1
ITEC 3010 “Systems Analysis and Design, I”
LECTURE 3:LECTURE 3:
The Analyst as a Project ManagerThe Analyst as a Project Manager
[Prof. Peter Khaiter]
2
Lecture OutlineLecture Outline
IS Projects: Success and FailureIS Projects: Success and Failure Role of the Project ManagerRole of the Project Manager Project Management Tasks in SDLCProject Management Tasks in SDLC Project Initiation and Project PlanningProject Initiation and Project Planning Project Planning ActivitiesProject Planning Activities Project ScheduleProject Schedule Risks Management and Project FeasibilityRisks Management and Project Feasibility Financial CalculationsFinancial Calculations Tangible and Intangible BenefitsTangible and Intangible Benefits Staffing the ProjectStaffing the Project Launching the ProjectLaunching the Project
3
Project Success FactorsProject Success Factors
Project management important for success of system development project
2000 Standish Group Study
Only 28% of system development projects successful
72% of projects cancelled, completed late, completed over budget, and/or limited in functionality
Thus, project requires careful planning, control, and execution
4
Reasons for Project FailureReasons for Project Failure
Incomplete or changing requirements
Limited user involvement
Lack of executive support
Lack of technical support
Poor project planning
Unclear objectives
Lack of required resources
5
Reasons for Project SuccessReasons for Project Success
Clear system requirement definitions
Substantial user involvement
Support from upper management
Thorough and detailed project plans
Realistic work schedules and milestones
6
Role of the Project ManagerRole of the Project Manager
Project management – organizing and directing people to achieve a planned result within budget and on schedule
Project manager – a person has primary responsibility for the functioning of the team.
Success or failure of project depends on skills of the project manager
Beginning of project – plan and organize
During project – monitor and control
Responsibilities are both internal and external
7
Internal ResponsibilitiesInternal Responsibilities
Identify project tasks and build a work breakdown structure
Define the milestones (i.e., key events in a project which can be identified by a specific pieces of documentation or a specific status review meeting) and deliverables to monitor progress.
Develop the project schedule
Recruit and train team members
Assign team members to tasks
Coordinate activities of team members and subteams
Assess project risks
Monitor and control project deliverables and milestones
Verify the quality of project deliverables
8
External ResponsibilitiesExternal Responsibilities
Report the project’s status and progress Establish good working relationships with
those who identify the needed system requirements
The people who will use the system Work directly with the client (the project’s
sponsor) and other stakeholders Identify resource needs and obtain resources
9
Participants in a System Participants in a System
Development ProjectDevelopment Project A project manager reports to and woks with several groups of people:
•The client is a person or group of people who will be paying for the development of the new system – the customer. The client releases funds and ultimately approves the project. For in-house development, the client can be an executive committee or a particular vice president who is funding the project
•For large project, an oversight committee may be formed. This committee consists of clients and other key executives who have a vision of the strategic direction of the organization and have a strong interest in the success of the project
•Users are the people who will actually be using the new system. The user typically provides information about the detailed functions and operations of the new system
10
Participants in a System Participants in a System
Development ProjectDevelopment Project
11
Various Titles/Roles of Project Various Titles/Roles of Project ManagersManagers
12
Project Management Tasks Project Management Tasks throughout the SDLCthroughout the SDLC
Overlap with SDLC phases Beginning of project
Overall project planning
During project
Project execution management
Project control management
Project closeout
Project management approach differs for
Predictive SDLC (linear, concurrently with SDLC activities)
Adaptive SDLC (in cycle, planning is distributed across the entire SDLC)
13
Project Management Tasks in SDLCProject Management Tasks in SDLC
14
Project Execution ManagementProject Execution Management
Following the project schedule Assigning and coordinating the work
of project team Communicating with all project
stakeholders
15
Project ControlProject Control
Determining progress and taking corrective actions when necessary
Assessing whether requests for scope changes are necessary
Maintaining an outstanding issues list
Resolving problems
16
Project CloseoutProject Closeout
To smooth project shutdown Releasing team members for other
assignments Finalizing the budget Reviewing or auditing the results of
the projects
17
Project Management and SDLC Project Management and SDLC Tasks for a Predictive ProjectTasks for a Predictive Project
18
Project Management and SDLC Project Management and SDLC Tasks for an Adaptive ProjectTasks for an Adaptive Project
19
Project Management Body of Project Management Body of Knowledge (PMBOK)Knowledge (PMBOK)
Developed by The Project Management Institute (PMI)
9 knowledge areas: foundation information for every project manager
Scope managementcontrol functions included in systemcontrol scope of work done by team
Time managementBuild detailed schedule of all project tasksMonitor progress of project against milestones
Cost managementCalculate initial cost/benefit analysis Monitor expenses
20
Project Management Body of Project Management Body of Knowledge (cont’d)Knowledge (cont’d)
Quality managementEstablish quality plan and control activities for each project phase
Human resource managementRecruit and hire project team membersTrain, motivate, team build
Communications managementIdentify stakeholders and their communications Establish team communications
21
Project Management Body of Project Management Body of Knowledge (cont’d)Knowledge (cont’d)
Risk managementIdentify and review risks for failureDevelop plans to reduce these risks
Procurement managementDevelop requests for proposals (RFPs)Evaluate bids, write contracts, monitor performance
Integration management
22
Project Initiation and Project Project Initiation and Project PlanningPlanning
Driving forces/Reasons to start projectRespond to opportunityResolve problemConform to directive
23
Project initiationProject initiation
Top-down projects. The optimal method is through the long-term IS strategic plan, that identifies the overall efforts of the organization to maintain a competitive positions and results in specific projects.Bottom-up projects. Individual department managers or process managers are close to the daily work. They often identify IS problems within their respective areas. Brought to the attention of the strategic planning committee, these needs are integrated into the overall business strategy. In case of immediate needs that cannot wait for the strategic plan (such as a new sales commission schedule or a new productivity report), the process manager may request initiation of individual development projects. Outside-forces project. Projects can be initiated to respond to outside forces. One common outside pressure is legislative changes such as changes in tax or labor law. These changes affect the strategic plan, resulting in an urgent need for new IS.
24
CASE STUDY: CSS Project initiation CASE STUDY: CSS Project initiation for Rocky Mountain Outfittersfor Rocky Mountain Outfitters
Strategic IS plan directs project development priorities RMO’s strategic plan is to build more direct customer
contact, improve service, and expand the marketing presence
Customer support system development selected as a top priority
Customer support system (CSS) selectedJohn MacMurty – creates project charterBarbara Halifax – project managerSteven Deerfield – senior systems analystGoal is to support multiple types of customer services (ordering, returns, online catalogs)
Project charter describes key participants
25
RMO Project CharterRMO Project Charter
26
Project Planning ActivitiesProject Planning Activities
27
Project Planning Activities and Project Planning Activities and their key questionstheir key questions
28
Defining the ProblemDefining the Problem
Review business needsUse strategic plan documents Consult key users Develop list of expected business benefits (i.e., results organization expects to achieve from the new IS)
Identify expected system capabilities (at a general level)
Define scope in terms of requirements Create system scope document (3 components:
problem description, business benefits, system capabilities)
Build proof of concept prototype (if new technology or new solutions) to show they are feasible and possible
Create context diagram (scope of the IS): an IS, external entities and input/output information flows
29
System Scope DocumentSystem Scope Document
30
Context Diagram for Customer Context Diagram for Customer Support SystemSupport System
31
CASE STUDY: Defining the Problem CASE STUDY: Defining the Problem at RMOat RMO
Barbara and Steven, the CSS project team, developed the list of business benefits and system capabilities and the context diagram after talking to William McDougal, vice president of marketing and sales
Steven did some preliminary investigation on possible alternative solutions (researched the trade magazines, the Internet, and other sources to determine whether there were sales and customer support systems that could be bought and installed rapidly. None seemed to have the exact match of capabilities that RMO needs)
They decided to proceed with the analysis phase before making any final decisions about solutions
They began developing a schedule, budget, and feasibility statement for the new system.
32
Producing the Project ScheduleProducing the Project Schedule
Each project consists of tasks, activities and phases.
A phase is made up of a group of related activitiesAn activity is made up of a group of related tasksA task is a smallest piece of work that is identified, named and scheduled
The development of a project schedule involves three main steps: Develop work breakdown schedule Build a PERT/Gantt chart Develop resource requirements and staffing plan
33
Work Breakdown Structure (WBS)Work Breakdown Structure (WBS)
A work breakdown structure (WBS) is a hierarchy of tasks, activities and phases for the project. It is used as a foundation for developing the project schedule, identifying milestones in the schedule and for managing the costsEach task has an associated duration (sometimes three different values: expected, pessimistic and optimistic) and number of resources required)How to identify tasks: Top-down: identify major activities first, then internal
tasks Bottom-up: list all the tasks and organize them Analogy: from similar projects
34
RMO Work Breakdown StructureRMO Work Breakdown Structure
35
Project SchedulingProject Scheduling
Developing a project schedule is a four-step process: (1) Project members identify all tasks for each activity (2) Estimation the size of the task: number of human resources, person-day required, calendar time required and any other specific resources (3) Determining the sequence of the tasks (4) Scheduling the tasks themselves
There are special techniques and tools for project scheduling (e.g., MS Project)
36
PERT/CPM ChartPERT/CPM Chart
PERT/CPM (Project Evaluation and Review Technique/Critical Path Method) chart: shows the relationships among tasksdefines tasks that can be done concurrently shows the critical path (= the longest path of dependent tasks from the first task to the last task, i.e. the shortest completion period for the project) If any task on that path slips, then the entire project schedule will slip Other tasks (not on the critical path) usually have some slack time (the amount of time that the task can slip without affecting the schedule)Good to show dependencies and critical path but it is not easy to see the project’s progress on a PERT chart
37
Partial PERT/CPM chart for the CSS Partial PERT/CPM chart for the CSS projectproject
38
Gantt chartGantt chart
Gantt Chart: shows information for each task as horizontal bar chart where the vertical tick marks are calendar days and weeks:
Doesn’t show the dependencies of tasks A good tool for monitoring the progress of the
project Tasks represented by horizontal bars Vertical tick marks are calendar days and weeks Shows calendar information in a way that is easy
to track Bars may be colored or darkened to show
completed tasks Vertical line indicates today’s date
39
Partial Gantt chart for the CSS Partial Gantt chart for the CSS projectproject
40
Importance of the Proper Project Importance of the Proper Project SchedulingScheduling
In 1984, Microsoft planned to develop MS Word for one yearAt that time, this was two months less than the most optimistic estimated deadline for a project of its size In reality, it took Microsoft five years to complete Word Ultimately, the overly aggressive schedule for Word slowed its development for a number of reasons: The project experienced high turnover due to unreasonable pressure and work hoursCode was ”finalized” prematurely, and the software spent much longer in “stabilization” (i.e., fixing bugs) than was originally expected (i.e., 12 months versus 3 months). Aggressive scheduling resulted in poor planning – the delivery date consistently was off by more than 60% for the first four years of the project
41
Just For FunJust For Fun
http://www.getfunnypictures.com/crt052.html
MS software release
42
Risks Management and Project Risks Management and Project FeasibilityFeasibility
Risk management Organizational and cultural feasibility Technological feasibility Schedule feasibility Resource feasibility Economic feasibility
Cost/benefit analysisSources of funds (cash flow, long-term capital)
43
Risk AnalysisRisk Analysis
44
Organizational and Cultural Organizational and Cultural FeasibilityFeasibility
Each company has own cultureNew system must fit into culture
Evaluate related issues for potential risks
Low level of computer competency
Computer phobia
Perceived loss of control
Shift in power
Fear of job change or employment loss
Reversal of established work procedures Positive steps should be undertaken to reduce the risks E.g.: additional training can be held to teach new procedures
and provide increased computer skills
45
Technological FeasibilityTechnological Feasibility
Does system stretch state-of-the-art technology?
Does in-house expertise presently exist for development?
Does an outside vendor need to be involved? Solutions include
Training or hiring more experienced employeesHiring consultantsChanging scope and project approach
46
Schedule FeasibilitySchedule Feasibility
Estimates needed without complete information
Management deadlines may not be realistic Project managers
Drive realistic assumptions and estimates
Recommend completion date flexibility
Assign interim milestones to periodically reassess completion dates
Involve experienced personnel
Manage proper allocation of resources
47
Resource FeasibilityResource Feasibility
Team member availability Team skill levels Computers, equipment, and
supplies Support staff time and availability Physical facilities
48
Economic FeasibilityEconomic Feasibility
Cost/benefit analysis Estimate project development costs
Estimate operational costs after project
Estimate financial benefits based on annual savings and increased revenues
Calculate using table of costs and benefits Uses net present value (NPV), payback
period, return on investment (ROI) techniques
49
Development Costs for RMODevelopment Costs for RMO
The project manager has responsibility for estimating the cost of development:
Salaries and wages Equipment and installation Software and licenses Consulting fees and payments to third parties Training Facilities Utilities and tools Support staff Travel and miscellaneous
50
Supporting details of salary and Supporting details of salary and wages for the CSS projectwages for the CSS project
51
Summary of Development Costs for Summary of Development Costs for RMORMO
52
Operating CostsOperating Costs
The following list identifies the major categories of costs that may be allocated to the operation of the new system: • connectivity • equipment maintenance • computer operations • programming support • amortization of equipment • training and ongoing assistance (e.g., help desk) • supplies
53
Summary of Annual Operating Summary of Annual Operating Costs for RMOCosts for RMO
54
Just For FunJust For Fun
Technical support
55
Sources of BenefitsSources of Benefits
Benefits usually come from two major sources: decreased costs increased revenues
Unlike development costs, there are no “standard” benefits Sample of reduced costs: • Reducing staff due to automating manual functions or increasing
efficiency • Maintaining constant staff with increasing volumes of work • Decreasing operating expenses, such as shipping charges for
emergency shipments • Ensuring quicker processing and turnaround of documents or
transactions • Capturing lost discounts on money management • Reducing bad accounts or bad credit losses • Reducing inventory or merchandise losses due to tighter controls • Collecting accounts receivables more quickly • Capturing income lost due to “stock outs” with better inventory
management • Reducing the cost of goods with volume discounts and purchases • Reducing paperwork costs with electronic data interchange and
other automation
56
Sample Benefits for RMOSample Benefits for RMO
57
Financial CalculationsFinancial Calculations
Companies use a combination of methods:
Fist approach, called the net present value (NPV), has two concepts:
(1) all benefits and costs are calculated in terms of today’s dollars (present value)
(2) the future streams of benefits and costs are netted together and then discounted by a certain factor for each year in the future
Second method to determine whether investments will be beneficial is to determine the payback period, sometimes called the breakeven point. This is the point in time at which benefits becomes equal to the cost of development and operation
Third economic measure is the return on investment (ROI). ROI shows a percentage return needed so that the costs and benefits are exactly equal over the specified time period.
58
RMO Cost Benefit AnalysisRMO Cost Benefit Analysis
59
Tangible vs. Intangible BenefitsTangible vs. Intangible Benefits
Tangible benefits – can be measured or estimated in terms of dollarsIntangible benefit – can’t be directly measured or estimated in dollarsIn some instance, the intangible benefits far exceed the tangible costs
Examples of intangible benefits:• Increased levels of service (in ways that cannot be measured)• Increased customer satisfaction (not measurable)• Survival (a standard capability common in the industry, or
common to many competitors)• The need to develop in-house expertise (such as with a pilot
program with new technology)
Examples of intangible costs: • Reduced employee moral • Lost productivity (inestimable) • Lost customers or sales (during some period of time)
60
Staffing the ProjectStaffing the Project
There are five tasks within this activity:Develop a resource planIdentify and request technical staffIdentify and request specific user staffOrganize the project team into work groupsConduct preliminary training and team-building
61
Launching the ProjectLaunching the Project
Scope defined, risks identified, project is feasible, schedule developed, team members identified and ready
Oversight committee finalized, meet to give go-ahead, and release funds
Formal announcement made to all involved parties within organization
62
ReadingsReadings
Today’s lecture: Chapter 3 – “The Analyst as A Project Manager”
For next week: Chapter 4 – “Investigating System Requirements”
Thank you !!!
Top Related