Feasibility Study and Business Requirements Statement

Document Sample
Feasibility Study and Business Requirements Statement Powered By Docstoc
					BIS310: Week 4
                       BIS310: Structured
                       Analysis and Design

         Feasibility Study and
    Business Requirements Statement

  -Selecting the Best Alternative Design Strategies
     - Interpersonal Skills and Communications
BIS310: Week 4

                 Feasibility analysis
  • Feasibility is the measure of how beneficial
    or practical the development of an
    information system will be to an
  • Feasibility analysis is the process by which
    feasibility is measured.
BIS310: Week 4

        Analysis Phase Checkpoint
  • Alternative solutions are defined in terms of
    their IS building blocks (hardware,
    software, data, network, etc.).
  • After defining these options, each option is
    analyzed for operational, technical,
    schedule, and economic feasibility.
BIS310: Week 4

                 Four Tests for Feasibility

    • Operational feasibility
    • Technical feasibility
    • Schedule feasibility
    • Economic feasibility (cost-benefit
BIS310: Week 4

             Operational Feasibility

  • Is the problem worth solving, or will the
    solution to the problem work?
  • How well would the candidate solution be
    received from management, system users,
    and organization perspective? (political)
  • Is the solution compliant with laws and
    regulations? (legal)
BIS310: Week 4

                 Technical Feasibility

  • Is the proposed technology or solution
  • Do we currently possess the necessary
  • Do we possess the necessary technical
    expertise, and is the schedule reasonable?
BIS310: Week 4

                 Schedule Feasibility

  • Given our technical expertise, are the
    project deadlines reasonable?
BIS310: Week 4

                 Economic Feasibility

  • How Much Will the System Cost?
  • What Benefits Will the System Provide?
      – Tangible benefits
      – Intangible benefits
  • Is the Proposed System Cost-Effective?
BIS310: Week 4

      Cost-Benefit Analysis Techniques

  •   Brake-Even Analysis
  •   Payback Period Analysis
  •   Cash-Flow Analysis
  •   Net Present Value (NPV)
  •   Return-on-Investment (ROI) Analysis
BIS310: Week 4

          Financial Analysis Tools
    Guidelines to select the method for
    comparing alternatives:
      – Use Break-Even Analysis if the project needs
        to be justified in terms of cost, not benefits.
      – Use Payback Period Analysis when the
        improved tangible benefits form a convincing
        argument for the proposed system.
BIS310: Week 4

    Financial Analysis Tools (cont.)
    Guidelines to select the method for
    comparing alternatives (continued)
      – Use Cash-Flow Analysis when the project is
        expensive, relative to the size of the company.
      – Use Net Present Value (or ROI) when the
        payback period is long or when the cost of
        borrowing money is high.
BIS310: Week 4
BIS310: Week 4
BIS310: Week 4

      Selecting the Best Alternative Design Strategy

  •    Generate a comprehensive set of alternative design
       strategies -- Candidate Systems Matrix

  •    Select the one design strategy that is most likely to result
       in the desired information system – Feasibility Matrix
BIS310: Week 4

      Business Requirements Statement

     A consolidation of all system models, discovery
      prototypes, and supporting documentation is
      sometimes called a requirements statement.
         All elements of the requirements statement are stored in
          the repository, but most systems analysts find it useful
          to keep a printed copy of that documentation for
          reference and reporting.
BIS310: Week 4

         Systems Analysis Reports
  • The Analysis phase results in a business
    requirements statement.
      – This specification document is often large and
        complex and is rarely written up as a single
        report to system users and owners.
      – It is best reviewed in walkthroughs (in small
        pieces) with users and maintained as a
        reference for analysts and programmers.
BIS310: Week 4

             Interpersonal Skills and
  • Written Reports
    – The business and technical report is the
      primary method used by analysts to
      communicate information about a systems
      development project.
          • The purpose of the report is to either inform or
            persuade, possibly both.
BIS310: Week 4

   Organizing the Written Report
      – Every report consists of both primary and
        secondary elements.
          • Primary elements present the actual information
            that the report is intended to convey. Examples
            include the introduction and the conclusion.
          • Secondary elements package the report so the
            reader can easily identify the report and its primary
            elements. Secondary elements also add a
            professional polish to the report.
BIS310: Week 4

                     Factual Format                         Administrative Format
       I. Introduction                            I.   Introduction
      II. Methods and procedures                 II.   Conclusions and recommendations
     III. Facts and details                     III.   Summary and discussion of facts
                                                       and details
     IV. Discussion and analysis of facts and   IV.    Methods and procedures
      V. Recommendations                        V. Final conclusion
     VI. Conclusion                             VI. Appendices with facts and details
BIS310: Week 4
              – The abstract or executive summary is a one- or two-
                page summary of the entire report.
              – The introduction should include four components:
                purpose of the report, statement of the problem, scope of
                the project, and a narrative explanation of the contents of
                the report.
              – The methods and procedures section should briefly
                explain how the information contained in the report was
                developed — for example, how the study was performed
                or how the new system will be designed.
              – The bulk of the report will be in the facts section.
                  » This section should be named to describe the type of
                     factual data to be presented (e.g., ―Existing Systems
                     Description,‖ ―Analysis of Alternative Solutions,‖ or
                     ―Design Specifications‖).
              – The conclusion should briefly summarize the report,
                verifying the problem statement, findings, and
BIS310: Week 4

          Sample Outline for a
         Requirements Statement
  •   Executive Summary
  •   Introduction (What’s going on now)
  •   Background (How are we doing?)
  •   Business requirements (What’s needed?)
  •   Feasibility Study (Can we do it?)
  •   Proposed design phase plan and schedule
  •   Appendix
BIS310: Week 4

                 Formal Presentations
      – In order to communicate information to the
        many different people involved in a systems
        development project, a systems analyst is
        frequently required to make a formal
          • Formal presentations are special meetings used to
            sell new ideas and gain approval for new systems.
            They may also be used for any of the purposes in the
            margin. In many cases, a formal presentation may
            set up or supplement a more detailed written report.
BIS310: Week 4

   Preparing for the Formal Presentation

      – Step 1: Define your expectations of the
        presentation — for instance, that you are
        seeking approval to continue the project, that
        you are trying to confirm facts, and so forth.
          • A presentation is a summary of your ideas and
            proposals that is directed toward your expectations.
      – Step 2: Organize your presentation around the
        allotted time (usually 30 to 60 minutes).
BIS310: Week 4
   Preparing for the Formal Presentation

       – Step 3: Prepare visual aids such as predrawn
         flip charts, overhead slides, Microsoft
         Powerpoint slides and the like — to support
         your position.
       – Step 4: Practice the presentation in front of the
         most critical audience you can assemble.
BIS310: Week 4
           Typical Outline and Time Allocation for an Oral

           I.      Introduction (1/6)
                1. Background
                2. Problem Statement
                3. Work completed to date

           II. Body of Presentation (2/3)
              1. Summary of existing systems and cause-effect
              2. Summary description of proposed systems
              3. Feasibility study (analysis of alternatives)
              4. Proposed schedule to complete project

           III. Conclusion (1/6)
              1. Questions and concerns from the audience
              2. Call to action (request for authority whatever you
                 require to continue the systems development