Information Technology & Changing Face of Business Solving Business Problems BUAD 358 - Information Systems II Ali A. Nazemi, Ph.D. Roanoke College Problem Solving Overview Using Systems Approach Modeling Business Process Detecting Business Problems Solving Business Problems Testing Solutions Role of IT in Business Problem- solving System Concept Why Systems Approach? System Components System Characteristics and Activities Role of IS in Systems Approach Approaches to Problem-Solving A Systems Approach Input, Process, Output Divide and Conquer Goals and Objectives Control and Feedback Diagramming Systems Common Systems Problems in Business Object Oriented Design Asking Questions Solving Business Problems and Cases System Concepts Environment Feedback Feedback Signals Signals Control Control by Control Signals Management Signals Input of Manufacturing Output of Raw Materials Process Finished Products System Boundary Other Systems System Components Input Resources Process Resources Output Resources Control Mechanism Internal Environment External Environment Information System Components Environment Control Management Feedback Decision Information Systems Input Output Process (Data & Resources) (Info. Products) System Boundary Stakeholders System Characteristics Processes Input into Output Exists within and Interacts with Environment Has Defined Objectives and Goals Contains Subsystems Has Defined Boundaries (Interface) Maintains Equilibrium with its Environment Uses Feedback and Control Solving Business Problems & Cases Solve the right problem Choose the right tools Divide the system Suggested Case Organization Make decisions •Statement of facts Consider the •Description of problems •Opportunities consequences •Alternatives Test the system •Decision & Plan Plan implementation Case hints Business Problem Solving Problems and Symptoms Problems with Subsystems Problems with Control Problems with Environment Systematic Problem-Solving Process Evaluating Solution Alternatives Developing IS Solutions Problems and Symptoms What are Problems? What are Symptoms? What’s the Difference? Who Cares? Defining Problems The Right Problem The Right Tool The Right Information Think Systems Evaluating and Selecting Solutions Alternatives Solution Criteria Feasibility Study Trade-Off Consequences Intangibles Testing and Implementing Solutions Implement Commit Resources Test Stress, Beta, Limit Follow Up Does It Work? Is It Effective? What Errors? Feasibility Study Organizational Economic Technical Operational Evaluating Projects Does the project fit with business goals and management style? Does the project improve the competitive position of the firm? How long will any competitive advantage last? What value or reward is created by the system? What level of technology is needed to create the system? experimental leading edge established old-hat Evaluating Projects What is the probability of technical success? What is the probability of commercial success? What are the costs involved in creating the system? Monetary Time Additional capital, marketing and management Cost, Benefit, Value Benefits Versus Value Cost Considerations • Tangible Vs Intangible • Direct Vs Indirect Benefit Considerations • Tangible Vs Intangible • Direct Vs Indirect Good Business Analysis Identify the root causes of problems. Solid grasp of strategic components. Identify the critical success factors. Evaluate the financial implications. Thorough discussion of implementation. Realistic analysis of expected results. Effect on future growth and continued development. Effect on human resources. Understanding of target markets. Organization of Analysis Statement of the facts. Description of problems. Opportunities. Analysis of alternatives. Decision and plan. Choose one alternative. Detailed plan and implementation. Costs and benefits. Contingency plan.
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