Accouting Information System Soln18SYSTEMS ANALYSIS.docx

1、Accouting Information System Soln18SYSTEMS ANALYSISCHAPTER 18INTRODUCTION TO SYSTEMS DEVELOPMENT AND SYSTEMS ANALYSIS SUGGESTED ANSWERS TO DISCUSSION QUESTIONS18.1 To some degree, yes, companies with few IS employees should attempt to implement planning programs. This is particularly true if the com

2、pany or its computer usage is growing. The extent of the planning program should be commensurate with the size of the computer facility, reliance on system information, and the potential value of the company=s system. The benefits of planning are attainable from even a small investment in planning e

3、ffort. In the smallest facility, the plan may consist simply of a few pages of thoughts and projects prepared and reviewed periodically by the person in charge of the system. A smaller company will typically have less funds than a large company. Therefore, inadequate planning can be more disastrous

4、and financially draining for small companies.18.2 It is apparent from the question that the decision has already been made, so the discussion should not dwell upon the merits of the decision. The communication should be direct, so that the employees are the first to find out and do not have to suffe

5、r through rumors and uncertainty. The communication should not be delayed, in order that these employees will have sufficient time to seek other jobs. Management should also be encouraged to offer whatever assistance they are willing to provide to these employees in finding new jobs. This might incl

6、ude recommendations from supervisors, consideration for other job opportunities which arise in the firm, opportunities to test or train for positions in the new system, and time off for job searching during the terminal period of employment. While these actions may well be costly, they will provide

7、benefits (cooperation, morale of remaining employees, etc.) that will likely exceed the costs.18.3 The item cannot be interpreted without further information from the computer vendor. What decisions, made by which managers, are being referred to? How will the decisions be improved by the computer? U

8、nless very specific answers are obtained to these questions, the item should be ignored in the computer acquisition decision. A computer system usually will help management make better decisions; however, these decisions do not always result in a direct cost savings. The economic feasibility study s

9、hould only include costs that can be directly determined. In addition to an economic feasibility study, qualitative factors, like better decision making, should be considered. In many instances these non-quantifiable benefits may be the majority of benefits. Even though they are subjective and are s

10、urrounded by uncertainty they must be considered.18.4 Though these two concepts appear to be inconsistent, there are several policies which are consistent with both. One policy, which is quite common, is the suspension of clerical hiring during systems implementation to achieve clerical cost savings

11、 through the normal attrition of the work force. Optional early retirement programs for older employees Relocation of employees in other departments or divisions of the company Training displaced employees for positions in the new system. Applied together, these policies should reconcile the apparen

12、t inconsistency of these two concepts.18.5 Because information systems span functional and divisional boundaries, many organizations (up to 60 to 70% in some studies) establish an executivelevel steering committee to plan and oversee the IS function. The committee typically consists of management fr

13、om the systems department, the controller, and other management affected by the information systems function. This steering committee is responsible for the broad policies and plans needed in developing and maintaining the companys information system. Though functions vary between firms, activities

14、include the following: Making recommendations concerning the firms strategic systems plan, systems projects, and hardware and software selection. Coordinating the development of systems projects and monitoring their progress. Reviewing the overall performance of the information systems function. The

15、 committee should not get overly involved in technical details or administration of specific projects. It should meet only when necessary to carry out its functions. Steering committees help ensure the right level of top management participation, guidance, and control of the information systems func

16、tion. They also facilitate coordination and integration of information systems activities among departments and functions, thereby increasing goal congruence and reducing goal conflict. Answers on recommendations concerning membership and a chairperson will vary. The steering committee should includ

17、e a cross-functional membership with managers from all areas affected by the information systems function. The chairperson is usually the chairperson of the information systems department or another influential vice-president with strong IS skills and an active interest in the IS function.18.6 Many

18、simple examples of tradeoffs between objectives may be conceived. One example is provided here for each pair of objectives given.a. the decision of how much information should be made available to a credit manager in deciding whether or not to extend credit versus the cost of providing that informat

19、ion.b. the decision of whether or not to implement any new internal control procedure.c. the decision of whether or not to make direct access capability available to sales personnel.d. any decision of the extent to which output information should be reported in detail or summarized.e. any decision o

20、f whether or not to implement additional internal control procedures.f. the decision of whether or not to acquire an additional file storage unit.g. the decision to replace tape file storage with disk file storage.18.7 A possible solution to Jerrys problem is to install an information system that ca

21、n coordinate job scheduling, track customer orders, and control product labeling. The system can also help reduce bottlenecks in the milk pasteurization and homogenization process by controlling production schedules. It appears that Jerry has conducted an initial investigation and determined that ac

22、tual problems exist. Jerry now needs to hire an outside consultant or appoint some on his staff to conduct a more in-depth investigation. The purpose of this investigation is to verify the nature of the problem and to identify the needs of the customers and the users. The person conducting the inves

23、tigation should interview the employees who process, bottle, and deliver the milk. These employees will be able to identify what is wrong with the current process and make suggestions for improvement. Customers should also be interviewed to find out their needs since meeting customers needs is the u

24、ltimate goal of the company. Finally, Jerry and other managers should be interviewed to get their insights about the problems and possible solutions. Interviewing from the bottom up will result in better problem identification and solutions than from the top down. Lower level employees are more like

25、ly to accept a change in the system when they were the ones who first suggested the changes. At this stage, the consultant will find interviewing techniques most useful in developing a problem statement. He will probably find observation and reviewing whatever documentation is available to also be o

26、f some use. A customer questionnaire may also produce useful information. 18.8 Questions that will aid in understanding the concerns about product quality include: What is it, specifically, that customers are complaining about? Has anything happened to change product quality during the past few year

27、s? Is poor product quality the result of: Poor quality materials? Inadequate product specifications? If so, can specifications be altered to improve quality? Low employee morale? Changes in production procedures? (Expand to include other possibilities for the poor quality) Does the company employ a

28、total quality management (TQM) program? Would a TQM program be beneficial?Questions that will aid in understanding the bad debt problem include: Has the company recently changed its credit policy? If so, why? Are certain customer groups more delinquent than others? What collection procedures does th

29、e company employ? Are they adequate? Are early payment discounts and late payment penalties adequate? Are current economic conditions affecting delinquency rates?Questions that will aid in understanding the cost problem include: What production scheduling system does the company employ? Are delays i

30、n receiving materials occurring? What are the current policies to handle the receipt of raw materials? What is the reason for the overtime problem? Is it increasing sales, understaffed lines, inefficient workers, etc? Is rework the result of poor employee performance, lower quality materials, a poor

31、 production process, etc.? What economic conditions are affecting production costs?18.9 a. Observation of procedures, interviews with employees, and documentation reviews (of document or control flowcharts, for example) will all aid in understanding purchase requisition procedures. Each type of proc

32、edure will identify different aspects of the internal controls in the purchasing department.b. An in-depth interview with the controller is the one way to determine her information needs. However, managers often dont know what information they need and they tend to say they need the information they are now getting and little else. Therefore the interviewer/analyst must understand the managers function and the role of that function in the organization. Interviewing is an efficient fact-finding technique and it allows a p