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Big Data Project Management Insights

This chapter introduces project management, emphasizing the importance of aligning big data projects with business needs, as demonstrated by Citibank's successful implementations. It defines projects, programs, and portfolios, highlighting their temporary nature and the necessity for systematic management processes. Unique features of information systems projects are discussed, including the rapid technological changes, the challenge of retaining skilled personnel, and the need for extensive user involvement.
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0% found this document useful (0 votes)
43 views31 pages

Big Data Project Management Insights

This chapter introduces project management, emphasizing the importance of aligning big data projects with business needs, as demonstrated by Citibank's successful implementations. It defines projects, programs, and portfolios, highlighting their temporary nature and the necessity for systematic management processes. Unique features of information systems projects are discussed, including the rapid technological changes, the challenge of retaining skilled personnel, and the need for extensive user involvement.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

C H A P T E R 1

Introduction to Project
Management

Figure 1.1 Chapter 1 learning objectives

Opening Case: Business Requirements Driving Big Data Projects at Citibank


Big data—characterized by high volume, variety, organizations fail to consider business needs when
and velocity (see Figure 1.2)—can offer tremendous launching big data projects, and stories of big data
insights and can enable companies to achieve projects that do not contribute to the companies’
a competitive advantage by better identifying bottom line abound. At the global financial services
customers’ needs, optimizing business processes, provider Citigroup, any use cases for big data projects
or reacting to changing customer tastes or are carefully assessed regarding their business
business conditions. Driven by media hype or outside value. As a result, Citibank has implemented many
consultants, small and large organizations are trying very successful projects related to big data, ranging
to jump on the big data bandwagon. However, many from systems that utilize big data to better target

Information Systems Project Management,


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Introduction • 3

Figure 1.2 Good project management, careful planning, and an early focus on business outcomes help
Citibank increase its chances of success in big data projects.

promotional spending or analyze transactional use case and find other ways of solving the business
records for anomalies, to systems that use big data problem. Clearly, good project management, careful
to predict errors or fraudulent behaviors. planning, and an early focus on business outcomes
At the same time, Citibank’s organizational unit help Citibank increase its chances of success in its
responsible for big data projects has realized that big data projects.
big data may not be the silver bullet for a particular
Based on: Marr (2016).

Introduction
Every day, you encounter countless examples of projects organizations undertake, rang-
ing from Amazon upgrading its data center infrastructure to Citibank implementing
big data projects to companies revising their privacy policies to comply with new regu-
lations, such as the EU’s General Data Protection Regulation. All these projects require
a decision regarding their priority versus other potential projects; they all require a plan,
the execution of that plan, and on completion, an assessment of how well the team or
person doing the project followed the plan—and they all eventually come to an end.
Projects can be simple endeavors requiring the attention of only one individual, or
they can be extensive undertakings combining the resources of thousands of people.
They can last anywhere from several days to many years. Most of us do not follow a
specific methodology to do all the things that might be classified as projects in our
everyday lives; yet as projects grow in importance, complexity, and length, it becomes
increasingly important for organizations to have systematic processes for managing them

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4 • Chapter 1 / Introduction to Project Management

Figure 1.3 As projects grow in importance, complexity, and length, systematic project management processes
become increasingly important.

(see Figure 1.3). This book is about how organizations and the people within them can
effectively manage information systems (IS) projects.
In this chapter, you will learn what projects are and, conversely, what they are not.
You will also learn about the specific nature of information systems projects, how all
types of projects share many common elements but also how they all present unique
challenges. We will then describe project management and its history, and introduce
agile methodologies. You will also learn how technology can be used to help manage
projects and how technology can be classified. You will then learn why the study of proj-
ect management is important by examining some statistics regarding project failures,
some specific examples of project failures, and finally, some possible causes of project
failures. You will also gain a basic understanding of what can be done to help ensure
project success.

What Is a Project?
Depending upon the source, the definition of the term project may vary. As an example,
Project Management
Institute the New Oxford American Dictionary defines a project as “an individual or collabo-
An association rative enterprise that is carefully planned and designed to achieve a particular aim.”
designed to bring
together project Each project has a goal or specific purpose, a duration, and resource requirements such
management profes- as money, people, infrastructure, and technology. The Project Management Institute
sionals to enhance
organizational success (PMI), an association designed to bring together project management professionals
by maturing the to enhance organizational success by maturing the project management profession,
project management
profession. describes projects as temporary endeavors designed to achieve a unique result, product,
Project
or service. For the purpose of this book, we have chosen a definition that incorporates
A planned undertaking dimensions of all of these descriptions, defining a project as “a planned undertaking of
of related activities
to achieve a unique
related activities to achieve a unique outcome that has a specified duration.” In organi-
outcome that has a zations, individual projects are grouped as programs, which help harness synergies. For
specified duration.
example, a company might develop a mobile app for its salespeople as part of a mobile
Program enterprise program. A portfolio may include a variety of projects or programs—which
Related projects
coordinated to harness may or may not be directly related (e.g., in the case of setting up a new business unit or
synergies. launching new product lines)—to reach strategic objectives (see Figure 1.4).

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What Is a Project? • 5

Figure 1.4 Projects, programs, and portfolios

Portfolio Projects, programs, and portfolios are executed to meet a specific need for a stake-
A group of projects or holder or group of stakeholders. Stakeholders are those entities that are actively
programs (which may
not be directly related) involved in the project, who have a vested interest in its success, or who have a positive
pursued to reach or negative influence over the project and its results.
strategic objectives.
Projects are also temporary in that they begin and end on specific predetermined
Stakeholder dates. Project teams are often formed at the beginning of a project and then disbanded
An individual, group,
or organization that is at its completion, with team members being reassigned to new projects. As a result,
actively involved in the project team dynamics are often different from the dynamics of other, more permanent
project or has a vested
interest in its success teams such as those used in a production environment. Finally, projects need support
and/or has a positive from senior-level executives. A project sponsor is a member of the organization who
or negative influence
over the project and its
is responsible for the high-level support of the project. The project sponsor has the
results responsibility of making sure the project is given the resources necessary for its suc-
Project sponsor
cessful completion. Resources can include personnel and facilities, as well as any other
A member of the needs the project personnel may have.
organization who is Business projects frequently have an assigned project manager. In information sys-
responsible for the
high-level support of tems projects, the project manager needs a diverse set of skills—general management,
the project. leadership, technical, conflict management, and customer relationship management.
Project manager The project manager is responsible for managing a project as it goes through its indi-
A person with a diverse vidual phases from concept to completion; given that project management is largely
set of skills—general
management, leader- a team sport, a project manager’s role often focuses more on facilitating, rather than
ship, technical, conflict on monitoring and controlling. A project manager’s environment is one of continual
management, and
customer relationship change and problem solving. Typically, the project manager is a very experienced sys-
management—who is tems analyst; in other organizations, junior and senior analysts work together to manage
responsible for manag-
ing a project as it goes
parts of a project, with the more junior member supporting and learning from a more
through its individual senior colleague. Understanding the project management process is a critical skill for
phases from concept your future success. A project manager is often referred to as a juggler keeping many
to completion.
balls in the air that reflect the various aspects of a project’s development. Balancing
Project success the three key aspects time, costs, and scope, the project manager is instrumental to the
The degree to which
project objectives have successful completion of any project (see Figure 1.5). In fact, project success is often
been achieved on time, defined as the degree to which project objectives have been achieved on time, within
within budget, and
with the agreed upon budget, and with the agreed upon quality and scope.
quality and scope. Information systems projects are undertaken for two primary reasons: to take
advantage of business opportunities and to solve business problems (Figure 1.6). Taking
advantage of an opportunity might mean providing an innovative service to customers
through the creation of a new system. For example, a sports apparel brand may want
to create a new tennis shoe that pairs with a mobile app to allow customers to analyze
their running performance. Solving a business problem could involve modifying how an
existing system processes data to provide users more accurate or timely information. For
example, in order to reduce the number of telephone calls received by their sales staff,
this same brand may want to provide ways for the potential customers to see exactly
which products suit their individual needs and fitness levels.

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Figure 1.5 Balancing the three key aspects time, costs, and scope, the project manager is instrumental to the
successful completion of any project.

Figure 1.6 Information systems projects are undertaken to take advantage of business opportunities and to
solve business problems.

Once a potential project has been identified, a feasibility study may need to be
conducted. This involves determining the resources and time required for the project’s
completion. To determine which resources are necessary, the scope of the project is
analyzed and the probability of successful completion is determined. The organization
can then use this information to decide whether the project is feasible, given time and
resource constraints. If so, the team conducts a more in-depth analysis. As you will
see, a primary skill of a project manager is to determine a project’s scope, time, and
resource requirements. These and other skills and related techniques will be covered in
subsequent chapters.

Global Implications: U.S. Business Firms Look Overseas for IT Help


With information systems being pervasive throughout most likely has the longest history of providing an
our lives, many companies are struggling to find the offshore workforce, given the government’s early
talent needed to develop and program their various focus on information technology education. For
apps and devices. Consequently, companies as well example, the famous Indian Institute of Technology
as information technology (IT) service providers are was founded in the 1960s and has a high reputation
increasingly drawing on an offshore workforce to for not only teaching and research but also industrial
meet their needs. Over the years, countries such as consulting.
China, the Philippines, or Russia have built up a large Yet just as the demand for skilled programmers
base of highly skilled workers who can program in a outstrips the supply in the United States, so does
variety of programming languages. However, India demand outstrip supply in India, with India’s National

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Unique Features of IS Projects • 7

Association of Software and Services Companies More than two decades ago, companies were
(NASSCOM) predicting that India’s IT industry will looking for inexpensive workers to support their own
grow by less than 10 percent but the demand for (domestic) workforce. Today’s increasingly complex
skilled IT workers will double by 2020. Given this IT environments make searching for the right mix
demand, as the labor costs in India continue to rise, of talents at the right costs ever more important. In
fact, a recent study by Stratistics Market Research
many companies have already started to look else-
Consulting has estimated that in 2015 companies
where when thinking about offshoring their work.
spent US$314.9 billion for global outsourcing of soft-
Whereas many U.S.-based IT service providers
ware and services, a number that was expected to
(ranging from Accenture to IBM Global Technology reach US$481.4 billion in 2022. Yet global outsourc-
Services) rely on overseas talent, overseas IT ser- ing projects are not without challenges; working with
vices providers (such as Infosys or Wipro) now have an external provider adds complexity and distance in
international offices in various countries to be closer time and space, and language barriers often hinder
to their clients. productivity.
Based on: NASSCOM (2014); Trent (2016); Valacich and Schneider (2018).

Unique Features of IS Projects


This book is focused on IS project management. Thus it is important for us to answer
the question: What characteristics of IS projects make them different from non-IS
projects? There are many unique aspects, but here are just a few (see Figure 1.7).

Figure 1.7 IS project complexities

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First, the technological context in which companies operate today is in constant


flux. As new technologies are introduced, firms must quickly decide whether to invest in
them or risk losing a potential competitive advantage, or simply whether to match the
capabilities of competitors who already have adopted a new technology. For example,
Barnes and Noble, a well-known book retailer, was forced to establish a web presence
in order to offset the competitive advantage gained by [Link]’s online sales. The
number of new technologies also means that firms may find themselves juggling the
resources required to manage not just one but many projects focused on technological
innovations. These factors create an exciting, yet stressful, environment both for the
businesses involved and the project teams that do the work.
A second unique aspect of IS projects is the difficulty of hiring and retaining expe-
rienced IS project employees. In other words, not only may technologies change during
projects, but a project team may also experience turnover as valued employees seek new
opportunities. This is made even more challenging by the fact that the demand for
employees with good IS project experience may be particularly high; thus companies
may need to design lucrative compensation packages to prevent other organizations
from recruiting these employees. This, of course, assumes that the company can recruit
personnel with IS project experience to begin with.
A third unique aspect of IS projects is the need to manage the extensive user
involvement necessary in information technology projects. Unlike many other types of
projects, an information system might be replicated across different parts of an orga-
nization—possibly in different parts of the world. As a result, project teams need to
focus particular attention on each subset of potential users as the system is built and be
aware that an information system is likely to be used by people with very different levels
of technical proficiency. As a result, many different types of users need to be involved
in the development process to ensure system success. Systems designers charged with
the development of an information system must ensure that the system’s end users
are involved throughout the project—not only during planning but also during both
implementation and maintenance.
A fourth unique aspect of IS projects is the need to understand established sys-
tems development methodologies and how these can be integrated into a project man-
Project management agement framework. Each project uses a project management methodology, which
methodology
The process used for defines how the project management plan is executed in terms of which processes
executing the project are applied, how workflows are organized, and who is responsible for what. A project
management plan.
management methodology establishes clear guidelines and methods to ensure that
PRINCE2 projects are being conducted in a consistent manner, such that quality is promoted
(PRojects IN Controlled
Environments) A struc- and the project deliverables are delivered on time and within budget. Commonly used
tured process-based methodologies include PRINCE2, waterfall, or agile methodologies.
project manage-
ment methodology
Information systems development methodologies are normally based on a systems
providing processes, development life cycle (SDLC). Literally dozens of published methodologies for
templates, and steps. developing and maintaining information systems are available to organizations and
Systems development project teams. Understanding how these methodologies relate to the standard project
life cycle
A structured
management techniques is a unique aspect of managing IS-related development efforts.
approach to systems A fifth unique aspect differentiating IS projects from many other types of projects
development. is that the attempted solutions may have never been tried before. Whereas building a
new house is certainly a project, it is a project that is likely very similar to past projects
your general contractor has attempted. An IS project, however, may focus on building
a system that has entirely new functionality, for example based on Internet of Things
sensors or big data. In such a case, the project team may have few guidelines or lessons
learned from past projects to rely on.

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A sixth unique aspect of IS projects that creates a level of complexity beyond non-IS
projects is related to managing project scope. Project scope, which involves the planned
definition and size of a project, is likely to change in many projects; however, progres-
sive, uncontrolled increases in project scope (see the discussion of scope creep in Chap-
ter 5) and unclear requirements are commonplace in IS projects. In many instances, this
again might relate to the fact that the end product has never been developed before. In
such a situation, users may be less certain about what characteristics they want in the
final project output. In addition, users may naïvely believe that software projects are
easily modified even after they have begun—after all, it’s just changing a few lines of
code. It is up to the project team to manage these perceptions.
A seventh unique feature of IS projects is that the technologies involved in projects
may change during the course of the project, presenting a moving target for the project
team. As an example, a company may be involved in the deployment of an enterprise
system, such as SAP S4/HANA, for the purpose of connecting various functional
areas of the business, such as production, sales, and accounting. In the middle of such a
project, a new version of the system may be released, and the company may find itself
facing a decision of whether to continue with the original product or adopt the new
technology. Such changes in technology are commonplace, adding to the complexity of
managing projects of this nature. In some cases, the technology might become obsolete
before the project is even finished.
In contrast to other projects, such as building a bridge, IS projects are associated
with a host of other challenges. For example, while the complexity of constructing
bridges has remained relatively stable over time, the required functionality of software
is constantly increasing, leading to exponential increases in code base and complexity.
Likewise, it is estimated that in large IS development projects, an average of a thousand
decisions have to be made for each US$1 million in labor costs. Consequently, it is now
nearly impossible to test each logical path within the software’s source code—even
using automated tools—and almost no software can ever be free of errors or defects.
While many latent defects may only surface under very specific circumstances, they
can pose critical vulnerabilities. The likelihood and impact of attacks is increasing, as a
malicious cracker only needs to discover a single hole and the tools for this are becom-
ing increasingly sophisticated.
Further, software, in and of itself, is unique in a sense that it is invisible (i.e., the
user only interacts with the system image) and there are no physical laws that guide or
determine the results of a certain operation or change to the code. Complicating matters
further, there are few “laws” in software development, and the field is constantly evolv-
ing, with new methods and new approaches (such as agile); for many new methodolo-
gies, developers follow a trial and error approach, as just too little is known about why
things work or don’t work, or about the circumstances under which they can be used.
Another issue is associated with project planning and execution: while, for example, the
size and complexity of construction projects can be estimated using well-established
tools and techniques, few such tools exist for IS project; likewise, especially for large
and complex systems, only limited tools are available to support development. Finally,
information systems do not operate in a vacuum, and many (if not most of ) today’s
systems are interlinked; consequently, the project manager and developers must extend
their focus beyond the system they are developing and also consider its interactions
with other systems.
Although projects may take many forms, one common factor most often leads to
project success—project management.

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Ethical Dilemma: Solving Dilemmas in Project Management


Do no harm. Tell the truth. Respect others’ rights. first step, the project manager might weigh the short-
These and other moral imperatives guide our term and long-term consequences of the options
decisions. At times, however, we have to make and try to find the option that both minimizes harms
decisions where some options involve breaking and maximizes benefits. The second step involves
moral imperatives. In some situations, all options evaluating which actions are least problematic (with-
involve breaking our moral imperatives, so finding out consideration of the consequences). Typically,
the best option is far from easy, and there may not these steps would involve identifying and ranking the
even be a definite solution. Such ethical dilemmas values and principles involved, so as to arrive at an
(sometimes called moral dilemmas) are an action plan that is least problematic from an ethical
unavoidable aspect of many business and personal standpoint. Further, you should carefully consider the
decisions, and as project manager, you are likely to
consequences for the various stakeholders involved.
face such dilemmas as well.
Ethical decision-making has a wide range of con-
For example, a project manager may realize that
sequences. In a study of 1,121 managers and execu-
a component is behind schedule, and not completing
tives, the American Management Association found
the component on time may threaten the release of
that protecting a business’ reputation, maintaining
further funding. At the same time, the project man-
ager knows that a new programmer is being hired, customer trust and loyalty, and maintaining investor
and that the delay will be made up shortly. Should confidence are among the top five reasons for con-
the project manager report the delay, threatening the ducting business ethically. Yet the respondents also
entire project, or should she provide an overly opti- indicated that the efforts of running an ethical busi-
mistic assessment of the situation, knowing that it ness are often thwarted by factors such as pressure
does not represent the true status of the project? to meet unrealistic business objectives or deadlines,
How would you approach a situation where you people’s desire to further their career, or employ-
face an ethical dilemma? One approach to mak- ees’ desire to protect their livelihoods. Further, glo-
ing the decision involves not only considering the balization and operating in different cultures, laws,
actions themselves, but also the consequences of and regulations, makes running an ethical business
the actions, following a two-step approach. In the increasingly difficult.

Discussion Questions
1. What was the most challenging ethical dilemma you have ever faced?
2. How did you resolve the dilemma?
Based on: American Management Association (2006); Valacich and Schneider (2018).

What Is Project Management?


The Project Management Institute (PMI) defines project management as “the application
Project Management
Body of Knowledge of knowledge, skills, tools, and techniques to project activities in order to meet project
(PMBOK) requirements.” Based on identified best practices, PMI maintains the Project Manage-
A repository of
project management ment Body of Knowledge (PMBOK), which includes project management practices
practices that are that are generally recognized as good practices for successfully managing projects. These
generally recognized
as good practices.
practices are periodically published in the PMBOK Guide, now in its sixth edition,
which forms the basis of this book.
Project management
process groups PMBOK outlines various project management processes that bring about a par-
Groups of processes ticular result, end, or condition. Based on the specific purpose of the processes, they
performed to initiate,
plan, execute, monitor
are grouped together into project management process groups—namely, initiating,
and control, and close planning, executing, monitoring and controlling, and closing processes (see Figure 1.8).
a project.
The individual processes within the process groups are conducted during the individual
Project life cycle phases of the project life cycle—the phases a project goes through from concept to
The phases a project
goes through from
completion). (Note that while the processes are performed during the different phases
concept to completion. of a project, they do not equal the phases.) While the project phases, process groups,

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What Is Project Management? • 11

Figure 1.8 Project management process groups. Based on: PMBOK (2017).

their subprocesses, and project life cycles will be covered in greater detail in Chapter 2,
it will be useful to discuss the major process groups briefly here.
Before a project even begins, organizations must identify potential projects and
evaluate their importance to the organization. The need for IS projects can be discov-
ered in many ways, including recognition by managers and end users. Once these needs
have been identified, key management can evaluate the potential projects’ alignment
with company strategies and goals.
The processes in the initiating process group include authorizing the continuation
of an existing project or the start of a new project, developing the project charter, as
well as developing the project management plan. The processes in the planning process
group are conducted to plan crucial aspects of the project, such as scope, time, costs, and
Microsoft Project risks. Processes in this project group use project management tools (such as Microsoft
Software designed
by Microsoft to help Project) to create work breakdown structures (WBS; see Figure 1.9), Gantt charts,
people manage and network diagrams (see Figure 1.10), all of which will be discussed in later chapters.
projects.
The processes in the executing process group are concerned with completing the
Work breakdown actual project deliverables. The processes in the monitoring and controlling process
structure
A listing of the group are used to measure performance and progress and compare these against planned
activities necessary
for the completion of a
performance and progress. If problem areas are found, steps are taken to correct them.
project. Finally, the closing process group encompass processes such as finalizing all paperwork
Gantt chart and having all responsible parties sign off on the phase or project.
A bar chart showing The processes of the different process groups are further categorized as belonging
the start and end
dates for the activities to one of ten knowledge areas, such as scope management, cost management, or risk
of a project. management. These ten core knowledge areas, along with their associated processes, are
Network diagram listed in Table 1.1 (Note that throughout the book, process names corresponding to
A schematic display
that illustrates the
PMBOK are Capitalized and Italicized). When looking at these knowledge areas, their
various tasks in a ties to each of the project process groups of initiation, planning, execution, control, and
project, as well as their
sequential relationship.
closeout are evident. We will revisit this association throughout this book.
An important aspect to note is that while the PMBOK Guide describes good prac-
tices, it does not serve as a methodology per se, as it does not provide specific guidance
on which processes should be applied, how workflows should be organized, or who
should be responsible for what.

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Figure 1.9 Sample work breakdown structure (WBS) in Microsoft Project 2016

Figure 1.10 Sample network diagram in Microsoft Project 2016

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What Is Project Management? • 13

Table 1.1 Project Management Core Areas of Knowledge

Project Integration Project Scope Project Schedule Project Cost Management


Management Management Management • Plan Cost Management
• Develop Project Charter • Plan Scope Management • Plan Schedule • Estimate Costs
• Develop Project • Collect Requirements Management • Determine Budget
Management Plan • Define Scope • Define Activities • Control Costs
• Direct and Manage Project • Create WBS • Sequence Activities
Work • Validate Scope • Estimate Activity
• Monitor and Control • Control Scope Durations
Project Work • Develop Schedule
• Perform Integrated • Control Schedule
Change Control
• Close Project or Phase
Project Quality Project Resource Project Communications Project Risk Management
Management Management Management • Plan Risk Management
• Plan Quality Management • Plan Resource • Plan Communications • Identify Risks
• Manage Quality Management Management • Perform Qualitative Risk
• Control Quality • Estimate Activity • Manage Communications Analysis
Resources • Monitor Communications • Perform Quantitative Risk
• Acquire Resources Analysis
• Develop Team • Plan Risk Responses
• Manage Team • Implement Risk
• Control Resources Responses
• Monitor Risks

Project Procurement Project Stakeholder


Management Management
• Plan Procurement • Identify Stakeholders
Management • Plan Stakeholder
• Conduct Procurements Engagement
• Control Procurements • Manage Stakeholder
Engagement
• Monitor Stakeholder
Engagement

Tips from the Pros: Project Management Institute


In any business profession, developing a strong net- managers and offers certification as a project man-
work can help people advance their careers, stay agement professional (PMP) for those with exten-
abreast of current developments, and receive help, sive project management experience. Due to the
advice, or mentorship from peers or senior members complexity of information systems projects, earning
of the profession. Just as there are various organiza- PMI’s Project Management Professional certification
tions and societies for accountants, marketers, or IT can help a project manager increase the success rate
professionals, there are different societies for project of IS projects. Additionally, PMI publishes three peri-
managers—most notably, the Project Management odicals: PM Network, the Project Management Journal,
Institute (PMI). Established in 1969, the PMI is an and PMI Today. Why should a project manager be a
international society that focuses on the needs of PMI member? The reasons include ([Link])
project professionals around the world. It includes • Education and training. Through seminars, PMI
over 470,000 members from 207 countries; they members can improve their knowledge and skills
come from various industries, such as aerospace, in project management.
automotive, business management, construction, • Knowledge acquisition. Members have access to
engineering, financial services, health care, informa- research results so that they can stay up-to-date
tion technology, pharmaceuticals, and telecommuni- with any changes or developments in the project
cations. PMI delivers educational services to project management field.

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• Professional development. Project managers can individuals who have sufficient project experience
attend educational events where they can learn and have passed a rigorous comprehensive exam-
about international and regional concerns of ination in project management.
other project managers through case studies and • Professional awards. Annual awards are presented
simulations. to PMI members who bring honor and recognition
• Networking. PMI members have the opportunity to the project management profession and PMI.
to interact with members from different organiza- • Career services. PMI also offers career services to
tions to develop relationships and work on advanc- project management professionals.
ing the project management profession.
• Publications. Along with its three periodicals, PMI
• Career advancement. PMI offers project manage- publishes project management books, training
ment professional (PMP) certification to those tools, and other learning products.

The History of Project Management


Some argue that project management originated in ancient Egypt during the build-
ing of the great pyramids (see Figure 1.11). Carving and moving huge stone blocks
without the help of modern machinery would, indeed, seem to require a great deal of
project management skills. Modern project management, however, is often argued to
have begun as early as the late 1800s. For example, in 1857, T. D. Judah authored A
Practical Plan for Building the Pacific Railroad, in which engineers and clerks prepared
formal reports at the project office as survey information arrived from field managers.
The information was then analyzed, updated, and forwarded to field managers and
engineers. The project office was also responsible for relationships with investors, cost
estimation, feasibility studies, and field surveys (Kwak, 2003).
Henry Lawrence Gantt (1861–1919) was a mechanical engineer and management
consultant who in 1917 developed what is now known as the Gantt chart, a tool used
to plan and track project activities that is still in use today (note that Gantt charts are
now often referred to simply as bar charts). Gantt charts allowed for the visual display
of project planning and status information. An overview of the history of Gantt charts
is provided at [Link], and a sample Gantt chart is shown in Figure 1.12.
We will discuss the Gantt chart in more detail in Chapter 6.
In 1931, the development and use of project management techniques similar to
those in use today was necessary for the construction of the Hoover Dam (see Figure
1.13). This massive project required the extensive use of both materials and human
resources. Because the project involved six companies integrated together as one gen-
eral contractor, it was crucial for the companies to use project planning and control
techniques. Although these project management techniques were then in their infancy,

Figure 1.11 History of project management

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the Hoover Dam was not only successfully completed but completed ahead of time
and under budget.
The modern concept of project management originated in 1942 during the so-called
Manhattan Project (see Figure 1.14), which was the code name for the U.S. effort to
develop an atomic bomb during World War II. This project provided some of the
first evidence of the potential of modern project management techniques. It lasted
from 1942 to 1946, involved hundreds of scientists, and was accomplished at a cost of

Figure 1.12 Sample Gantt chart in Microsoft Project 2016

Figure 1.13 Hoover Dam. Source: CC-BY-SA 3.0, Ubergirl.

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Figure 1.14 Hanford Site in 1944. Source: U.S. Army Corps of Engineers.

approximately US$1.8 billion, which in today’s dollars would be well over US$20 bil-
lion. The necessary planning and security were so extensive that three secret cities were
built to support the Manhattan Project’s activities. Coordinating the huge number of
tasks necessary for this undertaking was a huge endeavor, and the project management
tools developed to do so are still in use today.
Critical path method Between 1958 and 1979, additional project management tools were introduced. These
A method used for tools included both the critical path method (CPM) and three-point-estimating.
determining the
sequence of task Figure 1.15 shows a network diagram for simple project, with different sequences of
activities that directly activities (labeled A–I). As you can see, different tasks may be completed in parallel, so
affect the completion
of a project. there may be multiple parallel paths in a project; the critical path is the longest path
Three-point estimating
through the diagram, indicating the shortest time in which a project can be completed.
A technique that Both the critical path method and three-point estimating are used in different ways
averages optimistic,
pessimistic, and
to estimate project durations and will be covered in depth in later chapters. Project
realistic time to management processes continued to evolve through the 1980s as the ability of project
calculate the expected
time for a particular
managers to exert local control over projects increased, due in part to the shift from
task. mainframe computing to personal computing technology.

The Rise of Agile


Today’s organizations are operating in highly dynamic environments and must deal
with ever-increasing uncertainty. Increasing competition and the pace of technologi-
cal advances necessitate organizations to be highly adaptive. Whereas in the past, an
organization’s competitors were well-known, and their behaviors were often predict-
able, today even large corporations face competition from small, nimble organizations
and startups. For example, traditional automobile manufacturers ranging from Ford to
Porsche suddenly face competition from companies such as Tesla. Likewise, whereas
the requirements of traditional organizational information systems were largely stable,

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Figure 1.15 Critical path method

and the outcomes were easily definable, the requirements of many systems today are
unclear and are likely to change quickly. As a result, traditional approaches—where
most of the work is determined upfront—are ill-suited, and companies are increasingly
Agile methodologies using agile methodologies for various projects. Agile approaches, placing the customer
Expedited approaches at the center, use an expedited approach to systems development focusing on iterative
to systems develop-
ment focusing on development, incremental delivery, and frequent feedback. In the early 2000s, a group
iterative development, of software developers published the Manifesto for Agile Software Development. The
incremental delivery,
and frequent feedback. agile manifesto emphasizes a focus on individuals and interactions, working software,
customer collaboration, and responding to change, as opposed to emphasizing processes
and tools, comprehensive documentation, contract negotiation, and following plans.
Following the agile manifesto, agile approaches use self-organizing teams and focus on
delivering working software frequently, so as to obtain rapid feedback from customers
and deliver valuable software. We will discuss the details of agile approaches in appen-
dices at the end of Parts I, II, and III, respectively.

Technology for Project Management


The use of a project management information system enables the effective management
of a project. A variety of project management software tools can help in planning and
visualizing project tasks and activities. Nearly all project management software contains
tools that support activities across the planning, execution, and control phases of the
project life cycle. Automated versions of tools that create project timelines, estimate
costs, assign resources, and perform similar functions build on many of the manual
techniques available to project managers in the past. As an example, tools to create a
Gantt chart are commonplace in most project management software, although Micro-
soft Project enhances this functionality with features like resource assignments that are
built right into the Gantt chart. Although many good software packages are available,
Microsoft Project is one of the most common and accessible. Therefore, the examples
in this textbook will all be from Microsoft Project 2016. In addition to project man-
Project management agement software, a project management information system includes configuration
information system management systems, source code management systems (such as GitHub), collabo-
The collection
of manual and ration systems, knowledge bases containing historical project information, and other
software tools used to systems.
support all aspects of
managing a project. Project management software can be classified based on the number of users, indus-
try specificity, platform, and target market and price (see Figure 1.16). Some types

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Figure 1.16 Different ways to classify project management software

of project management software can allow two or more project team members using
different computers to work together on various project activities. Such collaboration is
necessary for very large projects and when project members are not in the same location.
Because IS projects frequently include project members in dispersed locations (in many
instances team members may even be located in other countries), project management
software that supports collaboration gives project members up-to-date information on
the status of various project tasks.
Project management software can also be classified based on the software platform
on which it runs, such as Microsoft Windows, Linux, Apple’s Mac OS, or on mobile
platforms. In addition, a new trend is for companies to host project management soft-
ware in the cloud, in essence offering Software as a Service (SaaS). Web-based software
eliminates deployment problems, and a user requires only a web browser to use the soft-
ware. Such software, however, does not eliminate the need for skilled project managers;
rather, it is just a tool that aids project managers in accomplishing their objectives. The
large number of stand-alone and web-based project management packages available
illustrates the great demand for project management software and shows how import-
ant project management has become for the modern organization.
Project management software can also be industry specific. For example, Procore
focuses on construction projects. SYMPAQ SQL is geared toward project-oriented cost
accounting for government contractors. RoboHead focuses on projects in marketing
or creative sectors. Teamwork Project, from [Link], focuses on marketing, cre-
ative, software, and support teams. Software specific to a particular industry may have
built-in templates for activities that are common for that environment. These templates
may help reduce the time required for a user to input and generate a project plan and
the associated project activities. It may also guide the user to best practices used in that
specific industry.
An additional classification of project management software is based upon the
target market and price of the product. Products range from low-end software pack-
ages targeted at small companies to high-end, multiuser-licensed packages targeted at
enterprise organizations. An example of a relatively inexpensive web-based system is
Copper Project, which costs less than US$50 per month per user. In contrast, software
giant Oracle’s Primavera P6 Professional Project Management software package is
designed to run on stand-alone PC systems and costs US$2,500 per user. Probably the

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most well-known project management software package is Microsoft Project. Perhaps


its most attractive feature is its ability to be used by one user on a stand-alone PC or by
more than a thousand users in a network setting or online.

Doing Projects in Business Environments


Although projects can be carried out by individuals, most organizational projects
use teams. What does that mean in terms of project management? Simply put, team
dynamics must be taken into consideration during the project. As early as the planning
phase, human resource managers must decide which employees will have the greatest
chance for success when working as part of a team. Additionally, human resource man-
agers must determine which employees may be available for a given project. For large
organizations, enterprise-wide human resource systems may be used to help identify
available employees who possess the skills needed for a given project.
Successful IS projects require that various types of personnel work together. Specific
groups of employees needed can include project managers, systems analysts, program-
mers, and end users. When teams are formed from such diverse groups of individuals,
group dynamics are often of special concern. Considerable research has been conducted
in this area, and we will have much more to say about this subject in later chapters. For
now, suffice it to say that communication among team members is of major concern
due to the unique jargons often used by individual groups.

Skills of a Project Manager


Successful project managers possess a multitude of skills related to three key areas—
technical project management skills, strategic and business management skills, and
leadership, known as the PMI Talent Triangle (see Figure 1.17).

Technical Project Management Skills


Throughout your studies, you have learned (or will learn) a variety of technical skills,
from coding to networking to data analytics and visualization. In this book, you will

Figure 1.17 Technical project management skills, strategic and business management skills, and leadership.
Based on: PMBOK (2017).

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become familiar with a variety of processes, tools, and techniques for successfully man-
aging IS projects. Together, these skills will allow you to effectively communicate with
your team members, find solutions to obstacles encountered during a project, and suc-
cessfully complete a project.

Strategic and Business Management Skills


Within organizations, projects are conducted to achieve various short- and long-term
goals and strategies. Thus any project is driven by some business rationale, and a good
project manager needs to be able to understand, consider, and communicate these busi-
ness rationales in project management activities. Strategic and business management
skills deal with all aspects of managing an organization and include skills related to
different functional areas of an organization, such as finance and accounting, purchas-
ing, marketing, contracts and commercial law, and manufacturing. They also include
high-level organization-wide skills, such as logistics and supply chain; strategic, tactical,
and operational planning; understanding organizational structure and behavior; health
and safety practices; and information technology. Project management, though highly
specialized, is still a form of management. Strategic and business management skills
apply as much as they would to any other form of management, and these skills provide
a strong foundation for project managers. In fact, strategic and business management
skills are often essential for successful project management.

Leadership
A key task of the project manager is facilitating and managing, rather than controlling.
A project manager not only leads the project team and communicates with the project
sponsor and other stakeholders, but also serves a critical role in communicating with
other members of the organization, the overall industry, and the project management
profession. Thus project management also calls for keen interpersonal skills, such as
being able to act as a leader, to communicate effectively, to negotiate and manage con-
flict, to solve problems, to influence the organization, and to motivate people.
Leadership is a broad term encompassing many areas related to working with oth-
ers. To lead means, among other things, to establish direction, align people with that
direction, motivate them to work hard and do their best, and inspire them to succeed,
often by example.

Communicating
Communicating—exchanging information—is something we all do every day, but it
is also something most of us do not do well. Communication has many dimensions.
It can be written or oral, involve speaking and listening, be internal or external, formal
or informal, vertical or horizontal. Furthermore, it involves choosing the appropriate
media, establishing a clear and precise writing style, developing good presentation tech-
niques, and learning how to successfully run and manage a meeting.

Negotiating
Negotiation involves coming to terms and reaching an agreement. Negotiating is a con-
stant part of project management. The three key elements of any project—scope, cost,
and time—are subject to continual negotiation, as are contracts, personnel assignments,
and resource allocation.

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Problem Solving
There are two aspects of problem solving: problem definition and decision-making.
Defining a problem sounds trivial and obvious, but correctly defining a problem means
the difference between solving the real problem or solving something else. Defining a
problem correctly means distinguishing between causes and symptoms, and it involves
gathering information and problem finding.
Decision-making involves analysis of the problem, which leads to possible solutions
and choosing from among them. It is important to note that all decisions have time
restrictions; thus it is rarely possible to find and collect all relevant information. Deci-
sion-making rarely results in optimal decisions. Instead, due to time limitations and
limits to human processing, decision-making often results in “satisficing”—choosing
the best alternative available as soon as it is found.

Influencing the Organization


Because a project exists within an organizational context, its successful completion is
intertwined with the organization and its operation. Project managers must not only
understand the organizational context; they must also be able to influence the context
in the project’s favor. Influencing the organization gives managers the ability to get
things done. It requires understanding the formal and informal organizational struc-
tures involved, which typically also requires understanding the organization’s politics
and power distribution.

Motivating People
Project managers need to determine how to get other people to do project tasks and to
do them well. Motivating team members to succeed means energizing them to achieve
at high levels and to overcome obstacles to change. Project managers have many moti-
vational tools at their disposal, including many types of rewards and sanctions.

Project Failures and Project Success


Did you know that the number of IS project failures reported by U.S. businesses contin-
ues to outweigh the number of successful ventures? According to research conducted by
the Standish Group, only 29 percent of all software projects are successfully completed
(i.e., on time and within budget, delivering satisfactory results).

Examples of Project Failure


Project failures can take many forms and can be defined in terms of projects that finish
over budget, projects that are not completed on time, and projects that may have been
finished on time and budget but failed to deliver a system that met stakeholder expec-
tations. The following projects are among those that failed in at least one of these areas:

• The website of the Australian Bureau of Statistics’ August 2016 Census had so
many site failures that the majority of Australians could not complete the Census
on the designated day, and it was offline for more than two days during the critical
data collection period (Head & Walker, 2016; Uhlmann & Doran, 2016).
• Target attempted to implement SAP into its Canadian businesses. This roll-out
was different from using custom supply chain software it used in the United
States. Unfortunately, the implementation was so bad (e.g., having to manually
enter data for 75,000 products) that it contributed to Target’s decision to close

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all 133 Canadian stores, leaving nearly 18,000 employees out of work as of April
12, 2015 ( Jackson, 2016).
• In 2012, the U.S. Air Force terminated a US$1.03 billion, seven-year project
that was intended to replace about 240 outdated systems with a single integrated
enterprise resource planning system to focus on the air force’s global supply chain
(Charette, 2013).

Having established that many projects in modern organizations fail, our next step
is to attempt to identify why this happens.

Causes of Project Failure


Why do some IS projects succeed while many others fail? The Standish Group provided
a detailed study to determine why projects were ultimately canceled. This survey identi-
fied five leading causes (see Figure 1.18), including incomplete requirements, lack of user
involvement, lack of resources, unrealistic expectations, and lack of executive support.
Failures can take place during any phase of the project. For example, during the
initiation phase, managers may fail to identify a specific group of stakeholders that may
have an important influence on the success of the project. During the planning phase
of project management, problems can occur due to failure to correctly estimate the cost,
time, or complexity of the project. During project execution, personnel carrying out the
actual project activities can make mistakes that may also result in project failure. Man-
agers can make errors when estimating either the expected or actual performance of the
project, which might result in an inaccurate picture of the project status. Failures during
closure can include closing down the project before the agreed-upon final deliverables
have been handed over. Finally, during all stages of a project, communication failures
can contribute to overall project failure.

Figure 1.18 Project failure factors

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Common Problems: Why Do Software Projects Fail?


It is a challenge for software developers to deliver 3. Inexperienced project manager. Lack of
projects on time and within budget—especially large leadership skills, project progress not monitored
projects. While today, project managers increasingly closely, and ineffective communication
use agile methodologies to deal with uncertain 4. Inexperienced team members. Inadequately
requirements and dynamic environments, examples trained team members, lack of team member
of high-profile project failures continue to abound, commitment to the project, and frequent
with projects being late, over budget, or both, and turnover within the project team
many never being delivered. A case in point is IBM’s 5. Unclear business objectives. Ill-defined project
project to upgrade the State of Pennsylvania’s goals, conflicting systems requirements,
unemployment compensation system, which was continually changing project objectives, and
delivered forty-five months late, costing US$60 undefined project success criteria
million more than originally budgeted. The failure rate 6. Unreliable estimates. Inadequate estimation
for software development projects is of significant of project schedule, budget, and required
concern; having analyzed more than fifty thousand resources and unclear project milestones
large projects, the Standish Group estimates that 7. Lack of an effective project management
only 2 percent of projects with a large budget (over methodology. Use of a project management
US$100 million) are delivered on time and budget. methodology that doesn’t fit the project, or use
of no project management methodology at all.
Wallace and Keil (2004) have identified fifty-three
items that reflect the range of likely software project 8. New software infrastructure. Use of new
risks. While these risks will be delineated more technology that has not been used in prior
projects, and use of immature and highly
thoroughly in Chapter 9, we summarize them here,
complex technology
grouped within ten broad categories:
9. Unstable organizational environment. Changes in
1. Lack of executive support. Lack of top
organizational management during the project,
management support and organizational corporate politics impeding the project, and
commitment for the project restructuring organization during the project
2. Lack of user input. Lack of user participation, 10. Unreliable outside suppliers. Dependence on
resistance to change, lack of user cooperation, unreliable suppliers and involvement of many
and lack of user commitment to the project external suppliers
Based on: Pratt (2017); Thibodeau (2017); Wallace and Keil (2004).

Project Success
What is project success? Project success is often measured using time, cost, scope, and
quality, as well as the achievement of the project’s objectives, but project managers have
to work with key stakeholders to determine what success means for each individual
project. What can be done to make a project a success? Although the answer to this
question will be addressed throughout this textbook, simply put, good project man-
agement practices can enable companies to reduce both the causes of project failures
and, ultimately, the failures themselves. The Standish Group examined project success
factors and identified management support, user involvement, clear business objectives,
optimization, and skilled resources as the primary factors influencing project success
(see Figure 1.19)
The following are some examples of how project management tech-
niques can lead to project success:

• On August 6, 2012, the space community watched as NASA was able


to land Curiosity, a 1,982-pound rover, on Mars. This amazing project

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combines research in biological, geological, and planetary processes to study our


neighboring planet.
• Improvements in workflow have improved patient services at Beaufort Memo-
rial Hospital in Beaufort, South Carolina. Implementing IT-based workflow
improvements reduced the average time for patients to leave the emergency
room for a floor from 147 minutes to just 70. In addition, average discharge time
dropped from 226 minutes to 185 (Versel, 2016).
• Facing an increased demand for its electric vehicles, Tesla decided to build its own
battery factory. Located outside Reno, Nevada, the “Gigafactory” was expected to
be completed well before its initially scheduled completion date in 2020 (Halvor-
son, 2017).
• In an attempt to regain market share from Google’s Chrome browser, Mozilla—
the foundation behind Firefox—announced Project Quantum in October 2016.
Scheduled for release at the end of 2017, the Firefox Quantum browser was
launched in mid-November 2017, and was widely hailed for its speed (Davenport,
2016; Korosec, 2017).

Introduction to Project Management and PMBOK


As mentioned earlier, PMI’s PMBOK Guide is an excellent guide to measuring your
mastery of project management–related knowledge areas. This textbook includes a table
at the end of each chapter that will help you keep track of what portion of PMBOK
has been covered in the current chapter, as well as show you what we have covered to
that point and what we will cover in future chapters. The table can also serve as a useful
reference for guiding your study for taking PMI’s certification exam for project manage-
ment professionals. This table will show the PMBOK knowledge areas—as established
by the PMI—in its left column. This textbook’s chapter numbers are shown horizontally
along the top of the table. An empty circle designates where the particular PMBOK

Figure 1.19 Project success factors

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knowledge area is covered in the textbook. A filled in circle designates coverage in the
current chapter.
In this chapter, we have provided an introduction to project management and intro-
duced topics related to the role of the project manager and core competences. We have
also discussed the distinction between project phases, the project life cycle, project
processes, and project management process groups. Figure 1.20 identifies this coverage
and illustrates the coverage in upcoming chapters as well.
Figure 1.20 Chapter 1 and PMBOK coverage
Key: 𐩒 where the material is covered in the textbook; ⚫ current chapter coverage

1 2 3 4 5 6 7 8 9 10 11 12
Textbook Chapters -------------->
PMBOK Knowledge Area
1 Introduction
1.2 Foundational Elements ⚫ 𐩒
2 The Environment in Which Projects Operate
2.2 Enterprise Environmental Factors 𐩒
2.2 Organizational Process Assets 𐩒
2.3 Organizational Systems 𐩒
3 The Role of the Project Manager
3.2 Definition of a Project Manager ⚫

3.3
The Project Manager’s Sphere of
Influence
𐩒
3.4 Project Manager Competences ⚫ 𐩒 𐩒
3.5 Performing Integration 𐩒
4 Project Integration Management
4.1 Develop Project Charter 𐩒
4.2 Develop Project Management Plan 𐩒
4.3 Direct and Manage Project Work 𐩒
4.4 Manage Project Knowledge 𐩒
4.5 Monitor and Control Project Work 𐩒 𐩒
4.6 Perform Integrated Change Control 𐩒
4.7 Close Project or Phase 𐩒 𐩒
5 Project Scope Management
5.1 Plan Scope Management 𐩒
5.2 Collect Requirements 𐩒
5.3 Define Scope 𐩒
5.4 Create WBS 𐩒 𐩒
5.5 Validate Scope 𐩒
5.6 Control Scope 𐩒 𐩒
6 Project Schedule Management
6.1 Plan Schedule Management 𐩒
6.2 Define Activities 𐩒

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6.3 Sequence Activities 𐩒


6.4 Estimate Activity Durations 𐩒
6.5 Develop Schedule 𐩒
6.6 Control Schedule 𐩒 𐩒
7 Project Cost Management
7.1 Plan Cost Management 𐩒
7.2 Estimate Costs 𐩒
7.3 Determine Budget 𐩒
7.4 Control Costs 𐩒 𐩒
8 Project Quality Management
8.1 Plan Quality Management 𐩒
8.2 Manage Quality 𐩒
8.3 Control Quality 𐩒 𐩒
9 Project Resource Management
9.1 Plan Resource Management 𐩒
9.2 Estimate Activity Resources 𐩒 𐩒
9.3 Acquire Resources 𐩒 𐩒
9.4 Develop Team 𐩒 𐩒
9.5 Manage Team 𐩒 𐩒
9.6 Control Resources 𐩒 𐩒
10 Project Communications Management
10.1 Plan Communications Management 𐩒
10.2 Manage Communications 𐩒 𐩒
10.3 Monitor Communications 𐩒 𐩒
11 Project Risk Management
11.1 Plan Risk Management 𐩒
11.2 Identify Risks 𐩒 𐩒
11.3 Perform Qualitative Risk Analysis 𐩒
11.4 Perform Quantitative Risk Analysis 𐩒
11.5 Plan Risk Responses 𐩒
11.6 Implement Risk Responses 𐩒 𐩒
11.7 Monitor Risks 𐩒 𐩒
12 Project Procurement Management
12.1 Plan Procurement Management 𐩒
12.2 Conduct Procurements 𐩒 𐩒
12.3 Control Procurements 𐩒 𐩒
13 Project Stakeholder Management
12.1 Identify Stakeholders 𐩒
12.2 Plan Stakeholder Engagement 𐩒
12.3 Manage Stakeholder Engagement 𐩒 𐩒
12.4 Monitor Stakeholder Engagement 𐩒 𐩒

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Chapter Summary
Understand the defining characteristics of a project. related to the ever-increasing complexity of software
A project is “a planned undertaking of related activ- and the fact that methodologies for IS projects are in
ities to achieve a unique outcome that has a spec- constant flux.
ified duration.” In organizations, individual projects
are grouped together as programs. A portfolio may Understand project management and its elements.
include a variety of projects or programs. Projects, Project management is defined as “the application
programs, and portfolios are executed to meet a spe- of knowledge, skills, tools, and techniques to project
cific need for a stakeholder or group of stakeholders. A activities in order to meet project requirements.” A
project sponsor is a member of the organization who project typically follows a project life cycle, from con-
is responsible for the high-level support of the project. ception to completion. During the different phases of
Business projects frequently have an assigned project a project life cycle, different processes are performed.
manager. Two primary reasons for undertaking infor- Based on their purposes, these processes are grouped
mation systems projects are to solve business prob- into initiating, planning, executing, monitoring and
lems or to take advantage of business opportunities. controlling, and closing process groups. The processes
can also be categorized as belonging to one of ten key
Explain what differentiates IS projects from non-IS knowledge areas. The history of project management
projects. IS projects differ from more traditional can be traced as far back as the building of the great
projects in at least seven ways, with the first of these pyramids. Project management tools that have been
differences resulting from the rapid evolution of developed include the Gantt chart, the critical path
information technology. Because of the ever-chang- method, and three-point estimates. Highly dynamic
ing nature of information technology, new devel- environments and ever-increasing uncertainty has
opments are constantly being introduced, and firms given rise to agile approaches for various projects.
must quickly decide whether to invest in them or risk Project management software such as Microsoft Proj-
losing a potential competitive advantage. A second ect is commonly used by organizations for managing
difference is the difficulty associated with hiring expe- information system projects.
rienced IS personnel. As personnel gain IS-specific
project experience, they are quickly recruited by other Understand the skills of a successful project manager.
organizations. A third difference involves manag- Successful project managers possess a multitude of
ing the end users’ involvement during the require- skills related to three key areas— technical project
ments-analysis phase of systems development. The management skills, strategic and business manage-
project team must be aware that people with widely ment skills, and leadership. Technical skills and proj-
varied levels of technical proficiency are likely to use ect management skills will allow you to effectively
an information system. A fourth difference is the need communicate with your team members, find solu-
for IS project team members to be aware of the many tions to obstacles encountered during a project, and
different development methodologies. These meth- successfully complete a project. Project management,
odologies include the systems development life cycle though highly specialized, is still a form of manage-
(SDLC) and agile methodologies. A fifth unique ment; thus strategic and business management skills
aspect differentiating IS projects from many other apply much as they would to any other form of man-
types of projects is that the attempted solutions may agement. A project manager not only leads the project
never have been tried before. A sixth unique aspect of team and communicates with the project sponsor and
IS projects that creates a level of complexity beyond other stakeholders, but also serves a critical role in
non-IS projects is related to managing project scope. communicating with other members of the organi-
Project scope, which involves the planned definition zation, the overall industry, and the project manage-
and size of a project, is likely to change in many proj- ment profession. Thus project management also calls
ects. A seventh unique feature of IS projects is that for keen interpersonal skills.
the technologies involved in projects may change
during the course of the project, presenting a moving Understand reasons for project failure and project
target for the project team. Other unique aspects are success. Project failures can be defined in terms of

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projects that finish over budget, projects that are not the causes of project failures and, ultimately, the fail-
completed on time, and projects that may have been ures themselves. Project success can be defined as the
finished on time and budget but failed to deliver a degree to which project objectives have been achieved
system that met stakeholder expectations. Leading
on time, within budget, and with the agreed upon
causes of project failure include incomplete require-
quality and scope. The primary factors influencing
ments, lack of user involvement, lack or resources,
unrealistic expectations, lack of executive support, project success are management support, user involve-
and communication failure. Good project manage- ment, a clear statement of objectives, optimization,
ment practices can enable companies to reduce both and skilled resources.

Key Terms Review


A. Agile methodologies L. Project management information system
B. Critical path method M. Project Management Institute
C. Gantt chart N. Project management methodology
D. Microsoft Project O. Project management process groups
E. Network diagram P. Project manager
F. Portfolio
Q. Project sponsor
G. PRINCE2
R. Project success
H. Program
S. Stakeholder
I. Project
J. Project life cycle T. Systems development life cycle
K. 
P roject Management Body of Knowledge U. Three-point estimating
(PMBOK) V. Work breakdown structure

Match each of the key terms with the definition that best fits it.

1. A bar chart showing the start and end dates for the activities of a project.
2. A group of projects or programs (which may not be directly related) pursued to reach strategic objectives.
3. A listing of the activities necessary for the completion of a project.
4. A member of the organization who is responsible for the high-level support of the project.
5. A method used for determining the sequence of task activities that directly affect the completion of a
project.
6. A person with a diverse set of skills—general management, leadership, technical, conflict management,
and customer relationship management—who is responsible for managing a project as it goes through
its individual phases from concept to completion.
7. A planned undertaking of related activities to achieve a unique outcome that has a specified duration.
8. A repository of project management practices that are generally recognized as good practices.
9. A schematic display that illustrates the various tasks in a project as well as their sequential relationship.
10. A structured approach to systems development.
11. A structured process-based project management methodology providing processes, templates, and
steps.
12. A technique that averages optimistic, pessimistic, and realistic time to calculate the expected time for
a particular task.

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Review Questions • 29

13. An association designed to bring together project management professionals to enhance organizational
success by maturing the project management profession.
14. An individual, group, or organization that is actively involved in the project, has a vested interest in its
success, and/or has a positive or negative influence over the project and its results.
15. Expedited approaches to systems development focusing on iterative development, incremental delivery,
and frequent feedback.
16. Groups of processes performed to initiate, plan, execute, monitor and control, and close a project.
17. Related projects coordinated to harness synergies.
18. Software designed by Microsoft to help people manage projects.
19. The collection of manual and software tools used to support all aspects of managing a project.
20. The degree to which project objectives have been achieved on time, within budget, and with the agreed
upon quality and scope.
21. The phases a project goes through from concept to completion.
22. The process used for executing the project management plan.

Review Questions
1. What is the definition of a project?
2. What are some examples of projects, and how do they differ from nonprojects?
3. What does it mean for a project to fail, and how often does this occur?
4. What are some common reasons for project failure?
5. List five unique characteristics of IS projects.
6. What is project management? What are the five project management process groups?
7. Why do organizations choose to utilize agile approaches?
8. What are four potential classifications of project management technology? Explain each one.
9. List three major historical projects that used project management processes.
10. What are the three major skills of a successful project manager? Explain each one.

Chapter Exercises
1. Visit the PMI website at [Link]. What are some of the services provided by the PMI? In one
or two paragraphs, describe some of the services offered by the institute. Using the site’s keyword
search function, perform a search for common terms such as project, project management, and project life
cycle (use quotation marks for terms consisting of multiple words). Write a one-page summary of the
information available for these topics and how managers might use this information to better manage
projects.
2. What problems can occur if a project does not have support from senior-level executives?
3. The project manager has a diverse set of skills. List some of these skills and describe a situation where
each skill would be useful.
4. Explain the two main reasons for undertaking information systems projects.
5. Using the internet, find examples of IS projects that have failed. Were these easy to find? If not, explain
some of the reasons why organizations do not publicize project failures.

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30 • Chapter 1 / Introduction to Project Management

6. This chapter provides several examples of how project management techniques can lead to project
success. Using the internet, find at least three other examples of project success that can be attributed
to good project management techniques and describe what the managers of those projects did well.
7. Of the unique features that make IS projects difficult to manage, which ones are most likely to prevail
in the future? Which may become less important? Why?
8. What are the project management process groups? Describe each in reference to a project that you have
recently worked on.
9. Several historically significant projects were mentioned in the chapter. Using the internet or any other
resource, find at least three other historical projects that used project management processes. Write one
paragraph for each project describing the project management processes that were used and how they
were applied.
10. Using the internet or any other resource, perform a search for “project life cycle.” Find at least three dif-
ferent project life cycles that are not information-systems related. Write a one-page summary explain-
ing the differences and similarities of the life cycles that you find.
11. Using the internet or any other resource, perform a search for “systems development life cycle.” Write
a one-page summary that outlines the similarities and differences between the systems development
life cycle (SDLC) and each of the project life cycles you summarized in the previous exercise.

Chapter Case: The Seattle Seahawks and the Internet


The Seattle Seahawks are a professional football for that environment. The web provided tremendous
team that joined the National Football League (NFL) opportunities for many businesses to more effectively
in 1976. With their home offices and training center disseminate information about their products and ser-
in Kirkland, a suburb of Seattle, the Seahawks were vices. Eventually, the web helped facilitate the creation
founded when the league granted an expansion team of new products while also enabling consumers to buy
franchise to John Nordstrom, a department store those products online. Sports teams were not immune
owner in Seattle. During the Seahawks’ first season, to these trends. Websites devoted to sports franchises
quarterback Jim Zorn passed for more than 2,500 now provide for fan discussion forums, webstores for
yards and was named the league’s top offensive rookie. purchasing event tickets and sports apparel, and the
Jack Patera was named coach of the year in 1978, after distribution of information on the team and players. A
he led the Seahawks to their first winning season. The modern web presence that facilitates all of these activ-
club played in Seattle’s Kingdome from 1976 to 1999. ities and more is as critical for a professional sports
Following the demolition of the Kingdome in 2000, the
team as it is for any other business.
club played temporarily in the Husky Stadium at the
Facing this situation, the Seattle Seahawks put
University of Washington until construction of their
out a request for proposals related to the develop-
new stadium, Quest Field, was completed in 2002.
ment of a comprehensive web presence. The Sea-
From their inception until the present, the Sea-
hawks website would eventually include more than
hawks have had many notable coaches and play-
ers. Well-known coaches include Chuck Knox and one hundred menu options, including such function-
Mike Holmgren, with eminent players such as Steve alities as detailed team information, tickets and seat-
Largent, Jim Zorn, Dave Brown, Curt Warner, Jacob ing options, luxury suite information, links to local
Green, Kenny Easley, Dave Kreig, Walter Jones, Matt hotel accommodations, an online pro shop, detailed
Hasselbeck, and Shaun Alexander. With top-ranked press releases, photographs, transportation options,
personnel, the Seattle Seahawks are consistently and even online games. While the Seahawks could
positioned for a run at the championship. Follow- have tried to develop this system in-house, they
ing many outstanding seasons, the Seahawks won elected to outsource it because it was not their core
Super Bowl XLVIII in 2013. competency. The case study following each chap-
While the Seahawks were concentrating on ter of this textbook discusses how the development
football, the early 1990s saw the development of company Sedona Management Group (SMG) was
the World Wide Web and the internet tools created eventually chosen, and how Sedona proceeded to

Information Systems Project Management,


Edition 2.0
References • 31

develop the system using modern project manage- members to apply the materials from each chapter in
ment techniques and tools. the development of an entertainment website similar
Following each Chapter Case, we will also have to the one created by SMG for the Seattle Seahawks.
a Chapter Project that allows you and your team

Chapter 1 Project Assignment


1. Go to the website [Link] and familiarize yourself with the Seattle Seahawks website.
a. What types of features does it have?
b. How is the website organized?
c. Could you find everything you were looking for?
d. How many times did you look in the wrong place for something?
e. Does the website look like it will work well on monitors of different resolutions?
2. Next, go to [Link] and randomly select two other websites to view.
a. How do their features and layout compare to the Seahawks’ website?
b. Write up your rough impressions of all three sites in three different paragraphs.
3. Conclude by describing which site you believe is best and why.

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