Week 4 Discussion post 2 minimum of 150 words app format
Buying new computers for an organization is an external acquisition process. The goal is to buy the best system at the lowest price.
Normally, the external acquisition is carried out by a competitive bid process, which is a proposal from many different vendors. During this process, at least five general steps needs to be involve. First, system planning and selection, which includes the different proposals for vendors to determine what system better fits the organization’s needs. Second, system analysis, where organization evaluates the expenses and requirements with a specific focus that can cover the specific needs. Third, development of a request for proposal, in which organization let vendors know about their specific needs; for example, how many employers will use the system and vendors let organization know about relevant information offered. Lastly, proposal evaluation which consists of evaluating all vendor’s proposals, research for reviews on particular systems offered ask for opinions and test the system.
To get to do this decision through the external acquisition process, there are many factors to consider and evaluate. In this example, which consists of buying 10 new standard desktop computers, the organization should consider the following:
Computer capabilities: It is important to have a system that can do the work for the specific needs, the better way possible, with good performance.
Computer software: Efficient software that can cover the tasks needed. It is important that it is new and could be updated periodically.
Costs: Try to find the best product at the best price. This includes find for vendors that could offer volume packages, and or lease options (this is a good choice because the system will be always up to date as they would be changed periodically). Also maintenance service should be provided by vendor and is it important to know the associated costs.
Quality: The product should be of good quality.
Support: Look for the vendor that offers customer help in case needed. The system should always be operable. If workers do not know how to use the system, look for providers that could offer training.
Reviews: Try to find the product that is recommended from other buyers and not from those having bad experiences.
Hardware dimensions: Have a product that can be easily fit in the work station for a better comfort and versatility.
As more than one vendor can offer a system that fits the organization needs, a test of the better options should be made. For this respect, they can perform a system benchmarking, which consists of using a standardized performance test on the options and determine which one runs better for the specific work, is more understandable for the users, and more user friendly.
The process of external acquisition (purchasing ten computers), from outside vendors, is said to be much like shopping for a vehicle, you don’t make a purchase at the first dealership (Valacich and Schneider 2016).
Steps in the external acquisition process:
a. System planning and selection; A competitive bid process, where vendors are presented with the opportunity to propose systems that fit the needs of the organization, and organizations are ensuring the best price is secured.
b. Systems analysis; Upfront analysis evaluates expenses, and requirements of the organization. An upfront analysis will reduce time, and provide the salesperson’s a specific focus on customer’s desires.
c. Development of a request for proposal; A document that is used to tell vendors about the specific needs of the organization and for the vendors to share as much information as possible relevant to meet the needs of the organization. Specific needs can include data like, what are the basic functions, and how many individuals will be users.
d. Proposal evaluation; Is to evaluate the proposals of all competing vendors. Test drive a few of the competing vendors, find out as much research as possible, ask prior or existing owners their opinion about the PCs. Even invite vendors to the organization to set up a hands-on test drive. Now you have real simulated data, and a real sense of specific needs; simultaneously reducing the risk factor.
e. Vendor selection; Shop, ask vendors for latest products offered, after receiving this information, reevaluate other offers considered. Then determine which computers fit the needs of the organization.
In addition, comparisons can be performed using the benchmarking system; programs that simulate a systems workload, testing systems that are most critical to the organization, like introducing a more time efficient, space reducing, and energy saving PC (Calacich & Schneider. 2016).
Valacich, J., & Schneider, C. (2016) Information System Today Managing in the Digital World. Pearson Education.