Value Chain, Evaluating Information System

1. Value Chain, Evaluating Information System Chapter 1 Object-Oriented Analysis and Design Stumpf, Teague

2. Objectives, p22 - 31 • Organizations and Information System • What is an Organization • Value Chain • The value chain of a Manufacturing Company • Organizational change • User Satisfaction and Technology Acceptance • Technology diffusion • Technology infusion • Evaluating IS

3. Evaluating Information System • Feasibility Analysis • Not every desire for system implementation or change is WORTH pursuing • The effort involved in developing an Information System is considerable • Before this effort is undertaken, the stakeholders in the project ought to be sure that the venture is wortwhile.

4. Questions: • What benefits is the system expected to provide for its users and major stakeholders? • What specific objectives is the proposed system to achieve? • What are some promising alternatives for an architecture of the new system? • What is it likely to cost to develop the new system?

5. Categories of Feasibility • Technical: whether the construction of the proposed system is within the state of the art • Resource: whether the resources required to construct and deploy the system are available when they are needed • Organizational: whether the system can work in the culture and power structures of the organization

6. Cont.: • Economical: whether the investment in the system is a worthwhile use of the organization’s resources. • Benefits of the new system are greater than the cost of developing and operating it. • The ROI in a new system should exceed the return on other uses of the company’s capital • Schedule: would the system be employed in time to meet the business needs.

7. Example: University Registration System

10. ROI: