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UNITY UNIVERSITY

Department Of Computer Science

Structured System Analysis And Design

1. What is outsourcing? Why do organizations outsource system


development projects?

Outsourcing involves delegating some or all of an organization’s information


system applications and operations to an external company. Organizations
outsource system development for several reasons, including:
- Cost-effectiveness: Leveraging economies of scale can reduce expenses.
- Access to expertise: Outsourcing provides access to specialized skills not
available internally.
- Resource optAization: It allows organizations to free up internal resources
for core tasks.
- Revenue enhancement and efficiency: Outsourcing can improve processes
and speed up time to market.
- Flexibility: Organizations may outsource non-core activities to remain agile
and adaptable.

2. Brief Description of the Six Sources of Software

1. Information Technology Services Firms: These firms develop custom


systems for clients, providing expertise and services in system design,
development, and hosting.
2. Packaged Software Producers: These companies offer off-the-shelf
software tailored for broad use, such as Microsoft and SAP, meeting common
needs across various sectors.
3. Enterprise-Wide Solutions: Providers offer integrated systems that cover
multiple business functions in a single, cohesive platform, like ERP systems.
4. Cloud Computing Vendors: These vendors deliver software over the
Internet, enabling instant access without the need for internal infrastructure.
5. Open-Source Software: This software is freely available, often supported
by a community of developers, and allows for modifications.
6.In-House Developers: Organizations may use internal teams to create
software tailored to their specific needs when resources and expertise are
available

3. Summary Points on Criteria for Selecting Off-the-Shelf Software

When selecting off-the-shelf software, organizations should consider the


following criteria:

- Cost: Evaluates the total cost of acquisition, including licensing, upgrades,


and maintenance.
- Functionality: Assesses whether the software meets essential and desirable
user requirements.
- Vendor Support: The availability and quality of the vendor’s support
services.
- Vendor Viability: The vendor’s stability and ability to maintain the software
in the future.
- Flexibility: The ease with which the software can be customized to meet
specific needs.
- Documentation: Quality of the user and technical documentation provided.
- Response Time: How quickly the software performs tasks and processes
data.
- Ease of Installation: The effort required to set up and integrate the software
within existing system

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