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ITPM Lecture1

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ITPM Lecture1

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Management:

IT Project Management

Note: See the text itself for full citations.


} Many organizations today have a new or renewed
interest in project management
} Computer hardware, software, networks, and the
use of interdisciplinary and global work teams have
radically changed the work environment
} The world as a whole spends nearly $10 trillion of
its $40.7 trillion gross product on projects of all
kinds
} More than 16 million people regard project
management as their profession

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} IT Projects have a terrible track record, as described in the
What Went Wrong?

} A 1995 Standish Group study (CHAOS) found that only


16.2% of IT projects were successful in meeting scope,
time, and cost goals; over 31% of IT projects were
canceled before completion
} A PricewaterhouseCoopers study found that overall, half of
all projects fail and only 2.5% of corporations consistently
meet their targets for scope, time, and cost goals for all
types of project

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} Better control of financial, physical, and human
resources
} Improved customer relations
} Shorter development times
} Lower costs
} Higher quality and increased reliability
} Higher profit margins
} Improved productivity
} Better internal coordination
} Higher worker morale

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} A project is “a temporary endeavor undertaken
to create a unique product, service, or
result” (PMBOK® Guide, Fourth Edition, 2008, p. 5)

} Operations is work done to sustain the business

} Projects end when their objectives have been


reached or the project has been terminated

} Projects can be large or small and take a short


or long time to complete

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} A technician replaces ten laptops for a small
department
} A small software development team adds a new
feature to an internal software application for the
finance department
} A college campus upgrades its technology
infrastructure to provide wireless Internet access
across the whole campus
} A cross-functional task force in a company decides
what Voice-over-Internet-Protocol (VoIP) system to
purchase and how it will be implemented

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} A project:
◦ Has a unique purpose
◦ Is temporary
◦ Is developed using progressive elaboration
◦ Requires resources, often from various areas
◦ Should have a primary customer or sponsor
– The project sponsor usually provides the direction and
funding for the project
◦ Involves uncertainty

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} Project managers work with project sponsors, the
project team, and other people involved in a
project to meet project goals
} Program: group of related projects managed in a
coordinated way to obtain benefits and control not
available from managing them individually
(PMBOK® Guide, Fourth Edition, 2008, p. 9)

} Program managers oversee programs; often act


as bosses for project managers

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Successful project
management means
meeting all three
goals (scope, time,
and cost) – and
satisfying the
project’s sponsor!

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} Project management is “the application of
knowledge, skills, tools and techniques to project
activities to meet project requirements” (PMBOK®
Guide, Fourth Edition, 2008, p. 6)

} Project managers strive to meet the triple


constraint by balancing project scope, time, and
cost goals

10
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} Stakeholders are the people involved in or
affected by project activities
} Stakeholders include:
◦ The project sponsor
◦ The project manager
◦ The project team
◦ Support staff
◦ Customers
◦ Users
◦ Suppliers
◦ Opponents to the project

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} Knowledge areas describe the key competencies
that project managers must develop
◦ 4 core knowledge areas lead to specific project objectives
(scope, time, cost, and quality)
◦ 4 facilitating knowledge areas are the means through
which the project objectives are achieved (human
resources, communication, risk, and procurement
management
◦ 1 knowledge area (project integration management) affects
and is affected by all of the other knowledge areas
◦ All knowledge areas are important!

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} Project management tools and techniques assist
project managers and their teams in various
aspects of project management
} Some specific ones include:
◦ Project charter, scope statement, and WBS (scope)
◦ Gantt charts, network diagrams, critical path analysis,
critical chain scheduling (time)
◦ Cost estimates and earned value management (cost)

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} “Super tools” are those tools that have high use
and high potential for improving project success,
such as:
◦ Software for task scheduling
◦ Scope statements
◦ Requirements analysis
◦ Lessons-learned reports
} Tools already extensively used that have been found to
improve project importance include:
◦ Progress reports
◦ Kick-off meetings
◦ Gantt charts
◦ Change requests

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"The reasons for the increase in successful projects
vary. First, the average cost of a project has been
more than cut in half. Better tools have been created
to monitor and control progress and better skilled
project managers with better management
processes are being used. The fact that there are
processes is significant in itself.”*

*Standish Group, "CHAOS 2013: A Recipe for Success" (2013).

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} There are several ways to define project success:
◦ The project met scope, time, and cost goals
◦ The project satisfied the customer/sponsor
◦ The results of the project met its main objective, such as
making or saving a certain amount of money, providing a
good return on investment, or simply making the
sponsors happy

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1. Executive support 7. Firm basic requirements
2. User involvement 8. Formal methodology
3. Experienced project 9. Reliable estimates
manager 10. Other criteria, such as
4. Clear business objectives small milestones, proper
5. Minimized scope planning, competent
6. Standard software staff, and ownership
infrastructure
*The Standish Group, “Extreme CHAOS,” (2013).

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} A program is “a group of related projects managed in
a coordinated way to obtain benefits and control not
available from managing them individually” (PMBOK®
Guide, Fourth Edition, 2008, p. 9)

} A program manager provides leadership and direction


for the project managers heading the projects within
the program

} Examples of common programs in the IT field include


infrastructure, applications development, and user
support

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} As part of project portfolio management,
organizations group and manage projects and
programs as a portfolio of investments that
contribute to the entire enterprise’s success

} Portfolio managers help their organizations make


wise investment decisions by helping to select and
analyze projects from a strategic perspective

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21
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} Job descriptions vary, but most include
responsibilities like planning, scheduling,
coordinating, and working with people to achieve
project goals

} Remember that 97% of successful projects were


led by experienced project managers, who can
often help influence success factors

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} Project managers need a wide variety of skills

} They should:

◦ Be comfortable with change

◦ Understand the organizations they work in and with

◦ Be able to lead teams to accomplish project goals

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} The Project Management Body of Knowledge
} Application area knowledge, standards, and
regulations
} Project environment knowledge
} General management knowledge and skills
} Soft skills or human relations skills

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1. People skills
2. Leadership
3. Listening
4. Integrity, ethical behavior, consistent
5. Strong at building trust
6. Verbal communication
7. Strong at building teams
8. Conflict resolution, conflict management
9. Critical thinking, problem solving
10. Understands, balances priorities

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} Effective project managers provide leadership by
example
} A leader focuses on long-term goals and big-
picture objectives while inspiring people to reach
those goals
} A manager deals with the day-to-day details of
meeting specific goals
} Project managers often take on the role of both
leader and manager

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SKILL PERCENTAGE OF RESPONDENTS
} Project/program management 60%
} Business process management 55%
} Business analysis 53%
} Application development 52%
} Database management 49%
} Security 42%
} Enterprise architect 41%
} Strategist/internal consultant 40%

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} Some people argue that building the Egyptian
pyramids was a project, as was building the Great
Wall of China

} Most people consider the Manhattan Project to be


the first project to use “modern” project
management

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} A project is a temporary endeavor undertaken to create
a unique product, service, or result
} Project management is the application of knowledge,
skills, tools, and techniques to project activities to meet
project requirements
} A program is a group of related projects managed in a
coordinated way
} Project portfolio management involves organizing and
managing projects and programs as a portfolio of
investments
} Project managers play a key role in helping projects
and organizations succeed
} The project management profession continues to grow
and mature

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