Chapter 1 Project management Power point .pptx

Chapter 1 Project management Power point .pptx

1. The Nature of IT Projects Chapter 1 1- 1 IT PROJECT MANAGEMENT Eng. Hamza MPPM, BSc IT, BSCE

2. 1- 2 Understand why information technology (IT) projects are organizational investments .. Understand why projects are planned organizational change and why they must align with an organization’s business strategy. Define what a project is and describe the attributes of a project. Define the discipline called project management . Understand the relationship among project portfolios, programs, and projects . Understand how the disciplines of information technology and project management have evolved together and have led to how we manage projects today. Understand the current state of IT project management. Understand why some projects fail and how to improve the likelihood of success. Learning Objectives

3. 1- 3 IT projects are crucial organizational investments requiring time , money , and resources . Organizations must assess costs , benefits , and risks of IT projects to make informed decisions . Projects are essential for implementing business strategies, driving organizational changes, and achieving strategic goals . Successful IT projects integrate technology into products , services , or processes . Technical success does not guarantee organizational success if the project fails to meet user expectations. Introduction

4. 1- 4 Founded in 1969, the Project Management Institute (PMI) is a key professional association for project management . PMI sets industry standards, provides educational programs, and offers professional certifications . PMI is responsible for maintaining the globally recognized PMBOK© Guide . A project is defined as a temporary endeavor aimed at creating a unique product, service, or result . The project manager is the person designated by the organization to lead the team and achieve the project's objectives . WHAT IS A PROJECT?

5. 1- 5 Time Frame : Projects have a defined start and end, often with specific dates, and conclude when goals are met or terminated. Purpose : Projects aim to achieve specific, measurable objectives, often creating unique products, services, or systems . Ownership : Projects involve stakeholders and transfer deliverables to the customer or user upon completion . Resources : Projects require and manage limited resources, including time, money, people, facilities, and technology. Project Attributes

6. 1- 6 Project Roles : Project Manager : Ensures efficient project management processes . Project Sponsor : Provides resources, makes decisions, supports the project . Subject Matter Experts (SME): Provide necessary knowledge or expertise . Technical Experts (TE): Deliver technical skills . Risks and Assumptions: Projects face internal and external risks, including estimation errors and dependencies, with risks arising from incorrect assumptions . Interdependent Tasks: Projects involve interdependent tasks where delays can impact the overall schedule and evolve over time. Project Attributes

7. 1- 7 Organizational Change : Planned changes affect work and relationships; effective change management is crucial for organizational success beyond technical achievement. Organizational Environment: Projects function within an organizational context shaped by culture, politics, and structure, requiring understanding and navigation for effective execution. Project Attributes

8. 1- 8 A project is undertaken to create something new or unique, or to enhance an existing product, service, or system . The PMBOK© Guide defines project management as : The application of knowledge, skills, tools, and techniques to project activities to meet project requirements. What is Project Management?

9. 1- 9 Projects are crucial to business success, making up a significant portion of work in many organizations . Effective project management is supported by two key concepts: programs and project portfolio management . Programs A program is a coordinated group of related projects managed together for greater benefits and control . Programs are not just large projects but collections of related projects. Projects, Programs, and Portfolios

10. 1- 10 Examples in IT include : Infrastructure : Enhancing wireless access, upgrading systems, improving security . Applications Development : Updating ERP systems, developing new CRM capabilities . User Support : Implementing a new email system, providing technical training. Program managers : Program managers coordinate projects, align with organizational goals, and maximize benefits, requiring strong business, leadership, and communication skills. Projects, Programs, and Portfolios

11. 1- 11 Modern Project Management: Originated with U.S. Navy’s Polaris missile project (1950s ) Adopted by various industries for complex project management Evolution of IT and Project Management: EDP Era (1960s ) (Electronic Data Processing) : Focused on automating transactions with centralized mainframes, aiming to improve efficiency and reduce costs, with stable requirements and long timelines . Network Era (1995): Focused on IT infrastructure integration for partners and customers, digital convergence, shorter timelines, and support for dynamic strategies and new technologies. Project Management and Information Technology

12. 1- 12 Globalization and IT Projects Virtual teams, new project management methods, and IT projects covering legacy systems to emerging technologies like 3-D printing and cloud computing . Skills and Management Technical, non-technical, and project management; adaptation to dynamic environments; critical funding decisions based on project value and budget constraints. Project Management and Information Technology

13. 1- 13 Complexity and Risk: IT project management is complicated and risky, despite technological advances . High-Profile Failures : U.S . Air Force’s $1 billion ERP project (Expeditionary Combat Support System) was abandoned due to high costs and minimal results . Healthcare.gov’s launch had only 30% of users able to sign up initially, with costs soaring from $93 million to $300-500 million . Standish Group CHAOS Report : 1995 : Only 16% of projects completed on time and within budget . 2013 : Improved to 39%, but many projects still faced challenges. THE STATE OF IT PROJECT MANAGEMENT

14. 1- 14 Definition of Success : High failure rates often arise from how "success" and "failure" are defined. Projects may be considered failures if they are over budget and behind schedule, even if they are functionally brilliant . The reasons for project failure can be categorized into four main areas : People : Crucial issues include lack of stakeholder involvement, poor communication, and unclear roles . Processes : Ineffective or undefined project and product management processes lead to poor outcomes and misalignment with stakeholder needs. Technology : Critical technical issues, such as obsolete or incompatible technology, impact success. Proper technology choice is essential . Organization : Problems like unclear strategic direction, competing funding demands, and changing priorities hinder success. Why Many Projects Fail : Reasons for Project Failure:

15. 1- 15 To improve the success rates of IT projects and avoid past mistakes, several key approaches can be emphasized : Value-Driven Approach : Success should be measured by the value delivered to the organization, not just by meeting deadlines and budgets. Projects should provide measurable benefits like improved customer service or increased efficiency to justify their costs. Socio-Technical Approach : Successful IT projects balance technical capabilities with organizational needs. Developers should engage with users to understand their requirements, ensuring that technology aligns with business needs and promotes stakeholder participation. Improving the Likelihood of Success

16. 1- 16 Project-Management Approach : Success depends on systematic project management methodologies that provide structure, define processes, and establish quality standards, rather than individual efforts. Knowledge-Management Approach : Documenting and sharing lessons learned is crucial. Effective knowledge management helps organizations avoid repeating mistakes, foster best practices, and improve project execution by leveraging past insights. Improving the Likelihood of Success

17. 1- 17 1. Scenario : A company is planning a new software implementation project aimed at improving customer service. The project manager emphasizes that the success of this project will be measured by customer satisfaction rather than merely completing it on time and within budget. Question : What approach is the project manager adopting to ensure project success? A ) Process-driven approach B ) Value-driven approach C ) Cost-focused approach D ) Time-management approach Review questions

18. 1- 18 2. Scenario : An organization is launching a new IT project to integrate a cloud-based customer relationship management (CRM) system. The project team consists of developers, user representatives, and IT support staff. During the project kickoff, the project manager ensures that all stakeholders have clearly defined roles and responsibilities. Question : What key attribute of a project is being emphasized in this scenario? A) Resources B) Ownership C) Interdependent tasks D) Project roles Review questions

19. 1- 19 3. Scenario : A large corporation has several ongoing IT projects that are interrelated. To maximize the benefits and ensure alignment with corporate strategy, the organization decides to manage these projects as a program rather than as individual projects. Question : What is the primary benefit of managing these projects as a program? A) Reduced budget requirements B) Greater collective benefits through shared governance C) Simpler project timelines D) Enhanced competition among project managers Review questions

20. 1- 20 4. Scenario : A nonprofit organization is struggling with a recent IT project that has significantly exceeded its budget and timeline. Stakeholders are frustrated, and the project is at risk of being canceled. A review reveals that key stakeholders were not adequately involved in the project’s planning stages. Question : Which common reason for project failure does this scenario illustrate? A) Technology issues B) Organizational changes C) People-related issues D) Process-related issues Review questions

21. 1- 21 B D B C Answers