Matakuliah : M0304/Corporate Information System Management Tahun : 2008 Pertemuan – 16a METODOLOGI PEMBELIAN PAKET SOFTWARE Fakultas Ilmu Komputer Modul-16-2 THE MAKE-OR-BUY DECISION • • Decision should be made jointly by business managers and IS professionals Advantages of purchasing: – – • Cost savings Faster speed of implementation Disadvantages of purchasing: – – Seldom exactly fits a company’s needs Often forces trade-offs Fakultas Ilmu Komputer Modul-16-3 PURCHASING METHODOLOGY The Purchasing Steps Fakultas Ilmu Komputer Figure 16.1 The Purchasing Process Modul-16-4 PURCHASING METHODOLOGY Initiating the Purchasing Process Fakultas Ilmu Komputer Figure 16.2 Comparison of Costs and Building vs. Purchasing a System Modul-16-5 PURCHASING METHODOLOGY Establish Criteria for Selection Fakultas Ilmu Komputer Figure 16.3 Key Criteria for Software Package Selection Modul-16-6 PURCHASING METHODOLOGY Develop and Distribute the RFP Request for proposal (RFP) – a formal document sent to potential vendors inviting them to submit a proposal describing their software package and how it would meet the company’s needs Fakultas Ilmu Komputer Modul-16-7 Develop and Distribute the RFP Fakultas Ilmu Komputer Figure 16.4 Sample RFP Table of Contents Modul-16-8 PURCHASING METHODOLOGY Evaluate Vendor Responses to RFP and Choose Package • Evaluation steps: – – – – – – Review vendors’ responses from RFPs Request demonstrations of leading packages Request references from users of software packages in other companies Assess how well package capabilities satisfy company’s needs Understand extent of any additional development efforts or costs to tailor software Make decision Fakultas Ilmu Komputer Modul-16-9 PURCHASING METHODOLOGY Evaluate Vendor Responses to RFP and Choose Package Fakultas Ilmu Komputer Figure 16.6 Matching Company Needs with Capabilities of the Package Modul-16-10 PURCHASING METHODOLOGY Construction Phase If no software package modifications required: • – – – Skip system design and building steps Move directly to system testing Develop any necessary process changes If software package is modified: • – – Consider contracting with vendor or a third party for changes versus modifying inhouse Determine if changes are required to other existing company systems Fakultas Ilmu Komputer Modul-16-11 PURCHASING METHODOLOGY Project Team for Purchasing Packages – – – – – – – Business managers and users IS professionals Project manager – usually a business manager Software vendor personnel Sometimes includes a third-party implementation partner Purchasing specialists Attorneys Fakultas Ilmu Komputer Modul-16-12 PURCHASING METHODOLOGY Purchasing Advantages and Disadvantages Fakultas Ilmu Komputer Figure 16.7 Advantages and Disadvantages of Purchasing Packaged Software Modul-16-13 SPECIAL CASE: ENTERPRISE SYSTEM PACKAGES • Enterprise Resource Planning (ERP) – – – – system packages: Companies purchase to achieve business benefits and IT platform benefits Enables access to integrated data for better decision making Often require heavy reliance on third-party consultants Implementation efforts usually complex, and sometimes not successful Fakultas Ilmu Komputer Modul-16-14 SPECIAL CASE: ENTERPRISE SYSTEM PACKAGES • Factors that need to be managed well for ERP implementation to be successful: – Top management is engaged in the project, not just involved – Project leaders are veterans, and team members are decision makers – Third parties fill gaps in expertise and transfer their knowledge – Change management goes hand-in-hand with project planning – A satisfying mindset prevails Brown and Vessey, 2003 Fakultas Ilmu Komputer Modul-16-15 NEW PURCHASING OPTION: APPLICATION SERVICE PROVIDERS (ASPs) • • • • New trend beginning 2000s Purchasing option: purchaser elects to use a “hosted” application rather than to purchase the software application and host it on its own equipment ASP is an ongoing service provider Company pays third party (ASP) for delivering the software functionality over the Internet to company employees and sometimes business partners Fakultas Ilmu Komputer Modul-16-16 NEW PURCHASING OPTION: APPLICATION SERVICE PROVIDERS (ASPs) • Some advantages: – – • Cost savings and faster speed of implementation Usually involves monthly fees rather than large infrastructure investment Disadvantages: – – Dependence on an external vendor for both software and ongoing operations Good assessment of required service levels even more critical Fakultas Ilmu Komputer Modul-16-17 end Fakultas Ilmu Komputer Modul-16-18