Software as a Service (Saas)
SaaS is a model of software deployment in which an application is hosted as a service provided to customers over the Internet. SaaS reduces the customer’s need for software maintenance, operation, and support. software vendors develop and sell application packages to customers. customers purchase licenses that give them the right to use the software under the terms of the license agreement.
Traditional Development
- compatibility issues, including existing hardware and software platforms and legacy system requirements, influence systems design.
-systems are designed to run on local and wide-area company networks
-systems often utilize Internet links and resources, but web-based features are treated as enhancements rather than core elements of the design
-Development typically follows one of three main paths: in-house development, purchase of a software package with possible modifications, or use of outside consultants
-scalability can be affected by network limitations and constraints.
Web-based developments
-systems are developed and delivered in an Internet-based framework such as .NET or WebSphere.
-Internet-based development treats the web as the platform, rather than just a communication channel
-Web-based systems are easily scalable and can run on multiple hardware environments.
-Large firms tend to deploy web-based systems as enterprise-wide software solutions for applications such as customer relationship management, order processing, and materials management
Middleware
Web-based software usually requires additional layers, called middleware, to communicate with existing software and legacy systems.
cloud computing
a model for enabling ubiquitous, convenient, on0demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. Cloud computing is often represented by a cloud symbol that indicates a network or the Internet. Cloud computing can be viewed as an online SaaS and data environment supported by supercomputer technology
outsourcing
the transfer of information systems development, operation, or maintenance to an outside firm that provides these services, for a fee, on a temporary or long-term basis. outsourcing can refer to relatively minor programming tasks, renting software from a services provider. outsourcing a basic business process, often called business process outsourcing (BPO), or handling a company’s enter IT function
service provider
a firm that offers outsourcing solutions is called a service provider. some service providers concentrate on specific software applications; others offer business services such as order processing and customer billing. still others offer enterprise-wide software solutions that integrate and manage functions such as accounting, manufacturing, and inventory control
Offshore outsourcing
or global outsourcing, refers to the practice of shifting IT development, support, and operations to other countries. In a trend similar to the outflow of manufacturing jobs over a several-decade period, many firms are sending IT work overseas
Horizontal application
Software packages are available for every type of business activity. A software package that can be used by many different types of organizations is called a horizontal application. An accounting package is a good example of horizontal application because many different businesses or separate divisions that exist in large diversified companies can utilize it.
Vertical application
a software package developed to handle information requirements for a specific type of business is called a vertical application. for example, organizations with special system requirements include colleges, banks hospitals, insurance companies, constructions companies, real estate firms, and airlines.
Payback analysis
determines how long it takes an information system to pay for itself through reduced costs and increased benefits
return on investment
is a percentage rate that compares the total net benefits (the return) received from a percentage rate that compares the total net benefits (the return) received from a project to the total costs (the investment) of the project
Cost-Benefit Analysis
- List each development strategy being considered
- Identify all costs and benefits for each alternative. Be sure to indicate when costs will be incurred and benefits realized
- Consider the future growth and the need for scalability
- Include support costs for hardware and software
- Analyze various software licensing options, including fixed fees and formulas based on the number of users or transactions.
- apply the financial analysis tools to each alternative.
- study the results and prepare a report to management.
Request for proposal (RFP)
a document that describes the company, lists the IT services or products needed, and specifies the features required. an RFP helps ensure that the organization’s business needs will be met. An RFP also spells out the service and support levels required. Based on the RFP’s vary in size and complexity, just like the systems they describe. an RFP for a large system can contain dozens of pages with unique requirements and features.
Request for Quotation (RFQ)
is more specific than an RFP. When an RFQ is used, the specific product or service desired is already known; only price quotations or bids are needed. RFQs can involve outright purchase or a variety of leasing options and can include maintenance or technical support terms.
benchmark
to determine whether a package can handle a certain transaction volume efficiently, a benchmark test can be performed. a benchmark measures the time a package takes to process a certain number of transactions. For example, a benchmark test can measure the time needed to post 1,000 sales transactions.
Software license
when software is purchased, a software license is being bought that gives the purchaser the right to use the software under certain terms and conditions. for example, the license could allow the software to be used only on a single computer, a specified number of computers, or network, or an entire site, depending on the terms of the agreement.
maintenance agreement
if a software package is purchased, consider a supplemental maintenance agreement, which offers additional support and assistance from the vendor. the agreement might provide full support for a period of time or list specific charges for particular services.
software requirements specifications
contains the requirements for the new system, describes the alternatives that were considered, and make a specific recommendation to management. This important document is the starting point for measuring the performance, accuracy, and completeness of the finished before entering system design phase. The system requirements documents is like a contract that identifies what the system developers must deliver to users
the system requirements document
the basis for all three presentation, and it should be distributed in advance so the recipients can review it
5 alternatives that management can choose for project
- develop an in-house system
- modify a current system
- purchase or customize a software package
- perform additional systems analysis work
- stop all further work
user involvement in systems development
user application utilizes standard business software, such as Microsoft Word or Microsoft Excel, which has been configured in a specific manner to enhance user productivity.
user interface, which includes screens, commands, controls, and features that enable users to interact more effectively with the application
reasons for developing in house
companies choose in-house development to satisfy unique business requirements, to minimize changes in business procedures and policies to meet constraints of existing systems and existing technology, and to develop internal resources and capabilities
