4. What would you do as a system analyst if a vice-president of your company came to you and insisted that a system be computerized, but, at the conclusion of the preliminary investigation phase, you knew that the system could not be cost justified?
As a system analyst I would submit a preliminary investigation report as below.
A typical preliminary investigation report should include what we found concerning the operation of the systems in question, the problems that are present or appear to be present in the system and the recommendations for future action. We might need to do presentation of our findings to inform and influence the audience so that they are aware of the current existing system, direct their attention to the problems that have been occurring within the system and why they have been occurring and lastly present the solution we recommended should we proceed to the next phase.After I have gathered the needed information, I would submit the report considering the result in some sort recommended course of actions suggesting.
i) Drop the matter
The matter that affects the whole company in running the operations that need serious approach should be dropped in order to secure the company for the future prospects.
ii) Fix the problem immediately(if it is simple)
There is denying over the years that simple systems should be implemented immediately and sometimes it is inappropriate to be implemented and if it affects the whole organization matters in handling the situation and the approach to simplify the decision by fix the problem immediately.
iii) Authorize you to go on to the next phase for a closer look
More and more systems being implemented in order to govern and organize the organization and if there is any complicated things affect the performance of the organization and approach should be taken by looking forward the problems by viewing the problems of the system to the next phase that required for a closer look whether it is relevant to be continued.
This is an example of:
Preliminary Investigation Report
To : Vice-president
From : System Analyst
Date : xx/yy/20x1
The Company is looking into consideration to convert the accounting
system from semi- manual to fully computerized accounting system.
The computerized accounting system will speed up account update summary and reduce workload of accountants. The accounting systems taken into considerations are Mr. Accounting and UBS.
The Accounting Department and Finance Department will benefit from the system. However the cost of the accounting system could not be justified and might exceed the benefits.
1. The Company should think of dropping the semi-manual system to be fully computerized accounting system.Higher the long run benefits should be taken into consideration as it will increase our profit and achieve higher efficiency and effectiveness.
2. The Company should allow and authorize The Steering Committee and its analysts to proceed to look deeper into the next phase so that we can examine thoroughly. There should be alternatives and ways to resolve such matter so that the Company’s accounting and Finance Department is not overloaded with unnecessary jobs.
Costs and Benefits:
As we can see in the conversation between the steering committee and the peoples from sales and inventory department mentioning about the problems of information in which no reliable as it keeps changing towards the end by using semi manual and computerized stock. If the point of sale is used it will help the company to update the stock in and out and will assist the finance department by giving more benefits. It will be less pressure on the sales and inventory department rolling up the stocks goods and increase the effectiveness and efficiency of the company’s performance.
In my opinion, the report should highlight t why the system could not be computerized due to the cost is not justified. I also would highlight the meaning of cost-benefit analysis (CBA) to vice president so he/she would have good understanding.
CBA is process of comparing the cost of a information system and its benefits. CBA is performed to determine the economic feasibility.