Page 460 - Using MIS

MyMISLab ™

Improve Your “India is a long way away. What if he gives our code to somebody else? Or
Grade! our ideas? What if we find some horrible bug in his code, and we can’t find
Over 10 million students him to fix it? What if he just disappears? What if he gets two-thirds done and
improved their results using then loses interest . . . or goes to work on someone else’s project?” Jared is on
the Pearson MyLabs. a roll.
Visit mymislab.com for “All are risks, I agree. But it will cost you four to six times as much to develop over
simulations, tutorials, and here.” James starts to list risks on the whiteboard.
end-of-chapter problems. “Well, it’s been my experience that you get what you pay for in this life . . . ”
“You want me to find some local developers we can outsource to?” James thinks
local development is a poor choice but wants Jared to feel comfortable with the
decision they reach.
“Yes, no, I mean no. I don’t think so. How’d you meet him?”
“At a conference when he was working for Microsoft in its Hyderabad facility. He was
programming SharePoint cloud features. When the iPad took off, he left Microsoft and
started his own company. That’s when I hired him to build the iOS app.”
“That worked out OK?” Jared wants to be convinced.
“Yes, but it was one of his first jobs . . . he had to get it
right for us.”
“What do you think? What do you want to do?”
“I don’t know James ponders the questions. “Well, I think the biggest
anything about risk is his success. You know, the restaurant that gets the
doing business great reviews and then is buried in new customers and the
kitchen falls apart.”
in India.” “Doesn’t he have more employees now?”
“Yes, he does, and I know he’s a good developer, but I
don’t know whether he’s a good manager.”
“OK, what else?” Jared is all business.
Source: Bizoo_n/iStock/Thinkstock/Getty Images
“Well, Android development is different from iOS, which is
what he used for the iPad. I guess I’d say inexperience with this
dev environment would be another risk factor.”
“What about money?”
“Well, like I said, we structure the agreement so we don’t pay much until we
know it all works.”
“So what else do you worry about?” Jared wants to get all of James’s concerns
on the table.
“Loss of time. Maybe he gets distracted, doesn’t finish the app, or hires someone
else to do it, and they can’t. And September rolls around and we find that, while we’re
not out any real money, we’ve lost most of a year of time.”
“I don’t like the sound of that.”
“Neither do I,” James responds while he adds schedule risk to the list.
“You think maybe we should bite the bullet and hire our own programmers?”

Study QueStionS

Q1 What are the functions and organization of the IS department?
Q2 How do organizations plan the use of IS?

Q3 What are the advantages and disadvantages of outsourcing?
Q4 What are your user rights and responsibilities?
Q5 2025?
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