Professional Documents
Culture Documents
Nota Week 4
Nota Week 4
Nota Week 4
D20191088814
Current Phase
Outsourcing
1. Turning over responsibilities for some or all of an organization’s information
systems applications and operations to an outside firm
2. Reasons for outsourcing:
Freeing up internal resources.
Increasing the revenue potential of the organization.
Reducing time to markets.
Increasing process efficiencies.
Outsourcing noncore activities
Technological Evaluation
1. Evaluating Hardware
1.1 Time required for average transactions.
1.2 Total volume capacity of the system.
1.3 Idle time of the C P U or network.
1.4 Size of memory provided
1.5 People that evaluate hardware:
A) Management.
B) Users.
C) Systems analysts
2. Evaluating Software
2.1 Evaluation Criteria
a) Performance effectiveness.
b) Performance efficiency.
c) Ease of use.
d) Flexibility.
e) Quality of documentation.
f) Manufacturer support
2.2 Sources of Software:
a) Information technology services firms.
b) Packaged software producers.
c) Enterprise solutions software.
d) Cloud computing.
e) Open-source software.
f) In-house development
Software Requirements Specific Software Features
Performance Effectiveness Able to perform all required tasks
Able to perform all tasks desired
Well-designed display screens
Adequate capacity
Performance Efficiency Fast response time
Efficient input
Efficient output
Efficient storage of data
Efficient backup
Ease of Use Satisfactory user interface
Help menus available
“Read Me” files for last-minute changes
Flexible interface
Adequate feedback
Good error recovery
Flexibility Options for input.
Options for output.
Usable with other software
Quality of Documentation Good organization
Adequate online tutorial
Website with FAQ
Manufacturer Support Technical support hotline
Newsletter/email
Website with downloadable product
updates
3. Acquisition of Computer Technology
- Web hosting.
- Email hosting.
- Application hosting.
- Backup.
- Storage and processing of databases.
- Archiving.
- Ecommerce
Advantages Disadvantages
Buying • Full control over • Initial cost is high
computer hardware and • Risk of obsolescence
Hardware software • Risk of being stuck if
• Often cheaper in long choice was wrong
run • Full responsibility for
• Provides tax operation and
advantages through maintenance
• Depreciation
Using • Maintenance and • Company doesn’t control
cloud upgrades performed its own data
Services by provider • Data security is at risk
• Ability to change • Reliability risks of the
software and Internet platform
hardware rapidly • Proprietary APIs and
• Scalable—can grow software may make
quickly switching providers
• Consistent over difficult
multiple platforms
• No capital is tied up
8. SaaS VS Software Acquisition
Advantages Disadvantages
Creating • Specific response to specialized • May be significantly higher
Custom business needs initial cost compared to COTS
Software • Innovation may give firm a software or ASP
competitive advantage • Necessity of hiring or working
• In-house staff available to maintain with a development team
software • Ongoing maintenance
• Pride of ownership
Purchasing • Refined in the commercial world • Programming focused; not
COTS • Increased reliability business focused
Packages • Increased functionality • Must live with the existing
• Often lower initial cost features
• Already in use by other firms • Limited customization
• Help and training comes with • Uncertain financial future of
software vendor
• Less ownership and
commitment
Using • Organizations that do not specialize • Loss of control of data,
SaaS in information systems can focus on systems, IT employees, and
what they do best (their strategic schedules
mission) • Concern over the financial
• There is no need to hire, train, or viability and long-run stability
retain a large IT staff of the SaaS provider
• There is no expenditure of employee • Security, confidentiality, and
time on nonessential IT tasks privacy concerns
• Loss of potential strategic
corporate advantage regarding
innovativeness of applications
9. Internet Dependent System Consideration