Direct cutover is a direct approach were the old system is shut down and the new system is turned on. The direct cutover approach causes the changeover from the old system to the new system to occur immediately when the new system becomes operational. This is the least expensive method of all three but involves high risk of data loss. With the direct cutover method, the old system cannot be realistically reverted back as a backup option. MAA is in a unique situation where there current system is not in an electronic form, so putting the old system back in place would not be extremely challenging. On the other hand, if there is a failure in the electronic automated system, the project team cannot ensure MAA that there won’t be a complete business stoppage while the old note card system is put back in place, and while electric customer data is extracted and converted back into the notecard system. MAA does have a lack of funds, so this approach is a possible option because of its low cost application among all three approaches.
The parallel changeover approach requires that both the old and the new information systems operate fully for a specified period. When users, management, IT department and project team are satisfied that the new system operates correctly, the old system is terminate. The parallel approach has a very low risk probability. If the new system does not work correctly, the old system can be used as a backup. This method is the most costly out of the three. Users will have to work in both systems which results in duplicate work and processing delays. Because of its high cost it in employee hours this would not be a suitable approach for MAA even though it’s the safest approach as it is having a working, functional and highly available back up.
The phased approach works in different phases or stages. Implementation of new system in modules or stages is phased operation. This is also a combination of direct cutover and parallel. Using this approach the entire system is