System Development, And System Analysis: Systems Development And Systems Analysis

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Systems Development and Systems Analysis

There is no doubt that we are living in an information age where computing power is ever increasing and the demand for processing capability is as well. As businesses grow into moderate to large organizations, the need for a comprehensive Enterprise Resource Planning (ERP) software system becomes inevitable. Companies can benefit from the functions and organization of these software systems because they integrate key processes of the business, such as order entry, manufacturing, procurement, accounts payable, payroll, and human resources. As technology increases, the capability of these ERP systems is always expanding and the need to update and make changes happens constantly. This paper is going to …show more content…

Companies take on software projects to also keep competitive advantage to increase the quality, quantity, and speed of information. Imagine companies such as Microsoft, Apple, Wal-Mart or Toyota who are multi-continental with subsidiaries around the globe. Companies such as these require a comprehensive ERP system that can allow business processes to be dispersed geographically to consolidate data in real time. “It is estimated that each year corporate America spends over $300 billion on more than 200,000 software projects” (Romney 589). As you can see systems such as these come at a high price but also have implementation problems, and generally take years to fully complete. A case for an ERP system can be seen by looking at Nestle, who have multiple subsidiaries. In 2000, “Nestle, SA decided that it wanted to leverage its size and begin acting like the giant it is.To do so, it signed a $200 million contract with SAP to roll out an ERP system to its 230,000 employees in 80 countries around the world” (Olsen, pg 53). You may ask yourself why does it take so long to implement? Well for a company to put a new ERP system into place it requires tons of planning to ensure that the company will feel the leverage of size they wanted and to experience better efficiency throughout the …show more content…

The first step to the SDLC is System Strategy, which sounds like what it is, to develop a systems strategy. In this step, the information needed to purchase, develop, or modify a system is gathered. In the Systems Strategy stage the company “reflects the organization’s current position relative to where it needs to be in the long term to maintain strategic advantage” (Hall 550). There is three tasks at hand in this step: assessing the organization’s strategic information needs, developing a strategic systems plan, and creating action plans. Developing a system that follow the strategic information needs of the organization is the foundation for the following steps. The vision of top management and the company 's mission statement is assessed and put forward into the system. As well as this, the industry in which the company operates has to be analyzed in order to assess the strategic business needs and competency analysis to measure the company 's effectiveness in order to determine strengths and weaknesses. To assess strategic information needs, the organization must also develop an architecture description in order to identify the structural properties that will define the components and building blocks for the system. After that, a formal project proposal is created for management to decide whether they would like to proceed with the new systems project and if it is worth it

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