Module 1 - Cases Answer
Module 1 - Cases Answer
Hoosier Burger as college students in the 1970s, Bob and Thelma Mellankamp often
dreamed of starting their own business. While on their way to an economics class, Bob and
Thelma drove by Myrtle’s Family Restaurant and noticed a “for sale” sign in the window. Bob
and Thelma quickly made arrangements to purchase the business, and Hoosier Burger The
restaurant was born. The restaurant is moderately sized, consisting of a kitchen, dining room,
counter, storage area, and office. Currently, all paperwork is done by hand. Thelma and Bob
have discussed the benefits of purchasing a computer system; however, Bob wants to investigate
alternatives and hire a consultant to help them. Perishable food items, such as beef patties, buns,
and vegetables are delivered daily to the restaurant. Other items, such as napkins, straws, and
cups, are ordered and delivered as needed.
Bob Mellankamp receives deliveries at the restaurant’s back door and then updates a
stock log form. The stock log form helps Bob track inventory items. The stock log form is
updated when deliveries are received and also nightly after daily sales have been tallied.
Customers place their orders at the counter and are called when their orders are ready. The
orders are written on an order ticket, totaled on the cash register, and then passed to the kitchen
where the orders are prepared. The cash register is not capable of capturing point-of-sale
information. Once an order is prepared and delivered, the order ticket is placed in the order
ticket box. Bob reviews these order tickets nightly and makes adjustments to inventory. In the
past several months, Bob has noticed several problems with Hoosier Burger’s current
information systems, especially with inventory control, customer ordering, and management
reporting systems. Because the inventory control and customer ordering systems are paper-
based, errors occur frequently. These errors often affect delivery orders received from suppliers
as well as customer orders. Bob has often wanted to have electronic access to forecasting
information, inventory usage, and basic sales information. This access is impossible because of
the paper-based system.
The system development life cycle can be used to analyze, develop, and
support Hoosier Burger’s information system. During systems planning and selection,
Bob, Thelma, and the analyst, recognize the need for improvement in the existing
Hoosier Burger systems. This need will translate itself into several projects, such as new
order-taking, inventory control, and management reporting systems. It need to
prioritized, a scope is identified, and feasibility is assessed.
During systems analysis, the analyst examines Hoosier Burger to determine
system requirements, structure these requirements, and generate alternative design
strategies. During systems design, both logical and physical designs are prepared.
During logical design, the analyst concentrates on the business aspects of Hoosier
Burger. During physical design, Hoosier Burger’s logical design is translated into
physical design specifications. During systems implementation and operation, the design
specifications for the new Hoosier Burger system become a working system, and
modifications to the new information system are made when warranted.
Hoosier Burger has four major subsystems. These systems are order-taking,
food preparation, inventory, and management reporting. Students may classify these
subsystems differently; however, the goal is for students to decompose the Hoosier
Burger system into its primary subsystems.
Alex Schuster began Pine Valley Furniture (PVF) as a hobby. Initially, Alex would build custom
furniture in his garage for friends and family. As word spread about his quality craftsmanship,
he began taking orders. The hobby has since evolved into a medium-sized business, employing
more than fifty workers.
Over the years, increased demand has forced Alex to relocate several times, increase his sales
force, expand his product line, and renovate Pine Valley Furniture’s information systems. As the
company began to grow, Alex organized the company into functional areas—manufacturing,
sales, orders, accounting, and purchasing. Originally, manual information systems were used;
however, as the business began to expand rapidly, a minicomputer was installed to automate
applications.
In the beginning, a process-oriented approach was utilized. Each separate application had its
own data files. The applications automated the manual systems on which they were modeled. In
an effort to improve its information systems, PVF recently renovated its information systems,
resulting in a company-wide database and applications that work with this database. Pine Valley
Furniture’s computer-based applications are primarily in the accounting and financial areas. All
applications have been built in-house, and when necessary, new information systems staff is
hired to support Pine Valley Furniture’s expanding information systems.
A. How did PVF go about developing its information systems? Why do you think the
company chose this option? What other options were available?
Pine Valley Furniture developed its system using an in-house built-in methodology.
Because of the company’s rapid growth or expansion of the business, this would have
been the best choice or option. It was most likely needed to meet time constraints as the
in-house methodology are associate to Rapid Application Growth (RAD). Other reasons
may be the company’s cost-effectiveness or budget constraints, since it was simply a
start-up that had just begun to expand or grow. Also, since the system was built in-house
and can be managed within the company, there are no extra costs associated with the user
training. An in-house built-in software suits only the organization’s specific needs,
minimizing confusions and unnecessary functionality which comes with off-the-shelf or
open-source software. Other options for the company included hiring or going to an
information technology services firm to develop the system for them. They could have
purchased a system off-the-shelf or might have used and enterprise-wide system from a
company like SAP. Open-source software could have been obtained. The organization
could have decided to outsource system development and operation instead.
B. One option available to PVF was an enterprise-wide system. What features does an
enterprise-wide system, such as SAP, provide? What is the primary advantage of an
enterprise-wide system?
C. PVF will be hiring two systems analysts next month. Your task is to develop a job
advertisement for these positions. Locate several Web sites or newspapers that have job
advertisements for systems analysts. What skills are required?
D. What types of information systems are currently utilized at PVF? Provide an example of
each.