Objectives: Introduction Over View of System Analysis and Design



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10.5.2 Options to In-House Systems
Less common options for computer support include the use of service bureaus or facilities management companies. A service bureau is a company that owns computer facilities and makes them available to users fora charge. The user submits data for processing, which is performed at the service bureau on the bureau’s computer systems. In some cases, organizations interact directly with the computer though terminals located in users offices. There is usually a monthly cost plus a charge that varies according to the amount of time the user is in communication with the system. Additional fees maybe charged for storing data, mounting magnetic disks and tapes, or printing pages. Some service bureaus provide data processing service. The bureau prepares the data for input, handles all processing, and may even provide pickup and delivery service. Custom programming is available for charge. The use of service bureaus is very common in accounting and payroll applications. Often, firms that want automatic data processing services in these areas but that do not want to purchase equipment or hire systems personnel will contract with a service bureau. However, as computer costs continue to drop and high – quality commercial software is available the reliance of some firms on service bureaus may change. Facilities management companies provide a service to companies that wish to develop information systems capabilities but that prefer not to maintain a staff of operators, analysts, and programmers. Under this option, the user organization may purchase a computer system and then contract with a facilities management firm to operate the computer and provide service on the organization’s premises. The facilities management company provides the information systems expertise and personnel fora

fee. It also develops software or acquires commercial software to meet the organization needs. Through facilities management, an organization can obtain professional information processing and service without investing time and resources in managing a systems staff, while still receiving the benefits of owning a computer system.

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