BTS830 Lecture 3

What is Needs Analysis

A needs analysis is determining tech, software, and human resources to achieve strategic goals

Whats in a needs analysis
- a needs report

Determining IT Processing
- personnel
- hardware maintenance
- warranty
- communication

Alternative IT Investments
- continue as is (run the system into the ground until the wheels fall off)
- Reorganize system
- upgrade existing system
- replace the existing system

What is IT Outsourcing?
IT outsourcing can be defined as the process of using outside companies or vendors to perform internal organization IT tasks
Estimated that 1/4 US IT jobs will be outsourced by the year 2010

The person who could find out what the customer wants, and conceptualize this and outsource the actually coding is the one who will get the most money.

- subcontracting limited work assignments
- subcontracting project assignments
- total outsource assignment

Benefits to IT Outsourcing
- technology improvements
- financial gains
- reduces budgets
- Productivity improvement
- tax benifits
- enhances core business activities
- facilities management
- management planning

Problems with IT Outsourcing
- failure to achieve client needs
- poor service quality
- failure to meet timely objectives

Barriers to IT Outsourcing
- questionalbe past and observed performance
- a lack of experience with outsourcing in general
- organization resistance to change
- inadequate preparation and planning