Planning
Let’s explore a company that has identified a new need for an information system. Say the need is
for a system to help Roy’s Pizza manage its business by tracking inventory and providing delivery
routes. First, Roy’s will enter the planning phase. During this phase a systems analyst, who may
work for the company or be an outside consultant, will outline a proposed system, develop a bud-
get, and create a detailed development schedule. At this point, the company’s senior management
needs to determine whether to modify the existing systems or build a new system.
To help make the decision, the company will perform four types of feasibility analyses:
(1) technical, (2) economic, (3) operational, and (4) schedule.
A technical feasibility analysis attempts to determine what technologies exist or can be devel-
oped to solve the identified problem. It considers the risks of building new technologies versus
purchasing existing ones. The main risk is......

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