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15 Cards in this Set

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  • Back

In the past, what were some of the choices company had for development strategies?

◦ Companies either developed software in-house or purchased a software package


◦ Hired consultants to perform the work

What are the choices that companies have today for development strategies?

◦ Application service providers


◦ Web-hosted software options


◦ Firms that offer enterprise-wide software solutions

What are the features of traditional development?

Development typically follows one of three main paths:




In-house development with internal staff




Purchase of a software package with possible modificationUse of outside consultants




Many applications require substantial desktop computing power and resources




Security issues usually less complex than Web-based systems

Web-Based Systems Development features

Systems are developed and delivered in an Internet-based framework such as .NET or WebSphere




Treats the Web as the platform, rather than just a communication channel




Easily scalable, and can run on multiple hardware environments




Used for customer relationship management, order processing, and materials management




Treats the software application as a service that is less dependent on desktop computing power and resources




Limits in-house involvement to a minimum as vendors install, configure, and maintain the system




Requires additional layers, called middleware, to communicate with existing software and legacy systems

Evolving Trends: Web 2.0 and Cloud Computing

•Web 2.0 will enhance interactive experiences


•Wikis and blogs


•Social networking


•Cloud computing may offer an overallonline software and data environment

What is SaaS?

Software as a Service

What is an Application service providers (ASP)?

A firm that delivers a software application, or access to an application, by charging a usage or subscription fee

What is an Internet business services (IBS)?

 Also called managed hosting


 Web-based support for transactions such as order processing, billing, and customer relationship management

What is the most important consideration when choosing an in-house software development solution?

 The total cost of ownership (TCO)

What are the benefits of in-house developed software?

• Satisfies unique business requirements


• Because no commercial software package can meet their unique business requirements


• Minimizes changes in business procedures and policies


• Installing a new software package almost always requires some degree of change in how a company does business


• Meets constraints of existing systems


• Any new software installed must work with existing systems


• Meets constraints of existing technology


• The new system must work with existing hardware and legacy systems


• Develops internal resources and capabilities


• Develop and train an IT staff that understands the organization’s business functions and information support needs

What are the benefits of purchasing a software package?

• Lower costs


• A software package almost always is less expensive than in-house


• Requires less time to implement


• Packages have already been designed, programmed, tested, and documented


• Proven reliability and performance benchmarks


• Major problems probably have been detected already and corrected by the vendor


• Requires less technical development staff


• Companies can reduce the number of programmers and systems analysts on the IT staff


• Future upgrades provided by the vendor


• Improvements and enhancements included in a new version or release


• Input from other companies


• You can contact users in other companies to obtain their input and impressions

What is the financial analysis tool payback analysis?

Determines how long it takes an information system to pay for itself through reduced costs and increased benefits

What is the financial analysis tool Return on investment (ROI)?

Percentage rate that compares the total net benefits (the return) received from a project to the total costs (the investment) of the project

What is the financial analysis tool Net present value (NPV)?

Total value of the benefits minus the total value of the costs

What is a context diagram?

A model diagram that is a high level view of a system that defines the boundaries between the system and its environment.