Midterm Makeup — Chapter 1 (Slides & Textbook) Flashcards

Question

What is a 'program'? (p. 4)

Answer 1

Some projects are managed as a PROGRAM where the projects’ activities are coordinated so that the benefits of the program are greater than the sum benefits of the individual projects. Projects that are part of a PROGRAM have a common outcome or capability. While a project may not be part of a program, a program will include more than one project. EXAMPLE: An organization may approve a project to move its existing data center to a new building. On its own, this could be an individual project. However, if the project to move the data center is part of a strategic plan to integrate a new supply chain system and customer support system, then a single project that includes moving the data center and development of two systems may be too risky. Instead of planning and managing the data center move, supply chain system, and customer support system as one large project, it may be wiser and saner to coordinate this collectively as a program of three interdependent projects. Each project would have its own project manager, team, budget, schedule, and so forth with a shared governance structure in place for resolving issues and conflicts and to ensure that each project aligns with the overall success of the program.

Answer 2

Modern-day project management is often credited to the U.S. Navy’s Polaris missile project undertaken in the early 1950s to deter potential Soviet nuclear aggression. The Polaris project was strategically important, complex, and risky, so the Navy needed to ensure it was managed well from concept through deployment. This new approach included a set of tools to manage projects and was viewed by many as a success. As a result, other organizations in various industries began to adopt this new approach as way to define, manage, and execute work with the hope of achieving similar success.

Answer 3

1. The electronic data processing (EDP) era. 2. the micro era 3. The network era.

Answer 4

the 'Electronic Data Processing' era

Answer 5

The EDP era began in the early 1960s and was characterized by the purchase of the first centralized mainframe or a minicomputer by large organizations. The IT projects during the EDP era focused generally on automating various organizational transactions such as general accounting tasks, inventory management, and production scheduling. The manager of this technology resource was often called the data processing (DP) manager and usually reported to the head accounting or a financial manager. The goal of using technology was to improve efficiency and reduce costs by automating many of the manual or clerical tasks performed by people. The use of computer technology was similar to the ways that farmers or engineers applied steam engine technology to mechanize agriculture. The process remained relatively unchanged, while the means for realizing the process became more efficient. Subsequently, IT projects during this era were generally structured, so a structured, formalized approach similar to the one used on the Polaris project was effective.

Answer 6

The IT projects during the EDP era focused generally on automating various organizational transactions such as general accounting tasks, inventory management, and production scheduling.

Answer 7

data processing (DP) manager

Answer 8

The goal of using technology was to improve efficiency and reduce costs by automating many of the manual or clerical tasks performed by people. The use of computer technology was similar to the ways that farmers or engineers applied steam engine technology to mechanize agriculture. The process remained relatively unchanged, while the means for realizing the process became more efficient. Subsequently, IT projects during this era were generally structured, so a structured, formalized approach similar to the one used on the Polaris project was effective.

Answer 9

TRUE Because the requirements of a business process such as payroll were fairly stable, changing the requirements was not a major issue and large multiyear projects were common.

Answer 10

An information silo, or a group of such silos, is an insular management system in which one information system or subsystem is incapable of reciprocal operation with others that are, or should be, related. in many cases, legacy systems created information silos, as projects supported specific business functions that often employed different technology platforms, programming languages, and standards for data.

Answer 11

In the early 1980s, the IBM personal computer (PC) and its subsequent clones signaled the beginning of the micro era.

Answer 12

the transition or integration from a centralized computer to the PC did not happen immediately or without conflict. The often uncontrolled proliferation of the PC in many organizations challenged the centralized control of many management information system (MIS) managers. For example, the first PCs cost less than $5,000, and many functional department managers had the authority to bypass the MIS manager and purchase these machines directly for their department. This often led to the rise of user-developed, independent systems that replicated data throughout the organization. Security, data integrity, maintenance, training, support, standards, and the sharing of data became a rightful concern. The organization often had an IT resource that was split between a centralized computer and a collection of decentralized user-managed PCs. The organization needed to regain control of its IT resource while using IT strategically. Many organizations created a new position called the chief information officer (CIO) to expand the role of IT within the organization. While the DP manager often reported to the head accounting or financial manager, the CIO often reported to the chief executive officer (CEO). Therefore, IT increasingly became viewed as more than just a tool for automating low-level transactions and more of a tool for supporting the knowledge worker.

Answer 13

Shoshana Zuboff (4) coined the term “infomate” to describe the role of computers in the micro era. The computer no longer remained under the direct control of the IT function and its spread throughout the various levels of the organization made IT ubiquitous. IT projects had to take more of an organizational view so that policies, standards, and controls become a part of all systems in order for existing mainframe or minicomputer applications to coexist or integrate with a growing surge of PCs. Moreover, a project manager and team could no longer rely on stable business processes, requirements, or technology that would allow for longer project schedules; otherwise, they would face the risk of implementing an obsolete IT solution. Shorter project horizons that crossed functional lines became the norm, while software development methodologies attempted to shorten the development life cycle.

Answer 14

in the late 1960s and early 1970s, a defense project called ARPANET allowed university researchers and scientists to share information with one another even in the event of a nuclear war. By the mid-1980s, this network of computers became known as the Internet and led to the network era that began around 1995.

Answer 15

the ARPANET

Answer 16

... an IT infrastructure to support many business partners, strategic alliances, vendors, and customers.

Answer 17

A digital convergence or the integration of data, voice, graphics, and video that allowed for innovative ways to deliver new products and services to customers worldwide. While micro-era projects tended to focus on an organization’s internal network, the network era extended this network externally. Network-era projects not only faced the challenge of coordination and control, but also how to support a dynamic business strategy and new organizational structures. The IT project team needed to understand new and evolving technologies as well as the organization and its competitive environment. As witnessed by the rise and fall of many dot com businesses in the late 1990s, the benefits and risks of managing IT projects were much higher than in the first two eras. Project schedules and the time to develop IT solutions had to be shortened as many projects had to be completed in a few weeks or a few months.

Answer 18

globalization

Answer 19

flatter (p. 6)

Answer 20

Many organizations outsourced and offshored business processes, projects, and even entire business units. As a result of globalization, projects began to cross time zones as well as organizational and cultural boundaries. Instead of working and meeting at the same time and place, a virtual team with project members working in different places and time zones became common. Instead of relying on stable requirements, new project management approaches and development methodologies acknowledged that many product and system requirements cannot be defined upfront and, once defined, often change.

Answer 21

enterprise resource planning

Answer 22

customer relationship management

Answer 23

Large, expensive, and risky enterprise applications like ERP (enterprise resource planning) and CRM (customer relationship management) can support core business processes and activities throughout the organization.

Answer 24

FALSE Social media and big data analytics ARE increasingly redefining the customer relationship and enhancing the customer experience.

Answer 25

TRUE Social media and big data analytics are increasingly redefining the customer relationship and enhancing the customer experience.

Answer 26

technical, nontechnical, and project management skills A solid set of technical, nontechnical, and project management skills founded upon past experience and adapted to this new, dynamic environment will be needed to successfully manage IT projects.

Answer 27

overall financial strength of the organization, the economy, the competitors’ actions within the industry, and the organization’s strategic plan

Answer 28

relatively fixed. Quite often the total funding requests for proposed projects will be greater than the available budget. As a result, any project that receives funding will do so at the expense of another project. The competition for funding IT projects proposed by the various business units or departments within an organization will be especially keen when the budget is tight. Projects that do not receive any funding will either have to wait or fall by the wayside. Therefore, the decision to fund a specific project will always be an important management decision because it will have a major impact on the organization’s performance.

Answer 29

the value that the completed project will provide the organization.

Answer 30

lawsuits that cost people and organizations vast amounts of money, as well as damaged careers and estranged relationships. (p. 7)

Answer 31

Some recent examples of IT project failures include the cancelation of an ERP project that cost the U.S. Air Force more than $1 billion. The project was called the Expeditionary Combat Support System and was envisioned to replace more than 200 legacy systems. Although the project started in 2005, it was scrapped in 2012 after spiraling costs and the inability to create “any significant military capability.” Only about 25 percent of the original features and functionality were developed, and an additional $1.1 billion would be needed to complete the project by 2020 (6).

Answer 32

Although the project started in 2005, it was scrapped in 2012 after spiraling costs and the inability to create “any significant military capability.” Only about 25 percent of the original features and functionality were developed, and an additional $1.1 billion would be needed to complete the project by 2020 (6).

Answer 33

While the project was in planning and development for three years after the initial law was passed, only about 30 percent of the users were able to sign up for health care. After a frenzied “tech surge” to fix the “glitches,” the system was still experiencing problems by the end of December 2013. Although the contractor for the web site was initially awarded $93 million for the project, the final cost is estimated between $300 million and $500 million.

Answer 34

low The overall success rate for many large governmental and nongovernmental projects throughout the world is low. In fact, a great deal of research suggests that IT projects have and will continue to fail and experience challenges.

Answer 35

The Standish Group drew attention to what many called the software crisis when it published a survey of 365 IT managers conducted in 1994. The study was called CHAOS and reported that only 16 percent of the application development projects were successful in terms of being completed on time and within budget. Moreover, about 31 percent of the projects were canceled before completion, while 53 percent were completed but over budget, over schedule, and did not meet original specifications. The average cost overrun for a medium-size company surveyed was about 182 percent of the original estimate, while the average schedule overrun was about 202 percent. That is, the results of the survey suggested that a medium-size project estimated to cost about $1 million and take a year to develop actually cost about $1.8 million, took just over two years to complete, and only included about 65 percent of the envisioned features and functions. Many took this to mean that IT project management was in a state of crisis, especially since 48 percent of the IT managers surveyed believed that there were more failures at the time than five or ten years earlier.

Answer 36

39 percent of the IT projects were classified as successful, while 43 percent were classified as challenged, and 18 percent as failed.

Answer 37

Project success is defined as a project being completed on time, within budget, and including all of the features or requirements envisioned.

Answer 38

A challenged project is defined as a project that is late, over budget, and having fewer features and functionality than envisioned, while a failed project is a project that was canceled before completion

Answer 39

TRUE One reason for the reported high failure rates in the various studies may be how “success” and “failure” are defined.

Answer 40

exceed any potential or real value it can pass on to the organization. (p. 8)

Answer 41

of a whole host of problems, issues, and challenges that build upon one another.

Answer 42

people, processes, technology, and organizational.

Answer 43

People are the stakeholders of a project, and stakeholders can have varied roles and interest in the project’s success or failure.

Answer 44

support of top management or a high-level executive The support of top management or a high-level executive consistently ranks as one of the most important criteria for project success. The support of upper management is critical in terms of acquiring and maintaining financial backing for the project.

Answer 45

Users can be thought of as the project’s customer. Users are important project stakeholders that should be involved in important decisions because they may have vital knowledge of the business and processes not possessed by the more technical people. Working closely together, the users and developers can better understand the business opportunities and limitations of the technology. Ineffective user involvement can lead to missed opportunities, unrealistic expectations, or a lack of buy-in.

Answer 46

emotional support and negotiation or resolution of organizational conflicts Visible support by senior management is also important in terms of emotional support and negotiation or resolution of organizational conflicts.

Answer 47

Other people-related issues that contribute to project failure include poor communication, as well as not having the right people on the project team with respect to skills, experience, or decision-making ability. Often conflicts arise if stakeholders have competing goals or interests or if roles, responsibilities, and accountability are not well-defined.

Answer 48

This includes having a set of project management and product development processes. Project management processes define the project’s goal and objectives and help to develop and carry out a realistic project plan. Product processes focus on the new product, process, or system to be designed, built, tested, and implemented.

Answer 49

Processes that are not defined or followed can lead to poor quality in terms of a solution not providing the expected value or not meeting schedule, budget, or quality objectives. Often, requirements that are not properly defined lead to additional work or a product, process, or system that stakeholders did not ask for or do not need. In short, the project is poorly executed.

Answer 50

Yes, but in a limited capacity. Only 3 percent of IT project failures can be attributed to technical challenges. However, projects run the risk of failure if a technology is obsolete, unproven, or incompatible with developing the project’s product, process, or system. Choosing the right technology means having the right tool for the job and that the product, process, or system is not hindered by a technology that is not scalable, integrative, maintainable, or supported in the future.

Answer 51

A lack of clear direction in terms of strategy can allow an organization to fund the wrong project or overlook a potential winner. In a dynamic environment, changing requirements in terms of laws, the competition, or customer demands may create a moving target for the project’s product, service, or system as the organization’s priorities change. Funding can impact a project if business units within the organization compete for limited funds or if the organization suffers a financial downturn. Management can create its own problems because of a lack of oversight or through a bureaucracy of overly complex and unwavering rules and policies. Moreover, not having an organizational plan to prepare the stakeholders for the project’s planned organizational change can lead to missed deadlines due to conflicts and resistance from stakeholders.

Answer 52

1. A Value-Driven Approach 2. Socio-Technical Approach 3. Project-Management Approach 4. Knowledge-Management Approach

Answer 53

Plain and simple: IT projects must provide value to the organization. Many people and organizations define project success in terms of the project being completed on time and within budget. While schedule and budget are important, they are not sufficient definitions of project success. For example, if an organization sets a mandate that a particular customer relationship management (CRM) package must be up and running within eight months and cost no more than $1 million to implement, would the project be considered unsuccessful if it required an extra day and an extra dollar to complete? You may think this is trivial, but at exactly what point, in terms of schedule or budget, does the project become unsuccessful? We can also turn things around and ask whether finishing a project early and under budget necessarily makes the project successful. Of course, any organization would like to spend less money and have its system delivered early, but what if the system does not perform as expected? More specifically, what value will the organization receive by spending six months and $1 million on this particular project? If IT projects are investments, what measurable value will it receive to offset the time, money, and opportunity cost of purchasing and implementing the CRM system? This value could come in terms of better customer service, more efficient business processes, lower costs, or expanded market share. Therefore, success should not be measured in terms of schedule or budget, but in terms of value. This will put less pressure on project stakeholders to set unrealistic schedules and budget, since the value of the project will be the true measure of success.

Answer 54

A Socio-Technical Approach—In the past, organizations have attempted to improve the chances of IT project success by focusing on the tools, techniques, and methodologies of IT development. A purely technical approach, however, focuses attention on the technology. We can easily end up developing an application that no one asked for or needs. Applications to support electronic commerce, supply chain management, and integration require that at least equal attention be paid to the organizational side. The days of being good order takers are over. We can no longer be content with defining a set of user requirements, disappearing for several months, and then knocking on the user’s door when it is time to deliver the new system. IT professionals must understand the business and be actively creative in applying the technology in ways that bring value to the organization. Similarly, the clients must become stakeholders in the project. This means actively seeking and encouraging their participation, involvement, and vision. The successful application of technology and the achievement of the project’s goal must be an equal responsibility of the developers and users.

Answer 55

One suggestion of the CHAOS studies has been the need for better project management. But, isn’t building an information system a project? Haven’t organizations used project management in the past? And aren’t they using project management now? While many organizations have applied the principles and tools of project management to IT projects, many more—even today—build systems on an ad hoc basis. Success or failure of an IT project depends largely on who is, or is not, part of the project team. Applying project management principles and tools across the entire organization, however, should be part of a methodology—the step-by-step activities, processes, tools, quality standards, controls, and deliverables that are defined for the entire project. As a result, project success does not depend primarily on the team, but more on the set of mature, capable processes and infrastructure in place. A common set of tools and controls also provides a common language across projects and the ability to compare projects throughout the organization.

Answer 56

A socio-technical approach and a commitment to project management principles and practices are important for success. However, excellence in project management for an individual or an organization takes time and experience. Knowledge management is a systematic process for acquiring, creating, synthesizing, sharing, and using information, insights, and experiences to transform ideas into business value. Although many organizations today have knowledge management initiatives under way, and spending on knowledge management systems is expected to increase, many others believe that knowledge management is just a fad or a buzzword.

Answer 57

When developing or purchasing an information system, all IT projects are capital projects that require cash and other organizational resources. Projects must be estimated accurately, and cost and schedules must be controlled effectively. Without the proper tools, techniques, methods, and controls in place, the project will drain or divert resources away from other projects and areas of the organization. Eventually, these uncontrolled costs could impact the financial stability of the organization.

Answer 58

Today, organizational clients expect IT professionals to deliver quality products and services in a professional manner. Timely status updates and communication, as well as sound project management practices are required

Answer 59

Internal and external competition has never been greater. An internal IT department’s services can easily be outsourced if the quality or cost of providing IT services can be bettered outside the organization. Today, competition among consultants is increasing as they compete for business and talent.

Answer 60

Peter Drucker, the well-known management guru, defined efficiency as doing the thing right and effectiveness as doing the right thing. Many companies report that project management allows for shorter development time, lower costs, and higher quality. Just using project management tools, however, does not guarantee success. Project management must become accepted and supported by all levels within the organization, and continued commitment in terms of training, compensation, career paths, and organizational infrastructure must be in place. This support will allow the organization to do the right things and to do them right.

Answer 61

help an organization develop best practices that allow all of the project teams within the organization to do the right thing and then to do it the right way.

Answer 62

organizational investments. When an organization builds or implements a new IT-based product, service, or solution, it commits time, money, and resources to the project with an expectation of receiving something of value in return.

Answer 63

an effective business strategy to be successful, and projects are the planned organizational changes or means for achieving a chosen strategy.

Answer 64

the application of knowl edge, skills, tools, and techniques to project activities to meet project requirements.

Answer 65

set expectations and rules of governance to guide your team.

Answer 66

1. No real plan 2. Excessive optimism 3. Fear of admission 4. Poor team morale 5. Poorly understood team roles 6. Absent sponsors 7. Not enough methodology 8. 9. 10. 11. 12.

Answer 67

1. No real plan 2. Excessive optimism 3. Fear of admission 4. Poor team morale 5. Poorly understood team roles 6. Absent sponsors 7. Not enough methodology 8. Too much methodology 9. Meager management 10. Lacking leadership 11. Inadequate technical skills 12. Too many meetings

Answer 68

Many times there’s a perpetual optimism that just because a project is behind there’s no reason why things can’t get caught up.

Answer 69

When a project is in trouble, no one wants to go to senior management and admit it, because that may be uncomfortable. And maybe things will get better.

Answer 70

Although this may not be a leading cause of project failure, it may be a leading indicator.

Answer 71

People may not be clear as to what their role should be or how they should be interacting with others.

Answer 72

If sponsors can’t be both ered with investing time in the project upfront, chances are they won’t like what they get in the end.

Answer 73

If sponsors can’t be bothered with investing time in the project upfront, chances are they won’t like what they get in the end.

Answer 74

If the project team doesn’t have a common and well-understood approach to completing the work, it is likely to have trouble doing so.

Answer 75

A methodology is a tool for completing the work, but not a guarantee that everything will go smoothly. A team can become overburdened with a methodology where the means become more important than the ends, or become a process to further political goals.

Answer 76

An inexperienced or unskilled manager can doom a project to failure.

Answer 77

Good leadership may be difficult to define, but we often know it when we see it. A project must have good leadership to succeed.

Answer 78

While not the most common cause for project failure, it can happen if we assign people without the requisite skills, or training to projects, or when we assign people because they are available at the time.

Answer 79

Too many meetings—Project team members who spend an inordinate amount of time in meetings may be trying to make up for inadequate planning. Because they may not have thought things out in advance, they are forced to coordinate on the fly.

Answer 80

on reducing costs and product cycle time.

Answer 81

FALSE Larger projects have the LOWEST success rate and appear to be MORE risky than medium and smaller projects.

Answer 82

change too rapidly Technology, business models, and markets change too rapidly so projects that take more than a year can be obsolete before they are completed.

Answer 83

16% were successful. 31% were cancelled before completion.

Answer 84

Better project management tools & processes Smaller projects Improved communication among stakeholders More skillful IT project manager

Answer 85

Plain & Simple: IT Projects must provide value to the organization

Answer 86

Processes and infrastructure (Methodology) Resources Expectations Competition Efficiency and effectivenes

Answer 87

Lessons learned Best practices Shared knowledge

Answer 88

Time Frame Purpose (to provide value!) Ownership Resources (the triple constraint)

Answer 89

Scope, budget, schedule

Midterm Makeup — Chapter 1 (Slides & Textbook) Flashcards

(113 cards)