Managing the development and purchase of information systems (Part 3)

1. Managing the development and purchase of information systems (Part 3) (Week 12, Wednesday 11/16/2005) BUS3500 - Abdou Illia, Fall 2005

2. LEARNING GOALS • Explain Purchase of IS process

3. Purchasing Software • Commercial off-the-shelf (COTS) software • Less expensive • May not contain all the needed features • Phases in COTS SDLC • System planning • Systems analysis • Request for proposals • Proposal evaluation • Implementation • Maintenance }here is the difference

4. Request for Proposals (RFP) • Details the requirements for the new systems and invites interested parties to submit a proposal for the system • Sections in an RFP • Summary of existing systems • Specific description of the features of the new system • Proposal evaluation criteria • Budget constraints • Timetable for deliverables • Details of other miscellaneous information

5. Request for Proposals (RFP) • Summary of existing systems • Internal business processes • Type of computers used • etc. • Description of the features of the new system • Requirements for hardware • Requirements for software • Requirements databases • Requirements for network • How many transactions per minutes? • etc • Proposal evaluation criteria • Features, reliability, speed, etc. • Budget constraints • Maximum budget vs. No budget information • Details of other miscellaneous information • Vendor’s past projects, client references, etc.

6. Evaluating Proposals • Usually using a point-system • Number of points for each requirement • More points to more important requirements • Evaluation approaches • Specific requirements • Eliminate proposals that don’t meet requirements • Compare remaining proposals • Demonstrations • At vendor’s location vs. At client site • Benchmarks • Running system with sample data to see how it performs

7. Summary Questions