Identify six possible risks that can arise when systems are constructed using existing application systems. What steps can a company take to reduce these risks?
What will be an ideal response?
Risks that can arise when systems are constructed using existing application
systems include:
1. Vendor risks: Failure of vendor to provide support when required
Vendor goes out of business or drops product from its portfolio
2. Product risks: Incompatible event/data model with other systems
Inadequate performance when integrated with other systems
Product is undependable in intended operating environment
3. Process risk: Time required to understand how to integrate product is higher
than expected.
The risks can be addressed by only dealing with vendors that use an escrow system
so that source code is available if they go out of business, by extensive research and
testing of product capabilities before use, discussion with other users etc. In general
though, because COTS are provided by external vendors, risk reduction is difficult.
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