Five step process that includes: systems analysis, conceptual design, physical design, implementation and conversion, and operations and maintenance.
The systems development phase involving the study of existing systems and work processes to identify strengths, weaknesses, and opportunities for improvement
Identify and evaluate design alternatives as buying software, developing software in-house, outsourcing software development, develop detailed specifications , and communicate design requirements
Uses the conceptual design requirements to design input and output documents, write computer programs, create files and databases, develop policies and procedures, and build controls into the new system
implementation and conversion
Plan is created, hardware and software are installed and tested, employees are trained, processing procedures are developed, standards and controls are established, fine-tuning is done, review is done
Operations and maintenance
Fine-tune and do post-implementation review; operate system; modify system; do ongoing maintenance; deliver improved system.
Information systems steering committee
responsible for setting policies that govern the AIS and ensures top-management participation, guidance, and control
IS professionals who specialize in analyzing and designing information systems
a person who designs and writes and tests computer programs based on specifications developed by systems analysts
project development plan
An analysis of the projects anticipated benefits and costs, the human, hardware, software, and financial resources needed to develop and operate the system, and a schedule that lists the activities the team must follow to create and operate the new system.
A long-range document specifying the overall information system plan of an organization is known as a
program evaluation and review technique (PERT)
a scheduling tool that is similar to the CPM method but assigns three time est for each activity allows managers to anticipate delaus and potential problems and schedule accordingly
in a PERT network, the sequence of tasks that takes the longest time to complete
a visual project planning device used for production scheduling. A Gantt chart graphically displays time needed to complete tasks.
A preliminary study that investigates the information needs of end users and the objectives, constraints, basic resource requirements, cost/benefits, and feasibility of proposed projects.
capital budgeting model
An estimate of funds to be appropriated for the acquisition of major capital assets and for investment in long-term projects. The estimated benefits are compared with the costs to determine if the system is cost beneficial.
the number of years it takes to recapture a project's initial outlay.
net present value (NPV)
present value of a projects cash flows, specifically measures the TVM, considered the best decision criteria, however, it relies on cash flow and discounted cash flows
internal rate of return
The rate of return that equates the present value of a project's cash inflows with the present value of its cash outflows (i.e., it sets the NPV equal to zero). Also, the rate of return being earned on funds that remain internally invested in a project.
behavioral aspects of change
How users respond to change in system
behavior that intends to destroy, cripple, or weaken the system's effectiveness
involves blaming the new system for any and every unpleasant occurrence
involves avoiding using the system at all costs
request for systems development
prepared when a new or improved system is needed; describes the current system's problems, the reasons for the change, and the proposed system's goals and objectives, as well as anticipated benefits and costs
involves investigation each development activity to define the problem to be solved; makes a preliminary assessment of feasibility; prepares a proposal to conduct systems analysis
step of the system analysis to further define the nature and scope of the project and identify the strengths and weaknesses of the company operating procedures and the current computer system
describes how the AIS is intended to work
illustrate how a system functions by describing the flow of documents, the computer processes performed, and the people performing them, etc.
illustrate what is being done, regardless of how the flow is actually accomplished
systems survey report
A systematic gathering of facts relating to the existing information system.
way of handling systems change by recognizing that every system must have an objective, a set of components, and a set of interrelationships among the components; proceeds step-by-step, with a thorough exploration of all implications and alternatives at each step
systems analysis report
summarizes and documents the findings of analysis activities and serves as a repository of data from which system designers can draw
Accounting Information Systems (Chapter 20)37 terms