Systems development and

documentation techniques

Unit: 3

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 System Documentation

 Documentation of an AIS explains how the system operates

and is therefore a vital part of any accounting system.

 It further describes the tasks for recording accounting data,

the procedures that users must perform to operate
computer applications, the processing steps that computer
systems follow, and the logical and physical flows of
accounting data through the system.

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 System Documentation…
 Documentation covers the who, what, when, where, why,
and how of:
 Data entry
 Processing
 Storage
 Information output
 System controls

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 System Documentation…
 Documentation tools includes the following:
 Narratives (written descriptions)
 Diagrams (DFD)
 Flowcharts (document, system, program)
 Other written material

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 Data Flow Diagram

 A data flow diagram (DFD) graphically describes the flow

of data within an organization.
 It is used to:
o Document existing systems, and
o Plan and design new ones.

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 Data flow diagrams…
 A data flow diagram consists of four basic elements:

Data sources and destinations

Data flows

Transformation processes

Data stores

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 Data flow diagrams…
Example of a data flow diagram
for a customer payment process.
Accounts
Receivable

Customer Remittance Receivables

payment 1.0 2.0
data Information Credit
Customer Process Update
Payment A/R Manager

Deposit

Bank
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 Data flow diagrams…
 Subdividing the DFD
 Subdividing the DFD may be necessary because most
systems can not be fully diagrammed on one sheet of
paper, and users may require differing levels of detail.
 Consequently, DFDs are subdivided into successively
lower levels to provide increasing amounts of detail.

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 Data flow diagrams…
 The highest level DFD is called a context diagram.
 It provides a summary-level view of the system.
 It depicts a data processing system and the external
entities that are:
Sources of its input
Destinations of its output

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 Data flow diagrams…
Govt.
Depart- Agencies
ments

Payroll Employee checks

Employees
Processing
System

Bank
Human
Resources

Example of a context diagram for a Manage-

payroll processing system ment
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 15 Guidelines for Drawing a DFD
1. Understand the system. Observe the flow of information and
interview people involved to gain that understanding.
2. Ignore control processes and control actions (e.g., error
corrections). Only very critical error paths should be included.
3. Determine the system boundaries—where it starts and stops.
If you’re not sure about a process, include it.
4. Draw the context diagram first, and then draw successively
greater levels of detail.
5. Identify and label all data flows. The only ones that do not have
to be labeled are those that go into or come out of data stores.
6. Data flows that always flow together should be grouped
together. Those that do not flow together should be shown on
11 separate lines.
 15 Guidelines for Drawing a DFD…
7. Show a process (circle) wherever a data flow is converted from
one form to another. Likewise, every process should have at least one
incoming data flow and at least one outgoing data flow.
8. Group transformation processes that are logically related or
occur simultaneously in one circle.
9. Number each process sequentially. A process labeled 5.0
would be exploded at the next level into processes numbered 5.1,
5.2, etc. A process labeled 5.2 would be exploded into 5.21, 5.22,
etc.
10. Process names should include action verbs, such as update,
prepare, calculate etc.
11. Identify and label all data stores, whether temporary or
permanent.
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 15 Guidelines for Drawing a DFD…
12. Identify and label all sources and destinations.
13. As much as possible, organize the flow from top to bottom and left
to right.
14. Refine the DFD, you’re not likely to get it beautiful the first time, so
plan to go through several repetitions of refinements.
15. On the final copy, lines should not cross. On each page, include:
 The name of the DFD
 The date prepared
 The preparer’s name

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 Flowcharts
 A flowchart is an analytical technique used to describe some
aspects of an information system in a:
o clear
o concise, and
o logical manner.
• Flowcharts use a standard set of symbols to describe pictorially
the transaction processing procedures a company use and the
flow of data through a system.

• The three types of flow charts are document flowchart, system

flowchart and program flowchart

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 Document flowcharts
 A document flowchart illustrates the flow of documents
and information among areas of responsibility within an
organization.

 Document flowcharts trace a document from its

beginning to its end.

 Thus, they show where each doc originates, its

distribution, the purposes for which is used and
everything that happens as flows through the system.

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 System flowcharts

 System flowcharts depict the relationship among the system

input, processing, storage and output.

 They begin by identifying both the inputs that enter the system
and their origins.

 The input can be new data entering the system, data stored for
future use or both.

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 Program flowcharts

 Program flowcharts illustrates the sequence of logical operations

performed by a computer in executing a program.
 Logical operations are coded instructions fed into a computer,
enabling it to perform specified logical and arithmetical
operations. E.g:
 Field checks,
 limit checks,
 Range check
 Redundant data checks

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 Flowchart symbols
 There are four types (groups) of flowcharting symbols:
 Input/output symbols
 Processing symbols
 Storage symbols
 Flow and miscellaneous symbols

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 INPUT/OUTPUT SYMBOLS

 Document Symbol
 Represents a document or report that is prepared by hand or
printed by a computer.

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 INPUT/OUTPUT SYMBOLS…
3
2
1

 Multiple Copies of One Document

 Indicates multiple copies of a paper document or report.
 The document copies should be numbered in the upper, right-hand
corner.

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 INPUT/OUTPUT SYMBOLS…

 Electronic output
 Represents information displayed by an electronic output device
such as a terminal, monitor, or screen.

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 INPUT/OUTPUT SYMBOLS…

 Electronic data entry

 Represents data entry by an electronic device such as a terminal,
tablet, computer or cellphone.

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 INPUT/OUTPUT SYMBOLS…

 Electronic input and output device

 This symbol is used to show an electronic device that is used for
both data entry and output.

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 PROCESSING SYMBOLS

 Computer Processing
 Represents a process performed by a computer, which usually
results in a change in data or information.

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 PROCESSING SYMBOLS…

 Manual Operation
 Represents a processing operation that is performed manually.

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 STORAGE SYMBOLS

 Database
 Represents data stored electronically in a database.

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 STORAGE SYMBOLS…

 Journal/Ledger
 Represents paper-based accounting journals or ledgers

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 STORAGE SYMBOLS…

 Magnetic Tape
 Represents data stored on a magnetic tape.

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 STORAGE SYMBOLS
A

 File
 Represents a file of documents that are manually stored and
retrieved.
 Letter indicates the ordering sequence:
 A = Alphabetic order
 D = Date order
 N = Numeric order

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 FLOW AND MISCELLANEOUS SYMBOLS

 Document or Processing Flow

 Represents the direction of processing or document flow.
 Normal flow is top to bottom and left to right.

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 FLOW AND MISCELLANEOUS
SYMBOLS…

 Communication Link
 Represents the transmission of data from one location to another via
communication lines. (can be wireless)

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 FLOW AND MISCELLANEOUS SYMBOLS

 Decision
 Represents a decision-making step.

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 System & Program flowcharts

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 System Development
 Systems development is the process of creating and
maintaining information systems.
 Companies develop/change their information systems for the
following reasons:
 Change in user or business needs
 Technological change
 Improved business processes
 Competitive advantage
 Productivity gains
 System integration

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 System Development Strategies

 Purchasing Software - off-the-shelf software, turnkey

system and application service provider
 In-House system Development
 Outsourcing the System – Hiring an outside company to
handle all or part of an organizations data processing
activities.

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 System Development Key-players
 The key players involved in the development and
implementation of an AIS are:
a) Management – to align systems with corporate strategies
and to provide leadership, financial resources and human
resources.
b) Users – to communicate their information needs and may be
part of the steering committee or project development team.
c) IS Steering Committee – to plan and oversee the
information system functions by setting AIS policies and
ensuring management participation.
d) Project Development Team- to plan and monitor the
project to ensure timely and cost-effective completion.

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 System Development Key-players…
e) System Analyst and Programmers – to write and test
programs based on specifications that meets the user needs.
f) External Players – external auditors, governmental
entities, customers and vendors may also play a role in system
development.

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 System Development Life Cycle (SDLC)
 The five-step process used to design and implement a new system
is referred to as the System Development Life Cycle (SDLC)
1. System Analysis ( Investigations, surveys, feasibility
studies, system requirements and analysis report)
2. Conceptual Design (Deliver conceptual design
requirements)
3. Physical Design (Deliver developed system)
4. Implementation and Conversion (Deliver operational
system)
5. Operations and Maintenance (Deliver improved
system)

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