Identifying Alternative Solutions
IT Acquisition Templates 3 and 4
There is a difference between “alternative solutions” to a problem and “alternative sources” of
contractors to implement the solution. Do not confuse the two. You are not ready at this point to issue a
request for proposal from competing or “alternative sources.”
Identifying alternative solutions builds on the documented definition of the requirements for the
solution. Its purpose is to identify the possible alternatives that could meet the requirements and
thereby solve the problem. Organizations hope to find solutions that do not require an additional capital
investment, but this cannot always be achieved.
There are many techniques for identifying alternative solutions, including brainstorming, the use of
group support systems (GSSs), and investigating the solutions that leading organizations have adopted.
Each technique involves the use of a group, rather than relying on a single individual. The group--or
groups--can include experts, the intended users, executives, and other stakeholders. Leading
organizations use integrated project teams (IPTs) to define requirements and perform other acquisition
activities.
It is important to avoid personal biases and preferences. An IPT, which involves appropriately
representatives from the affected components of the organization, must avoid being pressured into a
pre-selected alternative, whether or not the pressure is intentional. This can happen when a senior
executive is convinced that he or she knows the solution to the problem.
Summarizing Alternative Solutions (Template 3)
It is a best practice to identify at least three alternative solutions that will meet the requirements to
solve the problem. Requiring a minimum of three alternative solutions forces the integrated project
team to identify solutions that may not be obvious. It helps to prevent automatically adopting a “preselected” solution because of the prevailing biases. A meaningful investigation of alternative solutions
can identify a solution that produces substantially superior results compared to what initially appeared
to be the obvious solution. Individuals who have a pre-existing strong bias toward a specific solution are
often not aware of other potential solutions, especially the latest, most innovative solutions.
Template 3, below, is used document, in summary form, alternative solutions that meet the
requirements identified in Template 2. The first column of Template 3 gives the name of an alternative
solution and the second column summarizes it. The “Objective” of the alternative solutions is entered at
the top of Template 3.
Note: These templates are intended to help plan for acquiring IT services (and software and hardware as
needed) from an external IT services contractor selected in open competition. The use of this and the
other acquisition planning templates assume that the possibility of a solution using only internal
resources or by making a commodity purchase from a product vendor have been analyzed and found to
be not possible. Therefore, every alternative solution listed in Template 3 must require the use of an
external IT services contractor because it has already been determined that one is required.
Reduce the amount of time required to prepare graphics for
proposals and to integrate graphics with the text
OBJECTIVE:
Name of Solution
Alternative
Summary Description of Solution That Meets the Stated
Requirements
Alternative Solution #1:
Acquire an In-house Graphics
Management System
Alternative Solution #2:
Outsource the Graphics
Management Functions
Hire a contractor to recommend, acquire, install, and integrate a
graphics management and design tool or tool set and provide
training, using a performance-based contract.
Outsource the graphics creation, graphics management, and
graphics-text integration functions to an expert graphics design and
production company under a negotiated time and materials contract
with incentives and penalties.
Alternative Solution #3: Use
Software as a Service
Contract with a Software as a Service (SaaS) provider to obtain the
functionality required via a Web connection
Alternative Solution #4:
Acquire Expert Small
Graphics Arts Specialty Firm
Acquire a small graphics arts specialty firm with state-of-the-art
technology and demonstrated required expertise, to merge with our
organization and function as a support department.
[Name of Alternative
Solution #5]
[and so on, if there are additional alternative solutions]
IT Acquisition Confirmation
Each alternative solution described above requires the acquisition of
IT services from an external IT service provider selected in open
competition. [Note: Do not remove or change this statement.]
Template 3. Summarizing Alternative Solutions
Screening Alternative Solutions (Template 4)
There should be at least three alternative solutions identified, but there could be more. After the
alternatives have been identified and documented, it is important to screen out the weakest ones,
which is the purpose of Template 4.
The first criterion in the template, Responsiveness to the Requirements, is the most important. An
alternative solution that looks good initially may, upon closer scrutiny, be found weak in responding to
some of the requirements. The next criterion in the table is feasibility--that is, is it capable of being
successfully carried out in this organization? The third criterion is enterprise architecture. Is it
compatible with the present planned IT architecture? Does it support the business strategies and goals
of the organization?
The fifth criterion, risks and constraints, is always important. If it is too risky, for example, management
might consider it unacceptable. Constraints can be in many forms, such as it might take too long to
implement, users are likely to resist it, it requires intensive training, it could negatively affect strategic
partners, and so on. The sixth criterion is affordability. For example, can the organization afford it at this
time? Will it take too long to recover the investment?
The seventh criterion, new opportunities, asks whether it opens up new opportunities that do not exist
now. This would be an extra benefit of solving the problem with a given solution.
Template 4 is constructed to facilitate logical analysis of the alternatives. Specifically, each criterion in a
column represents a hurdle that needs to be passed before the next criterion in the column to the right
is considered. For example, if close examination of an alternative shows that it is not sufficiently
responsive to the requirements, there is no need to evaluate it with the remaining criteria. Similarly, an
alternative that is responsive to the requirements but not feasible for some reason would also be
screened out.
Of course, there never (or rarely) is a perfect solution. Usually potential solutions must be modified
perhaps several times before they are retained as acceptable alternative solutions to the problem. This
template helps the IPT to weed out those alternatives that are clearly not viable and to determine how
other alternatives can be improved through modification. You should end up with three alternative
“finalists” that will move on to the next step for more refined analysis to identify the best solution to the
problem.
An integrated project team (IPT), representative of the affected stakeholders, is usually the group that
uses template 4 (or the equivalent) to rank order the alternative solutions. This helps to identify those
that should be improved so they are more viable solutions. The last column on the right is used to make
a ranking of the alternatives after any necessary improvements have been made. A “1” rating in this
column means it is the highest ranking alternative solution. This ranking may change as a result of
Activity 5, which looks closer at the risks involved and screens out all but the best two alternatives, and
Activity 7 (economic analysis), which compares the best two financially and requires the IPT to make a
decision on which is the one best alternative solution to recommend to the executive decision makers.
Alternative
Solution
Altern. #1
Acquire an Inhouse Graphics
Management
System
Altern. #2
Outsource the
Graphics
Management
Functions
Altern. #3
Use Software as
a Service
Altern. #4
Acquire Expert
Small Graphics
Arts Specialty
Firm
[and so on]
Responsiveness
to Requirements
Can meet all
requirements
Can meet all
requirements
Feasibility (Capable
of Being Successful)
Enterprise
Architecture
Supports; no
conflict
Feasible
Supports; no
conflict
Feasible
Potentially could
meet all
requirements
Probably Feasible
Depends on
interface
requirements of the
host organization
Can meet all
requirements
May not be feasible
because of large
purchase cost,
merger risks, and
difficulty of
identifying a
suitable small firm
willing to be
acquired.
Compatibility with
enterprise
architecture would
be an acquisition
requirement.
Risks and
Constraints
Affordability
New Opportunities
Rank
Order
Risk of contractor
bias toward
unsuitable tool
Relatively low,
affordable cost,
assuming
contractor installs
off-the-shelf
software
None beyond
meeting the current
objectives
1
Likely greater initial
cost, but affordable
On-going
relationship may be
source of expertise
to exploit new
opportunities
3
Possibly quick
implementation
with least initial and
on-going cost,
depending on the
host's interface
requirements
Host may offer
access to valuable
new capabilities at
relatively low cost
2
Likely highest initial
cost, but potentially
fastest start-up of
high-quality
graphics support.
Could offer graphic
services to other
firms, resulting in a
new income
stream.
4
No experience with
outsourcing
business functions;
potential loss of
flexibility for
meeting future
needs
May not have the
internal bandwith
and hardware
required to
interface with the
host; SaaS services
are new and not
fully tested
May have
substantial risk;
integration of an
acquired firm has
inherent risks (e.g.,
culture clash)
Template 4. Analyzing Alternative Solutions
As you may have surmised, the results of the Template 4 analysis can be used to strengthen the best
alternative solutions. The template may identify a correctable weakness in an otherwise good
alternative solution. Correcting that weakness will strengthen that alternative solution.
Documenting Evaluations and Results
Templates 3 and 4 are summaries that are usually included in a report by the acquisition planning IPT to
document its analysis of the problem, the solution alternatives considered, and its recommended
solution alternative. Depending on the policies of the
organization, this report may be submitted after further analysis (beyond Template 4) has been
completed and the recommendation solution has been determined.
How Management Detects Solution Selection Bias
A tactic used too frequently is to “know” the best solution in advance and then recommend it in a
comparison with one or two weak alternatives. The idea is to cause the pre-selected solution to be
chosen for funding. The problem with this tactic is that little thought is given to uncovering alternatives
that could be far superior to the one that was pre-selected. Whenever one alternative looks strong and
the other two look a little too weak, it raises the question of whether or not this was a pre-selected
solution. Acquisition teams can undermine their own credibility with senior management by
unintentionally or intentionally recommending a solution that appears pre-selected. It can motivate the
decision makers to reject or ignore the IPT's recommendation and to initiate other steps to identify the
best solution. Ideally, at least two of the final alternatives will be strong, but they will have different
strengths and different weaknesses. A case can then be made for recommending the one that on
balance is the stronger of the two in terms of meeting the organization's needs.
OBJECTIVE OF THE REQUIREMENTS:
OBJECTIVE OF THE
REQUIREMENTS:
To provide an IT solution that will help with the
rate of speed of medication packaging, inventory
and able to track medications expiration dates.
REQUIREMENTS CATEGORY
REQUIREMENTS DEFINITION
1. Stakeholder Considerations that
Need to be Reflected in the Solution
(including the expectations and
satisfaction managers, internal users,
and external customers) and factors
related to the business environment)
The system must be easy to use by the department
managers and department staff while keeping
track of medications. This solution will also
improve patient care.
2. Factors to Take Into Account
Related to the Business Environment
(including legal factors, regulations,
competition, and business cycles)
The solution will improve the workflow of
BrightView Health Hospital in terms of
medication inventory.
3. New Capabilities and/or
Functionality Required by a
Solution(including requirements for
ease of use, quality, interoperability,
and data sharing
The system will track both the distribution and
acquisition of medicines. There will be an alert or
email sent to the pharmacy when there is a low
level of medication and an expiration date that’s
coming up soon. A staff will have to update the
system when a new medication order has been
placed. The system must be easy to use, fast and
flexible.
4. Existing Business Process
Shortfalls (why current business
process and/or systems cannot meet
the needs or be changed to meet the
needs)
Currently inventory management is performed
manually, which causes high cost due to errors.
5. Cost Limitations(may be stated in
terms of preferred cost range; may
specify a maximum cost; cost figures
need to include associated overhead
costs; may be specified as an annual
limit or life cycle limit or both)
Expected cost is $1000 per software system. Total
cost, including implementation and training and
overhead, is expected to be in the $200,000 to
$250,000 range.
6. Other Limitations or Constraints(e.g.,
availability of key personnel, such as subject
matter experts, training methods and time
available for training, limitations related to
maintenance or to external support).
The system must have training methods for staff
using it. Training must be done within the
schedule implementation. It must also have high
reliability with automatic online updates.
7. Security & Privacy
Requirements(any requirements
beyond those currently being used by
the organization for non-critical and
non-sensitive applications)
Must ensure safe storage of data and patient
information.
8. Number to be Implemented
(e.g.,specify the number of places the
The system must be provided at two workstations
solution will need to be implemented
at BrightView health hospital.
and whether they are at different
geographical locations)
9. Schedule (explain any schedule
constraint, whether for financial or
non-financial reasons--e.g., if the
solution be in place as of a certain
date, specify the date and why
10. Other Requirements Not
Specified Above (e.g., any related to
vendors, consultants, partnerships
with other entities, unique user
interface requirements,
documentation needs, special
certification requirements
Acquire and implement within next six months
(10/1/2019 - 3/01/2020).
Purchase answer to see full
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