Analysis and Design: of E-Commerce Systems
Analysis and Design: of E-Commerce Systems
Analysis and Design: of E-Commerce Systems
Lesson – 4
3.7
PROJECT IDENTIFICATION AND SELECTING.
PROJECT IDENTIFICATION AND SELECTING.
Technical Staff
INITIATING AND PLANNING SYSTEMS DEVELOPMENT
PROJECTS
Technical Feasibility
• The goal of this study is to assess the technical feasibility
of the project understand the organization’s ability to
successfully design, develop and install the proposed
system.
• This analysis should include an assessment of the
development team’s familiarity and understanding of the
possible target hardware, software, and operating
environments to be used as well as project size,
complexity and the group’s experience with similar
systems.
• The team also should consider the compatibility of the new
systems with the technology that already exists in the
organization.
Assessing Project Feasibility
Economic Feasibility
• The second important factor of feasibility analysis is to
perform an economic feasibility analysis.
• The objective of assessing economic feasibility is to
identify the financial benefits and cost associated with the
development of a Project, assigning values to them, and
then calculating the cash flow and return on investment for
the project.
• The more expensive the project, the more rigorous and
detailed the analysis. Economic feasibility is also called as
Cost-benefit analysis.
Assessing Project Feasibility
Economic Feasibility
• The first task when developing an economic feasibility
analysis is to identify the kinds of costs and benefits the
systems will have and list them systematically.
• An information system can provide many benefits to an
organization. For example, a new or renovated IS can
automate monotonous jobs, reduce errors, provide
innovative services to customers and suppliers, and
improve the organizational efficiency, speed, flexibility and
morel.
• These benefits are both tangible and intangible.
Assessing Economic Feasibility
Cost – Benefit Analysis
• Determine Benefits
– Tangible Benefits - can be measured easily
– Examples
» Cost reduction and avoidance
» Error reduction
» Increased flexibility
» Increased speed of activity
» Increased management planning and control
• Determine Cost
– Tangible Costs
• Can easily be measured in dollars
– Example: Hardware
– Intangible Costs
• Cannot be easily measured in dollars
• Examples:
– Loss of customer goodwill
– Loss of employee morale
Assessing Economic Feasibility
• Introduction
– Brief overview
– Recommended course of action
– Project scope defined
• Units affected
• Interaction with other systems
• Range of system capabilities
Building the Baseline Project Plan
• System Description
– Outline of possible alternative solutions
– Narrative format
• Feasibility Assessment
– Project costs and benefits
– Technical difficulties
– High-level project schedule
Building the Baseline Project Plan
• Management Issues
– Outlines concerns that management may
have about the project
– Team composition
– Communication plan
– Project standards and procedures
Reviewing the Baseline Project Plan
• Objectives
– Assure conformity to organizational standards
– All parties agree to continue with project
– Network & Communication : What will the speed of the connection and
how information consists of text, images, audio and video elements
can be effectively transmitted and displayed.