Database Reference
In-Depth Information
Materials and Supplies.
Do not overlook costs for supplies and materials. Make a
provision for these costs in your estimation.
Ongoing Costs
Once a specific item is purchased, that item attracts ongoing
costs. Hardware will have to be maintained; software upgrades will be essential; per-
sonnel costs continue. Ongoing costs begin during the various phases of the project
itself. When the project is completed and the database system is deployed, many of
the costs continue. Personnel costs to administer and manage the database system
continue beyond the implementation phase.
Estimate ongoing costs for the following items:
•
Hardware maintenance
•
Software upgrades
•
People
•
Support system
•
Training
•
Materials and supplies
Assessment of Benefits
Not all of the benefits of a database system are derived directly. In other words, it
is hard to estimate many of the intangible benefits although such benefits empower
the users and produce great positive impact on the business. Unlike the estimation
of costs, assessment of benefits poses difficulties. The general method consists of
coming up with estimated numbers for tangible benefits and explicitly expressing
every intangible benefit in the feasibility study report.
A database system results in cost savings in several areas. Make a list of the cost
savings. Compare your current data environment with the proposed environment
and assess all possible cost savings. How will the proposed database system make
collaboration among the various departments easier? What synergies will result
from information sharing? How will the proposed system improve customer
service? How easy will it be to get all information from one data source? Consider
such questions to produce a list of intangible but significant benefits.
Intangible Benefits
Data consistency.
A database system contains consistent data values. For a partic-
ular data item, the same data value exists irrespective of who retrieves the data.
Your organization will present consistent data values in the documents sent to cus-
tomers and business partners.
Data integrity.
It is possible for a database system to enforce edits and checks for
data entered into the database. The database system expects to store more reliable
and correct data.
Data availability.
Data backups and recovery procedures are more standardized in
a database environment.
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