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Lecture 4

IST 352 Lecture 4: IST 352 M003 Corsello 9-15-16

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Department
Information Studies
Course Code
IST 352
Professor
Corsello

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Description
find more resources at oneclass.com IST 352 | September 15, 2016 Outsourcing  Turning over responsibility of some or all of an organization’s information systems applications and operations to an outside firm o Usually done for companies that don’t focus on technology solely o Potentially can be risky, but the market is pretty reliable now  SAP  Oracle  PeopleSoft Why Outsource?  Cost-effectiveness  Take advantage of economies of scale  Make up for lack of in-house knowledge o Some people don’t have the knowledge needed to make databases  Free up internal resources o People don’t have to waste time coding and figuring systems out  Reduce time to market  Increase process efficiencies  System development is a non-core activity for the organization Examples  A company that runs payroll applications for clients o Paychex  A company that runs your applications at your site IT Service Firms  Help companies develop custom information systems for internal use.  Develop, host, and run applications for customers.  Provide other services.  This can be costly at times, and security is no longer in your hands o You pay for this security o Lawsuits can be a possibility if there is information leaked Sources of Software  Information technology services firm  Packaged software producers  Enterprise-wide solutions o Enterprise Resource Planning (ERP)  PeopleSoft (Oracle took over this company)  WorkDay was created by people who left PeopleSoft find more resources at oneclass.com find more resources at oneclass.com  Cloud computing  Open source software  In-house developers (SU has in-house people and outsourced positions)  Help companies develop custom information systems for internal use  Develop, host, and run applications for customers  Provide other services Packaged Software Producers  Serve many market segments  Provide software ranging from broad-based packages (i.e. general ledger) to niche packages (i.e. day care management)  Pre-packaged, off-the-shelf software  Turbo Tax  Software runs on all size computers, from microcomputers to large mainframes.  Prepackaged software is off-the-shelf, turnkey software (i.e. not customizable).  Take it as it is  Turbo Tax  Off-the-shelf software, at best, meets 70% of organizations’ needs.  Oracle  People Soft Enterprise Solutions Software  Enterprise Resource Planning (ERP) systems integrate individual t
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