2. Chapter 8: Evaluating Alternatives for Requirements, Environment, and Implementation

3. Project Management Perspective u Project manager and senior technical members of project team work together u Eight areas of project management l Human resources l Procurement l Communications l Risk l Scope l Time l Cost l Quality

4. Deciding on Scope and Level of Automation u Scope determines which business functions will be included in system u Level of automation is how much computer support exists for functions included in level u Scope creep l Requests for addition of system functions after requirements defined and decision has been made u Users typically request more business functions than budget allows

5. Determining the Level of Automation u Low level l Simple computer records keeping u Medium level l Midrange point which combines features from low and high alternatives u High level l System takes over processing of business function

6. Selecting Alternatives  Entire group of alternatives is evaluated together to provide “ big picture ” view of proposed system u Key criteria that are used: l Strategic plan l Economic feasibility l Schedule and resource feasibility l Technological feasibility l Operational, organizational, and cultural feasibility

7. Defining the Application Deployment Environment u Configuration of: l Computer hardware l System software l Networks l Development Tools u Existing environment generally considered and compared with proposed environment

8. Hardware, System Software, and Networks u Older batch-mode applications on centralized mainframe u Stand-alone applications on mini- and personal computers u On-line interactive applications u Distributed applications u Web-based applications

9. Deployment Environment Characteristics u Compatibility with system requirements u Compatibility among hardware and system software u Required interfaces to external systems u Conformity with IT strategic plan and architecture plans u Cost and schedule

10. Development Tools u Programming languages, CASE tools, software used to develop application software u Java and Visual Studio.NET are examples u Application deployment environment decisions limit development tool choices l Operating system environment l Database management system (DBMS) l Distributed software standard

11. Existing Processing Environment at RMO

12. Processing Environment Alternatives

13. Strategic Directions for RMO

14. Choosing Implementation Alternatives u Variations on obtaining system l Facilities management outsource all IS support l Packaged software, Turnkey system, ERP system l Custom-built software systems l In-house development u Selection dimensions l Buy vs. build l In-house vs. outsource

15. Implementation Alternatives

16. Selecting an Implementation Alternative u Identifying Criteria for Selection l Comparisons can be difficult l Different proposed systems have strengths in different areas u Three major areas to consider l General requirements l Technical requirements l Functional requirements

17. Partial Matrix of General Requirements

18. Partial Matrix of Functional Requirements

19. Partial Matrix of Technical Requirements

20. Making the Selection u First, rate each alternative with raw score u Weighted scores are then tabulated and compared to make a choice u RMO decided on in-house development for most CSS development to keep expertise within RMO u RMO wants to hire some new technical specialists  RMO feasibility review showed no serious problems – once specialists are added

21. Contracting with Vendors u Generating Request for Proposal (RFP) l Formal document sent to vendors if in-house development not selected l States requirements and solicits proposed solutions l Considered a competitive contract offer l Bid on supplying hardware, software, and/or support services

22. I. Introduction and Background II. Overview of Need III. Description of Technical Requirements IV. Description of Functional Requirements Sample RFP Table of Contents

23. V. Description of General Requirements VI. Requested Provider and Project Information VII. Details for Submitting Proposal IV. Evaluation Criteria and Process Sample RFP Table of Contents ( continued )

25. Benchmarking and Choosing a Vendor u Observe in use or install trial version  Benchmark – evaluate the system against a standard u Visit another company using particular system u Developing a contract l Fixed-dollar contracts: Risk is on vendor l Cost-plus-percentage: Risk is on purchaser l Cost-plus-fixed-fee: Risk shared by both

26. Presenting Results and Making Decisions u Compile and organize documentation u Present alternatives and critical issues in easy-to- understand but complete manner u Final choice generally made by executive steering committee u Format of documentation and presentation style varies with organization

27. Summary u These activities are primarily project manager responsibilities with support from project team u Focus of project changes from discovering requirements to developing solution system u Prioritize requirements based on scope and level of automation l Scope of new system determines functions it will support l Level of automation is measure of how automated selected functions will be

28. Summary ( continued ) u Application deployment environment l Computer hardware, systems software, and networks in which new system will operate l Determines constraints imposed on system development alternatives u Analyst must define environment to match: l Application requirements Organization ’ s strategic application plans Organization ’ s technology architecture plans

29. Summary ( continued ) u Determine what alternatives are possible for developing solution u Implementation alternatives include: l Building system in-house l Buying packaged or turnkey solution l Contracting with developer to build it (outsource) u Develop recommendations and present to management to make funding decisions