Advanced Management Information Systems
Chapter 14
Managing Projects
14.1
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
LEARNING OBJECTIVES
• Identify and describe the objectives of project management and why it is so essential in developing information systems.
• Compare methods for selecting and evaluating information systems projects and methods for aligning them with the firm’s business goals.
• Describe how firms can assess the business value of information systems projects.
• Analyze the principal risk factors in information systems projects. • Select appropriate strategies for managing project risk and system implementation.
14.2
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
McKesson’s Prescription for Project Management
• Problem: Inconsistent, fragmented data in multiple
sources hampering operational efficiency and decision making for order processing and inventory management • Solutions: Replace existing systems with common business intelligence infrastructure with single enterprise data warehouse
• Massive project completed in under 2 years due to use of sound project management practices
• Demonstrates project management’s role in reducing projects costs and completion times
14.3
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
The Importance of Project Management
• Runaway projects and system failure
• Runaway projects: 30-40% IT projects
• Exceed schedule, budget
• Fail to perform as specified
• Types of system failure
• Fail to capture essential business requirements
• Fail to provide organizational benefits
• Complicated, poorly organized user interface
• Inaccurate or inconsistent data
14.4
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
The Importance of Project Management
Consequences of Poor Project Management
Without proper management, a
Managing Projects
14.1
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
LEARNING OBJECTIVES
• Identify and describe the objectives of project management and why it is so essential in developing information systems.
• Compare methods for selecting and evaluating information systems projects and methods for aligning them with the firm’s business goals.
• Describe how firms can assess the business value of information systems projects.
• Analyze the principal risk factors in information systems projects. • Select appropriate strategies for managing project risk and system implementation.
14.2
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
McKesson’s Prescription for Project Management
• Problem: Inconsistent, fragmented data in multiple
sources hampering operational efficiency and decision making for order processing and inventory management • Solutions: Replace existing systems with common business intelligence infrastructure with single enterprise data warehouse
• Massive project completed in under 2 years due to use of sound project management practices
• Demonstrates project management’s role in reducing projects costs and completion times
14.3
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
The Importance of Project Management
• Runaway projects and system failure
• Runaway projects: 30-40% IT projects
• Exceed schedule, budget
• Fail to perform as specified
• Types of system failure
• Fail to capture essential business requirements
• Fail to provide organizational benefits
• Complicated, poorly organized user interface
• Inaccurate or inconsistent data
14.4
© 2010 by Prentice Hall
Management Information Systems
Chapter 14: Managing Projects
The Importance of Project Management
Consequences of Poor Project Management
Without proper management, a