyboard, memory and printer or a series of intelligent terminals linked to a mainframe. In either case each component is part of the total system and has to do its share to work for the system to achieve the intended goal. This orientation requires an orderly grouping of the components for design for a successful system. The study of systems concept, has three basic implications:

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SYSTEM ANALYSIS AND DESIGN

The Systems Concepts:- Systems analysis and information systems were founded in general systems theory, which emphasizes a close look at all parts of a system. Too often analysts focus on only one component and over look other equally important component. General systems theory is concerned with “developing a systematic, the oretieal framework upon which to make decisions’. It discourages thinking in a vacuum and encourages consideration of all the activities of the organization and its external environment. Pionerring work in general systems theory emphasized that organizations be viewed as total systems. The idea of systems has become most practical and necessary in conceptualizing the interrelationships and integration of operations, especially when using computers. Thus a system is a way of thinking about organizations and their problems. It also involves a set of techniques that helps in solving problems.

Definition of a System:- The term system is derived from the Greek word systema, which means an organized relationship among functioning units or components. A system exists because it is designed to achieve one or more objectives. We come into daily contact with the transportation system, the telephone system etc. Similarly we talk of the business system and of the organization as a system consisting of interrelated departments such as production, sales, personnel.

There are more than a hundred definitions of the word system but most seem to have a common thread that suggests that a system is an orderly grouping of interdependent components linked together according to a plan to achieve a specific objective. The word component may refer to physical parts or a subsystem in a multilevel structure. The components may be simple or complex, basic or advanced. They may be a single computer with a keyboard, memory and printer or a series of intelligent terminals linked to a mainframe. In either case each component is part of the total system and has to do its share to work for the system to achieve the intended goal. This orientation requires an orderly grouping of the components for design for a successful system.

The study of systems concept, has three basic implications:

1. A system must be designed to achieve a predetermined objective.

2. Interrelationship and interdependence must exist among the components.

3. The objectives of the organization as a whole have higher priority that the objectives of its subsystems.

Characteristics of a System:-

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Our definition of a system suggests some characteristics that are present in all systems: organization, interaction, inter dependences, interaction and a central objective.

Organization:- Organization implies structure and order. It is the arrangement of components that helps to achieve objectives. In the design of a business system, for example, the hierarchical relationship starting with president on top and leading downward to the blue-collar workers represents the organization structure. Such an arrangement portrays a system subsystem relationship, defines the authority structure, specifies the formal flow of communication and formalizes the chain of command (see figure 1.1). Likewise a computer system is designed around an input device, a central processing unit, and output device and one or more storage units.

Interaction Interaction refers to the manner in which each component functions with other components of the system. In an organization, for example, purchasing must interact with production, advertising with sales, and payroll with personnel. In a computer system the central processing unit must intract with input device to solve a problem. In turn, the main memory holds programs and data that the arithmetic unit uses for computation. The interrelationship between these components enables the computer to perform.

Interdependence:- Interdependence means that parts of the organization or computer system depend on one another. They are coordinated and linked together according to a plan. Our subsystem depends on the input of another subsystem for proper functioning i.e. the output of one subsystem is the required input for another subsystem. This interdependence is crucial in systems work.

Figure 1.1: Organisation Structure

Workers

President

Formal organization

position

Vice president sales

Vice president production

Vice president accounting

Dept. head assembly

Dept. head painting

Lines of Authority

Workers

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Figure 1.2: Major subsystems of Production Firm

Figure 1.3: A Human Resources Information System

Above figure is an integrated information system designed to serve the needs of authorized users for quick access and retrieval through remote terminals. The interdependence between the personnel subsystem and the organization’s users is obvious.

In summary, no subsystem can function in isolation because it is dependent on the data it receives from other sub systems to perform its required tasks. Interdependence is further illustrated by activities and support of systems analysts, programmers and the operations staff in a computer center. A decision to computerize an application is initiated by the user, analyzed and designed by the analyst, programmed and tested by the programmer and run by the computer

Production

Research & Development.

Purchasing

Marketing

Financing & administration

PersonnelDistribution system

Major Higher-level subsystem

Intermediate (Middle-level subsystem

Employment section Benefits &

services section

Labour section

Training section

Health and safety section

Unemployment reports

Labour distribution

reports

Voluntary deduction reports

Fringe benefits reports

Insurance benefits reports

Input data

Payroll

Computer programs

Budget

Operation

Finance

Demographic data

Skills inventory job positions, recruitment, personnel budget, benefits, health, employment record.

Data base

Action report

Feedback and control

Other authorized users

Personnel staff

Administrators

Feedback and Control

Remote terminals for

data acquisition and retrieval

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operator. As shown in figure below, none of these persons can perform properly without the required input from others in the computer based subsystem.

Figure 1.4: Task Interdependence in a Computer-Based System

Integration:- Integration refers to the holism of systems. Synthesis follows analysis to achieve the central objective of the organization. Integration is concerned with how a system is tied together. It is more than sharing a physical part or location. It means that parts of the system work together within the system even though each part performs a unique function.

Central Objective:- The last characteristics of a system is its central objective. Objective may be real or stated. Although a stated objective may be the real objective, it is not uncommon for an organization to state one objective and operate to achieve another. The important point is that users must known the central objective of a computer application early in the analysis for a successful design and conversion.

Elements of a System :1. Output and Inputs

2. Processor(s)

3. Control

4. Feedback

5. Environment

6. Boundaries and Interface

1.Outputs and Inputs:- A major objective of a system is to produce an output that has value to its user. Whatever the nature of the output, it must be within the line with the explanations of the intended user. Inputs are the elements that enter the system for processing. Output is the outcome of processing. A system feeds on input to produce output in much the same way that a business brings in human financial, and material resources to produce goods and services. It is important to point out here that determining the output is a first step in specifying the nature, amount and regularity of the input needed to operate a system. For example in systems analysis, the first concern is to determine the user’s requirements of a proposed commuter system – that is specification of the output

User area

Systems Analysis

Programming Operations

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that the computer is expected to provide for meeting user requirements. Input and processing design follow:

Figure 1.5: Inputs and Outputs in a Business Operation

2 .Processor(s):- The processor is the element of a system that involves the actual transformation of input into output. It is the operational component of the system. Processor may modify the input totally or personally, depending on the specifications of the output. This means that as the output specifications change so does the processing. In some cases, input is also modified to enable the processor to handle the transformation.

3 .Control:- The control element guides the system. It is the decision – making sub-system that controls the pattern of activities governing input, processing and output. In an organizational context, management as a decision making body controls the inflow handling and outflow of activities that affects the welfare of the business. Output specification determine, what and how much input is needed to keep the system in balance.

In system analysis, knowing the attitudes of the individuals who control the area for which a computer is being considered can make a difference between the success and the failure of the installation. Management support is required for securing control and supporting the objective of the proposed change.

Human resources, material, energy,

informationTransformation

Standard of performance

Goods of services

Compare output against

performance standards

Management (Control)

ActionInformational

feedback

Policy decision

Input Processing

Output

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4 .Feedback:- Control in a dynamic system is achieved by feedback. Feedback measures output against standard in some form. After the output is compared against performance standards, changes can result in the input or processing and consequently, the output.

Feedback may be positive or negative, routine or informational. Positive feedback reinforces the performance provides the controller with information for action. In system analysis, feedback is important in different ways. During analysis, the user may specify that the problems in a given application, and justify the need for change. Another form of feedback comes after the system is implemented. The user informs the analyst about the performance of the new installation. This feedback often results in enhancements to meet the user’s requirements.

5 .Environment:- The environment is the “suprasystem” within which an organization operates. It is the source of external elements that unhinge on the system. In fact, it often determines how a system must function. The organization’s environment, consisting of vendors, competitions and others, may provide constraints and consequently influence the actual performance of the business.

6 .Boundaries and Interface:- A system should be defined by its boundaries – the limits that identify its components, processes and interrelationships and interfaces with another system. For example, a teller system in a commercial bank is restricted to the deposits, withdrawals and related activities of customers checking and savings accounts. It may exclude mortgage foreclosures, trust activities and the like.

Each system has boundaries that determine its sphere of influence and control. Although in an integrated banking computer system design, a customer who has a mortgage and a checking account with the same bank may write a check through the “teller system” to pay the premium that is latter processed by the “mortgage loan system”. Recently system design has been successful in allowing the automatic transfer of funds from the bank account to pay bills and other obligations to creditors, regardless of distance or location. This means that in systems analysis, knowledge of the boundaries of given system is crucial in determining the nature of its interface with other system for successful design.

Types of Systems:Systems have been classified in different ways. Common classifications are:

(i) Physical or abstract systems

(ii) Open or closed systems

(iii) Deterministic or probabilistic systems

(iv) Man-made information systems

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(i) Physical or Abstract Systems:-

Physical systems are tangible entities that may be static or dynamic in operation. Abstract systems are conceptual or non-physical entities which may be as straightforward as formulas of relationships among sets of variables or models - the abstract conceptualization of physical situations.

(ii) Open or Closed Systems: An open system continually interacts with its environments. It receives inputs from and delivers output to the outside. An information system belongs to this category, since it must adapt to the changing demands of the user. In contrast, a closed system is isolated from environmental influences. In reality completely closed systems are rare.

(iii) Deterministic or Probabilistic Systems:- A deterministic system is one in which the occurrence of all events is perfectly predictable. If we get the description of the system state at a particular time, the next state can be easily predicted. An example of such a system is a numerically controlled machine tool. Probabilistic system is one in which the occurrence of events cannot be perfectly predicted. An example of such a system is a warehouse and its contents.

(iv) Man-made Information Systems:- It is generally believed that information reduces uncertainty about a state or event. For example, information that the wind is calm reduces the uncertainty that a trip by boat will be enjoyable. An information system is the basis for interaction between the user and the analyst. It determines the nature of relationship among decision makers. In fact, it may be viewed as a decision centre for personnel at all levels. From this basis, an information system may be defined as a set of devices, procedures and operating systems designed around user-based criteria to produce information and communicate it to the user for planning, control and performance. Many practitioners fail to recognise that a business has several information systems; each is designed for a specific purpose. The major information systems are:

formal information systems

informal information systems

computer based information system

A Formal information system is based on the organisation represented by the organization chart. The chart is a map of positions and their authority relationships, indicated by boxes and connected by straight lines. It is concerned with the pattern of authority, communication and work flow.

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An Informal information system is an employee-based system designed to meet personnel and vocational needs and to help in the solution of work-related problems. It also funnels information upward through indirect channels. In this way, it is considered to be a useful system because it works within the framework of the business and its stated policies.

Third category of information system depends mainly on the computer for handling business applications. Systems analysts develop several different types of information systems to meet a variety of business needs. There is a class of systems known collectively as Computer Based Information Systems. As we have different types of transportation systems such as highway systems, railway systems and airline systems, computer based information systems are of too many types. They are classified as:

Transaction Processing Systems (TPS)

Management Information Systems (MIS)

Decision Support Systems (DSS)

Office Automation Systems (OAS).

The next figure shows the organisation chart of computer based information system (CBIS) and figure shows the hierarchical view of CBIS.

Figure 1.6: CBIS in an Organisation Context

Figure 1.7: Hierarchical View of CBIS

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Transaction Processing Systems:- The most fundamental computer based system in an organisation pertains to the processing of business transactions. A transaction processing system can be defined as a computer based system that captures, classifies, stores, maintains, updates and retrieves transaction data for record keeping and for input to other types of CBIS. Transaction Processing Systems are aimed at improving the routine business activities on which all organizations depend. A transaction is any event or activity that affects the whole organisation. Placing orders, billing customers, hiring of employees and depositing cheques are some of the common transactions. The types of transactions that occur vary from organisation to organisation.

But this is true that all organisations process transactions as a major part of their daily business activities. The most successful organisations perform this work of transaction processing in a very systematic way. Transaction processing systems provide speed and accuracy and can be programmed to follow routines without any variance.

Management Information System:- Data processing by computers has been extremely effective because of several reasons. The main reason being that huge amount of data relating to accounts and other transactions can be processed very quickly. Earlier most of the computer applications were concerned with record keeping and the automation of routine clerical processes. However, in recent years, increasing attention has been focussed on computer applications providing information for policy making, management planning and control purposes. MIS are more concerned with management function. MIS can be described as information system that can provide all levels of management with information essential to the running of smooth business. This information must be as relevant, timely, accurate, complete and concise and economically feasible.

Decision Support Systems:- It is an information system that offers the kind of information that may not be predictable, the kind that business professionals may need only once. These systems do not produce regularly scheduled management reports. Instead, they are designed to respond to a wide range of requests. It is true that all the decisions in an organisation are not of a recurring nature. Decision support systems assist managers who must make decisions that are not highly structured, often called unstructured or semi-structured decisions. A decision is considered unstructured if there are no clear procedures for making the decision and if not all the factors to be considered in the decision can be readily identified in advance. Judgement of the manager plays a vital role in decision

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making where the problem is not structured. The decision support system supports, but does not replace, judgement of manager.

Office Automation Systems:- Office automation systems are among the newest and most rapidly expanding computer based information systems. They are being developed with the hopes and expectations that they will increase the efficiency and productivity of office workers-typists, secretaries, administrative assistants, staff professionals, managers and the like. Many organisations have taken the First step toward automating their offices. Often this step involves the use of word processing equipment to facilitate the typing, storing, revising and printing of textual materials. Another development is a computer based communications system such as electronic mail which allows people to communicate in an electronic mode through computer terminals. An office automation system can be described as a multi-function, integrated computer based system that allows many office activities to be performed in an electronic mode.

Categories of different information systems with their characteristics have been described briefly in table below.

Categories of Information Systems

Category ofInformation System

Characteristics

Transaction Processing System Substitutes computer-based processing for manual processes. Includes record-keeping applications.

Management Information System Provides input to be used in the managerial decision process. Deals with supporting well structured decision situations. Typical information requirements can be anticipated

Decision Support System Provides information to managers who make judgements about particular situations. Supports decision makes in situations that are not well structured.

Office Automation System It is a multi-function, integrated computer based system, that allows many office activities to be performed in an electronic mode.

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System Development Life Cycle:- To understand system development, we need to recognize that a candidate system has a life cycle, much like a living system or a new product. Systems analysis and design are based to the system life cycle. The stages are described below. The analyst must progress from one stage to another methodically, answering key questions and achieving results in each stage.

A word of caution regarding life cycle activities. We isolate and sequence these activities for learning purposes, but in real life they overlap and highly interrelated, for example, when the analyst is evaluating an existing operation he/she is probably thinking about an alternative way that would improve the system or wondering whether a given piece of hardware would be a critical cost item to consider for a candidate system. Therefore, there can easily be overlap during any phase of the cycle. In fact, it may act as a basis for modifying earlier steps taken. We now describe each of these steps.

Recognition of Need – What is the Problem?One must know what the problem is before it can be solved. The basis for a candidate system is recognition of a need for improving an information system or a procedure. For example, a supervisor may want to investigate the system flow in purchasing. Or a bank president has been getting complaints about the long lines in the drive – in. This need leads to a preliminary survey or an initial investigation to determine whether an alternative system can solve the problem. It entails looking into the duplication of effort bottlenecks, inefficient existing procedures, or whether parts of the existing system would be candidates for computerization. If the problem is serious enough, management may want to have an analyst look at it, such an assignment emplies a commitment, especially if the analyst hired from the outside. In larger environments, where formal procedures are the norm, the analyst’s first task is to prepare a statement specifying the scope and objective of the problem. He/she then reviews it with the user for accuracy at this stage, only a rough “ball parle” estimate of the development cost of the project may be reached. However, an accurate cost of the next phase – the feasibility study – can be produced.

Stage Key Question Result

1. Recognition of needPreliminaryy survey/ What is the problem or Statement of scope andInitial investigation opportunity? Objectives

Performance criteria

2. Feasibility studyEvaluation of existing What are the user’s Technical/behavioralSystem and procedures demonstrabel needs? FeasibilityAnalysis alternative Is the problem worth Cost/benefit analysisCandidate system solving? System scope and objectivesCost estimates How can the problem be Statement of new scope and

Redefined? Objectives

3. AnalysisDetailed evaluation of What must be done to solve Logical model of system—Present system the problem? e.g., data dictionary, data

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Data collection What are the facts? flow diagramPertient data

4. DesignGeneral design In general, how must the Design of alternativespecifications problem be solved? solutionsDetailed design Specifically, how must the Final cost/benefit analysisspecifications problem be solved? Hardware specificationsOutput What is the system Cost estimatesInput (processing) flow? Implementation specificationsFielsProcedures Does the user approve the Implementation scheduleSystem? Approval of system by user

Programs

Program constrcutionTestingUnit testing How well do individual Security, audit, and operatingCombined module programs/modules test out? ProceduresTesting How ready are programs for Actual hardware useUser acceptance acceptance test? Formal system testTesting

5. ImplementationUser training What is the actual operation? Training programFile/System conversion Are user manuals ready? User-friendly documentationAre there delays in ladingFiles?

6. Post-implementation andMaintenanceEvaluation Is the key system running? User requirements metMaintenance Should the system be User standards metEnchancements modified? Satisfied user

Figure 1.9: System Development Life Cycle

Project Selection:The project has to be identified before it can be solved. The basis for an alternative system is the recognition of a need for improving an information system or a procedure.

The idea for change originates in the environment or within the firm due to any of the following reasons :

speed of processing needed to be improvedincreased workloadto cut down on cost of processingrequirement of increased accuracy/reliability of output reports generated security of processing

Environment based ideas originate from customers, vendors, government sources etc. e.g., new unemployment compensation regulations may make it necessary to change the reporting procedure, format, and content of various reports, as well as the file structures. Customer complaints about the delivery of orders may prompt an investigation of the delivery schedule, the experience of the truck drivers, or the volume of the orders to be delivered.

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Ideas for change may also come from within the organisation's top management or from the users.

When investigated, each of these ideas may lead to a problem definition which leads to the first step in the system life cycle process.

The objective of this phase is to answer the following questions :

1. What is the problem (or opportunity) perceived ?

2. What are the goals to be achieved by the solution ?

3. What are the benefits which will result from achieving the solution ?

These details may be recorded in an informal note or in a formal document. This document would be called the Project Request Form.

A request to receive assistance from an information system can be made for many reasons, but in each case someone-a manager, an employee, or a systems specialist - initiates the request.

The project proposal submitted by the users to the project selection committee is a critical element while launching a systems study.

The form of such a request varies from firm to firm, but there is a general agreement on the kind of information that should be provided.

A sample of the project request form is shown below.

THE PROJECT REQUEST FORM

Job TitleInvestigation of an on-line safe deposit system.

Nature ofJob_____ New_____ Revision

RequestData27/07/2001

To be completed notlater than12/05/2002

Job Objectives: Provide customer service, reduce paper work, better billing system, and possible reduction in staffing requirements.

Expected Benefits 1. Shorten or eliminate customer lines in lobby2. Provide quick up-to-date information regarding box availability3. More accurate billing procedure

Output Specifications Input Specifications

Report Title Document TitleCustomer monthly statement Billing notices

Quantity 2-5 No. of pages/report Quantity 100-4004 No. of copies/report

Frequency _____ daily Frequency _____ daily ______ weekly ______ weekly

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Remarks: letter quality printing Remarks: number of notices vary withthe season. In January the range may bebetween 200 – 1,000

Report Title Document title

Quantity ____ No. of pages/report Quantity ___ _____ No. of copies/reportFrequency ____ daily Frequency ____ daily ____ weekly ____ weeklyRemarks

As seen from the above table, the user’s request form specifies the following:

1. User-assigned title of work requested.

2. Nature of work requested (problem definition).

3. Date on which the request was submitted.

4. Date by which the job should be completed.

5. Job objective(s) - purpose of job requested.

6. Expected benefits to be derived from the proposed change.

7. Input/output description-quantity (number of copies or pages) and frequency (daily, weekly, etc.) of inputs and outputs of the proposed change.

8. Requester's signature, title, department, and phone number.

9. Signature, title and department of the person(s) approving the request.

Preliminary Investigation of Project Selection:- When a request to change, improve or enhance an existing system is made, the next systems activity, that is, the preliminary investigation, begins. Because there is a possibility for a stream of requests, standard procedures must be established to deal with them.

The 'initial investigation' is one way to handle this. The objective is to determine whether the request is 'valid' and 'feasible' before a recommendation is made to either do nothing, or improve or modify the existing system or build a new one.

Scope of Study:- The purpose of the preliminary investigation is to evaluate the project requests. It is not a design study. It is collecting the information that permits the committee members to

Evaluate the merits of the project request

Make an informal judgement about the feasibility of the proposed project.

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The following activities should be accomplished during the preliminary investigation.

1. Clarify and understand the project request.

What is being done? What is required? Why?

Is there an underlying reason different from the one the requester identifies?

E.g. the user justifies a request for developing of an accounts receivable system based on the requirement of faster processing. However, the preliminary investigation may reveal that the need for better control of cash handling outweighs the need for speed. Lost checks and not speed of processing, are the real problems, but the requester has not described the specific need clearly.

2. Determine the size of the project.

e.g. Does a request for a course-registration project call for new development or for modification of the existing system? The investigation conducted for a solution will also gather the details useful in estimating the amount of time and number of people required to develop the project. Since many enhancements of existing system are costly, they are treated in the same way as a new project by the project selection committee.

3. Assess costs and benefits of alternative approaches

e.g. What are the estimated costs for developing a patient information system, as requested by the hospital's chief of staff? What expenses will be incurred to train the medical and nursing personnel and install the system ? Will the proposed system reduce the operating costs? Is it likely that the cost of error will decrease?

4. Determine the technical and operational feasibility of alternative approaches.

e.g. Does the necessary technology to link office word processing systems to the main computer exist or can it be acquired ? How workable is the request to enable administrative assistants to retrieve sales information from the main system and insert it directly into type written reports prepared on a word processor ?

5. Report the findings to the management, with recommendations outlining the acceptance or rejection of the proposal.

e.g. A proposal for the installation of an order entry system should be modified to allow all salespersons to submit their orders through ordinary telephone connections directly into the computer. The modifications will improve the usefulness of the system and increase the financial benefits of the organization.

Feasibility Study:- Depending on the results of the initial investigation, the survey is expanded to a more detailed feasibility study. As we shall learn, a feasibility study is a test of a system proposal according to its workability impact on

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the organization, ability to meet user needs, and effective use of resources. It focuses on there major questions:

i. What are the user’s demonstrable needs and how does a candidate system meet them?

ii. What resources are available for given candidate systems? Is the problem worth solving?

iii. What are the likely impact of the candidate system on the organization? How will it fit within the organization’s master MIS plan?

Each of these questions must be answered carefully. They revolve around investigation and evaluation of the problem, identification and description of candidate systems, specification of performance and the cost of each system, and final selection of the best system.

The objective of a feasibility study is not to solve the problem but to acquire a sense of its scope. During the study, the problem definition is crystallized and aspects of the problem to be included in the system are determined. Consequently, costs and benefits are estimated with greater accuracy at this stage.

The result of the feasibility study is a formal proposal. This is simply a report - a formal document detailing the nature and scope of the proposed solution. The proposal summarizes what is known and what is going to be done. It consists of the following.

1. Statement of the Problem – a carefully worded statement of the problem that led to analysis.

2. Summary of Findings and Recommendations – a list of the major findings and recommendations of the study. It is ideal for the user who required quick access to the results of the analysis of the system under study. Conclusions are stated, followed by a list of the recommendations and a justification for them.

3. Details of Findings – An outline of the methods and procedures undertaken by the existing system, followed by coverage of objectives & procedures of the candidate system. Included are also discussions of output reports, file structures, and costs and benefits of the candidate system.

4. Recommendations and Conclusions – special recommendations regarding the candidate system, including the personal assignments costs, project schedules, and target dates.

In the feasibility study offering system design, we have to consider the following:

Feasibility Considerations:- Three key considerations are involved in the feasibility analysis: economic, technical, behavioural. Let’s briefly review each consideration and how it relates to the systems effort.

Economic Feasibility:-

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Economic analysis is the most frequently used method for evaluating the effectiveness of a candidate system. More commonly known as cost/benefit analysis, the procedure is to determine the benefits and savings that are expected from a candidate system and compare them with costs. If benefits outweigh costs, then the decision is made to design and implement the system. Otherwise, further justification or alterations in the proposed system will have to be made if it is to have a chance of being approved. This is an ongoing effort that improves in accuracy at each phase of the system life cycle.

Technical Feasibility:-

Technical feasibility centers around the existing computer system (hardware, software etc.) and to what extent it can support the proposed addition. For example, if the current computer is operating at 80 per cent capacity – an arbitrary ceiling – then running another application could overload the system or require additional hardware. This involves financial considerations to accommodate technical enhancements. If the budget is a serious constraint, then the project is judged not feasible.

Behavioural Feasibility:-

People are inherently resistant to change, and computers have been known to facilitate change. An estimate should be made of how strong a reaction the user staff is likely to have towards the development of a computerized system. It is common knowledge that computer installations have something to do with turnover, transfers, retraining, and changes in employee job status. Therefore, it is understandable that the introduction of a candidate system requires special effort to educate, sell, and train the staff on new ways of conducting business.

Analysis:- It is a detailed study of the various operations performed by the system and their relationship within and outside of the system. A key question is – what must be done to solve the problem? One aspect of analysis is defining the boundaries of the system and determining whether or not a candidate system should consider other related systems. During analysis, data are collected on available files, decision points, and transactions handled by the present system. We shall learn about some logical system models and tools that are used in analysis. It requires special skills and sensitivity to the subjects being interviewed. Bias in data collection and interpretation can be problem. Training, experience and common sense are required for collection of the information needed to do the analysis. Once analysis is completed the analyst has a firm understanding of what is to be done. The next step is to decide how the problem might be solved. Thus, in the systems design, we move from the logical to the physical aspects of the life cycle.

Design:- The most creative and challenging phase of the system life cycle is system design. The term design describes both a final system and a process by which

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it is developed. It refers to the technical specifications (analogous to the engineer’s blueprints) that will be applied in implementing the candidate system. It also includes the constructions of programs and programme testing. The key question here is – How should the problem be solved? The major steps in design are shown below.

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Figure 1.10: Steps in System Design

The first step is to determine how the output is to be produced and in what format. Samples of the output (and input) are also available. Second, input data and master files (data base) have to be designed to meet the requirements of the proposed output. The operational (processing) phase are handled through programe construction and testing, including a list of the programmes needed to meet the system’s objectives and complete documentation. Finally, details related to justification of the system and an estimate of the impact of the candidate system on the user and the organization are documented and evaluated by management as a step toward implementation.

1

Detailed system documentation

Output design

Cost justification and candidate system design

Input design

Design submitted to management for

approval

File design

Form analysis

Design accepted? Abandon project No

Yes

Test programs

Go to implementation

Output design Processing design

Go to implementation

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The final report prior to the implementation phase includes procedural flowcharts, record layouts, report layouts, and a workable plan for implementing the candidate system. Information on personnel, money, hardware, facilities and their estimated cost must also be available. At this point, projected costs must be close to actual costs of implementation.

In some firms, separate groups of programmer do the programming whereas other firms employ analyst programmers who do analysis and design as well as code programmes. For this discussion, we assume that analysis and programming is carried out by two separate persons. There are certain functions, though, that the analyst must perform while programes are being written operating procedures and documentation must be completed. Security and auditing procedures must also be developed.

Testing:- No system design is ever perfect. Communication problems, programmers negligence or time constraints create errors that most be eliminated before the system is ready for user acceptance testing. A system is tested for online response, volume of transactions, stress, recovery form failure and usability. Then comes system testing, which verifies that the whole set of programs hangs together, following system testing is acceptance testing or running the system with live data by the actual use.

System testing requires a test plan that consists of several key activities and steps for programs, string, system and user acceptance testing. The system performance criteria deal with turaround time, backup, file protection, and the human factor.

Implementation:- It is primarily concerned with user training, site preparation, and file conversion. When the candidate system is linked to terminals and remote sites the telecommunication network and tests of the network along with the system are also included under implementation.

During the final testing, user acceptance is tested, followed by user training. Depending on the nature of the system, extensive user training may be required, conversion usually takes place at about the same time the user is being trained or later.

Evaluation:-

During systems testing, the system is used experimentally to ensure that the software does not fail. In other words, we can say that it will run according to its specifications and in the way users expect. Special test data are input for processing, and the results examined. A limited number of users may be allowed to use the system so that analyst can see whether to use it in unforeseen ways. It is desirable to discover any surprises before the organization implements the system and depends on it.

Evaluation of the system is performed to identify its strengths and weaknesses. The actual evaluation can occur along any one of the following dimensions:

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(i) Operational Evaluation: Assessment of the manner in which the system functions, impact.

(ii) Organisational Impact: Identification and measurement of benefits to the organisation in such areas as financial concerns, operational efficiency and competitive impact.

(iii) User Manager Assessment: Evaluation of the attitudes of senior and user manager within the organisation, as well as end-users.

(iv) Development Performance: Evaluation of the development process in accordance with such yardsticks as overall development time and effort, conformance to budgets and standards and other project management criteria.

Maintenance is necessary to eliminate errors in the working system during its working life and to tune the system to any variations in its working environment. Often small system deficiencies are found as a system is brought into operation and changes are made to remove them. System planners must always plan for resource availability to carry out these maintenance functions. The importance of maintenance is to continue to bring the new system to standards.