Most people in an organization are involved with an information system of some kind. For an organization to create and effectively use a system requires considerable thought and effort. Fortunately, there is a six step process for accomplishing this. It is known as systems analysis and design.

Big organizations can make big mistakes. For example, General Motors spent $40 billion putting in factory robots and other high technology in its automaking plants. It then removed much of this equipment and reinstalled that basic part of the assembly line, the conveyor belt. Why did the high-tech production systems fail? The probable reason was that GM did not devote enough energy to training its workforce in using the new systems.

The government also can make big mistakes. In one year, the Internal Revenue Service computer system was so overwhelmed it could not deliver tax refunds on time. How did this happen? Despite extensive testing of much of the system, not all testing was completed. Thus, when the new system was phased in, the IRS found it could not process tax returns as quickly as it had hoped.

Both of these examples show the necessity for thorough planning—especially when an organization is trying to implement a new kind of system. Systems analysis and design reduces the chances for such spectacular failures.

Competent end users need to understand the importance of systems analysis and design. They need to be aware of the relationship of an organization’s chart to its managerial structure. Additionally, they need to know the six phases of the systems development life cycle: preliminary investigation, systems analysis, systems design, systems development, systems implementation, and systems maintenance.