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Chapter 10:Chapter 10:Selecting the Best Alternative Selecting the Best Alternative

Design StrategyDesign StrategyPlus Plus

Project Management ConceptsProject Management Concepts

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Chapter ObjectivesChapter Objectives

– Design Strategy– Types of Design Strategies– Scoring Method– Project Management Concepts

(link to Lab)

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Deliverables for Design Deliverables for Design Strategy SelectionStrategy Selection

•high-functionality high-cost solution•minimum functionality low-cost solution•middle-of-the-road solution

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Features are determined from requirements.

Constraints pertain to limitations on development efforts.

Features (Benefits) & (Constraints) Costs

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Generating a Design StrategyGenerating a Design Strategy

Design strategy = A decision on how to design a system, accounting for system features and constraints, and software and hardware solutions.

Enumerate different potential implementation environments (hardware and system software platforms)

Propose different sourcing possibilities for obtaining the necessary software

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Outsourcing StrategyOutsourcing Strategy

The practice of turning over responsibility of some or all of an organization’s information systems applications and operations to an outside firm

Can produce cost savings for the client, by leveraging the outsourcer’s economies of scale

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Request For ProposalRequest For Proposal

Request for Proposal – a document provided to vendors to ask them to propose hardware and/or software products or services that will meet the requirements of an organization’s new information system

Based on vendor bids, analyst selects best candidates

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Sourcing SoftwareSourcing Software

– Hardware & Software Manufacturers (IBM)

– Prepackaged Software Producers (Microsoft,

Enterprise System Vendors)

– Custom Software Producers (EDS, Accenture)

– In-house Development (own IS department)

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Many factors go into selection of off-the-shelf software, many of which are relevant for other software purchases.

Vendor support and viability are always among the most important criteria.

Prepackaged (off-the-shelf) Software

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In-house DevelopmentIn-house Development

If sufficient system development expertise with the chosen platform exists in-house, then some or all of the system can be developed by the organization’s own staff

Can play a role also when an external consultant carries out the job (ERP)

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Example: Pine Valley FurnitureExample: Pine Valley Furniture

• System requirements categorized into mandatory, essential, and desired capabilities

• Constraints established

• Low-end, high-end, and moderate design strategies are generated

• Weighted approach (scoring method) used to compare alternative design strategies

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Application Server/Object Framework is the highest scoring alternative

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3-Tier architecture is scalable, and consists of a Web server providing the interface to the Internet in the 1st tier, an application server running the business rules of the application in the 2nd tier, and the corporate databases in the 3rd tier

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Baseline Project Plan goes through significant update as a result of design strategy generation and selection.

The System Description section is changed the most, and all sections are refined and altered.

Cost-benefit analysis goes through significant update and revision after selecting a design strategy.

Schedule estimation goes through significant update and revision after selecting a design strategy.