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Role of System Analyst

By Dinesh Thakur

A system analyst is responsible for analyzing, designing and implementing systems to fulfill organizational needs. He/she plays a vital role in making operational the management information system. The role of the system analyst has however changed.

The role of the analyst has however changed with time. Now a system analyst is seen more as a change agent responsible for delivering value to an organization on its investments in management information systems (that includes a heavy dose of information communication technology investment). A dictionary definition of a system analyst (as per Random House Dictionary) defines it as, ‘a person who conducts a methodical study and evaluation of an activity such as business to identify its desired objectives in order to determine procedures by which these objectives can be gained.

An organization requires system analysts as line managers normally do not have an understanding of the kind of information-based solutions that are possible for their business problems. A system analysts bridges this gap as he/she is has a thorough knowledge of both the business systems and business processes. A system analyst is therefore in a position to provide information system based solutions to organizations after having studied the problem that the organization is facing. They understand both business and technology. They study a business problem or opportunity and devise an information system enabled solution for it by detailing the information system specifications. This set of specification that the analyst delivers is in a technical format which is easily understandable to a technical (IT) specialist. The technical specialist might not understand the business issue, if it comes directly from the line managers as he has very little knowledge of business processes. The system analyst then bridges the gap between the two by translating and transforming the business problem/opportunity into a information systems solution and supplying the specification of such a system to the technologist who can then take up the task and build the actual system.

This may sound very easy but it is actually not an easy task. In most cases, the analyst works as a change agent. When devising a solution, the analyst does not restrict him/ her to the immediate problem/opportunity at hand but also focuses on the future. This requires that an analyst suggest some changes in the process of doing business to bring in greater efficiency in future. Inevitably, the process of creating an information systems enabled solution is coupled with the activity of business process reengineering through which change is brought in. The analyst uses the opportunity of devising a solution to bring in change and make the organization more efficient. Thus, a system analyst may also be considered as a change agent.

As we have pointed out in the previous section, the role of the analyst encompasses both the business and technology domain. In addition, the analyst also works, as a change agent hence the work of an analyst not only requires very good understanding of technical knowledge but also of business and interpersonal skills.

The interpersonal skills required by a system analyst are:

  1. Communication: The analyst needs to be a very good communicator to understand and communicate to the user group as well as to the1echnical specialists. Sometimes the users may not be able to communicate their needs fully to the analyst, but the analyst must be able to understand their needs from incomplete communication of the users.
  2. Foresightedness and vision: The analyst must have foresight and vision, so that they can factor in the future requirement of the users even if they have not factored that in the design. The analyst must also have vision with regard to the technological changes. He/she must be able to predict where the business needs and technological capabilities/constraints will be in the future. They should also clearly communicate that the design holds good not only for the short term but also the long term.
  3. Adaptability and flexibility skills: The analyst may be new to the environment of the particular business but he/she has to be quick on the uptake and adapt fast to the culture and environment of the organization. Some flexibility in the understanding of problems is also required along with the flexibility to come up with alternative solutions.
  4. Selling: The analyst needs to have flair to sell their ideas and solutions to the users. Sometimes this may be difficult as the users and clients might not know what solution will serve them best. The analyst needs to employ his selling skills to convince the users on the suitability of a solution.
  5. Patience and rationality: The analyst needs to be patient and rational so that he/she do not rush to a solution. If they make haste then they might miss critical information about the problem/opportunity and end up promoting a wrong solution for the users. Rationality is also a virtue for the system analyst, as this will help them in analyzing the problem/opportunity with a clear mind without prejudice.
  6. Sound temperament: The analyst needs to remain calm in the face of adverse situations. Most of the time the critical data that the analyst seeks is hard to come by and may be late in coming. The analyst will have to put up with all this and be clam in such situations. Thus, the temperament that he exhibits will help him in devising an appropriate solution for the client.
  1. Management skills: These skills are an absolute necessity for any analyst. The system analyst has to deliver in spite of several constraints hence they must have good management skills to manage time and resources at their disposal. The particular management skills that they need to have are:
    1. Time management skills. This will help them adhere to the strict schedules of the task.
    2. Project management skills. This will help them manage the project within the boundaries of time and cost.
    3. Man management skills. The analyst will need human resource skills so that they can manage people working under him. This skill will also help them to connect to people in the client organization so that there is greater acceptability for their solutions.
    4. Team management skills. The analyst must be a team player. They have to work in a team and they should ensure smooth team functioning.
    5. Organizing and directing skills. These are basic managerial skills that the analyst must have to conduct the analysis properly.
    6. Negotiation skills. The analyst should be a good negotiator to get his way around for the purposes of selling his solution and to get the relevant data from the client.
  1. Leadership quality: The analyst must exhibit leadership and take initiative to understand issues pertaining to the organization and its line of business in a proactive manner so that they are well aware of the associated issues of the problem/opportunity as well.
  2. Training and documentation capability: The analyst needs to be a good trainer as they may be called upon to enhance the capacities of the users. Their documentation skills will also have to be good, as without those skills the communication with the technical team will remain incomplete.
  3. Presentation skills: The analyst must have good presentation skills that will help him to communicate better.
  4. The technical skills required by the system analyst are:
  5. Creativity: This skill will ensure that the analyst can give the users novel technical solutions for the same problem.
  6. Problem solving: This skill will help the analyst form a systems approach to problem solving so that they are able to structure a problem even when there is none.
  7. Technical knowledge: The analyst needs to have concrete knowledge in the technical domain so that they are able to generate alternative solutions to problem. Without the technical know how they will not be able to develop the solution. The analyst must also have a broad knowledge of the entire technical domain. The broad spectrum of knowledge will help them be flexible in their solution approach and will ensure that they have a better understanding of the future of technologies.




How do the organizations use their strategic information systems for gaining competitive advantage

By Dinesh Thakur

A Strategic Information System can offer competitive advantage to an organization in the following ways:

1) Creating barriers to competitor’s entry: In this strategy, an organization uses information systems to provide products or services that are difficult to duplicate or that are used to serve highly specialized markets. This prevents the entry of competitors as they find the cost for adopting a similar strategy very high.

 2) Generating databases to improve marketing: An information system also provides companies an edge over their competition by generating databases to improve their sales and marketing strategies. Such systems treat existing information as a resource. For example, an organization may use its databases to monitor the purchase made by its customers, to identify different segments of the market, etc.

3) ‘Locking in’ customers and suppliers: Another way of gaining competitive advantage is by locking in customers and suppliers. In this concept, information systems are used to provide such advantages to a customer or a supplier, that it becomes difficult for them to switch over to a competitor. For example, an organization may develop its information system and give many benefits to its customers, like reliable order filling, reduced transaction costs, increased management support and faster delivery service.

4) Lowering the costs of the products: strategic information systems may also help organizations lower their internal costs, allowing them to deliver products and services at a lower price than their competitors can provide. Thus such information systems can contribute to the survival and growth of the organization. For example, airlines use information systems strategically to lower costs so that they may counter competitor’s discount fares.

5) Leveraging technology in the value chain: This approach pinpoints specific activities in the business where competitive strategies can be best applied and where information systems are likely to have a greater strategic impact. This model advocates that information technology can best be used to gain competitive advantages by identifying specific, critical leverage points.

Discuss in Detail the Various Terminologies used in Information System Planning

By Dinesh Thakur

Organizations that plan their information system tend to achieve better results than organizations that do not, yet studies reveal that many organizations either do not plan or do it unsystematically.

The information system plan generally includes the goals, objectives and structure of the information systems, the available information system resources and future developments, which may affect the plan.

 

Planning terminology: –

 

i) Mission: – It states the basic purpose for which an organization exists. In other words, the mission statement is a broad, enduring statement giving the organization’s ‘reason for being’. It answers the basic questions, ‘ what is our business?’ and distinguishes one organization from other similar organizations.  For example, the mission of an oil organization is stated as follows:

To stimulate, continue and accelerate efforts to develop and maximize the contribution of the energy sector to the economy of the country.

ii) Objectives: – Objectives are the desired future positions and destinations the organization intends to reach in order to fulfill its mission.

iii) Strategies: – A strategy is a general direction in which an objective is to be sought. For e.g., if an objective is to increase earnings per share, it can be attained through action in many directions- new products, acquiring small companies, selling more in existing or new markets and even disinvestments of losing propositions. Each of these then will be termed as a strategy.

iv) Policies: – A policy is a general guideline that directs and constrains decision- making within an organization. In other words, a policy is a statement of intended behavior for the organization. Policy limits the scope of alternatives to be considered in decision-making in the implementation of a strategy. Policies are implemented by rules and procedures, which are more specific statements that direct decision-making.




Discuss the Changing Concept of IS

By Dinesh Thakur

Information as a necessary evil: – Information was regarded as a necessary evil, associated with the development, production and marketing of products or services. Information was thus merely considered as a by-product of transactions in the organizations.

As a result, information systems of 1950s were primarily designed with the aim to reduce the cost of routine paper processing in accounting areas. The term Electronic Data Processing (EDP) was coined in this period.

Information for General Management Support: – By mid-sixties, organizations began recognizing information as an important tool, which could support general management tasks. The information systems corresponding to this period were known as management information system (MIS) and were thought of as system processing data into information.

Information for decision –making: -In early eighties, information was regarded as providing special-purpose, tailor-made management controls over the organization. Decision support systems and executive support systems were important advancements, which took place during this period. The purpose of such information systems was to improve and speed-up the decision-making process of top-level managers.

Information as a strategic resource: – In the revolutionary change pattern, the concept of information changed again by the mid-eighties and information has since then been considered as a strategic resource, capable of providing competitive advantage or a strategic weapon to fight the competition. Latest information systems which are known as strategic systems, support this concept of information




Four Stage Model of IS Planning

By Dinesh Thakur

A wide variety of techniques are being applied for IS panning. However, organizations select these techniques based on the persuasive power of IS developers rather than on a sound logic.

The main reason of selecting wrong techniques is attributed to the non-identification of the stage the information system of the organization is in. this model describes the four generic planning activities, namely, strategic planning, requirement analysis, resource allocation and project planning.   

   Four Stage Model of IS Planning

                                                   Fig: Four Stage Model of IS Planning

The four stage IS planning model, besides providing insight into the planning process, reduces confusion about the selection of competing planning methodologies.

Four stages of IS planning model

 

IS planning activity                                                   Description


Strategic Planning                                 Matches the overall organizational plan with the IS plan.

Information Requirement Analysis   Identifying broad, organizational information requirements.

Resource allocation                               Allocating resources for IS development and operation.

Project planning                                     Formulating a plan giving resource requirements for specific IS projects and schedules.

 

Strategic Planning:
In this planning stage, objectives, goals and strategies are compared with the objectives, goals and strategies of the organisation. The following techniques are used:

 

i)    Derivation from the organsiational plan
ii)   The strategic information system grid
iii)  Strategic fit with organsiational culture
iv)   Strategy set transformation

 

Information Requirements Analysis:

 

This stage deals with the current and future needs for IS to support decision-making and operations of the organisation. To undertake information requirement analysis, the following steps are followed

 

i)     Define underlying organisational requirements
ii)    Develop sub-system matrix
iii)   Define and evaluate information requirements for organisational sub-systems

 

Resource Allocation:

 

After identification of the need for information system applications for entire organisation, the next phase is allocation of resources.

 

Project Planning:

 

The last stage of four-stage model of MIS planning is project planning which provides an overall framework for system development planning, scheduling and controlling. A wide variety of tools of project management are available, which include milestones, critical path method (CPM) and Gantt Charts.

 

Nolan Stage Model for IS planning

By Dinesh Thakur

Richard Nolan (1974) has discussed a framework for IS planning, popularly known as Nolan stage model. The basic premise of the model is that any organization will move through stages of maturity with respect to the use and management of IS. While progressing, an organization must go through each stage of growth before it can move to the next stage.

In fact Nolan stage model is a contingency model, which helps managers diagnose the stage(s) of IS in the organization and thus provide a set of limits to planning. The model has been called contingency model because it states:

IF these features exist THEN the information system is in this stage.

The Nolan stage model has identified four stages of information system growth. A brief description of these stages is given below:

Stage 1

The First growth stage is known as initiationstage. In this stage, the technology is placed in the organization. A few applications in the organization are computerized. There are only a small number of users. This stage is characterized by minimum planning.

Stage 2

This growth stage is called expansion or contagion stage. During this stage rapid and uncontrolled growth in the number and variety of IT applications takes place. Many users adopt computers in solving their IT related problems.

Stage 3

This stage is known as formalization or controlstage because in this stage, organizations gain control over the technology’s resources by implementing formal control processes and standards. Thus, organizations are able to apply cost-effective criteria. However, controls sometimes become barriers in attaining potential benefits.

Stage 4 

Nolan has described this growth stage as maturity or integrationstage as by this stage organizations gain sufficient experience and maturity in IS/IT applications. In this stage, applications are integrated, controls are adjusted. Planning is well-established. That is why this growth stage sometimes is also called the stage of perfection.

Nolan in 1979 enhanced this model to 6 stages. In the enhanced model, the first 3 stages remain the same and the maturity stage of the four- stage model has been sub- divided into 3 more specific stages which have been renamed as stage 4, stage 5 and stage 6 respectively.

Stage 4 is called Integration stage, stage 5 is called administration stageand stage 6 is called maturity stage.




ERP – What is ERP?

By Dinesh Thakur

Enterprise resource planning involves procuring and accumulating the resources for their optimum utilization through integrating them at one place and giving multiple accesses to these resources. The broad sets of activities are supported by multi module application software.

What is MIS Planning? Discuss the need and objectives of MIS Planning

By Dinesh Thakur

The plan for development and its implementation is a basic necessity for MIS. In MIS the information is recognized as major resource likecapital and time. If this resource has to be managed well, it calls upon themanagement to plan for it and control it, so that the information becomesa vital resource for the system.

The management information systemneeds good planning. This system should deal with the managementinformation not with data processing alone. It should provide support forthe management planning, decision making and action. It should providesupport to the changing needs of business management.A long range MIS plan provides direction for the development of thesystem and provides a basis for achieving the specific targets or tasksagainst time frame.

Following are the contents of MIS planning :

MIS Goals and Objectives : It is necessary to develop the goal and objectives for the MIS which will support the business goals. The MIS goals and objectives will consider management philosophy, policy constraints, Business risk, internal and external environment of the organization and business. The goals and objectives of the MIS would be so stated that they can be measured. The typical statements of the goals can be providing online information on the stock and market; the query processing should not exceed more than three seconds and the like.

Strategy for Plan Achievement : The designer has to take a number of strategic decisions for the achievement of MIS goals and objectives. They are

d) Development Strategy : Ex. an online, batch , a real time.

e) System Development Strategy : Designer selects an approach to system development like operational verses functional, accounting verses analysis.

f) Resources for the Development : Designer has to select resources. Resources can be in-house verses external, customized or use of package.

g) Manpower Composition : The staff should have the staffs of an analyst, and programmer.

The Architecture of MIS : The architecture of the MIS plan provides a system and subsystem structure and their input, output and linkage. It spells out in details the subsystem from the data entry to processing, analysis to modeling and storage to printing.

The System Development Schedule : A schedule is made for development of the system. While preparing a schedule due consideration is given to importance of the system in the overall information requirements. This development schedule is to be weighed against the time scale for achieving certain information requirements.

Hardware and Software Plan : Giving due regards to the technical and operational feasibility, the economics of investment is worked out. Then the plan of procurement is made after selecting the hardware and software. One can take the phased approach of investing starting from the lower configuration of hardware going to the higher as development take place. The process needs matching the technical decisions with the financial decisions.