Reengineering. Jacob & Sarkar. Outline. Reengineering Systems Development process PIECES Factors to consider in Systems Development. What is reengineering?
Jacob & Sarkar
"IT MUST BE CONSIDERED THAT THERE IS NOTHING MORE DIFFICULT TO CARRY OUT, NOR MORE DOUBTFUL OF SUCCESS, NOR MORE DANGEROUS TO HANDLE, THAN TO INITIATE A NEW ORDER OF THINGS. FOR THE REFORMER HAS ENEMIES IN ALL THOSE WHO PROFIT BY THE OLD ORDER AND ONLY LUKEWARM DEFENDERS IN ALL THOSE WHO COULD PROFIT BY THE NEW ORDER. THIS LUKEWARMNESS ARISES PARTLY FROM FEAR OF ADVERSARIES WHO HAVE LAWS IN THEIR FAVOR AND PARTLY FROM THE INCREDULITY OF MANKIND, WHO DO NOT TRULY BELIEVE IN ANYTHING NEW UNTIL THEY HAD AN ACTUAL EXPERIENCE OF IT."
A local credit union has been studying data about consumer loan applications. Over the past year, loan applications have increased 124 percent. The manager realizes that, if this growth rate continues, the current loan officers will not be able to keep up with the demand.
What needs to be done?
A construction company has been contracted to perform repairs and improvements for a large corporate site consisting of many buildings. The corporate site submits work orders to the construction company. The work orders go through a processing cycle that may include Information Systems, Purchasing, Accounting, Personnel, and Operations. Currently, an average delay of 62 days occurs between the submission of the order and the arrival of the work crew to fulfill the order.
What needs to be done. - decrease Response time
The Accounting Department suspects that air travel reimbursements do not reflect minimum costs and bargains that could be obtained. However, it has no information to support its suspicions; therefore, it cannot justify possible changes to its procedures.
A personnel manager must allocate scarce overtime dollars to the supervisors of three manufacturing departments. The report that predicts the amount of work to be done does not break the information down to the department level.
The inventory manager for a large printing business must reorder paper and supplies each Monday. The clerk is given an inventory report. The report includes all 3,000 inventory items. The clerk has to compare quantity in stock and projected usage for each item on the report--- just to identify items that need to be reordered.
A hotel chain allows customers to make reservations for any hotel in the chain from any other hotel in the chain. However, when a reservation is made or canceled, it takes three days to get that information to the hotel that is affected. Meanwhile, that hotel may overbook or under book rooms.
Customer receives notification that he has 8 registered copies eligible for a software upgrade. Customer sends in order. Response cannot upgrade because he is not legally registered.
Data on researchers who work with radioactive material is maintained in file cabinets organized by researcher name.
Govt. requests data on every researcher that has worked with a particular radioactive material.
Mkt. Dept. needs to establish new prices for products. Needs cost breakdown by product. Has budgeted costs but no historical data on actual costs.
Costs are unknown
Costs are untraceable to source
Costs are too high.
Profits – orders can be increased, access to new markets.
A distribution warehouse for farm machinery parts is experiencing a stock problem. The computer information system is releasing orders after checking the inventory file to ensure that the products ordered are in stock. However, when the warehouse clerk tries to fill the order, the parts are not always in stock. An analysis reveals that, when the stock clerks place new inventory on the shelves, they do not count that inventory. They simply accept the supplier’s word that the quantity shipped is accurate.
Too few controls
A manufacturing facility consists of 125 workstations of various types. Different products go through different types of workstations during production. Management is concerned with the need to expand production, but there is no money to expand facilities. Management has observed two major limitations in current operations. First, separate orders for the same product are not consolidated. This causes workstations to be set up and broken down for the same product several times each day. Second, management has noticed that some workstations seem to be idle during some parts of the day and overworked during other parts of the day.
Inefficient use of resources
(examples from Whitten Bentley and Barlow)
Marketing Manager - The product needs to be ready to ship in nine months
Product Dev. Manager - The product is too complex to complete in nine months we need 12 months and that too is optimistic.
Marketing Manager - You don’t understand we have already announced the release date.
Product Dev. Manager Thinks - ***!!!**&$ Oh well you will get it when we are done.
Nine months later announcement - product will be released in another six months.
Project Objective Not Fully Specified 51%
Frequent changes in design 50%
Bad Planning and Estimating 48%
Technology New to the Organization 45%
Inadequate/No Project Management Methodology 42%
Insufficient Senior Staff on Team 42%
Poor Performance by Suppliers 42%