Information Systems Analysis And Design: SAP ERP Implementation At ICF

Approach to Systems Development

ICF (International Charity Foundation) has been the private ancillary fund partnering with the In-country facilitators and Australian OAGDS (Overseas Aid Gift Deduction Scheme). The current operational activities are being delivered through manual operations and that has been leading to certain issues those are considerable while delivering and making promises of better service deliveries. The purpose of this report is to highlight on the aspects related to the implementation of SAP ERP in manner to manage the operational activities in an automated way. The overall attempt will be provide an alternative way for the operational activities management in an automated way.

Considering the current size and different sectors of the operational activities, SAP ERP can be suggested as the best approach for the delivery of the entire operational activities.

Agile Scrum methodology can be recommended as the appropriate methodology for the delivery of the operational activity management of the entire project as the project needs to be change acceptable (Kezner and Kerzner 2017). Agile scrum will allow project manger to implement the software in effective and efficient way.

Automated and efficient management of the operational activities for the management of the stakeholders, payment, payroll, and other operational activities (Altamony et al. 2016). Accounting management, enrolment, recording and sharing of data and information are some of the vital and crucial aspects for the instalment of the software that can allow the organization to efficient and effectively manage the entire operational activities.

The proposed system should be flexible, accurate, precise, reliable, and efficient enough to be installed and managed for the management of the operational activities (Summer 2018). The system should be capable of being managing these activities even after less service management and maintenance.

Project Cost-Benefit Analysis
Analysis Variables:
Discount Rate Used	10.00%
Annual Benefits	$ 108,000.00
Annual Operational Costs	$ 20,200.00
One-Time Development Cost	$ 250,000.00
				Year of Project
		0	1	2	3	4	5	TOTALS
Economic Benefit		$0.00	$ 108,000.00	$ 108,000.00	$ 108,000.00	$ 108,000.00	$ 108,000.00
Discount Rate		1.0000	0.9091	0.8264	0.7513	0.6830	0.6209
PV of Benefits		$0.00	$98,181.82	$89,256.20	$81,142.00	$73,765.45	$67,059.50
NPV of all BENEFITS		$0.00	$98,181.82	$ 187,438.02	$ 268,580.02	$ 342,345.47	$ 409,404.97	$ 409,404.97
One-Time COSTS		$(250,000.00)
Recurring Costs		$0.00	$ (20,200.00)	$ (20,200.00)	$ (20,200.00)	$ (20,200.00)	$ (20,200.00)
Discount Rate		1.0000	0.9091	0.8264	0.7513	0.6830	0.6209
PV of Recurring Costs		$0.00	$ (18,363.64)	$ (16,694.21)	$ (15,176.56)	$ (13,796.87)	$ (12,542.61)
NPV of all COSTS		$(250,000.00)	$(268,363.64)	$(285,057.85)	$ (300,234.41)	$ (314,031.28)	$ (326,573.89)	$ (326,573.89)
Overall NPV								$ 82,831.08
Overall ROI
Break-even Analysis
Yearly NPV Cash FLOW		$(250,000.00)	$ 79,818.18	$ 72,561.98	$ 65,965.44	$ 59,968.58	$ 54,516.89
Overall NPV Cash FLOW		$(250,000.00)	$(170,181.82)	$ (97,619.83)	$ (31,654.40)	$ 28,314.19	$ 82,831.08

Table 1: Project Cost Benefit Analysis

Following formulas are used for calculating cost benefit analysis:

NPV = PV (Benefits) – PV (Costs)

ROI = Net Profit / Total Investment * 100

PV = CF/(1+r)ⁿ

This section will be defining every phase of the project in addition to the time required for starting and completing every activity and the entire project.

The WBS is the demonstration of every activity involved in the completion of the project in manner to show the activities and the sub-activities of the project. The Gantt chart is describing the same activities with the necessary timeline required for the delivery of the same activity demonstrating the start and finish dates.

WBS	Task Name	Duration	Resource Names	Cost
1	Implementation of SAP ERP within ICF	81 days		? 57,800.00
1.1	Phase 1: initiation	15 days		? 10,080.00
1.1.1	Analysing current environment	7 days		? 3,360.00
1.1.1.1	Analysing market and competitors	2 days	Market analyst, System Analyst, Business analyst	? 960.00
1.1.1.2	Analysing business	3 days	Market analyst, System Analyst, Business analyst	? 1,440.00
1.1.1.3	Problem identification	2 days	Market analyst, System Analyst, Business analyst	? 960.00
1.1.2	Identifying Scope	3 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 2,520.00
1.1.3	Objective identification	3 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 2,520.00
1.1.4	Profit estimation	2 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 1,680.00
1.2	Phase 2: Planning	18 days		? 12,240.00
1.2.1	Project constraint management	9 days		? 6,120.00
1.2.1.1	Budget	2 days	Project Manager, Software engineer, System Analyst, Business analyst	? 1,360.00
1.2.1.2	Timeline	3 days	Project Manager, Software engineer, System Analyst, Business analyst	? 2,040.00
1.2.1.3	Quality assurance	4 days	Project Manager, Software engineer, System Analyst, Business analyst	? 2,720.00
1.2.2	Risk management	2 days	Project Manager, Software engineer, System Analyst, Business analyst	? 1,360.00
1.2.3	Stakeholder identification	2 days	Project Manager, Software engineer, System Analyst, Business analyst	? 1,360.00
1.2.4	Stakeholder roles and responsibilities	3 days	Project Manager, Software engineer, System Analyst, Business analyst	? 2,040.00
1.2.5	Funding arrangement	2 days	Project Manager, Software engineer, System Analyst, Business analyst	? 1,360.00
1.3	Phase 3: Execution	29 days		? 19,520.00
1.3.1	Resource allocation	7 days	Project Manager, Software engineer, System Analyst	? 3,640.00
1.3.2	Identification of activities and sub activities	4 days	Project Manager, Software engineer, System Analyst	? 2,080.00
1.3.3	Assigning roles	2 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 1,700.00
1.3.4	Implementing systems	3 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 2,300.00
1.3.5	Upgrading old systems	4 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 2,900.00
1.3.6	Installing wireless network	4 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 2,900.00
1.3.7	SAP implementation	2 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 1,700.00
1.3.8	Modifying each operational sections	3 days	Project Manager, Software engineer, System Analyst, Miscellaneous materials[1], Technicians	? 2,300.00
1.4	Phase 4: Testing and Evaluation	10 days		? 8,400.00
1.4.1	Evaluating system	2 days	Market analyst, Miscellaneous materials[1], Software engineer, System Analyst, Upgrade maintenance[1]	? 1,880.00
1.4.2	Real world testing	3 days	Market analyst, Miscellaneous materials[1], Software engineer, System Analyst, Upgrade maintenance[1]	? 2,320.00
1.4.3	Identifying bugs and glitches	2 days	Market analyst, Miscellaneous materials[1], Software engineer, System Analyst, Upgrade maintenance[1]	? 1,880.00
1.4.4	Modifying necessary changes	3 days	Market analyst, Miscellaneous materials[1], Software engineer, System Analyst, Upgrade maintenance[1]	? 2,320.00
1.5	Phase 5: Closure	9 days		? 7,560.00
1.5.1	Project documentation	2 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 1,680.00
1.5.2	Resource releasing	4 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 3,360.00
1.5.3	Project celebration	3 days	Market analyst, Project Manager, Software engineer, System Analyst, Business analyst	? 2,520.00

The goal of the system is to introduce an efficient way for the delivery of the operational activities related to the enrolment to the payroll and payment system and allow the staffs to manage and accomplish the activities in an efficient and effective way. The scope of the project is to manage the entire operational activities and allow every staff to manage and have access to the data and information for 24*7 without any disturbance.

Sl. No.	Stakeholder	Roles and responsibilities
1	Project manager	Manage the project constraints and roles of other stakeholders in an efficient and effective way
2	System analyst	Analyse the system requirement and user requirement for the instalment of an efficient system (Omar and Gomez 2016)
3	Business Analyst	Analyse the business requirement and identify the best approach that can reduce the investments and increase the budget of the project
4	Market analyst	Analyse the current status with the t market environment and the competitors in the market and propose an efficient strategy that can allow the ICF to cope competitive environment.
5	Software engineer	Develop and install the system that can allow the management and delivery of the system that can allow the efficient and effective management of the operational activities (Junnarkar and Verma 2017).
6	Staffs of ICF	The installed system will be used by the staffs and provide the necessary feedback that can allow the improvement of the system.
7	Local community’s children	They will be availing better and enhanced services in fast and easy manner.

Sl no	Investigating technique	Usefulness
1.	Questionnaire	Understand the perspective of the users and the developers in association with the organization’s need and requirement.
2.	Survey	Collect the feedback and information of a large crowd at the single platform and analyse them in an efficient and effective manner (Zvezdov and Hack 2016).
3.	Social media	One of the biggest crowd where large numbers of individual can avail the services.

Reflections and Conclusions

The proposition of SAP ERP can allow ICF to manage and operate the operational activities in an efficient and effective manner without altering the output and benefits of the users. The proposed system will be meeting the needs and requirements of every user and allowing them to avail the best and fast way. The proposed timeline, if followed strictly, the project manager can deliver the necessary objectives and goals of the project.

Al-Sabri, H.M., Al-Mashari, M. and Chikh, A., 2018. A comparative study and evaluation of ERP reference models in the context of ERP IT-driven implementation: SAP ERP as a case study. Business Process Management Journal.
Altamony, H., Al-Salti, Z., Gharaibeh, A. and Elyas, T., 2016. The relationship between change management strategy and successful enterprise resource planning (ERP) implementations: A theoretical perspective. International Journal of Business Management and Economic Research, 7(4), pp.690-703.
Haddara, M., 2018. ERP systems selection in multinational enterprises: a practical guide. Determinants of analytics-based managerial decision-making.
Holub, I. and Bruckner, T., 2016. Measuring complexity of SAP systems. Complex Systems Informatics and Modeling Quarterly, (8), pp.60-67.
Junnarkar, A.R. and Verma, A., 2017. Study on System Application Product (Sap)–an Important Enterprise Resource Planning Tool For Achievement of Organisational Vision, Mission And Operational Performance.
Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.
Larson, E.W. and Gray, C.F., 2015. A Guide to the Project Management Body of Knowledge: PMBOK (®) Guide. Project Management Institute.
Omar, K. and Gómez, J.M., 2016, November. A selection model of ERP system in mobile ERP design science research: Case study: Mobile ERP usability. In Computer Systems and Applications (AICCSA), 2016 IEEE/ACS 13th International Conference of(pp. 1-8). IEEE.
Otieno, W., Cook, M. and Campbell-Kyureghyan, N., 2017, October. Novel approach to bridge the gaps of industrial and manufacturing engineering education: A case study of the connected enterprise concepts. In Frontiers in Education Conference (FIE)(pp. 1-5). IEEE.
Sumner, M., 2018. ERP Project Retrospectives—55 Enterprise Systems: Evaluating Project Success, Lessons Learned, and Business Outcomes.
Zschieck, C., Weiss, F. and Wirz, P., 2016, August. Towards a framework for overcoming the challenges of a sustainable ERP education at higher education institutions in sub-Saharan Africa. In Emerging Technologies and Innovative Business Practices for the Transformation of Societies (EmergiTech), IEEE International Conference on(pp. 218-221). IEEE.
Zvezdov, D. and Hack, S., 2016. Carbon footprinting of large product portfolios. Extending the use of Enterprise Resource Planning systems to carbon information management. Journal of Cleaner Production, 135, pp.1267-1275.