Chapter 3

Systems development and system Documentation Techniques

 Why Update Systems?

 User or business changes

 Technology changes

 To improve business process

 Create competitive advantage

 Increase productivity gains

 Integrate multiple systems

 Aging systems need replacement

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Systems Development Life Cycle (SDLC)

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 SDLC Steps
 System Analysis
 Information about system needs, costs, and so on are gathered.

 Conceptual Design
 Gather system/user requirements.

 Physical Design
 Concepts are translated into detailed specifications.

 Implementation and Conversion

 New hardware and software are installed and tested.
 Employees are hired and trained or existing employees relocated.

 Operation and Maintenance

 New system is periodically reviewed.
 Modifications are made as problems arise or as new needs become evident.

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Systems Analysis Activities

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 What Is Documentation?

 Set of documents and models

 Narratives, data flow models, flowcharts

 Describe who, what, why, when, and where of systems:

 Input, process, storage, output, and controls

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 Why Should You Learn Documentation?

 You need to be able to read documentation in all its forms: narratives,

diagrams, models.
 You need to be able to evaluate the quality of systems, such as internal
control based in part on documentation.
 Sarbanes-Oxley states that management:
 Is responsible for internal control system
 Is responsible for assessing the effectiveness of the IC System
 Both management and external auditors need to document and test IC System

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 Data Flow Diagrams

 Graphically describes the flow of data within a system

 Four basic elements

Entity Data Flow

Process

Data Store

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 Entity

 Represents a source of data or input into the system

or

 Represents a destination of data or output from the system

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 Data Flows

 Movement of data among:

 Entities (sources or destinations)
 Processes
 Data stores

 Label should describe the information moving

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 Process

 Represents the transformation of data

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 Data Store

 Represents data at rest

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 Data Flow Diagram Levels

 Context
 Highest level (most general)
 Purpose: show inputs and outputs into system
 Characteristics: one process symbol only, no data stores

 Level-0
 Purpose: show all major activity steps of a system
 Characteristics: processes are labeled 1.0, 2.0, and so on

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DFD Creation Guidelines
 Understand the system
 Ignore certain aspects of the
system
 Determine system boundaries
 Develop a context DFD
 Identify data flows
 Group data flows
 Number each process
 Identify transformational
processes
 Group transformational processes
 Identify all data stores
 Identify all sources and
destinations
 Label all DFD elements
 Subdivide DFD
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 Flowcharts

 Use symbols to logically depict transaction processing and the flow

of data through a system.

 Using a pictorial representation is easier to understand and explain

versus a detailed narrative.

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 Flowchart Symbol Categories

 Input/Output

 Processing

 Storage

 Miscellaneous

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 Flow Chart Symbol Categories

 (cont’d)

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Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
 Types of Flowcharts

 Document
 Illustrates the flow of documents through an organization
 Useful for analyzing internal control procedures

 System
 Logical representation of system inputs, processes, and outputs
 Useful in systems analysis and design

 Program
 Represent the logical sequence of program logic

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Document Flowchart

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 Document Flowchart (cont’d)

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Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall
System Flowchart

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Program Flowchart

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