System Analyst and Design 10th Chapter 7

1. Web-Based software trends have rocketed Application Service Providers (ASP), and firms offering Internet Business Services (IBS) to a prominence in the software industry that believes in software as a service instead of a product. With the popularity and advantages of the Internet, companies are viewing this trend as an option to standard software development and acquisition.

Instead of buying a software application from a software company, producing it in-house, or hiring a consultant or outside resource to produce a software package these web-based firms have provided a new alternative based on three separate models. These models are a fixed fee model, subscription model or usage model. Fixed fee does exactly that, provides a fixed fee or cost based on a service level required by the user. The subscription model varies cost based on number of users and workstations accessing the application. The usage model charges fees based on the transaction volume or number of operations performed by the applications.

2. A horizontal application system is a system that can serve a wide variety of industries, i.e. it is not industry- or business-specific. A vertical application system performs a range of business functions for a specific industry (such as manufacturing, retail, health care, restaurants, etc.).

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4. C5. X6. An RFP is a Request For Proposal. An RFP differs from an RFQ (Request For Quote) in

that it assumes that a design is not concrete or the specifics of the product or service you need is not known. Specifically an RFP describes your company, lists the services or products that are required, and specifies the features you require along with what level of service and support is required.

An RFQ on the other hand is more specific than an RFP in that you know what you want and need and just need a price quotation or bid from the software provider. V

7. Benchmark tests are used to put a software package through its transactional paces to show how a system will work under stress or load. Typically, benchmarks provide a TPS or transactions per second rating. These charts or graphs also display number of users and number of transactions.

8. G9. There are generally five alternatives for management to choose from along with the

next step:

1. Go with an outsourcing alternative. This requires working with the service provider to provide a smooth transition to the new environment.

2. Go with an In-house solution. This requires completion of the SDLC starting with the systems design phase.

3. Go with an existing software package with or without customization. If software is purchased without customization, negotiations with the vendor for the best price

System Analyst and Design 10th Chapter 7

would be next. If packaged software with customization is chosen, and it was going to be modified in-house, the systems design phase would be next otherwise the vendor would make modifications and the next step would be testing and documentation as part of the systems implementation phase.

4. Perform additional systems analysis work. This would require going back to the drawing board with the Systems Analysis phase and re-present the work to management for approval.

5. Stop the project. There are no additional tasks to perform except for filing away the project for possible future reopening.

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