COMM 391. Learning Objective 1. Learning Objectives. Introduction to Management Information Systems

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1 COMM 391 Introduction to Management Information Systems INFORMATION SYSTEMS SOURCING AND PROJECT MANAGEMENT Winter 2014 Term 1 Learning Objectives 1. Explain the basic concepts of IS projects. 2. Describe the seven phases of the system development life cycle (SDLC). 3. Explain the major reasons of IS project failure. 4. Explain the fundamentals of project management. 5. Describe the role of a project manager. 6. Apply project management software, Microsoft Project 2010, to create a project plan. Learning Objective 1 Explain the basic concepts of IS projects. 3 4

2 What is a Project? A planned set of interrelated tasks to be executed over a fixed period and within certain cost and other limitations. (Source: A project is a way of organizing resource. It is a group of individuals who are assembled to perform different tasks on a common set of objectives for a defined period of time. Projects need a leader who can define the work objectives and criteria for success and recruit staff from all relevant areas of expertise. (Source: Common Characteristic of a Project A project is a temporary endeavour has a specific, unique purpose has a primary customer or sponsor, as well as stakeholders requires resources, staff time, and expertise from different areas includes an element of uncertainty has metrics for success 5 6 Three Primary Project Variables What is an IT / IS Project? The three Primary Variables in any project are time, cost and scope. These three variables are interdependent. All projects are limited by these three constraints. PMI (Project Management Institute) calls this framework the Triple Constraint. Project Management Interdependent Variables Triple Constraint What is an IT / IS Project? Can you find an answer on the web? Please try to search for top IT projects 7 8

3 Examples of Organization Projects Are any of these considered to be IT / IS Projects? Learning Objective 2 Describe the seven phases of the system development life cycle (SDLC) (Source: Business Driven Information Systems, 4 th edition) 9 10 System Development Life Cycle (SDLC) The overall process for developing information systems from planning and analysis through implementation and maintenance. SDLC What will the System Accomplish? Plan Involves establishing a high-level plan of the intended project and determining project goals Define the system to be developed. Set the project scope. Develop the project plan including tasks, resources, and timeframes. Conduct feasibility study / develop business case Determine if a project is technically, economically and operationally feasible

4 SDLC What Functions will the System Perform? Analysis The end users & the IT specialists work together to understand and document the business requirements for the system. Deliverable: Business needs - the detailed set of end user requests that the system must meet in order to be successful. Requirements definition document prioritizes the business requirements and places them in a formal comprehensive document. Sign-off - the knowledge workers actual signatures indicating they approve all of the business requirements. This is best used to make sure that the requirements definition is taken seriously, rather than a commitment that they won t be changed Requirements should be based on the to-be process model, not the as-is model. SDLC How will the System Work? Design Involves describing the desired features and operations of the system, based on business requirements identified in the Analysis phase. Translation of the business requirements into detailed functions of the system, suitable for a developer Drawing a graphical representation of a design. E.g., E-R Diagram, Data Flow Diagram, Flow Charts, UML Diagrams Determine hardware, software and telecommunications equipment required to run the system SDLC make it so Development Take all of detailed design documents from the design phase and transform them into an actual system. Testing Verify that the system works and meets all of the business requirements defined in the analysis phase. Implementation Distribute the system to all of the knowledge workers and they begin using the system to perform their everyday jobs. User Documentation End-User Training Data Conversion Four Types of Conversion Strategies Parallel, Direct cutover, Phased, and Pilot Maintenance System Development Methodologies Methodology is a set of policies, procedures, standards, processes, practices, tools, techniques and tasks that people apply to technical and management challenges. Systems Development Methodologies include: Waterfall Agile Rapid application development (RAD) Extreme programming (XP) methodology Rational unified process (RUP) methodology Scrum methodology Participatory design methodology 15 16

5 Traditional Waterfall Methodology Waterfall methodology a sequential, activitybased process in which each phase in the SDLC is performed sequentially from planning through implementation and maintenance. Learning Objective 3 Explain the major reasons of IS project failure How Successful are IS Development Projects? Information System Project Failures Source: Standish Group Gartner more than 600 billion $ thrown away annually on ill conceived or ill executed IT projects Standish Group about 20% of projects fail outright 50% are challenged only 30% are successful Credit: John Thorp 19 Analysts estimate between $50 and $80 billion are lost annually due to failed system development projects. The consequences of failed projects include: Damaged brand Lost goodwill Dissolution of partnerships Lost investment opportunities Low morale 20

6 IS Projects can be What is a Successful Project? Project success The project is completed on-time and on-budget, with all features and functions as initially specified. Project challenged The project is completed and operational but over-budget, over the time estimate, and offers fewer features and functions than originally specified. Project impaired The project is cancelled at some point during the development cycle. (Source: Standish Group available at On time Within budget Meets the business s requirements Fulfills the customer s needs (Source: Why do many IS development projects fail? Why IS Projects Fail? 1. Incomplete Requirements 13.1% 2. Lack of User Involvement 12.4% 3. Lack of Resources 10.6% 4. Unrealistic Expectations 9.9% 5. Lack of Executive Support 9.3% 6. Changing Requirements & Specifications 8.7% 7. Lack of Planning 8.1% 8. Didn't Need It Any Longer 7.5% 9. Lack of IT Management 6.2% 10. Technology Illiteracy 4.3% (Source: Standish Group Report ) 23 24

7 Why IS Projects Fail? (cont d) Software Projects in a Nutshell What is Scope Creep? Scope creep uncontrolled changes or continuous growth in a project s scope. Scope creep can be a result of poor change control, unclear project objectives, weak project manager or executive sponsor, and poor communication between parties. Scope creep is a risk in most projects. It often results in cost overrun. Why do Requirements Change? An omission in defining initial scope. A misunderstanding of the initial scope An external event, such as government regulations that create new requirements Availability of better technology Shifts in planned technology Users want the system to do more Management reducing the funding or imposing an earlier deadline 27 28

8 How do I ensure that my project doesn t fail? How to Avoid Repeating the Same Mistakes? A project s vision needs to be clear, concise, and comprehensive. It also has to be the same for all stakeholders. Everyone has to be aligned with the direction of the overall business and the project s overall objectives. Everyone has to understand how the company determines and prioritizes the project pipeline Learning Objective 4 Explain the fundamentals of project management. Project Management Project management is used to ensure that projects fulfill their requirements. It is the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. It involves identifying and creating project deliverables as well as setting project milestones to verify the progress of the project

9 Project Management Terms Project deliverable - Any measurable, tangible, verifiable outcome, result, or item that is produced to complete a project or part of a project. Project milestone - Represents key dates when a certain group of activities must be performed. Gantt chart - A graph showing the tasks on the work breakdown structure along with each task s projected start and finish dates. Five Main Project Management Processes 1. Initiating 2. Planning 3. Executing 4. Monitoring and Controlling 5. Closing Initiating Projects Lay the groundwork for the project by: clarifying the value it will bring to the organization; setting its objectives; estimating the project s length, scope and cost; identifying major players (incl. the sponsor, the project manager, the team members, and other stakeholders) and obtaining approval. Setting the Project Scope Project scope defines the work that must be completed to deliver a product with the specified features and functions. SMART criteria are useful reminders on how to ensure that the project has created understandable and measurable objectives

10 Project Plan A formal, approved document (or roadmap) that will be used to manage and control project execution. A well-defined project plan should have: Description of Project Scope. A list of Activities A Schedule Time and Cost estimates Risk factors Assignments & Responsibilities Kill Switch Characteristics of a Well-defined Project Plan Easy to understand Easy to read Communicated to all key stakeholders Appropriate to the project s size, complexity, and criticality Prepared by the team Gantt Chart Gantt Chart Example A Gantt Chart is simple bar chart that depicts project tasks against a calendar. Tasks are listed vertically and the project s time frame is listed horizontally. It also shows the actual progress of tasks against the planned duration

11 Project Management Software PM software (e.g. MS Project 2010) provides extensive tools to help project managers : Manage Time o automatically adjust start and end dates. Manage People and Resources o assign people to tasks and then track their workloads and duties across the project. Manage Costs o calculate the baseline costs for the project and provide reports on variances as the project proceeds. Learning Objective 5 Describe the role of a project manager Project Manager (PM) An individual who is an expert in project planning and management, defines and develops the project plan, and tracks the plan to ensure the project is completed on time and within budget. Project Managers Goals Finish on Time Finish within or under budget Meet requirements Keep customer happy Keep team members happy (Source: 5 Goals Every Project Manager Should Aspire to Achieve,

12 Managing Projects Managing a project includes Identifying requirements. Establishing clear and achievable objectives. Balancing the competing demands of quality, scope, time, and cost. Adapting the specifications, plans, and approach to the different concerns and expectations of the various stakeholders. Measuring Project Value Difficult to measure all the benefits as well as all the costs to determine ROI. Not everything is quantifiable such as morale. Not every cost or benefit is visible. How to measure problems that were prevented? Designing metrics requires expertise. How to define success? How to apply quantitative measures to business processes and qualitative deliverables? What information reflects progress or lack of it? Three Primary Areas of Focus A project manager must focus on managing three primary areas to ensure success. Managing people Sponsors, users, and developers May be also consultants, contractors, and steering committee Managing communications Project status Prioritization of projects User acceptance testing Managing change Change Management Change management is a large part of the project management process. It is a structured approach to the transition individuals, teams, and organizations must make as they switch from their existing work processes to new work ones, especially with the introduction of a new information system. However, change can be unintended (changing requirements.) 47 48

13 Characteristics of Effective Project Managers 1. Strong leadership skills 2. Excellent communication abilities 3. Outstanding interpersonal skills 4. Technical competence in project area 5. Good listening skills 6. Strong team building skills 7. Excellent presentation skills 8. Good problem-solving and critical-thinking skills 9. Ability to balance priorities, stay organized, and keep the team on track Learning Objective 6 Apply project management software, Microsoft Project 2010, to create a project plan What MS Project 2010 can do for you? Create a better project plan and schedule It forces you to think carefully about the details of your project and accurately enter all tasks. It calculates and produces the best possible project schedule based on the data you enter. Detect problems or inconsistencies in the schedule It helps you resolve resource over-allocation and deadline issues. Help communicate project data and the schedule to stakeholders Help you track progress and detect deviation from the plan Use Project Schedule Templates or Create a New Project 51 52

14 Timeline Ribbon Summary Tasks MS Project 2010 Interface This example is based on the software development plan template. Summary Tasks A Milestone is created as a task with zero duration. Task Entry Time Phased Gannt Chart Subtasks Task Name Duration Start Date & Finish Date Resource Names Gantt Chart Create Task Dependency Relationships Link predecessor and successor tasks using the Link Tasks button. Link Tasks A Milestone is shown in diamond shape in the timescale

15 Create Your Team Enter all your resources and resource information on the Resource Sheet view. Assign Resources You can assign resources to work on individual task. Not all fields are shown in this example Conclusion The traditional systems development approach is the waterfall methodology. Due to its inflexibility and time intensiveness, other methodologies have been developed that are more agile (i.e. more flexible, less time intensive.) Project management is the application of knowledge, skills, tools, and techniques to manage project activities to meet project requirements. 59