university of toronto at scarborough © kersti wain-bantin cscc40 it projects 1 why information...
TRANSCRIPT
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 1
systemsrequests
moreinformation
improvedservice
reduced cost
strongercontrols
betterperformance
why information systems?
solve a problem- high costs of operation- lack of data integrity- inability to handle volumes- slow response/turnaround- etc.
realize an opportunity- new product or service- new tools available- etc.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 2
purpose
stakeholders
businessresults
other corporateresources
informationtechnology
businessoperations
objectives
goals
missionstatement
values
vision
strategic planningprocess
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 3
parallel activities: corporate strategic planning and information systems
Ho
ffe
r, G
eo
rge
, V
ala
cic
h.
Mo
de
rn S
ys
tem
s A
na
lys
is a
nd
De
sig
n.
2nd e
d.
Ad
dis
on
We
lse
y 1
99
9.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 4
topmanagementexecutives
existingsystems
ITdepartment
userrequests
government
competitorsthe
economy
technology
software andhardwarevendors
suppliers
customers
factorsaffecting IT projects
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 5
formal• terminology• policies• standards and procedures• standards of practice• formal organization structure• job descriptions
informal • influence and inclinations of key personnel• who the experts are in different subject areas• critical incidents in the organization’s history• information organization structure• coalition membership and power structures
external• government regulations• competitors: domestic and international• products services and markets• role of technology in the business
strategic • short and long-term strategy and plans• values and mission
factors affecting computer systems
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 6
1. identify potential projects2. classify and rank the projects3. select projects for development
how do we identify and select projects?
who is involved and why? top management steering committee user departments development group
considerations?• size of project• strategic impact• cost/benefit ratio• organizational impact• urgency• value chain impact• resource availability• technological challenge• competitive edge
selecting the next project
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 7
phase 1systemsplanning
preliminaryinvestigation
report
phase 3systemsdesign
systemdesign
specification
phase 4system
implementation
completefunctioning
system
phase 5systems
operation andsupport
operationalinformation
system
phase 2systemsanalysis
systemsrequirements
document
replaceinformation
system
stop
stop
stop
systemrequest
1. understand the problem or opportunity2. define the project scope and constraints3. perform fact finding4. estimate the project’s benefits5. estimate project development time and cost6. present results and recommendations to management
system planning
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 8
project selection decisions
Ho
ffer
, Geo
rge,
Val
acic
h. M
od
ern
Sys
tem
s A
nal
ysis
an
d D
esig
n. 2
nd e
d. A
dd
iso
n W
else
y 19
99.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 9
servicerequest
ITarchitecture
long-rangeplans
problemsand
opportunities
system priority board
approvedproject
budget
users and management IT department
approving a project
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 10
baseline project plan report
AKA proposal
introduction:project overviewrecommendations
system description:alternativessystem description
feasibility assessment:economictechnicaloperationallegal/contractualpoliticalschedule
management issues:the teamcommunicationstandards and proceduresother project-specific topics
deliverablesproject plan
statement of work
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 11
• economic• technical• operational• schedule• legal/contractual• political
• large team• lengthy project• several departments involved• new application system• corporate reorganization is involved• users don’t think it’s a good idea• users can't agree on what's needed• management worried about funding it• user contribution will be large• leading-edge hardware• new methodology will be used• upgrade to latest development platform
“What could possibly go wrong? We have a great team in IT! We love a challenge.”
feasibility
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 12
project
phase task consultants hrs. client hrs.
start-up first meeting SE, TRW JFK, LBJproposal SE
analysis interviews SE, HR 20 JFK, accountant(s) 20general functional requirements HR 10 accountants 5high-level diagrams HR, BJ 30 JFK, LBJ 5
ETC.total hours 60 30
labour cost ave. $60/hr $3,600materials 2 replacement work stations $6,000
additional cabling $400ETC.
total cost $10,000
staffing
example of resource planning
include a legend for any abbreviations
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 13
project planning
http://www.visitask.com/img/sample-gantt-chart.jpg
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 14
ces.asu.edu/.../management/gantt_chart.gif
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 15
tangible system costsone-time project costs:
- labour- materials
recurring costs:- labour- materials
intangible system costs- disruption of production or service- inconvenience to customers- etc.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 16
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 17
costs per phase for a small system(<5K lines of code)
0
5
10
15
20
25
30
spec
ificatio
n
deco
mpo
sition
codin
g
optim
izatio
n
testi
ng
valid
ation
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 18
software costs for a large system(>10K lines of code)
0
10
20
30
40
50
60
70
analysis design programming integration maintenance
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 19
cumulative costs VS cumulative benefits
0
100
200
300
400
500
600
1 2 3 4 5 6 7 8 9 10 11 12 13 14
years
$000 cum cost
cum ben
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 20
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 TOTALSNet Economic Benefit $0 $30,000 $30,000 $30,000 $30,000 $30,000Discount Rate 1 0.8928571 0.7971939 0.7117802 0.6355181 0.5674269PV of Benefits $0 $26,786 $23,916 $21,353 $19,066 $17,023
NPV of Benefits $0 $26,786 $50,702 $72,055 $91,120 $108,143 $108,143
One-time Costs -$100,000
Recurring Costs $0 -$2,000 -$2,000 -$2,000 -$2,000 -$2,000Discount Rate 1 0.8928571 0.7971939 0.7117802 0.6355181 0.5674269PV of Recurring Costs $0 -$1,786 -$1,594 -$1,424 -$1,271 -$1,135
NPV of all COSTS -$100,000 -$101,786 -$103,380 -$104,804 -$106,075 -$107,210 -$107,210
discount rate 12% $934
0.01
Overall NPV
Overall ROI (= NPV/NPV of all costs)
return on investment
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 21
typical IT department organization
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 22
• leadership• management• customer relations• technical problem solving• conflict management• team management• risk and change management
the art of project management
Ho
ffer
, Geo
rge,
Val
acic
h. M
od
ern
Sys
tem
s A
nal
ysis
an
d D
esig
n. 2
nd e
d. A
dd
iso
n W
else
y 19
99.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 23
describe project scope, alternatives, feasibility divide project into manageable tasks estimate resources and create a resource plan develop an preliminary schedule develop a communication plan determine project standards and procedures identify and assess risk create a preliminary budget develop a statement of work set a baseline project plan
execute the baseline project plan monitor project against baseline plan manage changes to the baseline plan maintain project workbook communicate project status
establish project initiation team establish relationship with customers establish project initiation plan establish management procedures establish project management environment and project workbook
close customer contract close down the project conduct post-project reviews
project managementmethodology
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 24
Su
mm
ary
of
Cla
ssic
Mis
take
s
People-Related Mistakes1. Undermined motivation2. Weak personnel3. Uncontrolled problem employees4. Heroics5. Adding people to a late project 6. Noisy, crowded offices7. Friction between developers and customers 8. Unrealistic expectations 9. Lack of effective project sponsorship 10. Lack of stakeholder buy-in 11. Lack of user input 12. Politics placed over substance 13. Wishful thinking
This material is Copyright © 1996 by Steven C. McConnell. All Rights Reserved.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 25
Process-Related Mistakes 14. Overly optimistic schedules 16. Insufficient risk management 17. Contractor failure Insufficient planning 18. Abandonment of planning under pressure 19. Wasted time during the fuzzy front end 20. Shortchanged upstream activities 21. Inadequate design 22. Shortchanged quality assurance 23. Insufficient management controls 24. Premature or too frequent convergence 25. Omitting necessary tasks from estimates 26. Planning to catch up later27. Code-like-hell programming S
um
mar
y o
f C
lass
ic M
ista
kes
This material is Copyright © 1996 by Steven C. McConnell. All Rights Reserved.
University of Toronto at Scarborough © Kersti Wain-Bantin CSCC40 IT projects 26
Product-Related Mistakes 28. Requirements gold-plating 29. Feature creep 30. Developer gold-plating 31. Push me, pull me negotiation32. Research-oriented development
Technology-Related Mistakes 33. Silver-bullet syndrome 34. Overestimated savings from new tools or methods 35. Switching tools in the middle of a project 36. Lack of automated source-code controlS
um
mar
y o
f C
lass
ic M
ista
kes
This material is Copyright © 1996 by Steven C. McConnell. All Rights Reserved.