Business Finance – Accounting

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 & Schneider 2016) . The goal is to acquire the best laptop at the best price during the vendor's bids. In these proposals, there are things to be considered. The systems development life cycle describes the life of an information system from conception to retirement (Hoffer et al, 2014). This is important because when making this transaction of purchasing 10 computers, you want to ensure that this investment will be lasting. You want to consider these four phases when making a decision:

1.System planning and selection: In this phase, you identify, plan and select a development project from all possible projects that could be performed. 

2.System analysis:During this phase, you determine requirements. Basically what is needed from the proposed system.

3.System design: During this third phase, the details are chosen such as processing, databases and file.

4.System implementation and operation: This last phase entails software programming and testing.

Knowing these things, its important to understand first hand what the computer capabilities are. Do they fit the organizations needs? If so, is the price appropriate? After all you're buying 10 so this is a big investment. Secondly, in reviewing the proposals, it is crucial to know the software the computer has. Next, consider the cost. Vendors will try to compete for this project because you will be purchasing 10, which means more than likely, they are offering you the best price. Compare prices and find the one that best fits the organizations budget. A very important thing to consider when reviewing these proposals is, what type of customer service do these companies offer and what type of warranty is offered. Will they cover any repairs and how soon? Lastly, when in doubt, check what the customer reviews are on the vendor and computer. It is likely that you will come across reviews that may help in your decision making.

reference:  Valacich, J., & Schneider, C. (2016) Information System Today Managing in the Digital World. Pearson Education.


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