Name: ZUBAIR AKRAM

10A2-311004 Foundation of Engineering -IPAGE

QUESTION-No.1:

What do you understand by the term Technology Acquisition? Discuss advantages of acquiring technology compared to building technology.

Answer:-Technology Acquisition- Acquiring new technology to sustain or enhance your business can be one of the most critical activities your business engages in. It is often left to the vendors of those technologies to define and quantify how your business will benefit from the often substantial capital outlays required. Through our technology acquisition services, we can help ensure that the benefits expected are the benefits derived.

Key Benefits: Quantify the business requirements for the technology

Determine the key vendors

Rank the vendors against the technology requirements

Recommend the technology and vendor

Assist in acquisition negotiations

Review technology implementation plans

1) The Life Cycle of Technology

We understand the life cycle of technologies and the fact that these life cycles are continuing to shorten as the pace of technological innovation increases. We can recognize when a technology is ready to go mainstream giving a maximal return on investment. We also recognize an "end-of-lifer".2) The Benefits versus the Costs of a 1.0 Technology

Acquiring the latest technology has its benefits and its associated risks. We can help identify both the potential benefits as well as the concomitant risks. And then put those benefits and risks into a financial perspective.3) We understand the Technology Sales Cycle

We can help identify the proper negotiating approach to ensure that both you and your vendors have a successful experience. We have seen all of the sales outcomes - "lose/lose", "win/lose", "lose/win" and "win/win". We can help you win in your negotiations.Technology plays a key role in most enterprises, however it doesnt always make sense to tie up valuable working capital on equipment that can be superseded rapidly.

4) Leasing can provide advantagesRather than purchasing technology-based equipment like phone systems, computers and peripherals, there can be advantages to leasing them. There are two main types of lease available to business operators: finance leases, and operating leases.

Broadly speaking, a finance lease lasts for a defined period, with a residual payment due at the end of the lease term. As the lessee, you may be able to purchase the asset outright by paying this residual, or simply transfer the lease to a new piece of equipment.

By contrast, an operating lease involves renting your equipment for a set period, generally without any intention of owning it. As a plus, you may be able to upgrade the equipment before the lease expires. Unless the technology you are purchasing is of significant value, it is likely you will be offered an operating lease.

One of the key advantages of leasing rather than owning business equipment is that it lets you meet the cost of an item over an extended period using regular lease payments rather than making one large payment upfront. This allows for better cash flow management, letting you conserve working capital for other aspects of the business including possible expansion.

From a tax perspective, there are significant differences between leasing and purchasing equipment. Lease payments are generally fully tax deductible, and so can be used to reduce the ventures tax bill. When equipment is owned rather than leased, your tax deduction is limited to an annual depreciation claim at rates set by the Australian Taxation Office.

One further plus of leasing over buying is that responsibility for maintenance of the item often rests with the owner (or lesser), not you (the lessee).This can save you a lot if your equipment malfunctions.

On the downside, it is likely to be a condition of any lease that you take out insurance for the item, though it is wise to have all your business equipment insured irrespective of whether it is leased or owned.

As there are pros and cons associated with both purchasing and leasing business equipment, it is worth speaking with your accountant to determine which option is best for your particular business. If you do choose to lease, give careful consideration to the lease term. It is usually far cheaper to extend the term rather than arrange an early termination of the lease.

QUESTION-No.2:

Differentiate between a Project Plan and a Project Schedule. Discuss various requirements that need to be defined in planning phase of technology acquisition project.

Answer:-Difference between Project Plan & Project Schedule:Project plans and project schedules are two of the main documents used to successfully guide a project to completion.1) Project PlanThe project plan is the formal document used to define the manner in which the project will be managed and guided. Project plans provide the necessary actions to define and coordinate the entire subsidiary plans included within the project plan.2) Project ScheduleA project schedule is a series of tasks and associated dates for a given project. Its main purpose is to show the time line over which a project will be completed, including start and end dates for tasks.Project Plan Components:

The project plan can be described as a series of plans within a plan. This document depicts the different plans required for a project including the risk plan, communications plan, and resource plan. Additionally, stakeholders are often defined, and business objectives are detailed. The Project Management Office for an organization usually provides the required template.Project Schedule Components:

Project schedules are composed of a hierarchy of activities and tasks with associated dates, which are then characterized by the duration of the project. Often the amount of resources and estimates are incorporated into the schedule and often represented by a Gantt chart.Tools:Many tools exist in the project management industry to help create project plans and project schedules. Project plans are often a document created with a word processing tool and distributed to the project stakeholders. Project schedules are often created as part of a project management software suite or standalone scheduling tools such as Microsoft Project.The planning phase for Project:

The planning phase for Project technically begins during the Initiation Phase of the Project Management Life Cycle, when consideration is given to overall scope, budget and schedule. During the Initiation Phase, the Project should consult with the OSI Procurement Center for preliminary guidance and direction on the development of their State and The Planning Phase for the Acquisitions Life Cycle begins when all State and Federal approvals to proceed with the project have been secured and the project is ready to procure a new system or refresh an existing system. IEEE Standard 1062, 1998 Edition, provides the framework for all activities conducted during this phase. The key steps in the Planning phase include planning and obtaining approval of the overall acquisition strategy through the Information Technology Procurement Plan (ITPP) approvals, developing requirements and building them into the Request for Proposal, and determining the evaluation and selection criteria that will be used to determine the contract awardee. The Procurement Center Staff will lead the Acquisition Team through this phase. The phase ends with the release of the RFP. There are different schools of thought when considering a phased approach to project management. Some may claim there are 3 phases to a project while others say its 5. All in all its reasonable to adopt the most suitable approach depending on Industry type or project scope. The management of a project is solely based on the basic idea that a project goes through a number a phases characterized by a distinct set of activities or tasks that take theprojectfrom conception to conclusion. Projects may be big or small, constrained by cost and time often complex and therefore it is important to take a structured and defined approach to managing them through their entire lifecycle.Lets take a look at the 5 phases: Project InitiationA project is formally started, named and defined at a broad level during this phase. Project sponsors and other important stakeholders perform their due diligence on whether or not to undertake a project, or choose to undertake one project over another. Depending on the nature of the project, feasibility studies are conducted or as it may require, in an IT project requirement gathering and analysis are performed in this phase. Project Planning

It is during this phase that a project management plan is developed all comprehensive of individual plans for cost, scope, time, quality, communication, risk and resources. Some of the important activities that mark this phase are -making WBS, development of schedule, milestone charts, GANTT charts, estimating and reserving resources, planning dates and modes of communication with stakeholders based on milestones, deadlines and important deliveries. Projects have identified and unidentified risks that may affect aspects of projects in later stages, hence a plan for managing these risks should they happen is determined. Risk management planning includes risk identification and analysis, risk mitigation approaches and risk response planning.

Project Execution

In the execution phase, the project deliverable is developed and completed, adhering to the plan as developed in the previous phase. The project execution and project monitoring and Control are the 2 phases that mostly occur simultaneously. A lot of project management tasks during this phase capture project metrics through tasks like status meetings and project development updates, status reports, human resource development and performance reports. Project Monitoring and ControlThis phase mostly deals with measuring the project performance and progression with respect to the project management plan. Scope verification and control to check and monitor for scope creep, change control to track and manage changes to project requirement, calculating key performance indicators for cost and time are to measure the degree of variation if any and in which case corrective measures are determined and suggested to keep project on track. Project Closure

A project is formally closed in this phase. It includes a series of important tasks such as making the delivery, relieving resources, reward and recognition to the team members and formal termination of contractors in case they were employed on the project.

Planning:At the onset of a project, you establish the plan first. The project plan focuses on the big picture, the ideas and ideals of the project goal overall. Think of it as a cloud of options all leading to the same goal. The project schedule can only be put into place after the plan has been accepted and understood by all parties working on it. The schedule deals with specifics, dates and duration, and assigns each member of the team concrete tasks to be completed at certain points.Organization:The project plan is organized in outline form with a clearly stated goal at the top of the plan. After that, define the scope of the project; determine how many people you'll need to pull it off and estimate the costs, balancing them with end profits. Establish a budget. After you determine these main factors, start scheduling. Determine each individual's roles and responsibilities. Divide the plan up into small tasks, each with its own due date for completion and assign someone to be in charge of each task. A schedule is in large part estimation. As difficulties arise, they may necessitate changes in the schedule. The schedule is fluid, whereas the project plan is stable.

Setup Tools:A project plan contains a series of components within the main plan, including sections devoted to quality, risk assessment, communications, procurement and improvements. This entire arc can be visualized by using simple documents with any word processing program. The project schedule usually relies on software such as Microsoft Project, Basecamp or Intuit Quick-Base. A favored method of scheduling uses Gantt Charts, which are bar charts that show the start and finish dates of tasks within a project, while illuminating the different elements' relationships and connections to each other.Implementation:Set the plan into motion, using the specifics of your schedule. At this early stage, the two work hand in hand. As difficulties arise, make sure your workers have all resources available to them to troubleshoot on their own. They'll need to take into account the availability of necessary tools, undesirable outcomes and inefficiency from outside sources. All these can cause potential delays. As setbacks crop up, you'll need to adjust the schedule, but you only need to change the plan if something you outlined has become impossibility.Good communication between all parties involved is necessary. As you manage the team, determine how firm and involved they need you to be. If your workers are competent, the plan should direct them as to the content of the project, and the schedule should alert them to the structure.

QUESTION-No.3:

Prepare an LOI (Letter of Intent) for acquiring technology for a departmental store point of sale system. You are required to send this letter to head of sales organization of vendor/s.

Answer:-

LETTER OF INTENT

[24-May-2015]

Seller [1]

Seller [2]

. . .

Seller [8] Ladies and Gentlemen: This will set forth the preliminary intention of the parties as to general terms upon which Head of Sales would consider acquiring from you ("Sellers") all the outstanding capital stock of ("Company"). 1. Upon the closing of the sale, Buyer would acquire all of the capital stock of Company from the shareholders of Company in exchange for an aggregate payment at closing of in cash, subject to adjustment, and promissory notes of Buyer in the aggregate principal amount of $__________. Each Seller would receive cash equal to $_________ per share owned, subject to adjustment, and a promissory note in the principal amount of $________ per share. Our willingness to consider this proposed transaction is conditioned on the willingness and eventual agreement of all shareholders of the Company to sell on terms acceptable to Buyer. 2. As promptly as practicable and in any event by _________, Buyer's counsel will prepare an initial draft of a definitive stock purchase agreement ("Purchase Agreement") and other related agreements for review by you and your counsel. The draft Purchase Agreement will provide for customary representations and warranties, covenants, conditions to closing, escrows, and indemnities. The parties will endeavor to negotiate and execute a final definitive Purchase Agreement on or before and to close the sale on or before _________. The parties anticipate that prior to the execution of any definitive Purchase Agreement, Buyer will have the opportunity to conduct due diligence of the Company and you will have the opportunity to conduct due diligence of Buyer. 3. It is understood that before the parties would consider entering into a definitive Purchase Agreement, (a) Buyer shall have been satisfied with the results of its due diligence investigation of Company, and (b) Buyer shall have become satisfied that it is able to borrow $__ million of the cash portion of the purchase price on terms acceptable to Buyer. 4. It is agreed that each party shall bear its own legal, accounting, investment banking, and other expenses in connection with the negotiation, documentation, and closing of the acquisition, whether or not a closing occurs. Any expenses borne by Company would be deducted from the purchase price in the event of a closing. Each party represents that it has not engaged any broker or finder in connection with the acquisition. 5. The parties agree that this letter is merely an expression of intent and neither party is under any legal obligation to the other unless and until a definitive Purchase Agreement is executed, except for (a) the provisions of paragraph 4, this paragraph 5, and paragraph 6 and (b) the From the Model Stock Purchase Agreement, Second Edition. The Prefaces, Preliminary Notes, Appendices, and Commentary to the second edition of the Model Stock Purchase Agreement, Exhibits, and Ancillary Documents are protected under United States copyright law and may not be reproduced in any manner without express permission from the American Bar Association. Notwithstanding assertions otherwise, the Model Stock Purchase Agreement itself and it Exhibits and Ancillary Documents, as they appear in the printed publication and on its accompanying CD-ROM, may be freely reproduced by the reader. Confidentiality, agreement executed by Buyer with respect to the confidential information of Company. 6. It is agreed that any party may cease pursuit of the contemplated transaction at any time for any or no reason. No party is obligated to negotiate in good faith. If the foregoing is in accordance with your understanding, please execute and return the enclosed copy of this letter.

Very truly yours,

________________________________

Buyer

Seller [1] Seller [2] Seller [3] . . . Seller [8]

QUESTION-No.4:What is an RFP? Design an RFP for acquiring technology for a medium sized production unit.

Answer:-

DEFINITION of 'Request for Proposal - RFP':A type of bidding solicitation in which a company or organization announces that funding is available for a particular project or program, and companies can place bids for the project's completion. The Request for Proposal (RFP) outlines the bidding process and contract terms, and provides guidance on how the bid should be formatted and presented. A RFP is typically open to a wide range of bidders, creating open competition between companies looking for work.

Definition#2:A request for proposal (RFP) is a document that an organization posts to elicit bids from potential vendors for a desired IT solution. The RFP specifies what the customer is looking for and establishes evaluation criteria for assessing proposals.An RFP generally includes background on the issuing organization and its lines of business, a set of specifications that describe the sought-after solution, and evaluation criteria that discloses how proposals will be graded. RFPs may also include astatement of work, which describes the tasks to be performed by the winning bidder and a timeline for providing deliverables.Elements of an RFP:Before you circulate your RFP, ensure that it is comprehensive by considering the following elements. Organizational OverviewProvide a short description of your organizations mission and projects. This gives the vendor some background and focus as to the needs of the project. Project GoalsIdentify the programmatic goals of the project. This allows the vendor to see how the project will serve the needs of the organization, and whether it fills a particular niche or program area or is a system that offers general support to numerous organizational goals. Target AudienceDescribe who will be using the project deliverables and how large that audience is. Include any significant technical needs your audience may have. Describe how they will interact with the site, the organization, and each other throughout the project. Project Deliverables and SpecificationsIdentify the major components of the project. Describe the required features and design of each component, along with the support services you will require from the vendor both during development and after the project launch. The more details here, the more accurate the cost estimates will be. For areas where there are few rigid requirements, outline your goals and invite proposals for creative solutions. Project RequirementsDescribe the administrative requirements and guidelines for the project, including completion dates, expectations on project testing and evaluation during development, intellectual property rights, billing requirements, and the maximum price range vendors should bid within. (Note that this price range should be lower than your internal budget for the project. Always allow yourself space to negotiate up if necessary.)Indicate where you want vendors to contribute their own recommended solutions, and where they should adhere to your exact specifications. Proposal FormatDescribe the elements required in vendor bids, such as budget and cost breakdown per deliverable; tasks and timeline chart; staff roles and responsibilities; and vendor description. Outlining these elements ensures that vendors will give you what you want, and allows you to directly compare (and filter out) vendors. Request for ReferencesDescribe what information you require in references, such as how recent or long-term the clients were, what kinds of clients you would like to hear from, what kind of contact information you need, whether they are current or past clients, and so on. Proposal Delivery Instructions and Contact InformationTo whom should proposals be addressed? How many copies should be sent? How should they be delivered (fax, email, mail), and who is the point of contact for phone inquiries? Is this a closed by invite only RFP or open, meaning you allow (or encourage) vendors to share this proposal? Proposal Evaluation TimelineIdentify the vendor selection process and timeline. Consider that vendors may provide useful feedback during phone calls that necessitate changing a part of the RFP schedule this in so bidders know when to expect more clarifications. Adhering to a set process communicates to vendors that you know what you are doing. Vendors often spend non-billable time on proposal writing, so managing their expectations of your process helps build harmoniousrelationships.Designing an RFP for acquiring technology for a medium sized production unit:

Activity Purpose:...

Roles

ResponsibleApprovalConsultInform

Project Sponsorsx

Project Ownersx

Resource Managers

Project Managers*x

Project Teamx

Subject Matter Expertsx

* The ISC representative with whom the client will work and who is responsible for driving the request to a point of approval or denial.Deliverables/Outcomes:REQUEST FOR PROPOSAL:Guidance:What is the attached template?This is a template for a Request for Proposal, or RFP, to be used when ISC-sponsored projects seek to obtain vendors bids to sell us their software. This template is only a guide; sample RFPs are also available on the Administrative Systems LAN.Why do an RFP?A Request for Proposal (RFP) is the way the University requests competitive bids when it intends to acquire a product created by a vendor. By asking each vendor to develop a proposal that contains specific information, bids containing consistent information can be compared with each other, so Penn can make the best possible decision about which product to acquire.

What is the difference between an RFI, an RFS and an RFP?

An RFI, or Request for Information, is designed to collect information from a supplier or vendor with no commitment to engage in any particular project. It is very likely that in an RFI no project details would be provided. Instead the document would focus on the vendor capabilities, skills and experience.An RFS, or Request for Service, is designed to obtain services rather than items such as software or hardware. For example, ISC may be seeking vendors who will provide various kinds of support for software or hardware we currently have.An RFP, or Request for Proposal, focuses on specifying a scope of work that needs to be performed (the RFP) and solicits in response a Proposal from the vendor describing how they would go about executing the project - including pricing information.Using the attached template:This template is designed to be fairly comprehensive. In addition to the specific sections to be included in an RFP, it also includes boilerplate language for the Legal Requirements, administrative Requirements and RFP Terms and Conditions. Some notes about the template RFP:1) Information about, or a description of, each section is provided in brackets, like this

[ ].

2) Sample language that may be included as is or may be revised based on how theRFP will be used is either: a) provided in italics, or b) if longer, provided in an Appendix.

3) Boilerplate language is provided in regular font; this languageshould not be changed.

4) The footer contains some items that should be used in every RFP, such as page numbers, the word Confidential, the Penn logo, etc.

Using the Purchasing Smart-Source system:When distributing your RFP, consider using the Purchasing Services electronic system for obtaining competitive bids: IASTA SmartSource. This system allows the RFP to be distributed to vendors electronically and lets them to respond the same way. It also includes a forum where vendors can post questions related to Penns RFP requirements; Penn staff can then respond, either to all vendors at once or to individual vendors. One issue when using SmartSource: when uploading requirements, SmartSource creates requirement identification numbers automatically. Therefore, although it retains requirements in the correct order, it cannot retain any previously created numbering system unless the numbers are included in the actual requirements.

QUESTION-No.5:

Compare and contrast Vendor Site Demo, Vendor On Site Demo, Vendor Reference Calls and Vendor Customer Site Visits as research methods

Answer:-

VENDOR DEMONSTRATION:(Insert vendor name), hereinafter referred to as the "vendor", is authorized to demonstrate (describe the product or service).A. Location of Demonstration and Product/Service DisplayThis demonstration and product/service display shall be presented to NOAAs (name the line or staff office) in (name of location/building number). (Identify number) of vendor personnel will participate in the demonstration.B. Dates and Duration of Demonstration and Product/Service DisplayThe vendor demonstration is scheduled to occur (date(s) and time); all necessary equipment and other materials shall be transported to and from the demonstration site by the vendor.C. Agreement Terms and Conditions: The parties to this document agree as follows:1) The vendor shall demonstrate the capabilities of (state the product or service). The vendor personnel or personnel using vendor provided equipment will conduct the demonstration. The sole purpose of this product/service display is to demonstrate the aforementioned capabilities of (name of vendor). Government personnel will not endorse the vendor's product.FOR SELECTED VENDOR DEMONSTRATIONS, THE TERMS IN PARAGRAPH 2 APPLY IN LIEU OF THE TERMS IN PARAGRAPH 1 ABOVE WHEN PARAGRAPH 2 IS MARKED AS APPLICABLE.

2) If applicable, the vendor agrees to allow trained Government personnel to use the product described herein for the above stated period, at no charge to the Government. Government personnel will not endorse the vendor's product and will use reasonable care when handling the product.3) Vendors will have sole responsibility for furnishing all supplies, equipment, etc., necessary to accomplish the demonstration, display, or service. On occasion, it may be desirable for the Government to furnish certain supplies and/or equipment from Government assets to support vendor demonstrations. For the demonstration to be performed under this agreement, the Government will provide (describe any Government assets to be provided or enter N/A). In the event Government assets are furnished, the vendor agrees to repair, replace, or fully reimburse the Government for any damage or loss incurred while the supplies and/or equipment are in the vendor's possession or use.4) The vendor demonstration and product display are conducted for the sole purpose of demonstrating product capabilities and not for fulfilling mission requirements for an interim time frame. The examination and demonstration of items or services will in no way, expressed or implied, obligate the Government to purchase, or otherwise acquire, the items demonstrated or displayed. The Contracting Officer is the duly authorized representative of the Government for purposes of this agreement.5) The Government assumes no cost or obligation, expressed or implied, for damage to, destruction of, or loss of any vendor-provided equipment or material used in the demonstration. All risk of loss, destruction and/or loss of property brought onto a government site by vendor shall be solely at the risk of the vendor.6) The vendor is responsible for all food, lodging, and transportation expenses incurred by their personnel as a result of this product demonstration. 7) In return for the opportunity to demonstrate the capabilities of (state the product or service), the vendor agrees not to file any claims against the Government, or any of its authorized agencies, or otherwise seek any form of reimbursement for the use, or compensation for the loss, damage to, or destruction of the product displayed during this demonstration. The vendor agrees to release and hold harmless the United States, the Department of Commerce, and all their employees and contractors from any and all claims or demands resulting from any loss, damage, death or injury, that may arise due to use of the vendor's product or service. Any litigation, if brought, shall be prosecuted exclusively in the Court of Federal Claims.8) The Government is not bound or obligated in any way to give any special consideration to the vendor on future contracts as a result of this demonstration.9) The parties have executed this agreement as of the dates set forth below.

VENDOR: ____(enter vendor name)____________________

By: ___________________________________ Date:___________________

(Signature of Vendor representative)

GOVERNMENT: (enter name of Line or Staff Office)

By: ___________________________________ Date:___________________

(Signature of Government representative)

COUNTRY Name

By: ___________________________________ Date:__________________

(Signature of Contracting Officer)

_____________________________________

(Typed or printed name of Contracting Officer)

Scheduling Vendor Demonstrations:The focus of the system selection phase for EHR implementation should be vendor demonstrations. Vendor demos provide the chance to see the look and functionality of an EHR application. The purpose of the demo is to get an overview of the application and to ask the vendor questions. This document provides helpful hints on planning and attending EHR application demonstrations: A good number of demos to request is somewhere between five and 10. Fewer than five, you probably will not see enough vendors to get a feel for the functionality that exists in the market. With more than 10, and you will probably lose track of the subtle differences among vendors.

We recommend attending the demos of five to 10 vendors, and if you still dont have a good feeling about any of the products, select another group of five to 10 and repeat the process.

Attending demos can be a tedious process. Pace yourself, and try not to see all of the demos in the same week.

When the vendor contacts you to set up the demo, be clear about which products you would like to seeEHR or EHR and practice management system.

The vendor will offer either an onsite demo or a WebEx demo. At this point, either onsite or WebEx demos would be appropriate.

For an onsite demo, youll usually need an Internet connection and a screen or some way for the vendor to present the demo. Be sure to ask the vendor what equipment is needed for the demo.

For a WebEx demo, youll need a telephone with speakerphone, a computer that is connected to the Internet and a screen or some way for everyone to view the demo. Practices vary on which staff members are invited to the vendor demos. At a minimum, the physician champion and practice manager should attend. Ideally, the entire implementation team would be invited to attend the demo.

The demo should last approximately 1.5 hours for the EHR portion. Allow more time for a demo of the EHR and the practice management system together. Come prepared with a list of questions for the vendor (see the Questions for EHR Vendors section for model questions). Ask each vendor the same questions to get a feel for how the different EHRs compare.

Also come prepared with some clinical scenarios or specific workflows for the vendor to walk through. The scenarios will give you a chance to see the EHR in action.

Also ask the vendor to show how certain reporting tasks would be possible. For example, how does the application report on patients with a particular disease, medication, or lab result? Also ask questions with multiple search parameters: for example, how does the application report on patients with diabetes who, within the past year, have had a HbA1C > 9.0%?

During the demo, try not to interrupt the vendor with questions too often. Its sometimes hard not to ask everything that comes to mind, but the vendor will need to pace the demo within the allocated time so you can view all the information. By all means ask questions, but you may want to see a particular function all the way through and then ask questions at the end.

After seeing all the vendor demos and narrowing your choices down to the serious contenders, request references from each of the vendors. These references will be other customers that use the EHR product and have had a good experience. Your implementation team can schedule phone call interviews with these references to get an idea of their experience.

After the product demos and reference phone calls, youll be able to further narrow your list of EHR vendors. Experts say to enter contract negotiations with at least two vendors to provide the necessary leverage to get the best deal. For these remaining few vendors, request references from these vendors for practices that you can visit onsite. These may or may not be the same references called previously for telephone interviews.Scenario to Provide the Vendor:Provide the information below to the vendor so that it is populated before the demonstration. The purpose of this demonstration is to get a good idea of the workflow capabilities of your program, highlighting current meaningful use criteria, the ease of documenting and tracking PQRI quality measures. Please follow the provided scenario as closely as possible. There will be time afterwards to highlight any additional features your software has to offer. The information below should be pre-populated for the vendor demo: Information to be entered During Demonstration:Do not provide this information to the vendor prior to the demonstration but have them enter it during the demonstration to see how the system handles it.Evaluating the Scenario:Use the evaluation matrix to evaluate how each of the vendors do with the scenario. Vendors should be able to walk through this scenario once they have entered the background data provided. Allot time for the vendor to demonstrate other features of interest after the scenario is completed.Instructions: Note difficulties in performing the documentation tasks, and score the ease of each task from 1 (very difficult or time-consuming) to 5 (easy and quick). Make sure to pay attention to the number of mouse clicks and screen changes it takes to complete one task and check for visibility of key information and the intuitiveness of the user interface.Questions for EHR Vendors:These questions address issues other than product functionality. Some of these questions may be important to ask early in the vendor selection process, and others may be more appropriate to ask when choosing between two or three vendors. Vendor Name

Date of Meeting

Name of Sales Contact: Questions about the company:1. How long has your company been in business? How many employees do you have?

2. Of those employees, how many are dedicated to research of new products, sales, and ongoing support? What is the R&D budget?

3. How long has the EHR product been offered. Was it bought from another company? Was the practice management system bought from another company?

4. What were your total sales last year? Last quarter? How many sales people and trainers are assigned to this region?

5. What is your total customer base? What is your total customer base? Of those, how many are new within the last year?

6. Does the company hold regular user meetings?

7. Is your company involved now in any litigation with a customer? Has your company been fired from a job in the past three years?

Interface questions 1. Can your software interface with practice management systems? Lab systems? Is there an added cost for these interfaces?

2. What existing interfaces are up and running?

3. Can I speak with a provider or administrator a clinic presently using these interfaces? Implementation questions:1. Will your company assume all aspects of implementation (i.e., hardware and software)?

2. Does the training occur onsite or at your facilities? Is this training included in the overall cost?

3. Are you willing to be flexible with your training methods (e.g., individual versus group training based on our needs)?

4. Is your software tailored for physician specialties (e.g., ob/gyn)? What sort of customization, if any, is needed for specialties?

5. Describe the process of transition to EHR. What are some of the difficulties? What can I expect?

6. (If interested in voice recognition) Describe how your voice activated system works. How easy or difficult is the transition? Will I need to have an auditor for some time after I move to voice activated notes?

7. At what point in the process does the salesperson transition to implementation specialist?

8. How often will a support person(s) be available once the system goes live, in case of any system difficulties? Technical/maintenance questions:1. What personnel and qualifications do I need to support and operate this system?

2. Does your system include any database reporting tools or special links to popular reporting products that run under Windows? Which ones?

3. Does this system work over the Internet or do I need to purchase a server?

4. Does the system require regularly scheduled (e.g., daily, monthly) down time for backups, system maintenance, etc.? Briefly explain.

5. What safeguards (e.g., fault tolerance, hardware redundancy) are included that eliminates unplanned downtime?

6. What are your data retention capabilities, if any, and recommendations for maintaining history on-line?

QUESTION-No.6:Differentiate between Structured Unstructured Research Evaluation Methods. Which one is better?

Answer:-

In astructured Research Evaluation Methods, each candidate is asked similar questions in a predetermined format. Emphasis tends to be on your past experience and assets you can bring to company. Typically, the interviewer records your answers, which are potentially scored on a standard grid.Unstructured Research Evaluation Methods are much more casual and unrehearsed. They depend on free flowing conversation which tends to focus on your personal qualities as they relate to the work. Questions about skills and strengths can be asked and should be answered as formally as in a structured interview.Unstructured Research Evaluation Methods may be so by design of the interviewer, or may be so due to the spontaneity of the eventyou might find yourself in an unstructured interview after being introduced to a potential employer by a friend, or while dropping off a resume in person at a location in which you wish to work.Conversation and exchange is more important than the particular questions being asked. In such an interview it is important to hold on to the main points you want this employer to hear, and weave them into the conversation. Try to relax in the format be polite, mature and sociable.1- Structured Research Evaluation Methods:The questions are asked in a set / standardized order and the interviewer will not deviate from the interview schedule or probe beyond the answers received (so they are not flexible).These are based on structured,closed-ended questions.Strengths:1. Structured Research Evaluation Methods are easy to replicate as a fixed set of closed questions are used, which are easy to quantify this means it is easy to test forreliability.

2. Structured Research Evaluation Methods are fairly quick to conduct which means that many interviews can take place within a short amount of time. This means a large sample can be obtained resulting in the findings being representative and having the ability to be generalized to a large population.

Limitations:1. Structure Research Evaluation Methods are not flexible. This means new questions cannot be asked impromptu (i.e. during the interview) as an interview schedule must be followed.

2. The answers from structured Research Evaluation Methodslack detail as only closed questions are asked which generatesquantitative data. This means a research will won't know why a person behaves in a certain way.2- Unstructured Research Evaluation Methods:These are sometimes referred to as discovery interviews & are more like a guided conservation than a strict structured interview. They are sometimes called informal interviews.An interview schedule might not be used, and even if one is used, they will containopen-ended questions that can be asked in any order. Some questions might be added / missed as the Interview progresses.Strengths:1. Unstructured Research Evaluation Methods are more flexible as questions can be adapted and changed depending on the respondents answers. The interview can deviate from the interview schedule.

2. Unstructured Research Evaluation Methods generate qualitative data through the use of open questions. This allows the respondent to talk in some depth, choosing their own words. This helps the researcher develop a real sense of a persons understanding of a situation.

3. They also have increasedvaliditybecause it gives the interviewer the opportunity to probe for a deeper understanding, ask for clarification & allow the interviewee to steer the direction of the interview etc.Limitations:1. It can be time consuming to conduct an unstructured interview and analyze the qualitative data (using methods such as thematic analysis).2. Employing and training interviewers is expensive, and not as cheap as collecting data via questionnaires. For example, certain skills may be needed by the interviewer. These include the ability to establish rapport & knowing when to probe.

QUESTION-No.7:What is the importance of Negotiation in Technology Acquisition? Discuss leverage points available both for technology acquiring organization and vendors.

Answer:-

Negotiation is nothing but a discussion among individuals to find out an alternative which takes into account the interest of all and nobody is at loss. In a win- win negotiation people try their level best to come to a solution where everyone is benefited and nobody is at loss. Negotiation is essential incorporates to avoid conflicts and improve the relations among the employees. Dont be too rigid and adamant in the office.Let us understand how negotiation is important in Technology Acquisition:The process of negotiation in Technology Acquisition starts the moment an employee gets a selection call from an organization. It is essential that the individual responsible for hiring employees negotiates well with the candidate and offers him the best salary. Every organization runs for earning profits and thus the HR Professional must try to make the person join at the lowest possible salary but make sure you do not offer him anything less than his previous salary. He will never be interested to join. Even if he joins, he will not take his work seriously and the results would be zero. Discussions are important. Make him realize that money is not the only criteria for selecting a job. Other things like ones job responsibilities, job security as well as the brand name should also be considered.The negotiation style plays an important role in corporate. Do not offer anything exceptionally high as it would again create a problem among the existing employees. Ensure that you are little tactful and do flash your trillion dollar smile. It helps. No way can you annoy the individual.Negotiation is also important when you are dealing with vendors:An organization needs money to survive and take care of the employees as well. It cant afford to spend money as it is. A single penny saved will help you and the organization later.The person dealing with the external parties must be a good negotiator else he will end up paying more amount than required. Always sit with the vendor and quote a price little lower than you intend to pay. He will definitely ask you to increase it and probably then you will reach to a figure well within your organizations budget. Dont be rude with your vendor but be very confident and convincing. Remember you are not dealing with him just once; you need to maintain a healthy relationship with him for future business as well. Try to convince the vendor at such a rate which would benefit your organization and save money. Quote realistic figures and do take care of the vendors profits as well. Try your level best to close the deal.One should never accept terms and conditions verbally, its always better to have something in black and white probably a contract as it is more reliable. The terms and conditions must be discussed on an open forum and should be signed in presence of both the parties so that no body backs out later.One should also learn to negotiate with ones superiors. Remember negotiation does not mean you have to shout on others, you need to be polite. Dont accept responsibilities just because your boss wants it. If you are not comfortable with any role, its better to decline it, rather than accepting something you are not familiar with and losing interest later. After all there are other employees as well, they can accept the same and you can do something else which suits your profile. If you know you will not be able to submit the project within the stipulated time frame, tell your boss. Never hide things from him. Be straightforward. If you want to go for a leave, try to negotiate with him that probably you will attend office the coming weekend or sit for some more time in the coming days to compensate for the loss. Be a little patient.Conflict must be avoided at the work place as it only leads to negativity all around. Negotiations help to reduce conflicts at the work place. Conflicts arise when individuals are too rigid and are just not willing to compromise with each other. Negotiations help in finding an alternative which benefits all.Let us understand theimportance of negotiation in corporate with the help of a simple example:

Ted was working with a leading organization. He was a smart negotiator. He always negotiated well with his superiors as well as his fellow workers and thus a enjoyed his work. He only accepted those responsibilities he knew he was capable of doing. No doubts his work was error free, and he was his bosss favorite. He was always well informed before going for any negotiation with vendors, never lost his temper and always closed the deal in favor of the organization. Good negotiation skills helped Ted be the most appreciated employee among all.The Role of Leverage in a Technology Acquisition:Generally, the company with the most leverage in a negotiation gets the better deal. Without leverage, the other company has no reason to concede anything except the standard terms. On the other hand, if you have leverage, you can use it to shape the deal to your liking. Gaining leverage is one of the biggest benefits of going through such a rigorous technology acquisition process. Information provides you with leverage. Gathering this information during the Research phase and creating a competitive environment between vendors is what gives you the most leverage walking into a negotiation. For example, during the Research phase, you might learn that your chosen vendor has recently lost two deals to its top competitor. Contacting the buying companies to find out why they chose another vendor could identify an issue with the product of the vendor you are negotiating with. Bringing this issue up during negotiations will really put the heat on the vendor because the company recently lost two deals for that specific reason. Research the vendor thoroughly, so that you know everything there is to know about the vendor, and you will discover what it can and can't concede during the Negotiation process.Determine your leverage points. Start by creating a list of leverage points in your favor. An example list might include the following items: Name recognition: The vendor can use this as a marketing tool. Strategic customer: The vendor sees your business as critical to the success of its company.

Potential future sales: If you are buying 100 licenses of the vendor's product and there is a good chance that you will purchase 2,000 licenses within the next two years, you can use this future purchase to get volume pricing on the initial 100 licenses.

First to a market: You are the first large customer in a specific market to use this type of technology, and the vendors want to be the first to prove that they can support your type of business.

Timing: If you know that the vendor is in a hurry to close the deal before the books close on the company's fiscal year, you can use that as leverage by delaying until the last minute and forcing the vendor to concede a few important terms before you close the deal.

Buyer advantage: The buyer automatically has leverage based on the fact that the vendor is competing for your business.By identifying all of the leverage points that you have in dealing with a particular vendor, you will be in a better position to use them in developing your strategy.What leverage does the vendor have? Knowing what cards the vendor holds allows you to develop counterstrategies to minimize the benefits that these leverage points will provide. Create a list of the vendor's leverage points such as the following sample list: Your business is not critical to the vendor's success.

The vendor's product is by far the best solution, and the vendor knows it.

The vendor's product is by far the lowest priced solution (and the vendor knows it).

The vendor has limited supply of a product in high demand.

The vendor knows that you are in desperate need of the technology quickly.

QUESTION-No.8:

Discuss various roles of internal implementation team members and vendor Implementation team members

Answer:-

Various roles of internal implementation team members and vendor Implementation team members:Below are a list of project team members and a description of their roles throughout all phases of your imaging project. Customer team roles vary based on the type of business and their internal structure.PSI Project Team:Account Executive: The individual who has guided the customer through the sales process and determined the products and high-level scope to match the companys imaging needs. The Account Executive will transition the project, after sale, to a PSI Project Manager, bring them up to speed on the account and be available as needed going forward.Application Engineer (AE): The technical resource during the sales process. The AE is responsible for answering any and all technical questions that come up while the customer is deciding which PSI products to purchase and how to implement them appropriately in each environment. The AE remains involved with the project throughout its lifecycle as second tier technical support to the Project Manager, Implementation Consultant and customer.Project Manager (PM): The main point of contact for the customer throughout planning, implementation and project wrap up. The Account Executive transitions the project to the PM once a sale is complete. The Project Manager is responsible for all project leadership, planning, communication and issue resolution. They are the resource responsible for ensuring the customer understands the project process, the deliverables needed for a successful implementation and the tasks that must be completed prior to and during deployment. The PM will engage the customer in planning sessions needed to completely map out the strategy and detailed plan for the implementation. They are also responsible for keeping the project to the agreed upon scope and within the allocated budget. The PM leads and supports the Implementation Consultant involved in deployment of the imaging solution designed during the planning phase.Implementation Consultant (IC): The individual(s) responsible for onsite deployment of the products purchased and the solution designed during the planning phase. The IC will be scheduled at the customer location to perform physical set up of all components. They are responsible for training customer team members on the implemented solution and ensuring they are comfortable moving forward on their own.Project Management Coordinator (PMC): The individual who assists the Project Manager with all aspects of the project. The PMC is responsible for scheduling calls and attending meetings. They are also responsible for creating and maintaining project documentation such as agendas, meeting minutes and general project communications. The PMC is the resource responsible for much of the correspondence with the customer as well as assisting in keeping the project record up to date.Resource Coordinator (RC): The team member that assists customers in getting signed up and scheduled for PSI training classes. The RC is also responsible for initial set up of customer administrator accounts on the PSI web site and support portal. They also schedule all flights and accommodations for the PSI Team.Customer Project Team:Main Point of Contact: The individual assigned to manage the project. This role is extremely important and includes such responsibilities as: Providing a single point of contact for communication with the PSI PM

Distributing planning materials to the entire customer team

Ensuring scheduled meetings are attended by the customer project team

Gathering and distributing project deliverables to the PSI PM

Managing customer tasks and notifying PSI PM of task delays and completion dates (assists in meeting project timeline)

Responsible for notifying PSI PM of any issues that arise so they may be documented and followed-through to resolution

Imaging System Administrator: The System Admin is responsible for ongoing set up and maintenance of the system once the project is complete. They should plan to attend all projects planning sessions. They should be the individual that attends the PSI Image Now System Administrator training class. This role can be fulfilled by one or more individuals. If only one person is chosen, we recommend selecting someone from within the department being implemented and who is computer savvy and a quick learner. Often customers will choose a System Admin from each department to support their area. An IT resource can perform the role if they are familiar with the processes and function of the business area being installed. The below tasks can also be split between an IT resource and a department resource, both individuals taking on part of the System Administrator role. The System Admin will often be responsible for the following activities: Setting up new users and groups

Assigning Image Now privileges to users and groups

Creating Learn Mode applets Setting up Capture profiles on the scanner(s)

Installing new Image Now clients

Maintaining workflow queues and routes

Providing internal support to end users

Departmental Decision Maker: The individual responsible for final sign-off of the planned solution and imaging process. It is critical that this individual attend all planning sessions to keep the team headed in the right direction with regards to changes in process and roles for imaging. When the decision maker is involved in all planning sessions, there are fewer requirements changes during the actual on site implementation.Departmental End-User: This individual(s) should be familiar with the business area being implemented and actually perform the processes and daily tasks. They provide important input on day-to-day operations and functions. They often identify potential risks with planned solutions and have low-level detail on departmental processes, key to the success of the project.Scan Operator: The individual(s) responsible for daily scanning operation. They will be trained by the PSI Implementation Consultant on prepping documents for the scan process and choosing the correct scanner/capture settings for each type of document group or batch. They will often be trained on the QA procedures available in Image Now.

QUESTION-No.9:

When it is appropriate to declare that technology acquisition project has finally Ended? Discuss various sub processes of operation.

Answer:-

Acquisition Process Statement:

All acquisitions of products and services will be handled in a uniform manner following the Acquisition Process. Any product or service requiring internal support must get approval of the acquisition from the department supplying the support. All larger, more complicated, higher risk acquisitions will utilize a Negotiation Team approach. Any new product acquired must follow the existing Change Management process as defined in [fill in the blank]. All products developed for [Company] will be owned by [Company]. All source code will be either owned by [Company] or available to [Company] through an escrow agreement. All contracts will adhere to contract standards, be reviewed by the Legal department and originals of all documents will reside in the [Insert Process Owner] area.

Sign-off and Review Levels:

All contracts are subject to the following minimum sign-off and notification procedures:

Notification means that [Insert Process Owner] must be notified prior to starting the acquisition process and must get the final contract with original signatures for central contract storage and expense forecasting. Negotiation Team required means that a Negotiation Team as defined in this document must be assembled and must sign off that they have participated in the acquisition. What is the Negotiation Team? The Negotiation Team consists of representation from [Insert Process Owner], Legal, the project sponsor, and the client area. The client could be the user, manager, or beneficiary of the product or services being purchased. The negotiation team will be led by the [Insert Process Owner] with the Legal department providing direction on contract terms and conditions. [Insert Process Owner] will provide information on other similar transactions, successful negotiation tactics and financial information on the potential vendor. [Insert Process Owner] will serve as the central repository for all IS contracts. What is the Acquisition Checklist? The Acquisition Checklist is a series of questions designed to familiarize you with the types of issues faced in a product or service acquisition. The following pages may be used as a checklist of the major steps and components to be considered in a successful product or service negotiation.

There are four (4) parts in this process:

Acquisition Analysis

This identifies the reasons the product or service is being acquired, the size of the transaction, and the level of Senior Management commitment.

Pre-Negotiation

This is where the groundwork is done to bring the right people to the table and to answer important questions about the product or service.

Negotiation

This is where we identify the items being negotiated and describe how the negotiation will be conducted.

Contract Administration

Ensures the items you negotiated for are actually received.

1) Acquisition Analysis:1. What is the business need?

2. Is there budget available? 3. Has the relative value of this acquisition vs. other products and services been established?

3.1 Has the acquisition been analyzed and a recommendation completed?

3.2 Have the resource needs been determined from the project plan?

3.3 Have the skills, duration, number of resources, and estimated rates of outside

contractors been determined?

3.4 Have the time and location schedules been determined?

3.5 Is an asset liquidation plan required for an existing asset? 4. Has senior management approved?

5. Is there an existing contract or relationship with the vendor?

6. Has a Request for Information (RFI) or Request for Proposal (RFP) been issued? 7. Have the following financial analyses been conducted?

Total cost of ownership impact?

Budget impact?

Lease vs. purchase? 2) Pre-Negotiation:1. Has an Acquisition Analysis been completed?

2. Do all components of the product being considered currently exist?

3. What is the exposure if future features are not delivered on time?

4. Has an impact analysis been performed?

5. Identify who will be impacted by the acquisition.

5.1. When should they be notified?

5.1.1. Have all parties signed off on the impact analysis?

6. Is there an existing, supported product that does the same thing?

7. Have in house resources been sought, and are they either not available or lacking needed technical skills?

8. Is this a strategic or tactical acquisition?

9. Is the acquisition enterprise wide? If not, what departments are involved?

9.1. Is product use going from tactical to strategic place?

9.2. Is the product becoming the de-facto standard? 10. Have you been asked to provide a letter of intent?

11. Has a competitive analysis been done?

12. Who are the market leaders?

13. What are the costs of products offered by competitors?

14. Check the vendor financial statements.

15. Get vendor annual reports and/or Dun & Bradstreet reports.

16. Check customer references.

17. Identify the software licensing options.

3) Negotiation:

1. Have all steps in the Acquisition Analysis and Pre-Negotiation process been completed?

2. Does this transaction require a Negotiation Team?

3. Have the following negotiation tactics been employed?

3.1 Has contact between the vendor and anyone but the negotiation team spokesperson been minimized?

3.2 Should the sponsor negotiate or should you use a disinterested third party?

3.3 Has credible competition been created? If so, how?

4. Have the following items been negotiated?

Acquisition Price

Maintenance after the first year

Financing

Volume purchase agreements with minimum commitments

Platform transfer rights

Growth requirements

Minimum discount levels on the vendor's other products

Service Levels

Reporting requirements

5. Are there measurable and meaningful performance incentives or penalties?

4) Contract Administration

1. Have the [Company's] standard contracts been used?

2. Have the final contracts with an original signature been given to [Insert Process Owner] for central storage?

3. What procedures or requirements are in place to enforce or audit the terms of the contract?

Deciding whether to work with a vendor can seem simple enough...but first you have to define the extent of the project, come up with a list of possible vendors, prepare an effective RFI, and decide on the choice criteria. Now you can have these resources on hand to create and develop solid vendor relationships. You'll get tips on how to: Select the best vendor for your IT projects:

Build effective questionnaires for prospective vendors.

Create better requests for information (RFIs).

Benchmark vendor performance.

Weed out inadequate software development vendors.

Motivate staff.

QUESTION-No.10:

Is it necessary to document technology acquisition process? Give reasons for your answer.

Answer:-

The following items have to be defined in a Project Document: Executive Summary presenting general information on the project as well as its main goals and characteristics

Detailed presentation of the project

Type of technology to be used

Customs process to be modernized/reformed

Map of deployment

Schedule of implementation

Budget and financing solutions

Procurement strategy

Ownership strategy and external assistance needs

Operation mode of the systems acquired

Organizational change to be implemented

Customs Administration subsequent capacity building needs

Impact on Customs Administration Human Resources

Impact on Trade and Stakeholders

Project Management Organization within Customs Administration

Possible external co-operation from other members and international agencies

Possible partnership with private sector for acquisition, operation and financingWhether the procurement approach is through a formal tendering process or a negotiating mode, the following documents must form the basis of the quotation to be made by vendors: Technical Request for Proposal: Detailed technical specifications

Alternative/Options requests

Minimum Performance expected from the systems

Performance Test Procedure

Maintenance Procedure and requirements Commercial Request for Proposal: Schedule of prices and delivery

Schedule of prices for maintenance for one year and subsequent years

Request for list of references of the bidder and of the systems offered Conditions of eligibility Request for Guarantees (Bid bond)

Format of Contract, including format for guarantees to be issued by the contractor (performance bond, advance payment bond, Guarantee bond)

Rules and procedures of the RFP:The RFP must also present the rules and procedures of the acquisition process and define the following: Proposal Documents: Content and format of bidding documents

Schedules to be filled

Clarification of bidding documents

Pre-bid meeting

Amendment of bidding document Preparation of Proposals: Language

Documents comprising the Proposal

Currency

Bid security

Period of validity of the Proposal

Signing of the Proposal Submission of the Proposal: Sealing and marking

Deadline for submission

Late Proposals

Modification and withdrawal of ProposalsProposal opening and Evaluation: Opening of Proposal

Clarification of Proposal

Preliminary examination of Proposals

Conversion to single currency

Technical evaluation

Commercial evaluation

Domestic preference

Contacting the Customer Award of Contract: Post qualification

Award criteria

Notification of Award

Signing of Contract agreement

Performance securitiesWhat documentation is required for technology (IT) acquisition initiative?AnExhibit 300, Capital Asset Plan and Business Case Summary, defined in Office of Management and Budget (OMB) Circular A-11, must be used to document acquisition initiatives for IT hardware, software, telecommunications, and support services. This requirement is subject to the dollar thresholds defined below and applies regardless of the acquisition vehicle, method, or source.What is an acquisition initiative?An acquisition initiative is an investment that requires the expenditure of funds for information technology. An IT acquisition initiative could address a single acquisition; a logical grouping of hardware, software, telecommunications, and support services that will involve multiple acquisitions; or a project that will take place either within a particular fiscal year or over a longer life cycle and involve multiple acquisitions. An initiative might be a proposal for new funding within the budget process or it might be a new proposal for a major IT acquisition for an ongoing project.Who established this policy?The Office of the Chief Information Officer (OCIO) and the Office of Acquisition Management and Financial Assistance (OAMFA) are jointly responsible for this policy.Who does this policy apply to?This policy applies to the Office of the Secretary and all operating units of the Department of Commerce, except the U.S. Patent and Trademark Office.Why was this policy established?This policy was established to eliminate duplicative documentation requirements for major IT acquisitions. It establishes the Exhibit 300, which is required by OMB and Commerces Office of Budget, as the primary document required to justify a major IT acquisition.How does this revision of the policy differ from previous issuances?The substantive revision is that, to better align with the provisions of the Clinger-Cohen Act, the CIO will no longer issue a Delegation of Procurement Authority (DPA). The CIO will issue Information Technology Investment Authority(ITIA) on recommendation of the Commerce IT Review Board (CITRB).The CITRB function and process will not substantially change. The CITRB will continue to perform oversight and reviews of major IT investments; however, the output decision will be the Information Technology Investment Authority(ITIA) to proceed. The Procurement Executive is a member of the CITRB and will review the Acquisition Plan for the IT investment as part of the CITRB process.Why should you document your IT acquisition initiative?Documenting your IT acquisition initiative will help you define your requirements, ensuring that the requirements support your mission and are consistent with the Commerces enterprise architecture. It will also help you define your acquisition strategy, which will facilitate your acquisition process.Will the Exhibit 300 satisfy any external requirements?Yes. Agencies are required to establish and maintain a capital planning process. Use of the Exhibit 300 provides essential information for Commerces Capital Planning and Investment Control Process. Other regulations require documentation of plans for certain acquisitions.The specific requirements are as follows: Section 5022 of the Clinger-Cohen Act requires an executive agency to define a process to "...provide for the selection of information technology investments to be made by the executive agency, the management of such investments, and the evaluation of the results of such investments."

The Federal Acquisition Regulation (FAR) Part 7, Acquisition Planning, requires Agency Heads to establish criteria and thresholds at which written acquisition plans shall be prepared.

OMB Circular A-130, Management of Federal Information Resources, states, "Agencies must establish and maintain a capital planning and investment control process that links mission needs, information, and information technology in an effective and efficient manner. The capital planning and investment control process includes all stages of capital programming, including planning, budgeting, procurement, management, and assessment.When should an Exhibit 300 be revised?The Exhibit 300 is a living document and should be revised over the life cycle of the investment. An Exhibit 300 for a specific IT acquisition initiative may go through several iterations. The initial Exhibit 300 justifying a budget proposal might be broad and conceptual. As research on alternatives progresses, plans should become firmer and more specific. An Exhibit 300 that supports an acquisition or forms the basis of the Operational IT Plan should be detailed and explicit, identifying the expenditure stream and schedules for the life cycle of the investment.What is the dollar threshold and who has to approve an IT acquisition initiative?If the total life cycle cost (total contract value, including options, for all IT acquisitions within the IT acquisition initiative) is $10 million or greater, you must receive an IT Investment Authority (ITIA) from the Chief Information Officer. An ITIA is the CIO's permission to pursue an IT investment and will be contingent on the sponsor having budget authority for the IT investment. The CIO must grant an ITIA before the Procurement Executive can issue a Delegation of Procurement Authority (DPA) and proceed with the IT acquisition initiative.To receive an ITIA, submit an Exhibit 300 to the CIO for approval. The investment sponsor will generally be required to brief theCommerce Information Technology Review Board (CITRB), which advises the CIO. The CIO, at his discretion, may waive the requirement to brief the CITRB for routine initiatives for maintenance, operations, or support, or refer the investment to the Commerce Acquisition Review Board.To obtain an ITIA, you must also complete anAcquisition Plan.An Acquisition Plan is required regardless of the acquisition vehicle, method, or source. The Acquisition Plan must be available, at least in draft form, before the CITRB meets to evaluate the IT acquisition initiative.After successful review, evaluation, and approval by the CITRB, the CIO will, at his discretion, issue the ITIA to proceed with the IT investment. The Procurement Executive, at his discretion, will then issue a DPA. Both approvals are required to proceed to follow-on phases of activity for the IT acquisition initiative, such as a Request for Proposal.What are the requirements for IT acquisition initiatives below the dollar threshold?On a selected basis, the CITRB may also review IT acquisitions that are highly visible, technically complex, or have a high degree of risk even though they are below the $10 million dollar threshold. These IT acquisition initiatives will require the same documentation as those at or above the dollar threshold.For other IT acquisition initiatives where the total life cycle cost of the IT acquisition initiative is less than $10 million, the IT approval requirements and the standards for the level of documentation will be determined by the operating unit CIO.Are there other requirements that must be met for IT acquisition initiatives?Yes. IT acquisition initiatives must meet other requirements.How do you obtain CIO approval?To request the approval of your IT initiative and issuance of an IT Investment Authority (ITIA), submit the following to the Commerce CIO through your operating unit CIO:

A cover memorandum describing the proposed IT investment and requesting an ITIA,

An Exhibit 300, and

An Acquisition Plan.When should you submit the required documentation to the CIO?For acquisition initiatives requiring an ITIA, contact the CITRB to schedule the briefing, allowing sufficient time for the briefing to be held consistent with the acquisition schedule. This should generally be done several months in advance of the desired time frame. Submit the Exhibit 300 and Acquisition Plan at least two weeks before the CITRB briefing.

REFERENCE SOURCESTechnology Acquisition: Buying the Future of Your Business

By: Allen Eskelin

Preston University Islamabad Campus 1/20

PAGE 36/36Preston University Islamabad Campus