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Preliminary Survey _ Feasibility Study

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									Preliminary Survey
& Feasibility Study
 Preliminary Survey and feasibility study
  are generally described as stages in which
  the computer application is either
  approved or not approved.
 The major difference between Preliminary
  Survey and feasibility study is the amount
  of effort and level of detail involved.
 IS dept conduct a survey to see what type
  of system is needed and to eliminate
  grossly inappropriate system alternatives.
 In preliminary survey we suggest what
  type of system might meet requirements.
 The feasibility study has to contain enough
  detail about the alternatives so that one
  alternative can be selected for
  development.
 Before any type of survey or feasibility
  study can be undertaken we have to
  obtain a feeling of the existing system.
Knowing Existing System

  It will be hard to identify any organized
   set of procedures that represent the
   existing information processing system.
  IS dept need to enumerate problems and
   determine what motivated the
   suggestion that a new system will help in
   processing information.
 Analysis of the current system

   Also known as: feasibility stage. Analyze the
    current situation at a high level. A DFD (Data
    Flow Diagram) is used to describe how the
    current system works and to visualize known
    problems.
 The following steps are part of this stage:
      A model of the business activity is built.
       Business events and business rules would
       also be investigated as an input to the
       specification of the new automated system.
      Investigate and define requirements. The
       objective of this step is to identify the
       problems associated with the current
       environment that are to be resolved by the
       new system. It also aims to identify the
       additional services to be provided by the new
       system and users of the new system.
 Investigate current processing. It investigates
  the information flow associated with the
  services currently provided, and describes
  them in the form of Data Flow Model. At this
  point, the Data Flow Model represents the
  current services with all their deficiencies. No
  attempt is made to incorporate required
  improvement, or new facilities.
 Investigate current data. This step is to identify
  and describe the structure of the system data,
  independently of the way the data are currently
  held and organized. It produces a model of
  data that supports the current services.
 Derive logical view of current services.
  The objective of this step is to develop a
  logical view of the current system that can
  be used to understand problems with the
  current system.
Summary of what all factors should be
analyzed in the existing system
 Decisions
1.        Who is the major Decision Maker in
   system running.
2.        What is the major Input
3.        What is the actual output getting
4.        How often decision taking is carried
   out during the running of the system.
   (Frequency)
5.   cost incurred in each level of system.
 Information
1. Detection of crucial information flow

2. Various Attributes of information

3. In what format the information is
   received by the system.

4. Actual source of information

5. Actual storage of information.
 Processing
1. Detect major operations in the system.
2. Identify who is responsible for performing
   the major processes.
3. Identify what is the peak load experienced
   by the system.
4. Identify what is the average load
   experienced by the system.
 Cost
1. Estimate the current cost of information
   processing.
Preliminary Survey            Feasibility Study
Develop very rough estimate  Develop a refined and
of the new system.           comparatively accurate
                             estimate of the new system.
Collect sample of documents, Study of documents, Trace the
interview only a few people  flow of information through the
and use approximations.      system and spend time with
                             people who originate and
                             process the data.
Suggest different             Evaluate each of the
alternative solutions for     alternative on technical,
the existing system .         operational and economic
                              criteria. Estimate technical
                              and operational feasibility
                              and compare cost with
                              benefits.
Outline Of Preliminary Survey
& Feasibility Study Contents
    Summary :Presents a brief overview of the
     reasons for the study and ranks each processing
     alternative (including the present system) on the
     criteria established by the steering committee.
     This summary is the primary input for decision
     making.
1.   Goals
2.   For each alternative evaluation on standard
     Criteria
    Description of the Existing System
1.   Problems
2.   Goals of new System
3.   Decision Considerations
4.   Information Flow
5.   Processing
   Finally each alternative is presented in detail.
(Present a scenario on how the system would actually be
     used
Include management, User, and IS Dept activities under each
     alternative.)
For each alternative proposed
1. Overview-Percentage of goals achieved, benefits
2. Decisions
3. Information Flows
4. Technical details( Files, I/O, processing)
5. Development effort, Schedule, Cost
6. Operational aspects
8. Impact on the Organization (Which depts. and
    individuals will be affected by the system? what
    jobs will be changed? what will happen to any
    employees who are replaced by a system? Will
    the system provide additional Organizational
    flexibility? Will it affect the relationship b/w the
    Organization and its suppliers or customers?)

9.Total Cost versus Benefits
Total System cost =Development Cost + Operations
   Cost
    Development Cost
1.   Computer Time
2.   System Analyst Time
3.   Programmer Time
4.   User Time
    Operation Cost
1.   Computer Cost
2.   Communication Cost
3.   Operating Staff Cost
4.   Incremental user cost
5.   Maintenance Cost
List of benefits to be considered for
feasibility analysis
 Ability to obtain information previously
  unavailable (Tangible)
 Receipt of information on amore timely basis
  (Tangible).
 Improvement in operations (Tangible)
 The ability to perform calculations not
  possible before. (e.g.: simulation of product
  schedules) (Tangible)
 Reduction in clerical activity (Tangible)
 Improvements in decision making
  (Intangible)
 Improvements in customer service, image
  etc (Intangible)
 Generation of increased revenue (tangible)
 Ability to respond faster to changing
  conditions (tangible)
 Improvements in the working environment
  (Intangible)
 Ability to reengineer or make major
  improvements in a process. (tangible)
Decision Making Body

  A steering committee should be formed for
   the selection of new applications.
  steering committee should ideally be
   comprise of a joint group of users,
   management, and the IS Dept staff.
  Through the use of the committee it is less
   likely that the department will be criticized
   for making arbitrary judgments.
Management            IS Dept      Users
Furnish the overall   Provide     Supply data
goals of the          technical   specific to the
organization          Information problem area
                                  under
                                  consideration.
  Problems which can arise
  with the steering committee
 Lack of Commitment from the Management
  Side.
 Lack of Purpose :No one seems to know why
  the meetings are held.
 steering committee degenerate into design
  sessions.
The set of criteria on which survey
and Feasibility Study should be
evaluated.
 1. Time to implement the system.
 2. Tangible and intangible savings
 3. Benefits to the users
 4. Total Cost
 5. Effect on existing computer operations
 6. Maintenance costs
 7. Level of uncertainty (cost, benefit,
    development)
 8. Potential revenue gains to the Org.

								
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