Chapter 1

The Context of
Systems Analysis and
Design Methods

McGraw-Hill/Irwin Copyright © 2007 by The McGraw-Hill Companies, Inc. All

 Objectives
• Define information system and name seven types of
information system applications.
• Identify different types of stakeholders who use or develop
information systems, and give examples of each.
• describe what systems analysis and design
is;
• Define the unique role of systems analysts in the
development of information systems .
• Describe information system
• Identify those skills needed to successfully function as an
information system analyst.
• Describe current business drivers that influence
information systems development.
• Describe current technology drivers that influence
information systems development.
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• Briefly describe a simple process for developing
information systems.
 Objectives

• approach the role of systems designer

with the ethically correct and responsible
attitude;
• distinguish between the waterfall and iterative /
incremental approaches to system development

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 A Framework for Systems
Analysis and Design
A system is a group of interrelated components that
function together to achieve a desired result.

An information system (IS) is an arrangement of people,

data, processes, and information technology that interact
to collect, process, store, and provide as output the
information needed to support an organization.

Information technology is a contemporary term that

describes the combination of computer technology
(hardware and software) with telecommunications
technology (data, image, and voice networks).
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 Types of Information Systems

• A transaction processing system (TPS) is an

information system that captures and processes data
about business transactions.

• A management information system (MIS) is an

information system that provides for management-
oriented reporting based on transaction processing and
operations of the organization.

• A decision support system (DSS) is an information

system that either helps to identify decision making
opportunities or provides information to help make
decisions.
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 Types of Information Systems
(cont.)
• An expert system is an information system that captures
the expertise of workers and then simulates that
expertise to the benefit of non-experts.

• A communications and collaboration system is an

information system that enables more effective
communications between workers, partners, customers,
and suppliers to enhance their ability to collaborate.

• An office automation system is an information system

that supports the wide range of business office activities
that provide for improved work flow between workers.
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 Types of Information Systems
(cont.)
• Executive Information System- an
information system that supports planning and
assessment need of executive mangers

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 Roles in System Analysis and Design:

• A stakeholder is any person who has an

interest in an existing or proposed information
system. Stakeholders can be technical or
nontechnical workers. They may also include
both internal and external workers.
• Information workers are those workers whose
jobs involve the creation, collection, processing,
distribution, and use of information.
• Knowledge workers are a subset of
information workers whose responsibilities are
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based on a specialized body of knowledge.
 Stakeholders' Perspectives on
an Information System

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 Roles in System Analysis and
Design(cont):

System owners – an information system’s

sponsor and executive advocate, usually
responsible for funding the project of
developing, operating, and maintaining the
information system.

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 Roles in System Analysis and
Design(cont):
System users – a “customer” who will
use or is affected by an information
system on a regular basis – capturing,
validating, entering, responding to,
storing, and exchanging data and
information.

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 Internal System Users:(Roles
in System Analysis and
Design(cont):
• Clerical and service workers
• Technical and professional staff
• Supervisors, middle managers, and
executive managers

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 External System Users Roles
in System Analysis and
Design(cont):
• Customers
• Suppliers
• Partners
• Employees
• Remote users - users who are not physically
located on the premises but who still requires
access to information systems.
• Mobile users - users whose location is
constantly changing but who requires access
to information systems from any location
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 System Designers and
System Builders
System designer – a technical specialist who
translates system users’ business requirements
and constraints into technical solution. She or he
designs the computer databases, inputs, outputs,
screens, networks, and software that will meet the
system users’ requirements.

System builders – a technical specialist who

constructs information systems and components
based on the design specifications generated by
the system designers.
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 Systems Analysts
Systems analyst – a specialist who studies the
problems and needs of an organization to determine
how people, data, processes, and information
technology can best accomplish improvements for
the business.
• A programmer/analyst (or
analyst/programmer) includes the
responsibilities of both the computer
programmer and the systems analyst.
• A business analyst focuses on only the non-
technical aspects of systems analysis and design.
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 • Programmer/Analyst:
Combines responsibilities of
computer programming and
systems analysis.
• Business Analyst: Focuses on
non-technical aspects of
systems analysis and design.

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 The Systems Analyst
as a Problem-Solver
• By "Problems" that need solving, we mean:
• Problems, either real or anticipated, that require
corrective action
• Opportunities to improve a situation despite the
absence of complaints
• Directives to change a situation regardless of
whether anyone has complained about the
current situation

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 Where Do Systems Analysts
Work?

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 Skills Needed by
the Systems Analyst
• Working knowledge of information technology
• Computer programming experience and expertise
• General business knowledge
• General problem-solving skills
• Good interpersonal communication skills
• Good interpersonal relations skills
• Flexibility and adaptability
• Character and ethics

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 The Systems Analyst as
a Facilitator

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 The Ten Commandments of
Computer Ethics
1. Thou shalt not use a computer to harm other people.
2. Thou shalt not interfere with other people’s computer work.
3. Thou shalt not snoop around in other people’s computer files.
4. Thou shalt not use a computer to steal.
5. Thou shalt not use a computer to bear false witness.
6. Thou shalt not copy or use proprietary software for which you
have not paid.
7. Thou shalt not use other people’s computer resources without
authorization or proper compensation.
8. Thou shalt not appropriate other people’s intellectual output.
9. Thou shalt think about the social consequences of the
program you are writing or the system you are designing.
10. Thou shalt always use a computer in ways that insure
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Source: Computer Ethics Institute
 The Ten Commandments of
Computer Ethics
• 1. Don't use computers to harm others.
• 2. Don't mess with other people's computer work.
• 3. Don't snoop around in other people's files.
• 4. Don't use computers to steal.
• 5. Don't spread false information using computers.
• 6. Don't use software that you haven't paid for.
• 7. Don't use other people's computer resources without permission.
• 8. Don't steal other people's ideas.
• 9. Think about the impact your programs or systems may have on
society.
• 10. Always be respectful and considerate of others when using
computers.

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 Other Stakeholders
External Service Provider (ESP) – a systems analyst,
system designer, or system builder who sells his or her
expertise and experience to other businesses to help those
businesses purchase, develop, or integrate their
information systems solutions; may be affiliated with a
consulting or services organization.

Project Manager – an experienced professional who

accepts responsibility for planning, monitoring, and
controlling projects with respect to schedule, budget,
deliverables, customer satisfaction, technical standards,
and system quality.
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 The waterfall approaches to system
development;
Waterfall:
SDLC Traditional Waterfall Problems:
- Once a phase ends, the next begins, making it hard to go back
- Expensive to make changes.
- Roles of users are narrowly defined.
- Deadline focused.

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 Agile approaches to system
development
• (An umbrella term) Argues that Software development methods,
adapted from engineering, do not work well in reality
• - Focus on adaptiveness.
• - Focus on people rather than roles.
• -Focus on self-adaptive processes
• The four key values of the Agile Manifesto are:
• 1. Individuals and interactions over processes and tools: Emphasizing the
importance of communication and collaboration between team members,
rather than relying solely on processes and tools.
• 2. Working software over comprehensive documentation: Prioritizing the
creation of working software that meets customer needs, rather than
focusing on extensive documentation that may not add value.
• 3. Customer collaboration over contract negotiation: Encouraging
customer involvement throughout the development process to ensure that
the final product meets their needs and expectations.
• 4. Responding to change over following a plan: Acknowledging that
requirements and priorities may change during development and
1-27 emphasizing the need to be adaptable and responsive to these changes.
 Agile approaches to system
development
• Overall, the Agile Manifesto values flexibility,
collaboration, and customer satisfaction, and seeks to
deliver high-quality software, that meets user needs,
and can adapt to changing circumstances.
• Agile methodologies problems:
• - Not for everyone
• - Mostly recommended if:
• Unpredictable or dynamic requirements.
• Developers are responsible and motivated.
• Customers understand the process and will be involved

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 Extreme Programming (XP):
• 1. Pair programming: Two developers work together at one
computer, sharing knowledge and skills to increase efficiency and
code quality.
• 2. Test-driven development: Writing automated tests before
writing code to ensure that the code meets requirements and
functions correctly.
• 3. Continuous integration: Frequent integration of code changes
into the main codebase to detect and fix issues early.
• 4. On-site customer: Having a customer representative on the
development team to provide feedback and ensure that the final
product meets their needs
• 5. Continuous feedback: Regular communication and feedback
between team members and customers to identify areas for
improvement.
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 Extreme Programming (XP)
(cont):
• 6. Simple design: Prioritizing simplicity and minimizing unnecessary
complexity in the software design.
• 7. Iterative development: Breaking the development process into
small, manageable iterations,each of which produces a functional
product increment

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 Scrum
Roles in the scrum:
• 1. Product Owner: Represents the customer and defines the product backlog, which is a
prioritized list of features and requirements for the product.
• 2. Scrum Master: Facilitates the Scrum process and removes any obstacles or impediments
that may prevent the team from delivering the product increment.
• 3. Development Team: Self-organizing and cross-functional team responsible for delivering
the product increment.
• 4. Sprint: Fixed-length (usually 1-4 weeks) iteration during which the team works on
delivering a potentially shippable product increment.
• 5. Daily Scrum: Daily meeting where team members share progress, discuss obstacles, and
plan the next steps.
• 6. Sprint Review: A meeting at the end of each sprint where the team presents the product
increment and receives feedback from stakeholders.
• 7. Sprint Retrospective: A meeting at the end of each sprint where the team reflects on the
previous sprint and identifies areas for improvement.
•Scrum aims to deliver software that meets customer needs, while also being
flexible and adaptable to changing requirements. The methodology values
transparency and adaptation and seeks to continuously improve the
development process and the final product through regular feedback and
•reflection.
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 Agile

• Primary factors, critical for success:

• - Continuous delivery of working software
• - Following agile methodologies
• - Build projects around motivated individuals

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 Agile vs Traditional:

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 Object Oriented Analysis and
Design (OOAD)
Object Oriented Analysis and Design (OOAD)
• - Based on objects, rather than data
• - Combines data and processes (methods) into objects.
•Object: Contains methods and attributes
•Inheritance: Hierarchical arrangement of classes, allowing subclasses to
inherit properties from parent classes
•Object Class: Logical group of objects based on attributes and behaviours
Relational Unified Process (RUP)
An object-oriented development methodology
Based on an incremental approach to development
Four phases:
1. Inception
2. Elaboration
3. Construction
4. Transition

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 Business Drivers for Today’s
Information Systems
• Globalization of the Economy
• Requires support of multiple languages and currencies

• Emphasis on communication between language barriers

• Electronic Commerce and Business

• E-Commerce: Buying and selling goods on the internet
• E-Business: Using the internet to conduct day-to-day business.
• Leads to client OS being less important
• Most Information Systems are being designed with the Internet in mind

• Security and Privacy

• Creates the need to pass data between people

• Collaboration and Partnership

• Creates the need to pass data between people

• Knowledge Asset Management

• Data, information and knowledge are critical resources
• Data: Raw facts
• Information: Data that has been processed to create something useful
• Knowledge: Information that is further refined based on the recipient
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 Business Drivers for Today’s
Information Systems
• Continuous Improvement and Quality Management
• Business Processes: All that is required to complete business tasks, regardless of the IT used to support or automate them
• Continuous Process Improvement (CPI): The monitoring of business processes to affect small improvements in value-added and
cost reduction
• Total Quality Management (TQM): Approach to facilitating quality improvements and management

• Business Process Redesign (BPR)

• The study, analysis and redesign of essential processes to reduce cost or benefit the
• business
• o More substantial than CPI

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 Globalization of the Economy
Global Economy brings
• New and expanded international markets
• New international competitors

Impact on information systems

• Require support of multiple languages, currency
exchange rates, business cultures
• Require consolidation of international data
• Demand for players who can communicate, orally
and in writing, with management and users that
speak different languages
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 Electronic Commerce and
Business
E-Commerce – the buying and selling of goods and
services by using the Internet.

E-Business – the use of the Internet to conduct and

support day-to-day business activities.

Types of e-commerce and e-business

• Marketing of corporate image, products, and services
• Business-to-consumer (B2C)
• Business-to-business (B2B)

Impact on information systems

• Most new information systems are being designed for an
Internet (or intranet) architecture
• Since the only client-side software is a web browser, the
choice of client operating system is becoming less important
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 An Electronic Commerce
Storefront

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 An Electronic Commerce
Procurement Storefront

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 Security and Privacy
Security
• How will the business continue in the even of a
security breach, terrorist attack, or disaster?
• How can the business protect its digital assets
from outside threats?

Privacy
• Consumer demands for privacy in e-commerce
transactions
• Government requirements

Impact on information systems

• Need to incorporate stringent security and privacy
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controls
 Collaboration and Partnership
Organizations seek to break down the walls that
separate organizational departments and
functions.

Organizations collaborate with outside business

partners and even competitors.

Impact on information systems

• Need to provide secure, external access
• Need to pass data between different information
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 Knowledge Asset Management
Data – raw facts about people, places, events, and
things that are of importance in an organization.

Information – data that has been processed or

reorganized into a more meaningful form for someone.

Knowledge – data and information that is further

refined based on the facts, truths, beliefs, judgments,
experiences, and expertise of the recipient.

Knowledge Asset Management

• Recognizes that data, information, and knowledge are critical
business resources
• Asks: “How can the organization manage and share knowledge for
competitive advantage?”
• Strives to integrate the data and information that can create and
preserve knowledge
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 Continuous Improvement and
Total Quality Management
Business Processes – Tasks that respond to business
events (e.g., an order). Business processes are the work,
procedures, and rules required to complete the business
tasks, independent of any information technology used to
automate or support them.

Continuous process improvement (CPI) – The

continuous monitoring of business processes to effect
small but measurable improvements in cost reduction and
value added.

Total quality management (TQM) – a comprehensive

approach to facilitating quality improvements and
management within a business.
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 Business Process Redesign

Business process redesign (BPR) is the study,

analysis, and redesign of fundamental business
processes to reduce costs and/or improve value
added to the business.
• More substantial changes and improvements than
CPI
• Usually complemented by CPI

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 Technology Drivers for Today’s
Information Systems
• Networks and the Internet
• Time-sharing systems, network servers, desktops and computers
• Most use networking technologies based on the internet.
• e.g., XML, Portals, Web services

• Mobile and Wireless Technologies

• Impact on Information Systems:
• - Assumes wireless connectivity
• - Limits of mobile technology must be considered
• e.g., Phones, Bluetooth, Wi-Fi

• Object Technologies
• Defines a system in terms of objects that compiles data and behaviour into objects
• Object Orientated programming (OOP) (C++, Java)
• Advantages of OOP:
– 1. Objects are reusable
– 2. Objects are extensible (Changeable and expandable

• Collaborative Technologies
• Enhance interpersonal communications and teamwork
• (e-mail, groupware)
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• Enterprise Applications
 Technology Drivers for Today’s
Information Systems
• Enterprise Applications
• Practically all businesses require a core set of enterprise applications, like financial management software
• - Frequently purchased
• - Need to have custom modifications added
• Systems integration: Building an information system out of diverse components of software,hardware and
networking

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 Technology Drivers for Today’s
Information Systems
• Enterprise Resource Planning (ERP):
Software that fully integrates the information
systems of all the basic/core business functions,
built around a common database.
• Enterprise Application Integration (EAI):
Linking applications to support the flow of data
and information between them
• Middleware: Software that translates and routes
data between applications

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 Networks and the Internet
Networks include mainframe time-sharing systems,
network servers, and a variety of desktop, laptop, and
handheld client computers.

The most pervasive networking technologies are

based on the Internet.
• XHTML and XML
• Scripting languages
• Web-specific programming languages
• Intranets
• Extranets
• Portals
• Web services
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 Mobile and Wireless
Technologies
Some mobile and wireless technologies
• PDAs
• Smart phones
• Bluetooth
• Wireless networking

Impact on information systems

• Wireless connectivity must be
assumed
• Limitations of mobile devices
and screen sizes must be accommodated
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 Object Technologies
Object technology – a software technology that
defines a system in terms of objects that consolidate
data and behavior (into objects).
• Objects are reusable
• Objects are extensible
• Object-oriented programming languages include C++, Java,
Smalltalk, and .NET

Object-oriented analysis and design – a collection of

tools and techniques for systems development that will
utilize object technologies to construct a system and its
software.
Agile development – a system development strategy
in which system developers are given the flexibility to
select from a variety of tools and techniques to best
1-51 accomplish the tasks at hand.
 Collaborative Technologies

Collaborate technologies are those that

enhance interpersonal communications
and teamwork.
• E-mail
• Instant messaging
• Groupware
• Work flow

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 Enterprise Applications

• Virtually all organizations require a core set of

enterprise applications
• Financial mgmt, human resources, sales, etc.
• Frequently purchased
• Frequently need to have custom elements added

• Systems Integration - the process of

building a unified information system out of
diverse components of purchases software,
custom-built software, hardware, and
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 Enterprise Applications

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 Enterprise Applications - ERP
Enterprise Resource Planning (ERP) – a software
application that fully integrates information systems
that span most or all of the basic, core business
functions.

An ERP solution is built around a common database

shared by common business functions.

Representative ERP vendors:

• SSA
• Oracle/Peoplesoft
• SAP AG
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 Enterprise Applications - SCM
Supply Chain Management (SCM) – a software
application that optimizes business processes for raw
material procurement through finished product
distribution by directly integrating the logistical
information systems of organizations with those of their
suppliers and distributors.

Representative SCM vendors:

• i2 Technologies
• Manugistics
• SAP
• SCT
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 Supply Chain

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 Enterprise Applications - CRM
Customer Relationship Management (CRM) – a
software application that provides customers with
access to a business’s processes from initial inquiry
through postsale service and support.

Representative CRM vendors:

• SAP
• BroadVision
• E.piphany
• Kana
• Amdocs
• Oracle/Peoplesoft
• Siebel
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 Enterprise Applications - EAI
Enterprise Application Integration (EAI) – the process
and technologies used to link applications to support the
flow of data and information between those applications.

Middleware – software (usually purchased) used to

translate and route data between different applications.

Representative EAI vendors:

• BEA Systems
• IBM (MQSeries)
• Mercator Software
• TIBCO Software
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 Enterprise Application
Integration

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 System Development Process
System development process – a set of activities, methods,
best practices, deliverables, and automated tools that
stakeholders use to develop and maintain information
systems and software.

A general problem-solving approach

1. Identify the problem.
2. Analyze and understand the problem.
3. Identify solution requirements or expectations.
4. Identify alternative solutions and choose the “best” course of
action.
5. Design the chosen solution.
6. Implement the chosen solution.
7. Evaluate the results. If the problem is not solved, return to step 1
1-61 or 2 as appropriate.
 A Simple System
Development Process

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 Simple process for the
development of IS.
Problem-Solving Steps
•1. Identify the problem
•2. Analyse the problem
•3. Identify Solution requirements
•4. Identify alternative solutions and choose the best one
•5. Design the solution
•6. Implement the solution
•7. Evaluate the results, if not solved, return to step ½
•Project Management: Planning, monitoring and controlling a project to develop a high-quality system within the budget and
schedule.
•Process Management: Defines, improves and coordinates the use of the chosen methodology (Traditional/Agiles) and
standards for all projects

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 System Development Process
Overview
System initiation – the initial planning for a project to
define initial business scope, goals, schedule, and
budget.

System analysis – the study of a business problem

domain to recommend improvements and specify the
business requirements and priorities for the solution.

System design – the specification or construction of a

technical, computer-based solution for the business
requirements identified in a system analysis.

System implementation – the construction, installation,

testing, and delivery of a system into production.
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 Systems Development Process
Overview

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 Project and Process
Management
Project management – the activity of defining,
planning, directing, monitoring, and controlling a
project to develop an acceptable system within
the allotted time and budget.

Process management – the ongoing activity

that defines, improves, and coordinates the use
of an organization’s chosen methodology (the
“process”) and standards for all system
development projects.
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