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Systems Analysis and Design Alan Dennis, Barbara Haley Wixom, and Roberta Roth John Wiley & Sons, Inc. Slides by Candace S. Garrod Red Rocks Community College
Project Initiation Chapter 2
Key Ideas ,[object Object],[object Object],[object Object]
Key Ideas ,[object Object],[object Object]
IDENTIFYING PROJECTS WITH BUSINESS VALUE
How Do Projects Begin? ,[object Object],[object Object],[object Object],[object Object]
System Request ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
System Request Examples ,[object Object],[object Object],[object Object],[object Object],[object Object]
Preliminary Project Acceptance ,[object Object],[object Object],[object Object]
Your Turn ,[object Object],[object Object],[object Object],[object Object],[object Object]
FEASIBILITY ANALYSIS
Feasibility Analysis ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Technical Feasibility: Can  We Build It? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Economic Feasibility Should  We Build It? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Example Costs and Benefits for Economic Feasibility
Tangible vs. Intangible Costs ,[object Object],[object Object]
Assign Cost and Benefit Values ,[object Object],[object Object],[object Object],[object Object]
Determine Cash Flow: Assign Values to Costs and Benefits – Simple Cash Flow Method
Assess Financial Viability –   Net Present Value ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Determine NPV If NPV >= 0, Project is OK If NPV < 0, Project is  unacceptable
Assess Financial Viability –   Return on Investment ROI =  NPV  PV(cash outflows)
Assess Financial Viability –   Break Even Point ,[object Object],[object Object]
Organizational Feasibility If we build it, will they come? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
PROJECT SELECTION
Project Selection Issues ,[object Object],[object Object],[object Object],[object Object]
Summary ,[object Object],[object Object],[object Object],[object Object]
Copyright © 2006 John Wiley & Sons, Inc. ,[object Object],[object Object],[object Object],[object Object]

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System Design and Analysis 2