The System Study
Dr. Merle P. Martin
CSU Sacramento
Agenda
Waterfall Model
 Preliminary Design Checklists
 The System Study
 Go / No-go Decision
 The FHC Presentation

Waterfall Model
Development process
not really serial
 May redo steps
 Waterfall model of Systems
Analysis
Figure 9-9

Preliminary Design Checklists
Pages 303-307
 Output
 Input
 Files
 Interactive screens
 Processes

Output
Make report look good
 Include only fields needed
 80-position format
 Print layout form (Figure 9-1)

Input
Easy to use
 Concise (only required fields)
 Aesthetically pleasing
 Machine-readable

Files
Consolidate files with similar names
 Not too much detail at this time
 ERD
 Data-element-to-file table (Figure 9-5)

Interactive Screens
Well-balanced (e.g., spacing)
 Not cluttered (20% rule)
 Minimize use of color
 Use highlighting (15%)

Processes
Eliminate if don’t alter data
 Consolidate similar processes
 Make serial processes parallel
e.g., multiple form copies
 Decouple processes
place data store between

The System Study
Problem Statement
 Existing System Documentation
project may be delayed
 Problem Correction Alternatives
 Recommended Solutions
 Documentation
in appendices

Go / No-go Decision
Possibilities
Rework
Scrap
Delay
Proceed with SDLC
 Figure 9-9, page 314

FHC System Proposal

Foundation Health
Corporation existing systems:
PROMIS: memberships
and renewals
PROGRES: price quotes
QCARE: medical claims / other
customer service
Proposal
Replace PROMIS and
PROGRES with new system
 Link to QCARE
 Two phases
 New system is Foundation Rating
and Enrollment System (FARE)

Today’s Systems
Quote Disks
Premium
Accounting
PROGRESS &
Other Quoting Systems
PROMIS
Spreadsheets
Underwriting
Spreadsheets
Sales
Underwriting
Q/Care
IBM Mainframe
FARE Phase 1
(Eliminate PROGRESS)
Premium
Accounting
New Premium
Accounting
Interface
Sales
FARE
Q/Care
DB2
IBM Mainframe
Underwriting
FARE Phase 2
(Eliminate PROMIS)
Renewal
Process
Sales
FARE
Premium
Accounting
New Premium
Accounting
Interface
Q/Care
DB2
IBM Mainframe
Underwriting
FARE Objectives
Multi-state, multiproduct rating system
 Step to paperless process
 Manage work flows
 Integrate info sources
 FHC common look for proposals
 Utilize existing technology
 Enterprise-level database

FARE Cost / Benefit
Cost reductions
 Revenue enhancements
 Alternatives
reengineer current system
in-house design new system
off-the-shelf product
culture eliminated outsourcing
design
 Tangible / Intangible matrix

Benefits Grid
Tangible
Intangible
Improve Profitability
of New Business
Cross-Selling Opportunities
Improved Member Retention
More
Revenue
Less Costs
Less Paperwork and
Administration Costs /
Increase in Prospecting
of New Business
Higher System Availability
Elimination of Duplicate
Data Entry
Accurate Rating (Single-Rating
Engine Concept)
Multiple Proposals /
Improved Communication
Improved Audit Process
Improved Speed of Turnaround
Rekeying of Proposals in Word
Concepts to Remember
Preliminary Design checklists
 System Study contents
 Go / No-go decision
