The life cycle for IT systems is cyclical and differs slightly depending on the assets. The…

The life cycle for IT systems is cyclical and differs slightly depending on the assets. The typical life cycle for IT systems consists of purchasing, deploying, managing, and retiring. Earlier we discussed the asset acquisition process and how it directly relates to inventory management and accounting. When an asset is purchased, the asset becomes an asset to the organization and is depreciated over its useful life in the organization. Once the asset is purchased, the asset is deployed. The deployment phase could involve plugging the equipment into the network and turning it on. Or the deployment phase could involve imaging, configuring, or installing (software assets) the IT system. The management of the system is usually performed directly by the IT department once the system is deployed. However, the management of the system can also involve the end users—for example, in the case of an accounting software package. Eventually all IT systems near their useful life and are retired.

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