Technology Project Plan

In the Business Requirements Analysis the first steps were taken to develop the web sites and online functionalities for Binkington Industries. This included implementing a web site with catalog sales functions, customer service tools, and the development of online advertising tools. The use cases identified the importance of these tools, and the steps to get the site created and functional.

The following includes the roles that several elements will play within the use cases. This includes database roles, programming, and networks. As well as an analysis of security and business risks involved with the proposed solutions. Tools of projected financial plans and metrics will help to support decisions.

Databases

"A database is a collection of data that is organized so that its contents can easily be accessed, managed and updated. The most prevalent type of database is the relational database, a tabular database in which data is defined so that it can be reorganized and accessed in a number of different ways. A distributed database is one that can be dispersed or replicated among different points in a network." (www.lanyon.com)

A database will be the first tool implemented in the effort to get Binkington Industries into the market and on the Web. The company product inventory and all customer order information will be included on a database that will provide the customers and any employees with an easily accessible information tool. Inventory levels will stay current and accessible, or a customer would be able to track how their order is being shipped at where it is at in the process.

Fortunately, the database would also provide substantial insights into what products are selling best, how efficient the ordering process is and how quickly customers are receiving orders. This type of data would provide credible information for use in future product, process or service project plans; as well as information that can be used to keep on top of issues or make changes to the current business model.

Programming

Once the database has been set up and is functional, the web site must be programmed to share the necessary information with the database, not to mention create the order, invoice, take the payment and communicate what needs to be shipped and where.

As a brand new organization, it is important to program a web site that is user friendly and inviting to the customer. One of the issues that must be considered includes, "In field studies where we visited people's homes, workplaces, and school environments, we discovered that many people work on old hand-me-downs or donated equipment that runs slowly and doesn't have the required plug-ins and applications to take advantage of advanced features. For example, many sites designed for children and teens offer multimedia and interactive features, but because young people often use old or borrowed computers, they don't benefit from these features. For this reason, make sure to provide alternative content for your users who lack access to the multimedia." (Web Reference, 2006)

Another important idea is to underestimate the customer's technical knowledge. This says nothing against the customer, it is simply more important to keep the site simple and not require any extra downloads or software that might scare potential customers. Thee most important aspect of programming the site is to create an attractive and usable site.

Networks

On a basic level, networks are an incredibly useful tool for any organization. Networks allow them opportunities for improved communication and more efficient job processes. An article on the Business Link web site states that you can improve communication through networks so that, "staff, suppliers and customers are able to share information and get in touch more easily, more information sharing can make your business more efficient - e.g. networked access to a common database can avoid the same data being keyed multiple times, which would waste time and could result in errors; as staff are better equipped to deal with queries and deliver a better standard of service as they can share information about customers." (Computer Networks, 2006)

Fortunately, networks can also help an organization to reduce costs, improve efficiency and reduce the occurrence of errors. Since all information is located in one single source, staff, customers and IT professionals can be on the same page. For Binkington Industries, networks will be an incredibly useful tool to manage customer orders and inventory. In cooperation with the database, the network will be our most important tool for ensuring timely customer service and offering consistent quality.

Obviously, Binkington Industries will include internet networks to provide connectivity with the customers. An intranet would also allow the company and its employees to have access to important information and be able to communicate efficiently and privately.

Use Cases in Systems Analysis and Design

A use case creates what is probably the most important step in publishing a Web site, or in any business development for that matter. A use case helps the organization to define goals. David Warlick with "Technology and Learning" explains that "To establish your goal(s), you need to ask and answer two key questions: Who will visit your Web site? How can your Web site visitors help you do your job?" (2002)

The most important aspect of a use case is that it is a tool to effectively lay out how to implement an analysis of the present and future systems. It also includes a design process. The use case is effective in evaluating every single step in the process and creating alternate designs, just in case they are needed.

Internal and External Stakeholders

Binkington Industries is a simple start-up company. At this level, there are no external stakeholders. While that does free up the company to not be required to answer to a board of directors, or group of shareholders, it doesn't decrease the level of risk that will be placed squarely on the sole provider of the organization.

Since the internal stakeholders are providing the capital and the initial workforce, they are also taking on the full responsibility of the company. They will be impacted greatly by how effectively the technology implementations happen. Quick and efficient implementation will reduce the risks and put Binkington Industries on the right path to success quickly.

Risks

"Business impact analysis should be able to identify loss of revenue; loss of customers; business credibility; and an inability to recover. Many firms will be aware that this business credibility may include not only customers and suppliers but also other business partners who are influenced by a failure of systems. Organizations should consider every option in trying to take some of the risk out of the system development process." (Maguire, 2002)

Right off the bat, Binkington Industries needs to be considering the five major risks that affect every organization; including growth risk, technology risk, marketing risk, financial risk and team and management risk.

The Microsoft web site pays out a few basics that are incredibly useful for minimizing potential online risks. "First, you need a firewall. Firewalls are security gateways that filter what comes into your network and control what your computers send out. But don't just leave it at that. Set your own business security policy to govern and control who has access to what internally and what they can do externally. Update your security regularly with all the latest online add-ins to keep you current. You can also protect your website and customer transactions using digital certificates. With a digital certificate on your website, you can prove your authenticity and reassure your customers, helping to protect any data transmission from hackers, and help maintain the integrity of data being passed to and from your website." (Microsoft, 2006)

Projected Costs

Binkington Industries is being completely funded by the founders. The company is starting from very meager beginnings but has great hope for the future. The following table demonstrates the technology budget that the founders have set for the implementation of Binkington Industries from idea to full-fledged online business.

Requirements Estimated Cost

Hardware:
Computer Components (i.e. computer, printer, camera, etc.)
Expanded Hard drive $2,000.00
Software:
Web site development
Database Management
Internet Connection
Intranet Capability
Online "shopping cart" tools $1,500.00
Technical Support $500.00
Budgeted for unexpected or alternate plans $1,000.00
Total: $5,000.00

Net Present Value

Binkington Industries is going to set aside $500.00 a year for use on technology. This could change in the future depending on any needs or if we are able to keep the technology current.

Presently, at a discount rate of 10 percent, for a projected life span of 10 years, with the current budget amount of $4,000.00 to be specifically used. The net present value is -$927.72. However, when performing a sensitivity analysis, different outcomes are entirely possible. With a discount rate of 5 percent, the net present value increases to -$139.13. If Binkington Industries decides to put more money, for example $1,000.00 every fifth year, the net present value is positive. Depending on the technologies available, Binkington could create a technology base that is very reliable and valuable.

Unfortunately, the assumptions that Binkington will be merely a 10 or 15 year project leaves the company at not a great position of value. The actual sales results of the products would be the true driver in the overall value of the company. For the most part, Binkington is going to be extremely product driven, the technology factor is necessary to create an image and create an efficient customer service tool.

Performance Metrics

There are five primary performance metrics that relate specifically to how successful an online business is operating in the confines of the internet. This includes conversion rates, cost per visitor, cost per lead, prospect or referral, cost per customer, and value per visitor. Conversion rate relates to the number of visitors to you site who took a desired action compared to the total number of visitors. Desired action includes a visitor signing up for a newsletter or buying a product.

Cost per visitor relates to how much money the company would spend to drive one unique visitor to your website. Cost per Prospect, Lead or Referral is a little trickier. Website Gear says. "The cost per prospect, lead or referral is the "cost per visitor" times the number of unique visitors needed to produce one prospect, lead or referral. For example, if you spent $100 to drive 1,000 unique visitors to your website and it produced 10 prospects; your "cost per prospect" is $10." (Five Performance Metrics, 2006)

Cost per customer is related to cost per visitor and demonstrates how many unique visitors are required to produce a sale. Finally, value per visitor is a metric that uses several metrics to provide the overall value of each unique visitor to the web site.
These metrics together will give important information into how effective the web site is at attracting customers, and how effective our products are. It's the tangible numbers that will help Binkington Industries plan for the future.