2 Planning

System Analysis and Design · Unit 2 · 5 hrs

Planning

Exam-focused notes for Planning (System Analysis and Design, CSC326): what the TU syllabus asks and how it has actually been tested, with 12 solved past questions from this unit.

What this unit covers

  • Identifying and Selecting Systems Development Projects: Introduction
  • Identifying and Selecting Systems Development Projects
  • Corporate and Information Systems Planning
  • Initiating and Planning Systems Development Projects: Introduction
  • Initiating and Planning Systems Development Projects
  • Process of Initiating and Planning IS Development Projects, Assessing Project Feasibility
  • Building and Reviewing the Baseline Project Plan

Process of Initiating and Planning IS Development Projects, Assessing Project Feasibility

20825 marks

An initial investment of Rs. 5,00,000 is required to start a company. The cash flow-in is Rs. 60,000 per year. Assuming the interest rate as 15%, calculate the discounted payback period. (use Net Present Value) [5]

Parameter Value ------ Initial Investment ($I0$) Rs. 5,00,000 Annual Cash Inflow ($Y$) Rs. 60,000 Discount Rate ($i$) 15% = 0.15 --- $$PVn = Y \times \frac{1}{(1+i)^n} = 60{,}000 \times \frac{1}{(1.15)^n}$$ Year (n) Discount Factor $1/(1.15)^n$ Discounted I...

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20815 marks

An initial investment of Rs. 1,00,000 is required to start a company. The cash flow-in is Rs. 40,000 per year. Assuming interest rate as 10%, calculate the discounted payback period. (use Net Present Value) [5]

Parameter Value ------ Initial Investment Rs. 1,00,000 (outflow at Year 0) Annual Cash Inflow Rs. 40,000 per year Discount Rate ($i$) 10% = 0.10 --- $$PVn = \frac{Y}{(1+i)^n}$$ Year $n$ Discount Factor $\frac{1}{(1.10)^n}$ PV of Inflow (Rs.) --------- 1 0.9...

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20805 marks

Define feasibility study. Explain economic and schedule feasibility in brief. [5]

A feasibility study is an analysis that considers all of a project's relevant factors -- including economic, technical, legal, and scheduling considerations -- to ascertain the likelihood of completing the project successfully. Whether a project is feasible...

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20795 marks

List and describe the steps in the project initiation and planning process. [5]

Project initiation and planning is the first major phase of the SDLC. It lays the foundation for all subsequent development activities by clearly defining what the project is, why it is needed, and how it will be carried out. --- The process begins when a s...

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207810 marks

Assume monetary benefits of an information system of $70,000 the first year and increasing benefits of $10,000 a year for the next four years; one-time development costs of $90,000, and recurring costs of $40,000 per year over the duration of the system's life. The discount rate for the company was 1! percent. Using a five-year time horizon, calculate the net present value of these costs and benefits. Also, calculate the overall return on investment and then present a breakeven analysis. At what point does breakeven occur?[10]

Parameter Value ------ Benefit Year 1 \$70,000 Benefit increase \$10,000/year (Years 2-5) One-time development cost \$90,000 Recurring cost \$40,000/year Discount rate 11% (0.11) Time horizon 5 years Benefits: Y1 = 70,000; Y2 = 80,000; Y3 = 90,000; Y4 = 100...

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20785 marks

Explain the process initialing and planning information system development project in brief. [5]

Project management is a controlled process of initiating, planning, executing, monitoring, controlling, and closing a project. Its focus is to ensure that systems development projects meet customer expectations and are delivered within budget and time const...

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207610 marks

Define feasibility. Explain different categories of feasibility. How do you measure economic feasibility?[10]

--- A feasibility study is an analysis that considers all of a project's relevant factors -- including economic, technical, legal, and scheduling considerations -- to ascertain the likelihood of completing the project successfully. Whether a project is feas...

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Initiating and Planning Systems Development Projects

20805 marks

Describe different activities performed by the project manager during project planning. [5]

The project manager is a system analyst with a diverse set of skills including management, leadership, technical, conflict management, and customer relationship skills. The project manager is responsible for initiating, planning, executing, and closing down...

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20765 marks

What is project initiation? Explain different activities you will perform during project initiation phase. [5]

Project initiation is the first major activity of the project initiation and planning phase of the SDLC. It focuses on activities that help organize a team to conduct project planning. During this phase, the project is conceptualized and feasibility is dete...

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Corporate and Information Systems Planning

20805 marks

Describe the steps involved in corporate strategic planning. [5]

Corporate strategic planning is the ongoing process that defines the mission, objectives, and strategies of an organization. It is a prerequisite for making effective project selection decisions, as it gives a clear idea of where an organization currently i...

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Identifying and Selecting Systems Development Projects

20795 marks

Describe the project identification and selection process. [5]

Project identification and selection is the first major activity in the Planning phase of the SDLC. During this process, senior managers, business groups, IS managers, or committees identify all possible systems development projects that an organization cou...

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20765 marks

What is the process of identifying and selecting information system development project in brief. [5]

The process of identifying and selecting IS development projects is an important and ongoing activity that ensures an organization invests its resources in the right systems. It consists of the following key steps: --- Projects are identified from various s...

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