so let's learn very briefly about the UML state machine diagram so important entities in the software move from one state to another state so say for example if you open a bank account that account can be suspended then account can be most of the times it is in force you can close that account that account can be under scrutiny so people move from once tentative in a system move from one state to another state similarly so what we capture is basically the lifecycle of the entity for example human beings also follow a linear lifecycle that includes birth infancy childhood adolescence youth middle age old age infirmity and death this is linear but in the software system many business entity so many objects hop from one state to another so while we need to do modeling on how this transition from one state to another happens like all the other German diagrams this UML state machine diagram has also got a notation and associated terms with that notation what we capture as I have told you is transition between states so important notation for the state machine diagram is the initial state multiple initial states are allowed the final state or the final pseudo state only one final pseudo state is allowed comment or the note decision so decision is basically the gateway if it leads to more than one path then state and then there is a composite estate so within in a composite state there can be two states within a given state and how do we prepare a state machine diagram we prepare a state machine diagram through by identifying the business entities to be modeled identifying the various states identifying the transition between these states and identifying the permanent States a life insurance contract document called policy is issued when a completed proposal with all required documents is submitted to the underwriting team the policy proposal form is routed through the branch operations to the underwriting team with variable acceptance condition the proposal is converted into a policy the policy is serviced by the policyholder by paying regular premiums on or before the premium due date this keeps the policy in force or in continuation in case the do premium remains unpaid beyond the due date the policy is elapsed after a certain grace period if the premium for a lapse policy remains unpaid for long the policy reaches the paid up estate both the lapsed or paid a policy can be revived or reinstated when the policy holder pays all the outstanding premium installments along with applicable interest and policy revival charges personal health a statement is also submitted the Declaration policy once revived becomes a regular policy on completion of policy period or in the event of death of the insured the policy gets terminated and the policy benefits are paid to the assignee or the nominee as the case may be now we will prepare the state machine diagram for this case study the insurance system insurance policy moves from one state to another that's what has been documented in this case study so as a business analyst you have to first document or understand this movement and once you have understood this movement for the sake of clarity you need to prepare what we call as the UML state machine model for the same case so let's start this model and we will start it right away so to start preparing this model in with you and then I go to more shapes within more shapes I go to software and data base and then software and within software I will choose this your magistrate machine model so you can see the UML state machine model is now open and the state machine model is typically a horizontal model so what I will do I will just go to home or design and in the design I will change this orientation to portrait so I start my diagram with the in initial state can see a life insurance contract document called policy is issued when a complete proposal with all the requirement documents are submitted to the underwriting team the policy proposal form is routed through the branch operations to the underwriting team with favorable acceptable conditions the proposal is converted into a policy the policy is serviced by a policyholder by paying regular premiums on or before the premium due date the PO this keeps the policy in force or in continuum in the case the do premiums remain unpaid beyond the due date the policies lapsed after a certain grace period if the premium for lapse policy remains unpaid for a long the policy reaches the paid-up estate both the lapsed or the pair the policy can be revived or reinstated when the policyholder tells all the outstanding premier Orleans Premium or installments along with the applicable interest and policy the viable charges personal health a statement is also submitted as a declaration policy once revived becomes a regular policy upgrade a policy gets terminated at the end of the policy period or an event of the death of the policyholder prior to the end of the policy period if it is a participating policy like endowment clan only see holder can pledge this policy with the insurance company to take the loan in this case the policy is assigned to the insurance company under conditional assignment and once all the loan amount paid is reassigned to the policyholder if during the policy continuation if there is any occurrence of claim like that claim the policy benefit amount is paid to the nominee and the policy is terminated if there is no death claim the survival benefit is paid to the policyholder in case the policyholder is absolutely assigned policies absolutely assigned the assignee is paid total benefit of the policy so you see this policy is moving from one state to another state there are some permanent states so after a permanent state only Paul final state can be reached so we identify the initial States we identify the transition between states and then we identify the permanent state so let's start identifying them so I give one straight as being being under written and here you see transition is not the arrow for the transition or the if you can see here this is the notation for the transition between these states this one this arrow so I will utilize the connector and then from pointer tool I will connect from straight connectors and then now from being under written this policy we'll go take up some other states so from being under written I'm just adding the tooltip to this the it can go to other states so I will mention what those states are so that policy can become enforce so I'll just add that that it becomes enforce so I'll add it here and force so policy which is being under written can become in force I just need to Ireland I reward the direction for the arrow that's what I am trying to find out you you so you see force policy can become lapsed so there there there will be a transition between enforced relapsed I'll just copy this cool so from enforce to laughs there is one transition and I have it has been told here a lapsed policy can be revived or can be put in enforce state again if you make the payment of the premium and the additional interest so that means this is this arrow then what is written if you read the case that a lab policy can be compared up if the premium remains unpaid for some time so as an analyst you see you need to identify all these states and this identification will happen when you discuss the domain with your stakeholder or with your client period up and appeared a policy can also be made active one can also be made in force after payment of certain premiums and interest so this is the so so as you can see we are quickly quickly able to cover the cover and prepare the diagram and then these two arrows are superfluous let me delete them then it is written if an event happens or if the time period is over then the paid a policy or a lab policy or enforce policy can be terminated or moved to the terminated state so last policy can become terminated if the time period is over same is true for the peda policy and I enforce policy can get terminated if the time period is over or if there is a death claim so laughs policy can become terminated when the time period of the policy gets over pair the policy can get terminated when the time period for the policy is over enforce policy can get terminated if there is a death claim or if there is a if the time period for the same is over and once the policy becomes terminated it is the permanent state and after this is this arrow for the final pseudo state but we attach it here and then you see the policy which has been declined is also not taken up again which phase of business analysis state machine diagram is being drawn so you see state machine diagram again will be prepared during the early stages even when you will be eliciting your requirements you will be preparing this diagram and so I will stop here so those are composite states so composite states are those states where you see there in Barren two two substrates can happen at a time so say you want to join a club for that club you make an application so you are an applicant so within that applicant state there can be two substrates one state can be that it is pending the legal check that your legal verification or your antecedents are being verified and within the same there can be yet another state that your payment is being processed so you are an applicant while you are an applicant these twos two internal states are there and unless your payment is post processed and unless your you your legal antecedents do not come correct you will not be move you will not move from applicant to let's say a member so that is the composite state states can have internal behavior I have told you about the composite of state when you talk about this state where the inter in internal behavior it is basically sometimes they tell when you move from one state to another so out there you can mention what is the entry point of this state what is the exit point of this state so that is the behavior and under what circumstances entry and exit will happen so friends allow me to close this session and I hope it has been interesting and it has been fruitful for you thank you so much