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Chapter 15

The Systems Development Life Cycle and Project Management:


Addressing the Challenges of Building AIS Systems

True / False Questions

1. The design phase of the SDLC begins with a business need for a new or better information
system.

True False

2. The maintenance phase of the SDLC is the final phase of the SDLC and includes making changes,
corrections, additions, and upgrades (generally smaller in scope) to ensure the system continues to
meet the business requirements that have been set out for it.

True False

3. The analysis phase of the SDLC involves a complete, detailed analysis of the systems needs of the
end user.

True False

4. Segregation of duties can be the source of IT material weaknesses when assessing the
effectiveness of internal controls over the company's accounting information system.

True False

15-1
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
5. The project sponsor is generally the same person as the project manager.

True False

6. The project sponsor generally obtains necessary resources for successful project completion.

True False

7. The triple constraints of project management are also referred to as Dempster's triangle.

True False

8. The triple constraints of project management include time, scope, and effort.

True False

9. The 15-15 Rule states that if a project is more than 15 percent over budget or 15 percent off the
desired schedule, it will likely never recoup the time or cost necessary to be considered successful.

True False

10. PERT is actually an acronym for Program Evaluation Review Tool.

True False

11. The breakdown of all of the project tasks needed for completion is often called the work
breakdown structure.

True False

12. Parallel or concurrent tasks are tasks that be done at the same time.

True False

15-2
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
13. Tasks that must be completed in a specific sequence but don't require additional resources or a
specific completion time are considered to have task dependency.

True False

14. The Technology Acceptance Model defines perceived ease of use as users adopting a new or
modified system to the extent they believe the system will help them perform their job better.

True False

15. The Technology Acceptance Model defines perceived usefulness as the extent to which a person
believes that the use of a particular system would be free of effort.

True False

16. The 100% Rule is a rule requiring 100% planning of all external tasks.

True False

17. The Project Manager is the lead member of the project team that is responsible for the project.

True False

18. The systems development life cycle has five phases: Planning, Analysis, Design, Implementation
and Maintenance.

True False

19. Control Objectives for Information and related Technology (CobIT) provides managers, auditors,
and IT users with a set of generally accepted measurements, processes, indicators, and best
practices to assist them in maximizing the benefits derived through the use of information
technology.

True False

15-3
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
20. Control Objectives for Information and related Technology's (CobIT) guidance is guided by a
structure that corresponds to the SDLC, namely: Plan and Organize, Acquire and Implement,
Deliver and Support and Monitor and Evaluate.

True False

Multiple Choice Questions

21. Which phase of the systems development life cycle would describe in detail the desired features of
the system?

A. Analysis phase
B. Planning phase
C. Design Phase
D. Implementation Phase

22. The final phase of the systems development life cycle is the

A. Analysis phase
B. Maintenance phase
C. Design Phase
D. Implementation Phase

23. Which phase of the systems development life cycle includes transforming the plan from the design
phase into an actual, functioning system:

A. Implementation Phase
B. Maintenance phase
C. Analysis phase
D. Design Phase

15-4
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
24. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Relevant Timeframe
B. Timeliness
C. Measurable Performance
D. Benefits Realization

25. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Relevant Scope
B. Reassessment
C. Reliability
D. Benefits Realization

26. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Alignment
B. Unbiased
C. Measurable Performance
D. Achievability

27. In 2009, _____ of the projects failed or were challenged.

A. 82%
B. 68%
C. 49%
D. 35%

15-5
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
28. The triple constraint of project management includes the constraint of:

A. Technical issues
B. Time
C. Adoption
D. Usability

29. The PERT and Gantt charts primarily address the triple constraint of:

A. Technical issues
B. Time
C. Cost
D. Scope

30. The 100% rule suggests that before a PERT chart is done, a project manager must:

A. Make sure 100% of the project is funded.


B. Make sure the project team is devoted solely or 100%, to this project.
C. Make sure that each person on the project team got 100% on their project management final
exam.
D. Make sure 100% of the project tasks are defined.

31. The critical path in a PERT chart represents:

A. The tasks that must be completed without errors.


B. The path of processes that is critical for system adoption.
C. The most important tasks of the whole project.
D. The longest path of tasks needed for project completion.

15-6
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
32. The Technology Acceptance Model predicts:

A. Whether a new system is needed.


B. Whether the system will be adopted.
C. When and how the system will be modified to induce acceptance.
D. Which type of smart phone will be more successful in the marketplace.

33. The Sarbanes-Oxley Act's 404 Reports require management and auditors to report on

A. The current financial condition of the firm and perceived threats to its financial condition.
B. The academic background and experience of the company's accounting leadership.
C. The effectiveness of the internal controls of the company's accounting information system.
D. The quality of the project management planning.

34. In this chapter, project management is defined as:

A. The process of carrying out the systems development life cycle to achieve an intended outcome.
B. Making sure all of the inputs are available to complete the project.
C. Writing the software code for the entire project.
D. Managing the project through the implementation phase.

35. The 15-15 Rule states that if a project is more than 15 percent over budget or 15 percent off the
desired schedule, it will:

A. Likely only have 15% of the desired benefits.


B. Likely never recoup the time or cost necessary to be considered successful.
C. Have a small likelihood of ever being adopted by system users.
D. Likely be cancelled by the project sponsor.

15-7
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
36. A project sponsor is generally defined as:

A. A senior executive that will sponsor, or pay for, the project.


B. A senior executive in the company who takes responsibility for the success of the project.
C. The CEO of the company that likes technology.
D. The system's primary user.

Essay Questions

37. As part of effective IT planning in systems development life cycle, a return on investment (ROI)
calculation may be performed as part of the economic feasibility analysis. Often, many of the
benefits from a new information system may be intangible benefits (e.g. system is easier to use or
system enhances customer service, etc.) that are hard to quantify in an income statement. What
are some intangible benefits of a state-of-the-art course registration system at your college or
university?

15-8
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
38. Let's suppose that Wal-Mart wants to make sure its top-selling products are placed on the
modular shelves at the right level for customers to find and buy. Using Wal-Mart as an example,
explain what types of activities would occur in each of the five phases of the systems development
life cycle in preparation for this providing this type of information to Wal-Mart and its suppliers.

39. Accountants generally do not have all of the necessary systems analyst and systems development
skills needed to develop accounting information systems. What skills do accountants have that
systems analysts do not have, particularly with respect to a financial reporting system?

15-9
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
40. Brainstorm a list of reasons why 68% (including 44% challenged + 24% failed) of the information
technology projects either failed or were challenged in 2009. Consider specifics of each of the
elements of the triple constraints model and any other common delays including the challenges of
working with programmers, software and hardware suppliers and vendors, etc. What is the best
way to overcome these issues and decrease the number of projects failed or challenged?

41. Tyson Foods (pork, chicken, beef producer) is implementing its SAP system throughout its
worldwide operations. If Tyson has the choice, should it implement this system in Brazil before, at
the same time, or after the implementation in the United States? Use the Technology Acceptance
Model as a model (in particular, perceived ease of use) to explain your answer.

15-10
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
42. What is the difference in roles between a project sponsor and a project manager? Why are they
each important?

43. What can be done to combat scope creep?

44. Explain how the Technology Acceptance Model can be used as a useful tool in planning an IT
project.

15-11
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
45. Explain how the Technology Acceptance Model can be used as a useful tool in modifying an IT
project.

15-12
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
Chapter 15 The Systems Development Life Cycle and Project
Management: Addressing the Challenges of Building AIS Systems Answer
Key

True / False Questions

1. The design phase of the SDLC begins with a business need for a new or better information
system.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

2. The maintenance phase of the SDLC is the final phase of the SDLC and includes making
changes, corrections, additions, and upgrades (generally smaller in scope) to ensure the system
continues to meet the business requirements that have been set out for it.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

15-13
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
3. The analysis phase of the SDLC involves a complete, detailed analysis of the systems needs of
the end user.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

4. Segregation of duties can be the source of IT material weaknesses when assessing the
effectiveness of internal controls over the company's accounting information system.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-02 Explain the core principles of Information Systems Planning.
Source: Original
Topic: IT Material Weaknesses

5. The project sponsor is generally the same person as the project manager.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

15-14
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
6. The project sponsor generally obtains necessary resources for successful project completion.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

7. The triple constraints of project management are also referred to as Dempster's triangle.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

8. The triple constraints of project management include time, scope, and effort.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

15-15
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
9. The 15-15 Rule states that if a project is more than 15 percent over budget or 15 percent off the
desired schedule, it will likely never recoup the time or cost necessary to be considered
successful.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

10. PERT is actually an acronym for Program Evaluation Review Tool.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

11. The breakdown of all of the project tasks needed for completion is often called the work
breakdown structure.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

15-16
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
12. Parallel or concurrent tasks are tasks that be done at the same time.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

13. Tasks that must be completed in a specific sequence but don't require additional resources or a
specific completion time are considered to have task dependency.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

14. The Technology Acceptance Model defines perceived ease of use as users adopting a new or
modified system to the extent they believe the system will help them perform their job better.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

15-17
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
15. The Technology Acceptance Model defines perceived usefulness as the extent to which a
person believes that the use of a particular system would be free of effort.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

16. The 100% Rule is a rule requiring 100% planning of all external tasks.

FALSE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

17. The Project Manager is the lead member of the project team that is responsible for the project.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Topic: Project Management

15-18
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
18. The systems development life cycle has five phases: Planning, Analysis, Design, Implementation
and Maintenance.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Topic: SDLC

19. Control Objectives for Information and related Technology (CobIT) provides managers,
auditors, and IT users with a set of generally accepted measurements, processes, indicators, and
best practices to assist them in maximizing the benefits derived through the use of information
technology.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Topic: SDLC

20. Control Objectives for Information and related Technology's (CobIT) guidance is guided by a
structure that corresponds to the SDLC, namely: Plan and Organize, Acquire and Implement,
Deliver and Support and Monitor and Evaluate.

TRUE

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Topic: SDLC

15-19
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
Multiple Choice Questions

21. Which phase of the systems development life cycle would describe in detail the desired features
of the system?

A. Analysis phase
B. Planning phase
C. Design Phase
D. Implementation Phase

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

22. The final phase of the systems development life cycle is the

A. Analysis phase
B. Maintenance phase
C. Design Phase
D. Implementation Phase

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

15-20
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
23. Which phase of the systems development life cycle includes transforming the plan from the
design phase into an actual, functioning system:

A. Implementation Phase
B. Maintenance phase
C. Analysis phase
D. Design Phase

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

24. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Relevant Timeframe
B. Timeliness
C. Measurable Performance
D. Benefits Realization

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: SDLC

15-21
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
25. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Relevant Scope
B. Reassessment
C. Reliability
D. Benefits Realization

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-02 Explain the core principles of Information Systems Planning.
Source: Original
Topic: IT Planning

26. The IFAC suggested ten core principles of effective information technology planning. Which of
these are not one of those ten core principles?

A. Alignment
B. Unbiased
C. Measurable Performance
D. Achievability

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-02 Explain the core principles of Information Systems Planning.
Source: Original
Topic: IT Planning

15-22
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
27. In 2009, _____ of the projects failed or were challenged.

A. 82%
B. 68%
C. 49%
D. 35%

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

28. The triple constraint of project management includes the constraint of:

A. Technical issues
B. Time
C. Adoption
D. Usability

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

15-23
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
29. The PERT and Gantt charts primarily address the triple constraint of:

A. Technical issues
B. Time
C. Cost
D. Scope

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

30. The 100% rule suggests that before a PERT chart is done, a project manager must:

A. Make sure 100% of the project is funded.


B. Make sure the project team is devoted solely or 100%, to this project.
C. Make sure that each person on the project team got 100% on their project management
final exam.
D. Make sure 100% of the project tasks are defined.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

15-24
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
31. The critical path in a PERT chart represents:

A. The tasks that must be completed without errors.


B. The path of processes that is critical for system adoption.
C. The most important tasks of the whole project.
D. The longest path of tasks needed for project completion.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

32. The Technology Acceptance Model predicts:

A. Whether a new system is needed.


B. Whether the system will be adopted.
C. When and how the system will be modified to induce acceptance.
D. Which type of smart phone will be more successful in the marketplace.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

15-25
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
33. The Sarbanes-Oxley Act's 404 Reports require management and auditors to report on

A. The current financial condition of the firm and perceived threats to its financial condition.
B. The academic background and experience of the company's accounting leadership.
C. The effectiveness of the internal controls of the company's accounting information system.
D. The quality of the project management planning.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

34. In this chapter, project management is defined as:

A. The process of carrying out the systems development life cycle to achieve an intended
outcome.
B. Making sure all of the inputs are available to complete the project.
C. Writing the software code for the entire project.
D. Managing the project through the implementation phase.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

15-26
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
35. The 15-15 Rule states that if a project is more than 15 percent over budget or 15 percent off the
desired schedule, it will:

A. Likely only have 15% of the desired benefits.


B. Likely never recoup the time or cost necessary to be considered successful.
C. Have a small likelihood of ever being adopted by system users.
D. Likely be cancelled by the project sponsor.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: Project Management

36. A project sponsor is generally defined as:

A. A senior executive that will sponsor, or pay for, the project.


B. A senior executive in the company who takes responsibility for the success of the project.
C. The CEO of the company that likes technology.
D. The system's primary user.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

Essay Questions

15-27
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
37. As part of effective IT planning in systems development life cycle, a return on investment (ROI)
calculation may be performed as part of the economic feasibility analysis. Often, many of the
benefits from a new information system may be intangible benefits (e.g. system is easier to use
or system enhances customer service, etc.) that are hard to quantify in an income statement.
What are some intangible benefits of a state-of-the-art course registration system at your
college or university?

Answers will vary depending on the imagination of the student of the course registration. There
are few things more important for a student at a university than getting in the right course with
the right professor. To the extent that a course registration helps facilitate that, it is really hard
to quantify the intangible benefits this might engender.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-02 Explain the core principles of Information Systems Planning.
Source: Original
Topic: IT Planning

38. Let's suppose that Wal-Mart wants to make sure its top-selling products are placed on the
modular shelves at the right level for customers to find and buy. Using Wal-Mart as an example,
explain what types of activities would occur in each of the five phases of the systems
development life cycle in preparation for this providing this type of information to Wal-Mart
and its suppliers.

Answers will vary depending on the creativity of the student. The planning phase may include a
detail of the project need and the feasibility of the project. The analysis phase may include a
discussion of what the end user (be they Wal-Mart or its supplier) exactly needs to accomplish
the business need. These details will extend to the design, implementation, and maintenance
phases.

AACSB: Reflective Thinking


AICPA BB: Industry

15-28
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: Systems Development Life Cycle

39. Accountants generally do not have all of the necessary systems analyst and systems
development skills needed to develop accounting information systems. What skills do
accountants have that systems analysts do not have, particularly with respect to a financial
reporting system?

Answers will vary depending on what the student knows about the accountant and the systems
development functions. An accountant knows intuitively about the company and its financial
reporting system. Given their involvement in managerial reporting functions, they will also know
what information is needed or what the possibilities are when additional information is given.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-01 Describe each phase in the systems development life cycle.
Source: Original
Topic: Systems Development Life Cycle

15-29
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
40. Brainstorm a list of reasons why 68% (including 44% challenged + 24% failed) of the
information technology projects either failed or were challenged in 2009. Consider specifics of
each of the elements of the triple constraints model and any other common delays including
the challenges of working with programmers, software and hardware suppliers and vendors,
etc. What is the best way to overcome these issues and decrease the number of projects failed
or challenged?

A good solution will include a discussion of the triple constraint model, including scope, cost
and time elements. Scope creep, inadequate time and cost estimates will all lead to a
challenged or failed projects. A more advanced solution may include a discussion that if a
completed project does not have the desired functionality, it may never be used and thus not
meet its intended purpose.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: IT Failure

41. Tyson Foods (pork, chicken, beef producer) is implementing its SAP system throughout its
worldwide operations. If Tyson has the choice, should it implement this system in Brazil before,
at the same time, or after the implementation in the United States? Use the Technology
Acceptance Model as a model (in particular, perceived ease of use) to explain your answer.

Answers may vary. There is no right solution for this answer, but hopefully the student will
provide a strong analysis of the situation. Generally, if you are concerned about ease of use, it
might make sense to have a long period of beta testing, or a pilot test, to make sure all of the
bugs are worked out. It is also much easier to sell the project to one location if there has been a
very successful launch at another location.

AACSB: Reflective Thinking


AICPA BB: Industry

15-30
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

42. What is the difference in roles between a project sponsor and a project manager? Why are they
each important?

Answers will vary, but should discuss that while both are important, each serve different roles.
Here are some definitions from the textbook which the students might include.
The project sponsor will often be a senior executive in the company who takes responsibility for
the success of the project. The project sponsor is generally a different person than the project
manager, but often serves as the project champion.
A project manager is the lead member of the project team that is responsible for the project.
The project manager's mission is to coordinate the entire project development process to
successfully complete the project. A project manager must also be able to analyze the project
charter, a document which details the objectives and requirements for the project.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-03 Define project management; and describe the positions of those who lead the project.
Source: Original
Topic: Project Management

43. What can be done to combat scope creep?

Answers will vary depending on student experience. Scope creep happens. It generally takes
good planning, use of tools such as the PERT and Gantt charts, and a project manager and
project sponsor willing and able to say "no".

AACSB: Reflective Thinking

15-31
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-04 Explain why IT projects are challenged and the tools that are used to overcome these challenges.
Source: Original
Topic: IT Failure

44. Explain how the Technology Acceptance Model can be used as a useful tool in planning an IT
project.

A potential answer might address how the Technology Acceptance Model makes project
planners address whether the enhanced system will be both more useful and easier to use.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

45. Explain how the Technology Acceptance Model can be used as a useful tool in modifying an IT
project.

A potential answer might address how the Technology Acceptance Model makes project
planners address whether the enhanced system will be both more useful and easier to use.

AACSB: Reflective Thinking


AICPA BB: Industry
AICPA FN: Decision Making
Blooms: Analyze
Difficulty: 3 Hard
Learning Objective: 15-05 Explain why users do or do not want to use a new information system designed for them.
Source: Original
Topic: Technology Acceptance Model

15-32
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
15-33
Copyright 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.

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