SECTION A

ANSWER ANY TWO (2) OF THE 3 QUESTIONS BASED ON THE SCENARIO Read through the case carefully and answer any two (2) of the three (3) questions that follow. SCENARIO Danpa Group is a local manufacturing company that was set up in the early 1990s to produce roofing sheets. Since then the company has grown principally by acquiring other companies that produce similar or complementary products. Whenever a company is acquired it becomes a subsidiary of Danpa Group. Danpa Group uses information technology (IT) extensively for its operations, especially production and general accounting. Whereas turnover for the Group has greatly improved, it is faced with increasing costs and what one expert described as islands of automation (i.e. incompatible computer systems). A recent study revealed that the six main subsidiaries of the Group (three in the south, one in the central, one in the north and one in the east) each has different hardware, software, systems development standards, and organizational structures. Some of the subsidiaries share common customers, but because of systems incompatibility, the Group is not able to exploit this. Major opportunities Danpa Group has also failed to grasp are the development of electronic commerce with its business partners, particularly the application of electronic data interchange (EDI) and the Internet. Realizing the various problems associated with its use of IT, the company appointed an IT Director last year. The new IT director has proposed a major IT centralization project with the following objectives: Bring the main hardware and software systems, together with IT staff, to the south site. Gradually re-develop and standardize all the systems so that they run on Danpa Groups preferred hardware and software platforms.

He has drawn up the following schedule of activities for the move to the contralised site: Duration Activity Description (Days) Precedences A Complete Project Initiation Document 10 B Final specification of new centralised site 8 A C List staff who have agreed to transfer to site 6 A D Install communications at centralized site 5 B E Contract signed by all staff 5 C F Install hardware and software at site 10 D G Mount furniture, etc at centralized site 6 B H Integrate all resources at centralized site 15 E,F,G 1

The IT Director has identified three (3) main benefits that centralization will bring to the company. These are: i) ii) iii) Transfer and sharing of information among the various subsidiaries. Build-up and concentration of In-house IT expertise in a centralized department. Economies of scale and enforcement of systems development standards.

He has also suggested two broad changes to accompany the centralization process. i) Currently each IT department is organized in a hierarchy. In every subsidiary there are at least five (5) tiers of staff. This hierarchy is to be dismantled and replaced, in the centralized department, with a flatter, project-oriented structure which has only three (3) layers of staff. The decision has already been made to outsource personal computer (PC) training support and technical trouble-shooting to a specialist PC company.

ii)

The IT Director wishes to outsource all non-core activities. Consequently, current staffs undertaking these roles in the company are to be given the opportunity to transfer to the specialist company or be made redundant. Answer any two (2) of the questions that follow. QUESTION 1 a) The IT director has identified the following advantages associated with centralization. Explain each of them: i) ii) iii) Transfer and sharing of information among the subsidiaries. Build-up and concentration of in-house IT expertise in a centralized department. Economies of scale and enforcement of systems development standards. (15 marks) b) Recommend suitable hardware and software that may be used for the centralization. (5 marks) (Total: 20 marks)

QUESTION 2 It is recognized that the company has failed to exploit the opportunities of electronic commerce with its business partners. a) Describe what is meant by electronic commerce (e-commerce). (8 marks)

b)

State any three (3) benefits e-commerce might offer the Group. (6 marks)

c)

Explain any three (3) problems the Group may face with the use of e-commerce. (6 marks) (Total: 20 marks)

QUESTION 3 Using the schedule of activities drawn up by the IT Director for the move to the centralised site: a) b) c) d) Draw a project network diagram for the schedule of activities, and indicate the critical path. (10 marks) What is the minimum time to complete the project? (3 marks) How many days (if any) could activity C be delayed without delaying the completion of the project? (3 marks) Calculate the earliest start time and latest start time of activity F. What conclusions do you draw from these results? (4 marks) (Total: 20 marks)

SECTION B
ANSWER ANY THREE (3) QUESTIONS FROM THIS SECTION QUESTION 4 (a) (b) Draw a diagram of a typical Information System (IS) department organized by function or activity. (8 marks) State any four (4) of the responsibilities of each of the following staff of the IS department: i) ii) iii) IS Manager Programmer Librarian (4 marks) (4 marks) (4 marks) (Total: 20 marks)

QUESTION 5 (a) (b) Discuss five (5) factors to consider in designing FORM for data Input. (10 marks) Explain the following Coding systems: i) ii) Sequence Coding Block Coding (5 marks) (5 marks) (Total: 20 marks)

QUESTION 6 Your company is about to undertake the redevelopment of an Information System in response to changing business needs. The existing system was written and supported In-house in a high level language and the IT director now has to decide between Off-the-shelf application package or redevelop a new system. (a) Give three (3) advantages of In-house Software. (6 marks) (b) (c) Explain with two (2) examples the meaning of Off-the-shelf Software. (7 marks) Explain High Level Computer Language and give two (2) examples. (7 marks) (Total: 20 marks)

QUESTION 7 (a) (b) What is Electronic Mail? (3 marks)

Give three (3) benefits and three (3) problems arising from the use of Electronic Mail. (12 marks) Explain the term Electronic Data Interchange (EDI). (5 marks) (Total: 20 marks)

(c)