NAME.

REG NO

OCHOLA KIMUTHO. IN17/00081/22

PETER SAGINI. INP17/00016/20

MICHAEL OPIYO. IN17/00083/22

NELLY KEMUNTO. IN17/00026/22

MAGRET WAMBUI. IN17/00036/22

QUESTION ONE

In reference to organization of your choice, identify the various types of business information system
they use and discuss who uses them and what kinds of benefits they deliver to the firm. Further in
your report also give details on the individual information systems operations.

ANSWER;

ORGANIZATION: INSURANCE COMPANY

Insurance companies use various types of business information systems to manage their operations
effectively. Some of the commonly used information systems in insurance companies include:

1. Policy Administration Systems: These systems are used by underwriters, agents, and brokers to
create, update, and manage insurance policies. They handle various tasks such as quoting premiums,
managing policy information, handling endorsements, and issuing policy documentation. The benefits of
policy administration systems include improved efficiency, streamlined policy administration, accurate
record-keeping, and faster policy issuance.

2. Claims Management Systems: These systems are used by claims adjusters and insurance agents to
process and manage insurance claims. They help in recording claims information, documenting losses,
assessing claims validity, and managing the entire claims settlement process. Claims management
systems offer benefits like quicker claims processing, reduced administrative costs, better customer
service, and improved fraud detection.

3. Customer Relationship Management (CRM) Systems: CRM systems are used by insurance agents,
customer service representatives, and marketing teams to manage interactions and relationships with
customers. They track customer preferences, manage sales leads, facilitate cross-selling and upselling
opportunities, and assist in providing personalized customer service. CRM systems help insurance
companies enhance customer satisfaction, improve retention rates, and optimize sales and marketing
efforts.

4. Business Intelligence and Analytics Systems: These systems are used by decision-makers and analysts
to gather, analyze, and interpret data related to various aspects of the insurance business. They provide
insights into customer behavior, market trends, claims patterns, and operational performance. Business
intelligence systems help insurance companies make informed decisions, improve risk management
strategies, optimize pricing and underwriting processes, and identify new business opportunities.

5. Document Management Systems: These systems are used by insurance professionals to store,
organize, and manage documents and records electronically. They streamline document retrieval,
improve information security, and facilitate collaboration among employees. Document management
systems reduce paperwork, eliminate manual errors, enhance document sharing and version control,
and ensure regulatory compliance.

Each of these information systems operates differently based on their specific functionalities. Policy
administration systems typically involve online forms and databases to capture and process policy
information. Claims management systems use workflows and rules engines to automate claims
processing steps. CRM systems employ databases and customer interaction tracking tools to manage
customer relationships.
Business intelligence systems leverage data analysis techniques to derive actionable insights. Document
management systems provide storage and retrieval functionalities for documents.

Overall, these information systems benefit insurance companies by improving operational efficiency,
data accuracy, customer service capabilities, decision-making processes, and competitive advantage.
They enable insurance professionals to streamline their workflows, enhance collaboration, comply with
regulations, and ultimately deliver better insurance products and services to their customers.
QUESTION TWO

Consultancy firm operates on a partial computerized system of their business functions and during
their annual general meeting the management decided to full automate the entire business
operations. The company has engaged you, as an expert to guide them through the development and
implementation of the new system.

Required:

Provide a detailed report on how you intend and will carry out an investigation to inform the
management whether the project is viable and the estimate cost.

Provide a report of the most viable and recommended development method for this case and justify
your selection.

Provide the most critical activities and strategies to be used at the implementation stage

I) Provide a detailed report on how you intend and will carry out an investigation to inform the
management whether the project is viable and the estimate cost.

ANSWER:

Investigation for Project Viability and Cost Estimation:

To determine the viability of automating the company's entire business operations and estimate the
cost of the project, the following investigation steps will be carried out:

a) Understand the Current Business Processes:

Interview the management and employees to gain a detailed understanding of the company's current
manual and partial computerized systems. Identify pain points, inefficiencies, and potential areas for
improvement.

b) Identify Project Objectives and Requirements:

Discuss with the management their vision and goals for the automated system. Identify the key
requirements, such as improved process efficiency, scalability, data integration, reporting capabilities,
and any specific functionalities needed.

c) Identify Potential Solutions:

Research and evaluate various off-the-shelf software and cloud-based solutions that can meet the
company's requirements. Assess their features, functionalities, scalability, ease of integration, and cost.

d) Conduct a Feasibility Study:

Analyze the potential benefits, risks, and challenges associated with adopting an automated system.
Evaluate the technical feasibility, economic viability, and organizational readiness for the project. Assess
the potential return on investment (ROI) and payback period.

II) Provide a report of the most viable and recommended development method for this case and justify
your selection.
e) Estimate Project Cost:

Based on the identified requirements and potential solutions, estimate the total project cost. This
includes the cost of software licenses, hardware, infrastructure setup, customization, data migration,
staff training, and ongoing maintenance and support.

Most Viable Development Method:

Based on the investigation, the most viable and recommended development method for this case is the
implementation of an off-the-shelf Enterprise Resource Planning (ERP) system. Justification for this
selection:

a) Comprehensive Solution: ERP systems are designed to automate and integrate a wide range of
business functions, making them suitable for the company's goal of automating their entire business
operations.

b) Scalability: ERP systems can easily scale as the company grows, enabling future expansion and
accommodating changes in business processes.

c) Integration Capabilities: ERP systems come with pre-built integration features, allowing smooth data
flow between different departments and functions. This will eliminate data silos and improve overall
efficiency.

d) Customizability: While off-the-shelf ERP systems may require some level of customization, they
provide a solid foundation and can be tailored to meet specific business needs.

e) Vendor Support and Updates: Implementing an ERP system from a reputable vendor ensures regular
updates, security patches, and ongoing support to address any issues or changes in technology.

f) Cost-Effectiveness: Compared to developing a custom-built system, an off-the-shelf ERP system

typically offers a faster implementation time and lower overall cost. It also eliminates the need for hiring
a dedicated software development team.

III)Provide the most critical activities and strategies to be used at the implementation stage

a) Project Planning: Develop a comprehensive project plan detailing the timeline, milestones, and
resource allocation. Identify key stakeholders, roles, and responsibilities.

b) Data Migration: Develop a strategy for migrating data from the existing systems to the ERP system.
This includes data mapping, cleansing, and validation to ensure data integrity.

c) Change Management: Implement a change management strategy that includes communication plans,
training programs, and engagement with employees to ensure a smooth transition and adoption of the
new system.

d) System Configuration and Customization: Work closely with the ERP vendor to configure the system
according to the company's requirements. Identify any areas that require customization and prioritize
them based on criticality.

e) Integration and Testing: Integrate the ERP system with other existing systems, such as CRM, POS, and
HRIS, ensuring seamless data flow between different functions. Conduct rigorous testing to ident.