Introduction to system

Objectives

• What is a System?
• What are its characteristics?
• Types of Systems
• Types of Business Information Systems
• What is Systems Development Life Cycle
• Who is Systems Analyst?
• What is the job of a Systems Analyst?
 What is a System?

Orderly grouping of independent

components linked together according to

a plan to achieve a specific goal.

 System

• A system exists within an environment

• A boundary separates a system from its environment
A system exhibits a number of characteristics

• Organisation
• Interaction
• Interdependence
• Integration
• Central Objective

• Input and Output

• Interfaces with the environment
• Constraints
 Important System Concepts
Decomposition
The process of breaking down a system into smaller components which allows
the systems analyst to:

• Break a system into small, manageable subsystems

• Focus on one area at a time
• Concentrate on component pertinent to one group of users
• Build different components at independent times
 Important System Concepts

• Modularity
– Process of dividing a system into modules of a relatively uniform size
– Modules simplify system design

• Coupling
– Subsystems that are dependent upon each other are coupled

• Cohesion
– Extent to which a subsystem performs a single function

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 Systems Integration

– Allows hardware and software from different vendors to work together.

– Enables procedural language systems to work with visual
programming systems
– Visual programming environment uses client/server model
 Types of Systems

Systems can be classified in different ways:

• Physical or Abstract
• Open or Closed
• Deterministic or Probabilistic
• Man-made information System

Systems are required to be flexible, dynamic and open, so that can respond
to the changing needs of the user and the environment.
 Information system

Information System which is nothing but flow of data from

one person to another in a system.
Components of an INFORMATION System
 Components of an Information System

• People Resources • Data Resources

– End Users
– Data versus Information
– IS Specialists
• Hardware Resources • Network Resources
– Computer systems – Communication media
– Peripherals – Network support
• Software Resources
– System software
– Application software
Components of an Information System
 Information Products

• Focus is on the end-user.

• They are the result of IS activities…
– Input
– Processing
– Output
– Storage
– Control
 Major Roles of IS

Support
Competitive
Advantage

Support
Business
Decision Making

Support of
Business Processes and Operations
 The Present and the Future

New technologies are being integrated into traditional systems:

• Ecommerce uses the Web to perform business activities.

• Enterprise Resource Planning (ERP) has the goal of integrating many
different information systems within the corporation.
• Wireless and handheld devices, including mobile commerce
(mcommerce).
• Open source software.
Trends in Information Systems
Types of Information Systems
 Types of Information Systems

• Operations Support Systems

– Transaction processing systems
• Batch – transaction data accumulate over time, processed
periodically.
• Real-time – data processed immediately after a transaction
occurs.
– Process Control Systems – monitor & control physical
processes.
– Enterprise Collaboration Systems
 Types of Information Systems (cont.)

• Management Support Systems

– Management Information Systems – pre-specified
reports & displays to support decision-making.
– Decision Support Systems – provide interactive ad hoc
support.
– Executive Information Systems – critical information
tailored to the information needs of executives.
 Types of Information Systems (cont.)

• Other Classifications
– Expert systems – expert advice
– Knowledge management systems – support the
creation, organization, & dissemination of business
knowledge
– Functional business systems – support the basic
business functions
– Strategic information systems – strategic advantage
 Types of Information Systems
and Systems Development

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 Categories of Information Systems

Information systems fall into one of the following eight categories:

• Transaction processing systems (TPS).
• Office automation systems (OAS).
• Knowledge work systems (KWS).
• Management information systems (MIS).
• Decision support systems (DSS).
• Expert systems (ES) and Artificial Intelligence (AI).
• Group decision support systems (GDSS) and Computer-Supported
Collaborative Work Systems.
• Executive support systems (EES).
 The Present and the Future

New technologies are being integrated into traditional systems:

• Ecommerce uses the Web to perform business activities.

• Enterprise Resource Planning (ERP) has the goal of integrating many
different information systems within the corporation.
• Wireless and handheld devices, including mobile commerce
(mcommerce).
• Open source software.
 Types of Information Systems
and Systems Development

• Transaction Processing Systems (TPS)

– Automate handling of data about business activities (transactions)
• Management Information Systems (MIS)
– Converts raw data from transaction processing system into
meaningful form
• Decision Support Systems (DSS)
– Designed to help decision makers
– Provides interactive environment for decision making
 Types of Information Systems
and Systems Development

• Expert Systems (ES)

– Replicates decision-making process
– Knowledge representation describes the way an
expert would approach the problem
Transaction Processing Systems(TPS)

TPS assists in carrying out day to day activities in an

organization. It helps in processing transactions
occurring at the operational level on a daily basis.
In any organization big or small, common transactions
that occur are: placing orders, billing customer,
depositing checks etc.
TPS

Transaction Processing Systems(TPS) help in following

activities:

1. Capturing and then storing data

2. Classifying, updating and maintaining data
3. Retrieval of stored Information
4. Provides data input to other CBIS

These are routine activities for which systems (computer

applications) are developed to carry out the procedures in a
speedy and accurate manner.

Eg. Routine jobs like withdraw and deposition of money in a Bank are
carried out by TPS .
TPS

Other characteristics of TPS :

1. Helps in handling volumes of data transactions

2. Transactions are similar in nature
3. Procedures for processing the transactions are
well understood.
4. Few exceptions to the normal procedures occur.
5. There is no decision making at this stage.
Management Information Systems (MIS)

In Contrast to TPS which comprises of applications

assisting in automation of routine jobs in an organization,

MIS assists managers in decision Making, management

planning and controlling.

While decision making they utilize the data stored by

TPS and other information.
Management Information Systems (MIS)

MIS is used for making recurring and structured decision

on a weekly, monthly or quarterly basis. MIS also involves
generation of regular reports based on fixed parameters in an
organization related to the data collected.

In a Banking scenario, MIS may be helping the middle level

management for making regular recurring decisions:
1. Performance of branch of a bank based on the total deposits
and withdrawals, ratio of loans given to the cash reserves,
interest paid to customers etc.
2. Making decisions regarding levels of interest to be charged
for loans and also offered to depositors based on external
information on economic trends, demand for loan, rate of
consumer spending etc.
 Decision Support System (DSS)

Systems used for making decisions which are

non-recurring in nature. They also used for
making unstructured or semi-structured decisions
(which are decisions not based on clear procedures and the
decisions can not be identified in advance).

Input information needs to be defined to arrive at a

meaningful decision though it is impossible to pre-
design formats of reports and its contents.

The DSS supports the manager judgment and not

replaces it.
Eg: In a banking scenario, the decisions like no. of ATMs to be open
by a bank, location of ATM, limit of withdrawals from ATM, charge to
be imposed on services.
 Managerial challenges of information technology

• Information systems can be mismanaged and misapplied so that

they create both technological and business failure.

 Top Five Reasons for Success  Top Five Reasons for Failure

 User involvement  Lack of user input

 Executive management support  Incomplete requirements and

specifications
Clear statement of requirements  Changing requirements and
specifications
Proper planning  Lack of executive support

Realistic expectations  Technological incompetence

Developing IS Solutions to Business Challenges
 Data and Processes
• Three key components of an information system

— Data

— Data Flows

— Processing Logic
 Who is Systems Analyst?

A person who conducts a study, identifies activities and objectives and

determines a procedure to achieve the objectives in an organisation at
the time of systems development.

He identifies the problems and provides the solutions for the

business problems. Helps in achieving business goals.
He coordinates the efforts of different of persons in an organization
to achieve business goal.
He helps in Designing and implementing systems to suit
organizational needs are the functions of the systems analyst
System analyst facilitates the development of Information system.
He plays a major role in seeing business benefit from computer
technology.
 Who is Systems Analyst?

System Analysts are called the planners

He does the job of system analysis and systems design.

System Analysis: study of business problem and then
recommend improvements. Specify the business requirements.
Systems Design: specification of technical computer based
solution for the requirements identified during system analysis.

The solutions provided by systems analyst could be any of the areas: processing,
flow and management of data, communication systems etc.
 Attributes of an effective Systems Analyst

• Ability to communicate with people. Effective written and oral

communication skills. For in-house projects, work on a team of
analysts and developers.
• Knowledge of Business functions (knowledge of accounting and
marketing principles, company's product and services and
management's policies)
• Knowledge of Data processing principles (understand the potential
and limitations of computers)
• An analytical mind (analytical mind to select pertinent data and
ignore the rest of the unnecessary data available)
• Ability to learn quickly how people do their jobs and develop ways
for them to do it better.
• Managerial
Ability to manage projects, resources, risk and change

Skills required in a system analyst are: Analytical, Technical, Managerial and

Interpersonal
Systems Development Life Cycle
 Systems Development Life Cycle

• The systems development life cycle is a systematic

approach to solving business problems.
• It is divided into seven phases.
• Each phase has unique activities.
 Phase 1: Preliminary survey
This phase is also called
Recognition of need or Initial investigation.

In this stage you identify, define and evaluate the problems in the system.

• Identifying the following in the system:

– Problems.
– Opportunities.
– Objectives.
• We prepare the statement of scope and objective
after the Initial investigation of the system.

Personnel involved for Preliminary survey are analyst or user management or Systems management.
 Phase 2: Feasibility Study

The two stages involved as part of Feasibility study :

1. Investigation and evaluation of the problem in the existing system and

2. identification and description of the candidate system.

The result of the feasibility study is the report with a formal document with
details regarding:

• Statement of the problem

• Summary of findings and recommendations: Evaluation of the
existing system and procedures
• Analysis of the suggested alternate candidate systems.
• Cost estimates.
• Recommendations and conclusions
 Phase 3: System Analysis

– Using information gathering tools the system analyst collects

information
– Create data flow diagrams.
– Document procedural logic for data flow diagram processes.
– Complete the data dictionary.
– Make semi-structured decisions.
– Prepare and present the system proposal.
– Recommend the optimal solution to management.
 Context-Level Data Flow Diagram (DFD)

• A context-level data flow diagram is an important tool for showing

data used and information produced by a system.

• It provides an overview of the setting or environment the system

exists within: which entities supply and receive data/information.
 Context-Level DFD Symbols

• Entity, a person, group, department, or system that supplies or

receives information.
• It is labeled with a noun.

Customer
 Context-Level DFD Symbols (Continued)

• Process, representing the entire system.

• It is given the number 0.

0
Customer
System
 Context-Level DFD Symbols (Continued)

• Data flow, represented by an arrow.

• It shows information that passes to or from the process.
• Data flow is labeled with a noun.

Travel Request

Passenger Reservation
Data Flow Example
 Entity-Relationship Diagrams (E-R Diagrams)

• Entity-relationship diagrams help the analyst understand

the organizational system and the data stored by the
organization.
• Symbols are used to represent entities and relationships.
 Entities

There are three types of entities:

– Fundamental entity, describing a person, place, or thing.
– Associative entity, linking entities.
– Attributive entity, to describe attributes and repeating groups.
 Phase 4: System Design
(logical design)
• Designing the recommended system:
– Design the user interface.
• Design output.
• Design input.
– Design system controls.
– Design files and/or database.
– Produce program specifications.
– Produce decision trees or tables.
 Phase 5: Physical design

• Developing and documenting software:

– Design computer programs using structure charts, Nassi-
Schneiderman charts, and pseudocode.
– Walkthrough program design.
– Write computer programs.
– Document software with help files, procedure manuals, and
Web sites with Frequently Asked Questions.
 Phase 6: Testing and implementation

• Testing of the system:

– Test and debug computer programs.
– Test the computer system.

• Implementation the system:

– Implementation Plan conversion.
– Train users.
– Purchase and install new equipment.
– Convert files.
– Install system.
– Review and evaluate system.
Phase 7: Post- Implementing stage

• Evaluating
• Maintaining
• Enhancement of the system
 System Maintenance
• System maintenance is:
– Removing undetected errors, and
– Enhancing existing software.
Alternative methods of System Development

• Prototyping
• Rapid application development (RAD)
• Extreme Programming (XP)
 Approaches to System Development
Prototyping
– Building a scaled-down working version of the system
– Advantages:
• Users are involved in design
• Captures requirements in concrete form

Prototyping is a rapid, interactive process between users and analysts to

create and refine portions of a new system. It can be used as part of the
systems development life cycle (SDLC) for requirements determination or
as an alternative to the SDLC.

Rapid Application Development (RAD)

Utilizes prototyping to delay producing system design until after user
requirements are clear
 Approaches to Development

• Joint Application Design (JAD)

– Users, Managers and Analysts work together for several days
– System requirements are reviewed
– Structured meetings
 Prototyping
• Prototyping is an information-gathering technique.

• Prototypes are useful in seeking user reactions,

suggestions, innovations, and revision plans.

• Prototyping may be used as an alternative to the

systems development life cycle.
 Four Kinds of Prototypes

The four conceptions of prototypes are :

– Patched-up prototype.
– Non operational scale model.
– First-of-a-series.
– Prototype that contains only some of the essential
system features.
 Patched-up Prototype

• This is a working model with all the features but is

inefficient.
• Users can interact with the system.
• Storage and retrieval of data may be inefficient.
• May contain only basic features.
 Non-operational Scale Models

• A nonoperational scale mode is one that is not

operational, except for certain features to be tested.
 First-of-a-Series Prototype

• Pilot system is created.

• Prototype is an operation model.
• Useful when many installations of the same
information system are planned.
• An example is a system to be installed in one
location, tested and modified as necessary, and
later implemented in other locations.
 Selected Features Prototype

• An operational model includes some, but not all, of the final

system features.
• With the acceptance of these features, later essential features
are added.
• Some menu items are available.
• System is built in modules.
• These are part of the actual system.
Prototyping As an Alternative to the Systems Life Cycle

Two main problems with the SDLC:

– Extended time required to go through the development life cycle.
– User requirements change over time.

Prototyping may be used as an alternative.

 Prototype Development Guidelines

Guidelines for developing a prototype are:

– Work in manageable modules.
– Build the prototype rapidly.
– Modify the prototype in successive iterations.
– Stress the user interface.
 Prototype Disadvantages

• Managing the prototyping process is difficult

because of its rapid, iterative nature.
• Incomplete prototypes may be regarded as
complete systems.
 Prototype Advantages

• Potential for changing the system early in its

development
• Opportunity to stop development on an
unworkable system
• Possibility of developing a system that closely
addresses users needs and expectations
 Rapid Application Development

Rapid Application development (RAD) is an object-

oriented approach to systems development.
 Summary

• Information systems analysis and design

– Process of developing and maintaining an information system
• Modern approach to systems analysis
– Process-Oriented
– Data-Oriented
 Summary

• Role of Systems Analyst

• Four types of information systems
– Transaction Processing (TPS)
– Management Information Systems (MIS)
– Decision Support (DSS)
– Expert Systems (ES)
 Summary

• Systems Development Life Cycle (SDLC)

– Systems Planning and Selection
– Systems Analysis
– Systems Design
– Systems Implementation
• Alternatives to Systems Development Life Cycle
– Prototyping
– Rapid Application Development (RAD)
– Joint Application Design (JAD)