Question

1. Robin Will is the IT procurement manager for Bendigo International. The company wants to develop a new information system and is looking at some of the options discussed— outsource, buy off-the-shelf or develop in-house. Robin has been provided with a request for a proposal that details the system’s requirements. As someone who has a lot of connections in the industry, he decides to ask some of his ‘mates’ to quote for outsourcing or supplying a turnkey system that will be compared with the in-house development proposal. Robin has seen this proposal

and knows the cost of an in-house development.

1. Use the stakeholder analysis framework discussed in the lecture, to analyze if there is/are any ethical dilemma(s) for Robin should he decide to tell his ‘mates’ what the in-house developed system is likely to cost.
2. Explain why in-house developed system the best solution for companies can be to achieve sustainable competitive advantage.
3. Robin Will is the IT procurement manager for Bendigo International. The company wants to develop a new information system and is looking at some of the options discussed— outsource, buy off-the-shelf or develop in-house. Robin has been provided with a request for a proposal that details the system’s requirements. As someone who has a lot of connections in the industry, he decides to ask some of his ‘mates’ to quote for outsourcing or supplying a turnkey system that will be compared with the in-house development proposal. Robin has seen this proposal

4. and knows the cost of an in-house development.

5. 1. Use the stakeholder analysis framework discussed in the lecture, to analyze if there is/are any ethical dilemma(s) for Robin should he decide to tell his ‘mates’ what the in-house developed system is likely to cost.
   2. Explain why in-house developed system the best solution for companies can be to achieve sustainable competitive advantage.

Answer 1

A) As defined in the case study the company wants to develop a new information system and is looking at some of the options discussed— outsource, buy off-the-shelf or develop in-house. Robin has been provided with a request for a proposal that details the system’s requirements. As someone who has a lot of connections in the industry, he decides to ask some of his ‘mates’ to quote for outsourcing or supplying a turnkey system that will be compared with the in-house development proposal.

after analyzing this situation , it is clearly indiacate the Robin is the key person who has all the key details of program.If he asked his friends to send proposal for comparision. We can conclude must have chance that he disclose the inhouse cost first.Let clarify this thing with example.

Suppose , in house cost is $100,000 and the similiar software can be purchased from expert only by paying $80,000.Robin his 5 friends and best quote price he got is $75,000. So that is one of the possibility is he will quote to company anywhere between $85,000 - $ 95,000 . Have you seen how he and his mate misappropriate the authorities and take undue advantage.

Addittionally Robin are not supposed to tell anyone the in house development cost because it is against the stakeholder protection rights.This things can be categorized with "highly restricted" term because it is very sensitive information.

B) why in-house developed system the best solution

The level of customization is perhaps the biggest benefit of custom software. While a commercial package may fit many of your business's needs, it's doubtful that it will have the same efficiency as custom software. By meeting your exact specifications, you can cover every aspect of your business without unnecessary extras. It gives you greater control, which is important if your business has specific needs that your average commercial product can't fulfill. Having customized software should also make the interface more familiar and easy to use.Because in-house software is developed by a team of your choosing, it also gives you access to knowledgeable support. Rather than dealing with technicians who may not understand your unique situation, you can get support from the individuals who have developed your software firsthand. They will understand any subtle nuances and minimize downtime from technical errors.