ICT Project
Management
A survival guide
Dr Christopher O’Mahony
Head – Centre for Information Technology
St Ignatius’ College, Riverview
In summary
This presentation shares some examples of IT
projects in schools, and hopefully shares some tips on
how to survive the IT Project battleground.
Good News and Bad News
Some wider context
A cynical view
Key learnings
A sample case study
Some useful links
The presenter
Christopher O’Mahony
Head – Centre for IT, St Ignatius’ College, Riverview
In school IT management roles since 1997
PhD research in school management information systems,
IT evolution, IT evaluation, organisational culture
Involved in various IT projects such as
Management information systems
Library systems
Voice-over-IP
SAN / DDT
ISP
Reprographics
The good news
The fact that this conference is happening, and that this topic
is included, is indicative of the growing professionalism
among school IT management.
Most of us, during our tenure in these positions, will be
involved to a greater or lesser extent in IT projects.
Increasingly in schools, other organisational units are looking
to IT managers for robust methodologies and discipline, rigour
and objectivity in capital projects.
BUT ………
The bad news
In the 1990’s, the average life span of a senior IT manager
was about 900 days.
A common cause of IT manager casualty is failed IT projects.
Aalders, R., & Hind, P., (2002) “The IT Manager’s Survival Guide”,
Chichester, UK; John Wiley & Sons.
Industry analysis tells that
MOST IT projects fail
For example:
UK NHS – 4 years over time, GBP 10 billion over budget
Australian Customs – 4 weeks container processing backlog on
implementation
Defining project failure
Project abandonment
Cost overruns
Time overruns
Incomplete implementation / functionality
Major causes:
Degree of user involvement
Executive management support
Project management experience
(Courtesy: Information Age, 2005)
Project cost vs project success
More than $10 million
2%
11%
$6m to $10m
23%
$3m to $6m
32%
$750,000 to $3m
46%
Less than $750,000
0%
10%
20%
30%
40%
Smaller initiatives fare better at reaching goals than larger
projects do.
50%
(Courtesy: Information Age, 2005)
Proportion of projects over budget
< 20% are over
budget
46%
20% - 50% are
over budget
22%
> 50% are over
budget
0%
32%
10%
20%
30%
40%
50%
(Courtesy: Information Age, 2005)
Proportion of projects delivered late
34%
< 20% are late
20% - 50% are late
12%
54%
> 50% are late
0%
10%
20%
30%
40%
50%
60%
(Courtesy: Information Age, 2005)
Proportion of scope successfully delivered
< 50% scope
delivered
26%
50% - 90% scope
delivered
37%
> 90% scope
delivered
0%
37%
10%
20%
30%
40%
A cynical view
Project Management Truths
“Never underestimate the ability of senior management to buy a
bad idea, and fail to buy a good idea.”
“Quantitative project management is for predicting cost and
schedule overruns well in advance.”
“Project meetings are events where minutes are kept, and
hours are lost.”
“We build systems like the Wright brothers built airplanes –
build the whole thing, push it off a cliff, let it crash, and then
start all over again.”
A cynical view
Project Management Truths
Projects happen in two ways: (a) Planned and then executed or
(b) Executed, stopped, then planned and executed.
“Good project management is not so much knowing what to do
and when, as knowing what excuses to give and when.”
“Some projects finish on time in spite of project management
best practices.”
“Users don’t know what they want until they get it. Then they
know what they DON’T want.”
Key learnings
Successful projects have demonstrable discipline, rigour
and objectivity
Link all IT projects to the IT Strategic Plan – avoid
unplanned projects
Different leadership types on a project team (eg Business,
IT, Academic) have different dynamics, and these need to
be ‘managed’
Engage senior management in all major projects
Key learnings
There is rarely a pure ‘IT’ project
Clarify who’s driving
Be wary of resourcing assumptions
Prioritise your projects
Build in plenty of milestones and progress meetings
Avoid scope creep
Talk straight
Learn how to say “No”
One Case Study – School MIS project
The case for change
Building project approval
Governance and team structure
Internal stakeholder consultation
External enquiries
The Tender
Phase 1 - evaluations
Phase 2 - presentations
Phase 3 – Selection and contract
Conversion and trial
Go live
Post implementation
The case for change
2004
Business Office driving the call for change
Areas requiring review:
Fees & Billing
Registrations & Admissions
Foundation and OIU
School shop
Facilities
Assets
Project approval
Early 2004
Business Case presented to:
IT Committee
Finance Committee
College Council
Initial ‘rule-of-thumb’ budget approved
Project Team established
External support from industry professionals
Evaluation Governance & Team Structure
IT Steering
Committee
Project Steering
Committee
Business
Requirements
Implementation
Plan
Ongoing
Support
Commercial
Price
G Conlon
C O’Mahony
L Holden (P2)
B Peatman (P2)
K Corbett (P2)
G Conlon
C O’Mahony
G Conlon
C O’Mahony
G Conlon
K Corbett
G Conlon
K Corbett
Stakeholder consultation
Term 1 2004
Questionnaires to all stakeholders
Focus Group meetings
What have we got that must be retained?
What have we got that must be dumped?
What have we NOT got that we must have?
What have we NOT got that we’d like to have?
Broad email enquiries to other ADAPE members
Evaluation from ADAPE members
-15
-10
-5
0
5
10
A
B
C
D
E
F
G
H
Happy
Unhappy
15
20
25
The Tender
Stakeholder consultation in Term 1 informed Requirements
Specification
Clear expectations of tender respondents
Closed tender
Incumbent invited to respond
Longlist to Shortlist
Make your tender document self-scoring
Use quantitative analysis to justify selection / rejection
Score each dimension
Weight each dimension
Consider price last
Remember to include items such as:
Conversion costs (export as well as import)
Customisation / configuration costs
Training costs
Evaluation Phases
Phase 1
Assessment of compliance and evaluation
against evaluation criteria
Phase 2
Discussions, clarification, negotiations and
reference checks with short-listed Suppliers.
Update evaluation.
Short-listed
Suppliers
Preferred
Supplier
Phase 3
Finalise contract with preferred supplier,
including further discussions and negotiations as
appropriate
Signed
Contract
Evaluating Proposals
Evaluation Methodology
Evaluation
Criteria
Weightings
Scoring
Rules
Evaluating
Price
Evaluation Criteria & Weightings
(excl. Price)
Evaluation Category
Criteria
Criteria
Weighting
Business
Requirements
General
20%
Core Business functions
40%
Development / Foundation
20%
Retail Operations
10%
Other (Facilities, New Business Functions)
10%
Implementation Track Record
30%
Timeframe
20%
Approach (eg phased)
50%
Industry Track Record
20%
Depth of Resourcing
30%
Help Desk Support
30%
Account Management
20%
Vendor Stability
40%
Financial Viability
40%
Acceptance of Riverview’s Key Commercial Terms
20%
Implementation Plan
On-going Services
Commercial
400%
Category
Weighting
55%
15%
20%
10%
100%
Phase 1 Evaluation Results
Business Requirements
Implementation Plan
Ongoing Services
Commercial
Price
Business Requirements Comparison-1
Business requirements (weighted) by supplier
40
35
30
General
25
Core
20
Foundation
15
Retail
10
Other
5
0
A
B
C
D
E
Business Requirements Comparison-2
Business requirements (weighted) by Category
40
35
30
A
25
B
20
C
15
D
10
E
5
0
General
Core
Foundation
Retail
Other
Implementation Plan Comparison
Implementation Plan Analysis
70
60
50
40
30
20
10
0
A
B
C
D
E
Ongoing Services Comparison
Ongoing Services Analysis
70
60
50
40
30
20
10
0
A
B
C
D
E
Commercial Comparison
Commercial Analysis
100
80
60
40
20
0
A
B
C
D
E
Phase 1 Summary (excl Price)
Scores
Category
Weighting
A
B
C
D
E
Requirements (Bus + Tech)
55%
45.7
33.1
46.1
49.9
42.0
Implementation Plan
15%
7.5
3.8
10.5
9.8
5.3
Ongoing Service (estimate)
20%
12.0
10.0
11.0
13.0
11.0
Commercial (estimate)
10%
6.5
4.5
8.5
8.5
7.0
TOTAL
100%
71.7
51.4
76.1
81.2
65.2
3
5
2
1
4
Category
Rank
NOTE: higher score is more favourable
Price per Point of Value Approach
Lowest price per point of value score = highest ranked supplier
“Price per Point of Value”
Score
=
NPV for Supplier
Weighted Score for Supplier
The service providers response must meet Riverview’s minimum
requirements on each of the non-price evaluation criteria
Financial Comparison - 1
Price Analysis (per Point of Value)
NPV over 3 Yrs
2,500
2,000
1,500
1,000
500
E
D
C
B
A
-
Financial Comparison - 2
Price Analysis (per Point of Value)
NPV over 5 Yrs
3,000
2,500
2,000
1,500
1,000
500
A
B
C
D
E
Narrowing the field
Vendor presentations
We drove the agenda, not the vendor
Important to use real-life scenarios / scripts
Level playing field for all presentations
No second chance
Reference site checking
Vendor recommendations
Plus our own enquiries
Selection and Contract
From two down to one:
Keep #1 and #2 keen right to the very end
Contracts:
Don’t simply accept the ‘standard’ contract
Make the extra effort to ensure the contract matches your needs
Always make sure your school legal advisers review the contract
Conversion and trial
If converting data from old system to new system:
Do your best to retain support from outgoing vendor.
Allocate plenty of time and resources to test the converted data.
Worth considering at least two iterations of the conversion-and-trial
cycle.
Ensure robust change request procedure is in place during this phase.
Go live!
November 2004 – Conversion-&-Trial #1
January 2005 – Conversion-&-Trial #2
March 2005 – Go Live!
Train! Train! Train!
Support! Support! Support!
Post implementation
March 2005 was chosen for implementation as it had the least impact on
our daily business.
By Term 2, we were ready to use the new system for the second billing
run.
We’ve now been working with the new system for over one year.
Every month / term that goes by things get easier, smoother, more
second-nature.
The old system is still available for reference, which is helping to mop up
inconsistencies.
We have also been building communication channels with other schools
using the system, which is helping to inform the vendor of future
improvements.
Other Project Applications
At Riverview, we have been using essentially the same
methodology for about three years, for projects such as:
Internet Service Provision
Storage solution (SAN/DDT)
Reprographics refresh
Integrated Library Management System
Useful links
There is an increasing requirement for IT Project Managers to have
formal accreditation
AIPM – Australian Institute of Project Management
www.aipm.com.au
Endorsed courses:
www.aipm.com.au/html/aipm_endorsed_courses_act_nsw.cfm
Sydney University – Project Management Graduate Programme
(PMGP)
www.pmgp.usyd.edu.au
PRINCE2
http://www.ogc.gov.uk/prince2/
In Conclusion
Good ICT projects must be informed by robust
research and well-exercised methodology;
Good ICT projects must be continuously
evaluated and reviewed;
Good ICT projects lead to improved
organisational agility and effectiveness.
Contact Details
Dr Christopher O’Mahony
Head – Centre for Information Technology
Saint Ignatius’ College, Riverview
Tambourine Bay Road, Riverview, NSW 2066
Phone (02) 9882 8222 Fax (02) 9882 8588
Web www.riverview.nsw.edu.au Email cdomahony@riverview.nsw.edu.au