Question 1. Visit the Standish Group’s Web site at www.standishgroup.com. Read one of the CHAOS articles or a similar report on information technology project management on their site or a similar site. Write a one-page summary of the report, its key conclusions, and your opinion of the report.
Answer- The CHAOS Report (1994) of The Standish Group is a research about the scope of software project failures, the major factors that cause software projects to fail and the key ingredients that can reduce project failures. The research sample included large, medium and small companies across major industry segments, e.g., banking, securities, manufacturing, retail, wholesale, healthcare, insurance, services and local, state and federal organizations. The total sample size was 365 respondents and represented 8,380 applications.
The Standish Group classified the projects into three resolution types: project success (completed on-time and on-budget with all features and functions as initially specified), project challenged (completed but over-budget, over-time estimate and offers fewer features and functions) and project impaired (cancel before complete).
According to this research, the software projects that are completed on-time and on-budget is only around 16.2%, while challenged projects accounted for 52.7%, and canceled project are 31.1%.
The Standish Group further segmented these results by large company (the company with greater than $500 million in yearly revenue), medium company (the company with $200-$500 million in yearly revenue) and small company (the company with $100-$200 million in yearly revenue). The study found that, most of all project were completed but over-budget, over-time estimate and offers fewer features and functions. Only 9% of the large company projects were achieved. Medium and small companies were success 16.2% and 28% respectively.
The projects restart is the main cause of project over-cost and over-time estimates. The 94% of the sample project restarts at least one time and some restarts several times. The average cost overrun is 189% and time overrun is 222% across all companies.
The Standish Group’s research focuses on four case studies, two successes and two fail projects. First case is the Hyatt Hotels which was success due to several elements such as user involvement, a clear statement of requirements, executive management support, proper planning and small project milestones.
Second case is of Banco Itamarati which was success because of clear vision with documented specific objectives and their top-down level of involvement and measurable results throughout the planning and implementation period.
Next is the failure project case of the California Department of Motor Vehicles (DMV) which loses $45 million dollars from1987 to 1993 for the canceled project because of the internal state politics, unclear objectives, unsupportive executive management, no user involvement and poor planning. And the last case is the project of American Airlines that failed from incomplete statement of requirements, lack of user involvement, and constant changing of requirements and specifications.
The CHAOS report clearly shows that the success and failure of the project is not accidental. The proper planning, appropriate project milestones, realistic expectations of the stakeholders from the project, hard working and many other success factors are the key to success. The success rate increases with the involvement of top-down level management with their good skills and knowledge with lots of learning from the failure projects.
Reference
The Standish Group International, Inc. (1994) The CHAOS Report, Retrieved September 8, 2007, from http://www.standishgroup.com/sample_research/chaos_1994_1.php
Exercises Chapter 2(Page 66)
Question 5. Write a one-to two-page summary of an article about the importance of top management support for successful information technology projects.
Answer-Everybody who is selling a new method or system for change says that “Top management support” is the key to success.
The change is always following by resistance. The general way to accept change by the people is to command them by the top management. But they are not willing to help in doing the project to get success and wait for blame when project fails.
Consider three of the most common reasons for resistance to change to address people's concerns. First of the reason for resistance is people’s not interested for change. Although the changes have many benefits for companies, people don’t do it if that change is bad for them. Second, people resist being changed. It is good if meaningful participation in the open, empowered change process. The last reason is the lack of motivation in the change process.
There are three elements of motivation which are: dissatisfaction with the current status, vision of the destination that is the safe place to jump to and a clear path from here to there i.e. next steps.
All above mentioned things should be supported by the top management. Top management, leaders, have important role in well managed changed processes which are:
Broader understanding of the reasons of the project, motivation and analysis of opportunities for success of all staff.
Widen objectives
Responsibility: Don’t accept mediocrity
Empowerment: Measuring people on results
Participation process: Engage people in defining motivation to change
Providing resources to accomplish the project
Coaching: Sharing information and offer help
One important thing top management should do is not to command the people to do the project, but assist them in the project.
Reference
N. Dean Meyer. (2007).Beneath the Buzz: Top management Support, Retrieved 10 September2007, from http://www.cio.com/article/41468/Beneath_the_Buzz_Top_Managemen
Chapter 3: Question no. 1(Page no.111)
Study the WBS and Gantt charts provided in Figures 3-3 and 3-4. Enter the WBS into Project 2003, indenting tasks as shown to create the WBS hierarchy. Then enter durations and dependencies to try to reproduce the Gantt chart. Check your work with the files available on the companion web site for this text.
Figure: Gantt chart
Figure: Network Diagram
Chapter 4: Question 1 (Page no. 160)
Write a two-page paper based on the opening case. Answer the following questions:
a) What do you think the real problem was in this case?
b) Does the case present a realistic scenario? Why or why not?
c) Was Nick Carson a good project manager? Why or why not?
d) What could Nick have done to be a better project manager?
e) What should top management have done to help Nick?
Opening Case
Nick Carson recently became the project manager of a critical biotech project for his company in Silicon Valley. This project involved creating the hardware and software for a DNA-sequencing instrument used in assembling and analysing the human genome. Each instrument sold for approximately $20000, and various clients would purchase several instruments. One hundred instruments running twenty-four hours per day could decipher the entire human genome in les than two years. The biotech project was the company’s largest project, and it has tremendous potential for future growth and revenues. Unfortunately, there were problems managing this large project. It had been underway forb three years and had already gone through three different project managers. Nick had been the lead software developer on the project before top management made him the project manager. Top management told him to do whatever it took to deliver the first version of the software for the DNA-sequencing instrument in four months and a production version in nine months. Negotiations for a potential corporate buyout with a larger company influenced top management’s sense of urgency to complete the project.
Nick was highly energetic and intelligent and had the technical background to make the project a success. He delved into the technical problems and found some critical flaws that were keeping the DNA-sequencing instrument from working. He was having difficulty, however, in his new role as project manager. Although nick and his team got he product out on time, top management was upset because Nick did not focus on managing all aspects of the project. He never provided top management with accurate schedules or detailed plans of what was happening on the project. Instead of performing the work of project manager, Nick had taken on the role of software integrator and troubleshooter. Nick, however, did not understand top management’s problem- he delivered the product, didn’t he? Didn’t they realize how valuable he was?
a) What do you think the real problem was in this case?
I think that the real problem in this case was the poor management. The problem in managing the large company is seen in this case. The biotech project for the company in Silicon Valley involved creating the hardware and software for a DNA-sequencing instrument. Biotech project was the company’s largest project and it had tremendous potential for future growth and revenues but the manager assigned for this project was new with no past management experience. The manager for this project must be the experienced one as it is the one of the largest project of the company. But Nick was the fourth project manager for the project with no managerial skills.
b) Does the case present a realistic scenario? Why or why not?
In my opinion the case does not present the realistic scenario. This giant project involved creating hardware and software for a DNA-sequencing instrument used in assembling and analysing the human genome. The project’s first version is to be delivered in four month and the productive version is to be delivered in nine months which is not possible for such a large project. The manager assigned for such a big project is not experienced in the management skill and current manager is the fourth manager assigned in three years and he is good technical person but not good manager.
c) Was Nick Carson a good project manager? Why or why not?
Nick Carson was not a good project manager as he has lack of management skills. He has no past experience of project management. He has good technical background. He is the lead software developer. He is highly energetic and intelligent person but not the perfect manager. He delivers the project in time but not focus on managing all aspects of the project. A good manager always have to keep all the project stakeholders happy but in this case, he seems to be failed since the top management is unhappy for he didn’t submit the regular progress report of the project. Also, he acted as software integrator and trouble-shooter rather than a project manager
d) What could Nick had done to be a better project manager?
To be a good project manager, Nick could focus on his main weak points. For instance, from the given opening case, he should focus on the team communication. Further, he needs to give to concern on communication with all the stakeholders so as to keep the team binding. Apart from this, he needs to have coordination of all the project management knowledge area throughout the project life cycle.
e) What should top management have done to help Nick?
Top management could help Nick to be a good project leader by helping him with proper advice on management. Since he doesn’t have any management skills, the top management can help him by handling the partial management so that he would not have much pressure in handling the project. In addition, the top management should have taken the time to understand Nick’s need and provide him more support. Top management could him support with managerial skills that could help him to work with the team. It seems that Nick lacks the communication skills. So, at least, top management could focus on this lacking point.
Exercises Chapter (Page 195)
Question 1.
Use PowerPoint, Visio, or similar software to create a WBS in chart form (similar to an organizational chart-see the sample in figure 5-2).Assume the level 1 categories are initiating, planning, executing, controlling, and closing. Under the executing section, include level 2 categories of analysis, design, prototyping, testing, implementation, and support. Assume the support category includes level 3 items called training, documentation, user support, and enhancements.
Answer- A work breakdown structure (WBS) is a deliverable-oriented grouping of the work involved in a project that defines the total scope of the project.
The WBS for the project in chart form using PowerPoint is illustrated below:-
Figure: WBSChapter 5: Question No. 2. (Page 195)
Create the same WBS described in Exercise 1 using Project 2003, indenting categories appropriately. Use the outline numbering feature to display the outline numbers (click Tools on the menu bar, click Options, and then click Show outline number). For example, your WBS should start with 1.0 Initiating. Do not enter any durations or dependencies. See Appendix A or Project 2003 help for assistance. Print the resulting Gantt chart on one page, being sure to display the entire Task Name Column.
Figure: Gantt chart
Exercise Chapter 6 (Page240)
Question 2
Consider Table 6-3, Network Diagram Data for a Small Project. All duration estimates or estimated times are in days; and the network proceeds from Node 1 to Node 9.
Draw an AOA network diagram representing the project. Put the node numbers in circles and draw arrows from node to node, labeling each arrow with the activity letter and estimated time.
The activity-on-arrow (AOA) is a network diagramming technique in which activities are represented by arrows and connected at points called nodes to illustrate the sequence of activities. This technique is also known as arrow diagramming method (ADM).
The AOA network diagram representing the project is given below.
Note: Assume all durations are in days.
Figure: AOA network diagram
Identify all of the paths on the network diagram and note how long they are, using Figure 6-8 (Page 220) as a guide for how to represent each path.
The paths on the network diagram with their length are as follows:-
Path 1: A-B-E-H-K Length=2+2+2+2+2=8 days
Path 2: A-B-E-I-J-K Length=2+2+2+5+1+2=14 days
Path 3: A-C-F-H-K Length=2+3+3+2+2=12 days
Path 4: A-C-F-I-J-K Length=2+3+3+5+1+2=16 days
Path 5: A-D-G-J-K Length=2+4+6+1+2=15 days
What is the critical path for this project and how long is it?
The critical path is the series of activities in a network diagram that determines the earliest completion of the project. It is the longest path through the network diagram.
Path 4, A-C-F-I-J-K, is the critical path for this project.
What is the shortest possible time it will take to complete this project?
The shortest possible time it will take to complete this project is 8 days.
Review the online tutorials for Gantt and PERT charts in the third Suggested Reading by Mark Kelly in this chapter. Write a one-page paper with your answers to the questions in the tutorials .Also include any questions you had in doing the tutorials.
Figure 2. PERT Chart to show the development of a system
Review of PERT
Tutorial Question 1: Which tasks are on the critical path of the PERT chart above?
Answer-The critical path of the PERT chart is the path A-B-D-F-I.
Tutorial Question 2: What is the slack time for tasks C, D and G?
Answer-
The slack time available for task C is One day.
There is no slack time available for task D.
The slack time available for task G is two days.
Tutorial Question 3: The person working on task C tells the project manager he can’t work until one day after the scheduled starting date. What impact would this have on the completion date of the project? Why?
Answer-Task C finishing one day late would have no impact on the completion date of the project because it has one day of slack time which it could use.
Tutorial Question 4: Task A will be delayed by 2 days because some equipment has arrived late. If the project manager still wants to finish the project within the original time frame, he will need to shorten the time for one or more of the tasks. What steps can he take to reduce the number of days allocated to a task?
Answer-
To finish the project within the original time frame in this situation can be possible only if project manager put more people to work on the project, work more hours in a day or increase the efficiency of work.
Tutorial Question 5: The project manager decides to reduce the time needed for tasks D and F by one day each. How effective will this reduction be in achieving his aim of maintaining the original finish time for the project?
Answer-
Reducing tasks D and F each by one day would only shorten the project by one day since after a 2 day reduction, tasks D and F are no longer on the critical path. To further shorten the project time, the project manager would have to shorten tasks on the new critical path A-B-C-E-I.
Review of Gantt Chart
Question 1: What is the first milestone in this project?
Answer: The first milestone in this project is task 7, “Sign Contract” on 30/11/2000.
Question 2: How much ‘slack’ time is there after commencement of the alterations, including weekends?
Answer: The remaining slack time is 3 days in the given chart after the commencement of the alterations including weekends.
Question 3: The supplier of the cable has just informed you that the cable delivered to you is faulty and the replacement cable will not arrive until the end of Monday 18 December. What impact will this have on the end date?
Answer: The end date would be delayed by 3 days because the cabling to start on 14th of December. This makes the installation to start on 19 December and end date will change from 19 December to 22 December.
Question 4: What options would a project manager have if the cable was arriving on 21 December and the due date still had to be met?
Answer: If the cable was arriving on 21 December and the due date still had to be met, then project manager would have to take the following steps:
· Work with full energy to finish it as soon as possible.
· Add more workers and go for overtime work.
· Overlap the execution of many tasks and do it simultaneously.Improve the work efficiency by using better machines like using electric screwdriver to tighten screw rather than using a manual screwdriver and so on.
