ITEC 116 (IT ELECTIVE 4 (Systems Integration and expansion of existing ones without significant

Architecture 2)) MIDTERMS REVIEWER disruptions.

LESSON 1: SYSTEM INTEGRATION Integrated program planning

What is System Integration? are the specific kind of enterprise systems to integrate
data across and be comprehensive in supporting all the
- is the process of combining different subsystems or
major functions of the organization.
components of a larger system into a unified whole.
Enterprise Resource Planning (ERP) system
- In the context of technology and software development,
system integration involves making different software - Integration is a cornerstone of today's enterprise
systems and hardware devices work together as a environments with their multitude of enterprise resource
coordinated and cohesive unit. planning (ERP) systems.

Some key aspects of system integration Evolution of ERP

•Connectivity • 1960 - INVENTORY MANAGEMENT AND CONTROL

•Data Flow • 1970- MATERIAL REQUIREMENTS PLANNING (MRP)

•Functionality • 1980 - MANUFACTURING REQUIREMENTS PLANNING

(MRP II)
•Interoperability
• 1990 - ENTERPRISE RESOURCE PLANNING (ERP)
•Testing
• 2000 - EXTENDED ENTERPRISE RESOURCE
•Scalability
PLANNING (ERP II)
Connectivity
Five (5) Key Questions in the Planning Stage
- System integration ensures the seamless flow of data
between different subsystems. 1. What is the data that the target system requires to
complete the integration task?
Data Flow
2. Where is the data required by the target system
- Integration involves establishing connections and
located in the source system, and what transformations
communication pathways between different systems or
are needed?
components.
3. What is considered a transaction within the integration
Functionality
task and are there any dependencies between the
- The integrated system should perform functions that transactions?
may not be achievable by individual components alone.
4. How will you connect to the target system (domain
Interoperability name, IP, etc.) and what security constraints apply
(certificates, credentials, etc.)?
- Components from different vendors or developers may
have different specifications or standards. 5. What interface options do you have available (REST,
SOAP, Custom, etc.)?
Testing
Can be simply to…
- Rigorous testing is a crucial part of system integration to
identify and resolve any issues that may arise during the 1. Data Requirements
combination of subsystems.
2.Data Mapping and Transformations
Scalability
3.Transaction Definition and Dependencies
- Integrated systems should be designed to be scalable,
4.Connection and Security
allowing for the addition of new components or the
5.Interface Options LESSON 2: PROGRAM EXECUTION

Data Requirement LOGICAL SYSTEM INTEGRATION

What is the data that the target system requires to Logical integration allows organizations to share data
complete the integration task? with all of its stakeholder based on their need and
authorization.
- Understanding the specific data requirements of the
target system is fundamental. It defines what objects or PHYSICAL SYSTEM INTEGRATION
tables need to be accessed, and the rules the data needs
Physical integration provides seamless connectivity
to comply to
between heterogeneous systems.
Data Mapping and Transformations
MIDDLEWARE
- Identifying the location of required data in the source
This software provides the appearance of seamless data
system is crucial for mapping and transformation
presentation to the end user and maintains data integrity
processes.
and synchronization within each application system
- It also prompts consideration of any necessary data database.
transformations to ensure compatibility between
PROGRAM INTEGRATION
systems.
The inability to meet the market demand effectively can
Transaction Definition and Dependencies
have unfortunate consequences.
- Defining a transaction and understanding dependencies
STEPS IN INTEGRATION SYSTEM
is essential for maintaining data integrity during
integration. In conjunction with systems integration, management
must work with the information technology group to
- It helps in designing processes that ensure consistency
produce an approach for the seamless integration of data
and reliability, especially in scenarios involving multiple
and services to support the new organizational structure
steps or systems.
and business processes.
Connection and Security
Most IT a Windows and flavor of UNIX. A database can be
- Addressing connectivity and security considerations is Oracle or organizations today support MS SQL and even
paramount. MySQL. Most important is the support of a development
environment. This area continues to grow. At one point
- Knowing how to establish a secure connection and
in time, C or C++ with SQL was the key development tool.
understanding the required credentials or certificates
That has somewhat given way to Java and SOAP with SQL.
ensures the confidentiality and integrity of the integrated
Integrating and supporting multiple platforms require
data.
planning.
Interface Options
STEP 1: RESOURCE CATEGORIZATION
- The choice of interface plays a significant role in
Take an inventory of the various hardware and software
determining how systems communicate.
resources focusing on vendors, operating systems
- Understanding available options, whether RESTful APIs, platform, IS architecture used in these resources.
SOAP services, or custom interfaces, guides the selection
STEP 2: COMPLIANCE AND STANDARDS
of integration technologies and tools.
Check whether the databased and other technologies
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used in various applications are such supporting
standards as JDBC/ODBC compliance for databases

STEP 3: LEGACY SYSTEMS SUPPORT

Develop a policy in support of older legacy applications.

STEP 4: MIDDLEWARE TOOLS LESSON 3: PROGRAM MANAGEMENT

Think of middleware tools because most organization will Program Management Information
not dispose of their old system right away for systems
- The Project Management Office (PMO) is responsible
integration. Middleware tools are essential for
for ensuring that project teams are working well together
integration in the short term – if existing application must
and addressing the functionality issues in a timely, open,
be used by the organization.
and efficient manner. The PMO needs to make certain
STEP 5: AUTHENTICATION AND AUTHORIZATION that team activities stay synchronized and that progress
POLICIES is made. If teams become fragmented, it will often slow
down an entire project, especially if teams are
Develop a single sign-on policy for application and data
dependent on each other for decisions
access because all employees and external partners will
need access to an integrated system from anywhere, CRITICAL SUCCESS FACTORS
anytime.
➢Decision-Making Process
STEP 6: CENTRALIZED IT SERVICES AND HELP DESK
SUPPORT ➢Project Scope

Instituting IT support for an integrated systems ➢Teamwork

environment is necessary to avoid support and
➢Change Management
maintenance problems with the integrated system.
Centralization does not mean that they are all physically CRITICAL SUCCESS FACTORS
in one location. The IT staff can be all over the
organization, but they need to be able to support all A. DECISION-MAKING PROCESS
application and platforms with a centralized IT help desk ➢ A well-defined decision-making process will minimize
supports. a number of issues related to scope, efficiency, and
STEP 7: BACKUP, RECOVERY AND SECURITY POLICIES productivity throughout the project implementation
cycle
Planning data and disaster recovery for organization’s
data in an integrated system IT is crucial for building the B. PROJECT SCOPE
trust and confidence for the new system. A good backup ➢The project manager has many responsibilities. One of
and recovery system is essential if there is a system the most critical is the management of project scope.
failure or a major disaster.
➢ “Scope defines what needs to be delivered by the
STEP 8: HARDWARE AND SOFTWARE
project, and a changing scope means the project will
STANDARDIZATION POLICIES
have difficulty in achieving project goals.”
Develop organization standards and policy on acquisition
➢Scope creep is defined as constant changes to the
of new hardware and software which are aligned with
parameters outlined in the original project goals. It was
organization IT strategy.
stated earlier that one of the roles of project
BENEFITS AND LIMITATION OF SYSTEM INTEGRATION management is to make sure the project meets its goals
in relation to cost, quality, and time.

C. TEAM WORK
D. CHANGE MANAGEMENT and a well-defined communications process. Well-
managed projects are those where the scope is well
➢ management is another critical factor that must be understood and the project team is motivated to see the
addressed by the project manager (i.e., managing project through to Go-live. On the other hand, many
change). Communication and training are the keys to a projects fail due to a lack of open and honest
successful change management effort. communications and staff continuity throughout the
TECHNICAL PERFORMACE AND MEASUREMENT project.
TECHNIQUE

A. IMPLEMENTATION TEAM AND EXECUTIVE TEAM

➢There are typically three options in choosing an

implementation team: the internal IT organization,
consulting organizations, and the package software
vendors’ client professional service group. A critical
element in choosing what combination of the three will
be used largely depends on what type of resources the
organization has within its own walls and how quickly the
implementation must take place.
➢The PMO must monitor a number of activities and
IMPLEMENTATION TEAM AND EXECUTIVE TEAM issues throughout the length of the implementation.
Hiring and selecting skilled and competent staff from the
beginning will ensure that the Go-live is smooth and the
system is sustainable.

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LESSON 4: GENERIC PROGRAM PREPARATION

GENERIC PROGRAM PREPARATION & CONTINUOUS

PROCESS IMPROVEMENT
B. MANAGING SCOPE CREEP
➢The ERP implementation’s success depends
➢A well-thought-out process to manage changes to significantly on redesigning processes rather than
scope is critical to a project’s success. customizing the technology to fit that process.

➢ “Change Control” is managing these changes through ➢Customization is expensive. Overall, it increases the
a change process and governance. There must be a clear support fees paid for upgrades and prevents
understanding around the decisionmaking process. organizations from taking advantage of rapid
When changes are made in the scope of the project, the implementations.
options, costs, and time frame must be documented for
➢In general, there are various technical and
the project to evaluate and decide a direction.
organizational challenges in implementing ERP
➢A “white paper” consists of a description of the issue depending on the organization, scope of
or new functionality, including the options available with implementation, business processes, and skill level of
advantages and disadvantages. A white paper should also the people using these applications.
list the implications to the project, including a time frame
and budget considerations and a recommendation

C. IMPLICATION FOR MANAGEMENT

➢The success or failure of a project often rests with the

skills and abilities of the PMO, project staff continuity,
SYSTEM DEVELOPMENT LIFE CYCLE (SLDC) ➢In the early days of systems development, very few of
these projects were successful in the first attempt. There
were many reasons for the early failures, chief among
them being lack of experience. This led to the systems
approach, which we described earlier, and a structured
SDLC methodology.

➢The SDLC consists of tasks that are divided into phases

or stages.

TRADITIONAL SLDC

➢The process of developing new information systems is

often called the system development life cycle. It
basically includes a systematic process of planning,
designing, and creating an information system for
organizations.

➢SDLC uses a systems approach for problem solving that

basically states that complex problems need to be broken
up into smaller manageable problems using a systems’
hierarchy, and then developing a solution for each
problem within the hierarchy

➢It provides a structured top-down problem

identification and bottom-up solution process for ERP IMPLEMENTATION LIFE CYCLE
managing complex problems.
ERP Implementation Stages
➢The SDLC process requires both technical and
nontechnical problem-solving skills; therefore, the
development team must understand technology, as well
as the organization’s business processes, culture, and
people (or potential end users of this system).

TRADITIONAL SLDC

ERP applications are prepackaged software developed by

commercial software vendors and custom installed for
organizations to automate and integrate the various
business processes. Although an ERP is packaged
software, it is very different from PC-based software
packages (e.g., Microsoft Office or other software) that
you may have purchased for personal use.
 documents) that is reviewed by management and upon
which a decision is made either to continue withthe
projectornot.

➢End-user or people involvement is critical in both SDLC

and ERPLC; however, there are other variations tothe
traditional SDLC process.

➢The emphasis in ERP implementation is on

customizing the software as well as on changing the
organization’s business processes, rather than
ERP IMPLEMENTATION PLAN determining the user requirements for developing new
applications (as in the traditional SDLC). This may seem
THREE MAJOR IMPLEMENTATION PLAN CHOICES:
like a small deviation, but it requires a major change in
1. COMPREHENSIVE the thinking process as well as team composition and skill
level of people involved in the development process
2. MIDDLE OF THE ROAD
TRADITIONAL ERP LIFE CYCLE
3. VANILLA

COMPREHENSIVE ERP INTEGRATION PLAN

➢is the most expensive, lengthy, and costly approach. It

involves implementation of the full functionality of the
ERP software in addition to industry-specific modules.
Implementing the full functionality requires a high level
of business process reengineering (BPR) with major
changes in the business processes and customization of
legacy systems

MIDDLE OF THE ROAD ERP INTEGRATION PLAN

➢A middle-of-the-road ERP implementation plan

involves some changes in the core ERP modules and a
significant amount of BPR. The middle-of-the-road
approach is not as expensive as the comprehensive
approach or as straightforward as the vanilla approach
TRADITIONAL ERP LIFE CYCLE
VANILLA ERP INTEGRATION PLAN
STAGE 1: SCOPE AND COMMITMENT STAGE
➢A vanilla ERP implementation plan utilizes core ERP STAGE 2: ANALYSIS AND DESIGN STAGE
functionality and exploits the best practice business
processes built into the software. A company following a STAGE 3: ACQUISITION AND DEVELOPMENT STAGE
vanilla implementation will have to simply align their STAGE 4: IMPLEMENTATION STAGE
business processes to the ERP system, rather than modify
the software. By eliminating or minimizing the required STAGE 5: OPERATION STAGE
BPR, the project’s costs and time required for the
implementation are minimized
STAGE 1: SCOPE AND COMMITMENT STAGE
ERP LIFE CYCLE VS SDLC
➢one of the first steps is to develop a scope of ERP
➢Like the traditional SDLC, which we discussed earlier,
implementation within the resource and time
the traditional ERP life cycle approach has a deliverable
requirement.
at the end of each stage (e.g., a report with supporting
➢A number of task parameters or characteristics of the organization or to customize the ERP software to
ERP implementation need to be defined at the planning support existing processes. ➢Using the gap analysis,
stage: the team must develop a design that among other
➢How large will the ERP system scope be in things includes a change management plan, a list of
terms of departmental or functional coverage? embedded processes, user interface screens, and
reports in the ERP software that will need
➢ Develop a long-term vision for the new customization, design of these changes, and a
system and a short-term implementation plan process of involving subject matter experts in the
and top management’s commitment for both
design. ➢Other activities include creating plans for
the vision and implementation plan.
data conversion, system conversion, and training.
➢ The composition and the structure of the For a system to be successful, the team must develop
implementation team, the role of external a detailed change management strategy and plan
consultants both in terms of time and scope, and for the release of the new system. By the end of this
the role of internal employees, including the stage, the team usually has a sandbox or prototype
subject matter experts (SMEs) who will provide of the ERP software installed that is accessible to the
the knowledge to embed business rules and
entire implementation team, consultants, and SMEs.
input for interface and report design, are other
key factors to be considered at this stage. STAGE 3: ACQUISITION AND DEVELOPMENT STAGE

➢Vendor selection is another key activity toward the ➢This stage is similar to the acquisition and testing stage
end of this stage. Although no decisions should be made of traditional SDLC.
on the ERP software,
➢The entire production platform must be configured
➢Vendor information must be reviewed and choices and built with the necessary hardware, network,
could be narrowed by testing alternative software and security, software, database, and real production data.
developing a business case for the project. A number of
➢The tasks identified in the gap analysis are executed at
items need to be assessed and established to create the
this stage. These include customization of embedded
boundaries and scope
software rules, data in the database tables, input
screens, and reports that come with the ERP system.

➢ While the technical team is working on the

installation, the change management team works with
end users on implementing the changes in business
processes and preliminary training with the sandbox
version of the software.

➢The data team similarly works on migrating data from

the old system to the new system. This can be an
extremely difficult task when the old system is a legacy
STAGE 2: ANALYSIS AND DESIGN STAGE application using a nonrelational database. Data
mapping, missing data, and data dictionary design are
➢In addition to analysis of user requirements, the the major tasks for data conversion.
ERP team has first to make a decision on the
➢Finally, the ERP system needs to be configured with
software and decide on consultants and SMEs.
proper security, implement the authentication and
➢Another key activity is to map the differences
authorization policy for accessing the system, and
between the current business process and the
contain other modifications as recommended by the
embedded process in the ERP software or gap design plan
analysis and to develop a long-term plan on whether
to change the business processes of the
STAGE 4: IMPLEMENTATION STAGE

➢The focus for this stage is on installing and releasing

the system to the end users (i.e., “Go-Live”) and on
monitoring the system release to the end users. This
production platform is a mirror of the development
version of the system. Errors found in the production
version have to go through the help desk or support staff. The third approach, parallel, has the most up-front cost
Any changes made to the development version are then because the ERP system is implemented and used in
retested and migrated to the production system as conjunction with the legacy system. This approach is
regularly scheduled updates. System conversion is a best used when risk of ERP failure is of significant
major activity for the new system and needs to be concern.
managed carefully.

➢ The final approach, direct cutover or big bang, is the

highest-risk approach but the most straightforward and
clean. The company moves from the legacy system
directly and immediately to ease the ERP system. This
approach has the least amount of up-front costs because
systems are not duplicated or run concurrently for any
length of time.

➢ Training end users on how to use the new system is

another important activity. Training is generally part of
the change management strategy designed to ease the
transition to the post-implementation environment.

➢ Feedback received from system usage needs to be

funneled to the post-implementation team for ongoing
The first approach, phased, is a gradual movement of the system support, including upgrades and patches, as well
company from the existing legacy system(s) to the ERP as to make adjustments to the change management
implementation. This approach can take a significant strategy
amount of time, but can also be the least disruptive to
STAGE 5: OPERATION STAGE
the company.
➢This is often managed by the operation team with
assistance from the implementation team. Knowledge
transfer is the major activity as support for the new
system is migrated to the help desk and support staff.
Some implementation team members are very often
hired as support staff.
The second approach, pilot, implements a small version ➢The other major activities are ongoing training of new
of the final system. This pilot system is used to ensure users to the system as ERP modules are released, as well
that the final system is appropriate. It is the equivalent of as to take a fresh look at the change management
a test drive in that the system is used, but only by select strategy. The team has to monitor user feedback from
areas, and its impact can be managed more closely. training and actual system usage carefully and make the
necessary adjustments to the change management
approach.

➢Another key activity is management of new releases

of the software, installation of patches and upgrades to
the system, and managing the software contract with the
ERP vender