project escalation - BlinkLane Consulting

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BLINKLANE
Project
Doctor
Big IT projects often become big disasters,
seemingly running forever and consuming an
endless stream of resources without satisfactory
results. This phenomenon is also known as ‘project
escalation’. Project Doctor helps to prevent, detect
or stop project escalation.
Sustainable business models based on data
IS BLINKLANE’S PROJECT DOCTOR RELEVANT?
Many organizations cope with long running IT projects (or programs) that do not deliver. While these projects don’t seem to
lead to the desired outcome, they are subject to circumstances in which stopping or redirecting is not an option. The projects
thus consume more and more resources without results, creating even more motivation to continue and invest more, hoping
that what has been lost will somehow be recovered. This phenomenon of increasing commitment to a project’s failing
course of action is called project escalation.
The problems with escalating IT projects loom largest in the public sector, as public projects are generally much larger than
private sector projects. To illustrate: within a given timeframe, 100 large private sector organizations spent 1,7 billion euros
on approximately 6000 projects, while the state government spent 4,2 billion euros on 73 projects (Verhoef, 2008).
The 2012 CHAOS results show that no more than 39%
of all IT projects are successful (delivered on time, on
budget, with required features and functions); 43%
were challenged (late, over budget, and/or with less
than the required features and functions); and 18%
failed (cancelled prior to completion or delivered and
never used).
The yearly CHAOS reports show that IT projects are
complex undertakings that have a high risk of
problematic realization.
CAN BLINKLANE’S PROJECT DOCTOR HELP?
THREE PROJECT DOCTOR SERVICES
hig
h
Project de-escalation
Level of (potential)
escalation costs
If a project has already escalated, but the organization is unable to end the project, Project
Doctor helps to stop further exceeding of the budget and to reap the benefits of achieved
results. The project is terminated in a responsible manner. After project termination, a postproject review is possible to reflect and learn.
In-project independent reviewing
Even if steps to prevent escalation have been taken in advance, new
circumstances can lead to project escalation. Frequent and independent reviews
are a proved manner to monitor this. Is the project still on track to the intended
destination? If necessary, adjustments are made.
Pre-project assessment and recommendations
low
Before the project starts, the risk of its escalation is determined and
recommendations are made on how to reduce it.
low
Level of retrievable
value
hig
h
DOES BLINKLANE’S PROJECT DOCTOR
ACHIEVE?
Depending on the service applied, Project Doctor results in:
Project preassessment & inproject reviewing
Project de-escalation
A completed project within agreed budget, or
termination of the project with minimal
resources lost.
Completion or termination of the
escalated project within a limited
additional budget.
THE FUNDAMENT OF THE PROJECT
DOCTOR SERVICES
The Project Doctor services are based on extensive PhD research on the
project escalation processes in multiple large IT projects and programs,
across different organisations and time periods. The research and its
findings are published by Maastricht University in the dissertation
‘Understanding E-government Project Escalation’ by Niels Groen.
GO
GET IN TOUCH FOR MORE INFORMATION
BlinkLane Consulting is an advisory firm that was founded in
2007. It has its origin in IT Management, focusing on
improving the value of IT. In our life span, we have evolved
together with our clients. We continuously innovate our
services to keep delivering the value to our clients to deal with
today’s challenges.
Niels Groen
niels.groen@blinklane.com
+31611645943
Our focus is on the following 4 themes:
•
•
•
•
Business Agility
Business & IT Fusion
Business Model Innovation
Strategic Sourcing
Florentine Loeb
florentine.loeb@blinklane.com
+31621500478
Our purpose: “to succeed beyond ambition”.
Our mission: As a leading advisory on business model
innovation and technology management, we strive to have a
significant and meaningful impact on organizations we work
with.
We are committed to:
•
Introduce creativity and thought leadership
•
Establish expert communities and valuable relationships
•
Inspire, engage and develop exceptional people
SPACES Zuidas, Barbara Strozzilaan 101 | 1083 HN Amsterdam
T +31(0) 20 4080860 | info@blinklane.com | www.blinklane.com
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