Systems and Project Management (ISPM)

Syllabus overview

This syllabus introduces students to the concepts, tools and issues of the management of information technology and systems, the process and tools of project management, and the control of organisational systems. It is assumed that students will have basic knowledge and understanding of the following areas, either from their earlier studies or from their work experience, prior to commencing study for this exam.

• The features and functions of common IT hardware, software, peripherals and networks, and their application to management accounting and other parts of the organisation.
• The characteristics and components of a simple information system (data input, processing, storage, information output).
• The most common controls in computerised systems (security measures, verification, validation, access controls, backup).

Although Chartered Management Accountants are finance specialists they are often given early responsibility for the design, development, implementation and control of information systems. This work normally consists of a series of projects, of which the Chartered Management Accountant may be manager.

Another major aspect of the work of the Chartered Management Accountant is control. Either through their day-to-day activities, or as part of an internal audit function, Chartered Management Accountants are tasked with ensuring that the various systems within an organisation achieve their objectives.

One of the objectives of this syllabus is to introduce and develop some of the skills required for success in the case study at the Final level.

This syllabus aims to test the student’s ability to:

• contribute to the management of projects;
• evaluate an organisation’s information systems and recommend appropriate solutions;
• recommend improvements to the control of organisational activities and resources;
• advise management on the audit of systems and activities;
• evaluate and recommend improvements in the management of quality.

There will be a written paper of three-hours which will include a substantial scenario with three or four compulsory questions. Response will normally be in the form of a memorandum, letter, briefing notes, presentation slides or report.

On completion of their studies students should be able to:

• explain the skills required of a project manager;
• evaluate the project management process;
• produce a management plan for a simple project;
• apply project management tools;
• analyse the issues relating to the selection and management of an effective project team;
• evaluate the relationships between the project manager, the project team and organisational project sponsors;
• identify problems with the interpersonal relationships of project staff and recommend solutions to those problems;
• explain why meetings are commonly used in organisations;
• evaluate the planning and conduct of a meeting and the roles of the various participants in a typical meeting;
• identify the main problems associated with meetings and recommend how these problems might be avoided or solved;
• recommend changes to the management and conduct of a meeting in order to avoid or solve problems identified;
• produce a presentation on a management accounting topic;
• explain the process of post-completion audit and its importance in the project management process.

• The skills of a project manager.
• The scope of project management.
• Project objectives, performance measurement and control.
• Building and managing a project team.
• The stages of a project (for example, initiation, formation, objective-setting, planning, feasibility, fact-finding, position analysis, options generation, options evaluation, design and development, implementation, review, completion).
• The major tools and techniques used at each of the project stages (by which we mean project initiation document, SWOT analysis, critical path analysis, Gantt chart, resource histogram, budget, progress report, completion report).
• The purpose, conduct and limitations of meetings in a business context.
• The roles which may be adopted by participants in a business meeting (for example chair, secretary, facilitator, adviser, protagonist, antagonist) and how the chair should manage those participants to retain control of the meeting. >
• The stakeholders of a project (for example, organisation, customers, steering committee, project manager, project team, vendors, specialists, users) and the relationships between them.
• Managing project stakeholder conflict.

On completion of their studies students should be able to:

• explain the features and operation of commonly used information technology hardware and software;
• evaluate the use and relative merits of different hardware and applications architectures;
• identify opportunities for the use of information technology in organisations, particularly in the implementation and running of the information system;
• apply general systems theory to the design of information systems in organisations;
• recommend how the value of information can be increased by careful design of an organisation’s data and information architecture;
• explain the importance of effective communication and the consequences of failure in the communication process;
• analyse communication problems in a range of organisational situations;
• recommend changes or actions to avoid or correct communication problems;
• evaluate the operation of the various parts of the information system of an organisation and the relationships between them;
• explain the issues involved in planning and managing an information systems project, and produce a management plan for such a project;
• apply the main tools and techniques used in the gathering, recording and analysis of information relating to an existing information system;
• explain the processes of system design, and development and analyse the issues arising at those stages;
• identify and evaluate the main issues relating to the development of an information systems solution, and the risks involved in implementation;
• explain the nature and purpose of systems maintenance and performance evaluation.

• The various types of information technology hardware and software in common use in organisations.
• The different hardware and applications architectures (by which we mean centralised, distributed, client-server) available to organisations, and the information technology required to operate them (for example, PCs, servers, networks, peripherals).
• The concepts of general systems theory and their application to information systems (by which we mean system definition, system components, system behaviour, system classification, entropy, requisite variety, coupling and decoupling).
• The qualities of information.
• Designing data and information architectures to assist and improve planning, decision-making and control.
• The use of information for decision-making at the various levels of the organisation, and the components of the information system that can support those decisions (by which we mean transaction processing systems, management information systems, decision support systems, executive information systems, expert systems).
• The purpose and process of communication.
• Communication problems and solutions.
• The main communication tools (by which we mean conversation, meeting, presentation, memorandum, letter, report, telephone, facsimile, electronic mail, video conference), their features and limitations.
• Systems evaluation.
• The concept of the systems development life cycle when applied to an information systems project.
• The stages in the systems development life cycle.
• Assessing the feasibility of systems projects (by which we mean cost–benefit analysis, technical feasibility, time feasibility).
• Information-gathering techniques (by which we mean interviews, questionnaires, observation, simulation, document review).
• Recording and documenting tools used during the analysis and design of systems (by which we mean entity-relationship model, logical data structure, entity life history, dataflow diagram, and decision table).
• Databases and database management systems. (Note: knowledge of database structures will not be required.)
• The nature and purpose of data normalisation and structured English. (Note: students will not be expected to apply these techniques.)
• Performance and technical specification. (Note: knowledge of computer programming is not required.)
• Prototyping, including the use of fourth-generation languages to improve productivity.
• The features, benefits and drawbacks of structured methods (for example, SSADM) for the development of information systems. (Note: detailed knowledge of any specific method will not be required.)
• The problems associated with the management of in-house and vendor solutions and how they can be avoided or solved.
• System testing (by which we mean off-line, on-line and user-acceptance).
• System documentation (by which we mean user and technical manuals).
• Training and user support.
• File-conversion procedures.
• System changeover methods (by which we mean direct, parallel, pilot, phased).
• Maintenance of systems (by which we mean corrective, adaptive, preventive).

On completion of their studies students should be able to:

• evaluate and recommend appropriate control systems for the management of organisations;
• evaluate the control of activities and resources within the organisation;
• recommend ways in which the problems associated with control systems could be avoided or solved;
• evaluate and recommend improvements to the control of information systems, including those using information technology.

• The ways in which systems are used to achieve control within the framework of the organisation (for example, contracts of employment, policies and procedures, discipline and reward, reporting structures, performance appraisal and feedback).
• The views of classical and contemporary management writers relating to control.
• The application of control systems and related theory to the design of management accounting systems and information systems in general (by which we mean control system components, primary and secondary feedback, positive and negative feedback, open- and closed-loop control).
• The controls which can be designed into an information system, particularly one using information technology (for example, security, integrity and contingency controls).

On completion of their studies students should be able to:

• explain the process of internal audit;
• produce a plan for the audit of various organisational activities, including management, accounting and information systems;
• analyse problems associated with the audit of activities and systems, and recommend action to avoid or solve those problems;
• recommend action to improve the efficiency, effectiveness and control of activities;
• evaluate specific problems associated with the audit of systems which use information technology.

• The process of review and audit of internal controls.
• The major tools available to assist with such a review (for example audit planning, documenting systems, internal control questionnaires, sampling and testing).
• The identification and prevention of fraud.
• The role of the internal auditor and the relationship between the internal auditor and external audit.
• The techniques available to assist audit in a computerised environment.
• The use of information technology to assist the audit process (by which we mean CAATs).
• The operation of internal audit, the assessment of audit risk and the process of analytical review.
• The different types of benchmarking, their use and limitations.
• The analysis of business risks and approaches to risk management.
• Value-for-money audit and management audit.

On completion of their studies students should be able to:

• analyse problems with the management of quality in an organisation;
• evaluate the features, benefits and drawbacks of contemporary approaches to the management of quality;
• produce and communicate a plan for the implementation of a quality-improvement programme.

• The concept of quality and how the quality of products, services and activities can be assessed, measured and improved.
• Quality circles.
• The use of benchmarking in quality measurement and improvement.
• The various approaches to the management of quality (by which we mean quality inspection, quality control, quality assurance, total quality).
• External quality standards (for example, the various ISO standards appropriate to products and organisations).

• Contemporary developments in the management of quality.