Final_exam_summer_2007 - Kimberly Huston MGMT 640...

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Kimberly Huston MGMT 640 – Management Information Systems Summer 2007 Final Exam Question 1 The process of IT system development requires that you go through the four main stages for development. These stages include planning, analyzing, designing, and finally implementing. These four stage encompass the SDLC( System development Life Cycle). When a company decides to outsource its IT system development, they still need to perform the first two stages of the SDLC because without a clear definition of the problem and how to solve it, the company cannot expect outsiders who have no idea about the problems facing the firm to design a fully functional system. Outsourcing software has advantages. The first advantage is that since technology changes so fast, companies rely on outsourcing to keep up with the all of the changing software and development updates. Outsourcing provides the most technical and up to the minute information and software. Outsourcing also is more cost effective as opposed to in house. Most importantly, outsourcing already has the work done so it will take less time to implement than in house. Lastly, outsourcing provides 24/7 tech support. On the other hand, outsourcing also has some disadvantages. First, outsourcing is not always a guarantee and can actually cost the company more than it was originally spending. The loss of control is also an important issue for some managers. Also, when
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outsourcing the employees are not in the area with you at all times. Overseas operations also have time constraints because of the time difference. The biggest disadvantage is hiring a vendor that is not qualified to do the job. Being pushed to the back burner for a bigger project is always a concern when outsourcing. Lastly, firms’ should always be aware that they are letting outsiders look at very classified information about the company and this should be considered before outsourcing. Companies should outsource if the scale of the project is too large for the firm to handle.
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This note was uploaded on 04/14/2010 for the course MIS 316 taught by Professor Kristine during the Spring '10 term at York University.

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Final_exam_summer_2007 - Kimberly Huston MGMT 640...

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