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Chapter 2 :  The Project Management and Information Technology Context Information Technology Project Management, Fourth Edition
Learning Objectives ,[object Object],[object Object],[object Object]
Learning Objectives ,[object Object],[object Object]
Projects Cannot Be Run in Isolation ,[object Object],[object Object],[object Object],[object Object]
A Systems View of Project Management ,[object Object],[object Object],[object Object],[object Object],[object Object]
Media Snapshot ,[object Object],[object Object],[object Object],[object Object]
Figure 2-1. Three Sphere Model for Systems Management
Understanding Organizations Structural frame:   Focuses on roles and responsibilities, coordination, and control. Organization charts help define this frame. Human resources frame:   Focuses on providing harmony between needs of the organization and needs of people.  Political frame:   Assumes organizations are coalitions composed of varied individuals and interest groups. Conflict and power are key issues. Symbolic frame:   Focuses on symbols and meanings related to events. Culture is important.
What Went Wrong? Many enterprise resource planning (ERP) projects fail due to organizational issues, not technical issues. For example, Sobey’s Canadian grocery store chain abandoned its two-year, $90 million ERP system due to organizational problems. As Dalhousie University Associate Professor Sunny Marche states, “The problem of building an integrated system that can accommodate different people is a very serious challenge. You can’t divorce technology from the sociocultural issues. They have an equal role.” Sobey’s ERP system shut down for five days and employees were scrambling to stock potentially empty shelves in several stores for weeks. The system failure cost Sobey’s more than $90 million and caused shareholders to take an 82-cent after-tax hit per share.* *Hoare, Eva. “Software Hardships,”  The Herald , Halifax, Nova Scotia (2001).
Many Organizations Focus on the Structural Frame ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Figure 2-2. Functional, Project, and Matrix Organizational Structures
Table 2-1. Organizational Structure Influences on Projects
Organizational Culture ,[object Object],[object Object]
Ten Characteristics of Organizational Culture ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],*Project work is most successful in an organizational culture where these characteristics are highly prevalent and where the other characteristics are balanced.
Stakeholder Management ,[object Object],[object Object],[object Object]
Importance of Top  Management Commitment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Need for Organizational Commitment to Information Technology (IT) ,[object Object],[object Object],[object Object]
Need for Organizational Standards ,[object Object],[object Object],[object Object],[object Object],[object Object]
Project Phases and the Project Life Cycle ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
More on Project Phases ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Figure 2-3. Phases of the Traditional Project Life Cycle
Product Life Cycles ,[object Object],[object Object],[object Object],[object Object],[object Object]
Predictive Life Cycle Models ,[object Object],[object Object],[object Object],[object Object],[object Object]
Adaptive Life Cycle Models ,[object Object],[object Object]
The Importance of Project Phases and Management Reviews ,[object Object],[object Object]
What Went Right? "The real improvement that I saw was in our ability to  in the words of Thomas Edison  know when to stop beating a dead horse…Edison's key to success was that he failed fairly often; but as he said, he could recognize a dead horse before it started to smell...In information technology we ride dead horses  failing projects  a long time before we give up. But what we are seeing now is that we are able to get off them; able to reduce cost overrun and time overrun.  That's where the major impact came on the success rate.”* Many organizations, like Huntington Bancshares, Inc., use an  executive steering committee  to help keep projects on track. *Cabanis, Jeannette, “A Major Impact: The Standish Group's Jim Johnson On Project Management and IT Project Success,”  PM Network , PMI (September 1998), p. 7.
The Context of IT Projects ,[object Object],[object Object],[object Object]
Chapter Summary ,[object Object],[object Object],[object Object],[object Object],[object Object]

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Ch02

  • 1. Chapter 2 : The Project Management and Information Technology Context Information Technology Project Management, Fourth Edition
  • 2.
  • 3.
  • 4.
  • 5.
  • 6.
  • 7. Figure 2-1. Three Sphere Model for Systems Management
  • 8. Understanding Organizations Structural frame: Focuses on roles and responsibilities, coordination, and control. Organization charts help define this frame. Human resources frame: Focuses on providing harmony between needs of the organization and needs of people. Political frame: Assumes organizations are coalitions composed of varied individuals and interest groups. Conflict and power are key issues. Symbolic frame: Focuses on symbols and meanings related to events. Culture is important.
  • 9. What Went Wrong? Many enterprise resource planning (ERP) projects fail due to organizational issues, not technical issues. For example, Sobey’s Canadian grocery store chain abandoned its two-year, $90 million ERP system due to organizational problems. As Dalhousie University Associate Professor Sunny Marche states, “The problem of building an integrated system that can accommodate different people is a very serious challenge. You can’t divorce technology from the sociocultural issues. They have an equal role.” Sobey’s ERP system shut down for five days and employees were scrambling to stock potentially empty shelves in several stores for weeks. The system failure cost Sobey’s more than $90 million and caused shareholders to take an 82-cent after-tax hit per share.* *Hoare, Eva. “Software Hardships,” The Herald , Halifax, Nova Scotia (2001).
  • 10.
  • 11. Figure 2-2. Functional, Project, and Matrix Organizational Structures
  • 12. Table 2-1. Organizational Structure Influences on Projects
  • 13.
  • 14.
  • 15.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20.
  • 21. Figure 2-3. Phases of the Traditional Project Life Cycle
  • 22.
  • 23.
  • 24.
  • 25.
  • 26. What Went Right? "The real improvement that I saw was in our ability to  in the words of Thomas Edison  know when to stop beating a dead horse…Edison's key to success was that he failed fairly often; but as he said, he could recognize a dead horse before it started to smell...In information technology we ride dead horses  failing projects  a long time before we give up. But what we are seeing now is that we are able to get off them; able to reduce cost overrun and time overrun. That's where the major impact came on the success rate.”* Many organizations, like Huntington Bancshares, Inc., use an executive steering committee to help keep projects on track. *Cabanis, Jeannette, “A Major Impact: The Standish Group's Jim Johnson On Project Management and IT Project Success,” PM Network , PMI (September 1998), p. 7.
  • 27.
  • 28.