Chapter 1

Introduction to Systems Analysis

and Design
Learning Objectives (1 of 3)
•After this chapter, you will be able to:
• Describe the impact of information technology
on society
• Describe the five main components of an
information system
• Explain Internet business strategies and
relationships, including B2C and B2B
• Explain how to use business profiles and
models
Learning Objectives (2 of 3)
• Understand the seven types of information
systems used in business
• Describe the types of information the four
classes of users need
• Explain the seven main functions of the
information technology department
• Describe the roles and responsibilities of a
systems analyst within the enterprise
Information Technology (1 of 2)
•Combination of hardware and software
products and services
• Used to manage, access, communicate, and
share information

•Changing nature of information technology

• Change is dramatic and continuous
• Advances influence change in business
organizations
Information Technology (2 of 2)
•Systems analysis and design
•Step-by-step process for developing
high-quality information systems

•Information systems: technology,

people, and data performing certain
business functions
Information Systems
•System: set of related components that
produces specific results
• Mission-critical systems: vital to operations

•All systems require input data

• Data: basic facts that serve as raw material
• Information: data transformed into output
Information Systems

FIGURE 1-4 An information system needs these components.

Information Systems
•Hardware
• Physical layer of information system
• Moore’s Law: transistors on an integrated
circuit chip double about every 24 months
•Software: controls hardware
• System software
• Manages hardware components
• Application software
• Support day-to-day business
• Horizontal, vertical, and legacy systems
Information Systems
•Application Software:
• Horizontal system: can be adapted for use in
many different types of application
• Inventory application
• payroll application
• Vertical system: is designed to meet the
unique requirements of a specific business
• Legacy system: need to exchange data with
a legacy system
Information Systems
•Data
• Stored in tables
•Processes
• Describe tasks and business functions
performed to achieve specific results
•People
• Stakeholders: individuals interested in an
information system
Information Systems (5 of 5)

FIGURE 1-6 In a typical payroll system, data is stored in

separate tables that are linked to form an overall database.
Internet Business Strategies (1 of
3)
•Trends
•Rapidly increasing globalization
•Technology integration for seamless
information access
•Rapid growth of cloud-based
computing and services
Internet Business Strategies (2 of
3)
•The Internet Model
• Ecommerce (electronic commerce)
• User interface enables communication
between a data-base management software
and a web-based server
• Mobile devices interact with the system using apps
Internet Business Strategies (3 of
3)
•B2C (business-to-customer)
• In a single convenient session, customers can:
• Do research and compare prices and features
• Check availability and arrange delivery
• Choose payment methods
•B2B (business-to-business)
• Ecommerce was initially carried out using
electronic data interchange (EDI)
• Most firms use supply chain management
(SCM) software
• Helps manage inventory levels, costs, and suppliers
Business Today
•Influenced by:
• Rapidly increasing globalization
• Technology integration for seamless
information access
• Rapid growth of cloud-based computing and
services
•All trends are Internet-centric

15
Business Today
• Business Process Management (BPM)
• BPM is a methodology used by organizations to
continuously improve end-to-end business
processes.
• By studying and improving their underlying
business processes, organizations can achieve
several important benefits, including:
• Enhanced process agility, giving the organization the
ability to adapt more rapidly and effectively to a
changing business environment.
• Improved process alignment with industry “best
practices”.
• Increased process efficiencies as costs are identified
and eliminated from process workflows.

16
Business Today
•To design successful systems, systems
analysts must understand a company’s
business operations. Each situation is
different.
• For example, a retail store, a medical practice,
and a hotel chain all have unique information
systems requirements.

17
Modeling Business Operations (1
of 3)
•Business profile
• Overview of a company’s mission, functions,
organization, products, services, customers,
suppliers, competitors, constraints, and future
direction
•Business process
• Specific set of transactions, events, and
results that can be described and documented
• Business process model (BPM)
• Business process modeling notation (BPMN)
Modeling Business Operations (2
of 3)

FIGURE 1-7 A simple business model might consist

of an event, three processes, and a result.
Modeling Business Operations (3
of 3)

FIGURE 1-8 This sample uses business process modeling notation (BPMN) to
represent the same events, processes, and workflow shown in Figure 1-7.
Source: Drawio.com
Business Information Systems (1
of 5)
•Current method
• All employees use office productivity systems
• Operational users require decision support systems
• Systems are defined by functions and features
•Enterprise computing
• Supports company-wide operations and data
management requirements
• Enterprise resource planning (ERP) systems
provide cost-effective support for users and
managers throughout the company
Business Information Systems (2
of 5)
•Transaction processing (TP) systems
• Processes data generated by day-to-day
business operations
• Customer order processing, accounts receivable,
and warranty claim processing
•Business support systems
• Provide job-related information support to
users at all levels of a company
• Management Information Systems (MIS)
• Radio frequency identification (RFID)
Business Information Systems (3
of 5)

FIGURE 1-11 A single sales transaction consists of six separate tasks,

which the TP system processes as a group.
Business Information Systems (4
of 5)
•Knowledge management
• Uses a knowledge base and inference rules
• Knowledge base: large database that allows users
to find information by entering keywords
• Inference rules: identify data patterns and
relationships
Business Information Systems (5
of 5)
•User productivity systems
• Technology that improves productivity
• Groupware: enables data sharing
•Digital assistants
• Combinations of knowledge management
systems and user productivity systems
•Systems integration
• Combination of transaction processing,
business support, knowledge management,
and user productivity features
Organizational Information Models
(1 of 3)
•Functions and organizational levels
• Defined in a typical organizational model
•Top managers
• Develop long-range strategic plans
•Middle managers and knowledge workers
• Middle managers provide direction, resources,
and performance feedback to supervisors and
team leaders
• Knowledge workers provide support for the
organization’s basic functions
Organizational Information Models
(2 of 3)

FIGURE 1-16 A typical organizational model identifies

business functions and organizational levels.
Organizational Information Models
(3 of 3)
•Supervisors and team leaders
• Oversee operational employees and carry out
day-to-day functions
•Operational employees
• Rely on TP systems to enter and receive data
they need to perform their jobs
• Empowered to handle tasks and make
decisions that were assigned previously to
supervisors
 The Information Technology
Department (1 of 4)

FIGURE 1-26 Depending on its size, an IT department might have separate organizational
units for these functions, or they might be combined into a smaller number of teams.
The Information Technology
Department (2 of 4)
•Application development
• Systems are developed by teams consisting of
users, managers, and IT staff members
•Systems support and security
• Provides vital protection and maintenance
services
•User support
• Provides users with technical information,
training, and productivity support
• Known as a help desk
The Information Technology
Department (3 of 4)
•Database administration
• Involves data design, management, security,
backup, and access
•Network administration
• Includes hardware and software maintenance,
support, and security
•Web support
• Specialists design and construct web pages,
monitor traffic, and manage hardware and
software
The Information Technology
Department (4 of 4)
•Quality assurance (QA)
• QA team reviews and tests all applications and
systems changes to verify specifications and
software quality standards
The Systems Analyst
•Investigates, analyzes, designs, develops,
installs, evaluates, and maintains a
company’s information systems
• Constantly interacts with users and managers
within and outside the organization
The Systems Analyst
•Roles
• Acts a translators to managers and
programmers
• Best line of defense in an IT disaster

• Most valuable skill: ability to listen

• Seeks feedback from users to ensure that

systems do not go off track
The Systems Analyst
•Knowledge, skills, and education
• Technical knowledge
• Communication and business skills
• Critical thinking skills
• Education: college degree in information
systems, science, or business
• Some IT experience is required
•Certification
• Helps IT professionals learn new skills and
gain recognition for efforts
Chapter Summary (1 of 2)
•Information technology (IT)
• Combination of hardware, software, and
services
• Used to manage, access, communicate, and share
information
•Essential information system components
• Hardware, software, data, processes, and
people
•Successful companies offer a mix
• Products and services
Chapter Summary (2 of 2)
•Systems analysts
• Use modelling, prototyping, and computer-
aided systems engineering (CASE) tools
• must understand the business, think critically,
and communicate effectively