To Do or Not to Do: The Story of Project Management
D’Mico Johnson
University of Wisconsin – Stout
INMGT 700: Org Research Methods
Dr. Sally Dresdow
15 December 2015
Chapter I: Introduction
The practice of project management has been around for thousands of years. Since the
early Egyptian era, individuals have been utilizing project management tools and techniques to
manage projects. However, it was not until the early 1950s that the US Navy started employing
complex technical project management methodologies during their Polaris project. Shortly after
the Navy's employment of project management techniques, other companies and government
agencies began to utilize project management principles as well to control large project budgets
and schedule driven projects. By the 1990's, project management tools and techniques were
being used by many different industries and organizations.
The popularity of employing project management principles within information
technology (IT) has grown tremendously as companies are starting to see added value. While IT
project management has grown, there are still organizations that either do not see the added value
or do not think they are big enough to use it.
Silgan Containers is the largest metal food packaging company in the United States. The
business was stablished in 1987 when it acquired it’s first self-make can operation from the
Carnation Company. Today Silgan has a market share of over fifty percent of the metal food
packaging industry and has more than forty facilities located in the United States, Mexico, and
Puerto Rico. Silgan has an IT staff of approximately fifty employees.
Silgan Containers is one of those companies that have not deployed project management
principles within their IT department. While Silgan utilizes these project management concepts
within the engineering departments for projects, they do not do so within the IT department.
Silgan relies heavily on the use of IT for communications, production and maintaining the
quality of the product. As a result of being heavily technologically integrated, Silgan's IT
department receives requests for a lot of project orientated tasks. As Silgan continues to grow,
the project requests will continue to increase.
With the absent of a project manager or anyone with formal project management training,
IT projects are not planned as thoroughly as they should be. The projects often suffer from lack
of communication, are under budgeted and lack adequate customer follow up. These projects
also lack project management methodology such as the project life cycle. The project life cycle
has four phases: initiation, planning, execution and closure.
One of Silgan's IT department’s tasks for the future will be to find a suitable option to
increase customer satisfaction, establish and deliver projects within designated time frames and
deliver completed projects within the established budget range.
Statement of the Problem
Silgan does not have a project manager or an individual that possess any formal project
management training. As a result, IT projects are not run as efficiently and as customer friendly
as they could be. The projects do not utilize the project life cycle model, do not have customer
follow up, lack risk assessment and budget management. As a result of these missing
components, IT projects generally end up over budget and lack customer satisfaction due to the
lack of customer feedback.
Purpose of the Study
A project manager bridges the gap between the production team and the client. The role
of a project manager is to possess knowledge of their industry, define projects, build
comprehensive work plans, manage teams, manage expectations and deliver a finished project on
time. The purpose of this study is to show how IT projects at Silgan will benefit with the staffing
of a project manager or training a current employee to become a project manager.
Assumptions of the Study
Silgan Containers should either send a current network engineer to get formal project
management training, or hire an IT project manager to lead their projects. The projects will then
utilize the project life cycle module, be delivered in a timely manner, come in under budget and
meet customer satisfactions.
Definition of Terms
Project life cycle – refers to a series of activities that are necessary to fulfill project goals
objectives. Projects vary in size and complexity, but no matter how large or small, all projects
can be mapped to the following life cycle.
IT project management – is the process of planning, organizing and delineating responsibility for
the completion of organizations' specific information technology goals.
Limitations of the Study
Some of the potential limitations that will be faced when doing this paper will be the
shortage of data on the successfully completed IT projects at Silgan versus those projects that
were not successfully completed. Another limitation will be the sample size of the research
group; since Silgan is a smaller organization, there will be a need to gather data from other
studies that do not specifically apply to Silgan. Much of the data reported in regards to Silgan
will be self-reported, and this acts a road block since the data reported on Silgan's behavior is not
officially verified data.
Methodology
The research methodology requires gathering data from specified survey documents
submitted by end users after IT projects are completed. A database is then created from the
compiled data from the surveys to analyze the material to arrive at a better understanding of
satisfaction of completed IT projects. Information about the estimated cost versus completion
cost and estimated delivery date versus actual delivery date is also entered into this database.
In addition, research will be done to find data pertaining to the satisfaction of IT projects
completed with the use of a project manager versus those completed without satisfaction. This
data will aid in determining what percentage of IT projects were delivered with the customer's
satisfaction and what percentage was delivered without customer satisfaction. By analyzing this
data, I am hoping to answer the question of whether or not the use of a project manager increases
the success of the project.
Chapter II: Literature Review
Projects at Silgan are run by employees that are not formally trained project managers.
As a result of this, the projects lack customer satisfaction due to the customers’ feedback not
being taken into account. Technology plays a big role at Silgan as it integrates with various parts
of business and manufacturing. As Silgan continues to grow, the number of IT projects will also
grow. With no project manager on staff, these projects will be more susceptible to many different
points of failure.
According to McKinsey and Company, seventeen percent of large IT projects go so badly
that they jeopardize the company's ability to survive the failure (Bloch, Blumberg, and Laartz,
2012). In addition, the average IT projects run forty-five percent over budget, while seven
percent are delivered later than the projected completion date (Bloch, Blumberg, and Laartz,
2012). Logical Management Consulting found that more than thirty-five percent of organizations
have abandoned major projects in the past three years as a result of poorly planned and poorly
budgeted projects (Logical Management Consulting, 2008).
Most projects involve multiple personnel, departments and sometimes other companies
that have vested interest the project's success. Because of all of the stakeholders, a project may
benefit from having a project manager to communicate and manage expectations (Heldman,
2002). By doing this, the project manager will eliminate the disconnect that typically occurs
between those individuals. More than 54 percent of IT project failures can be attributed to project
management, whereas only three percent are attributed to technical challenges (IBM, 2008).
This shows that IT projects generally carry an associated risk, which is why it is important to
manage those risks.
Managing a risk is much more complicated than simply addressing a risk as it comes to
fruition. Successful risk management is a multi-step process. This literature review will look at
the multi-step process and explain each key component in managing
a risk (Mandel Jr. and Meredith, 2009).
Concepts of Project Management
The success or failure of a project is generally assessed by three key components that
must be addressed for the completion and closure of any project (Using APA, 2011).
Those items are:

Time – This refers to the actual time required to produce a deliverable. In this case, it
would be the end result of the project.

Cost – This is the estimation of the amount of money that will be required to complete
the project. Cost itself encompasses various things such as resources, labor rates, risk
estimates, and materials.
(Using APA, 2011)

Scope – These are the functional elements that, when completed, make up the end
deliverables for the project. The scope itself is generally identified up front so as to give
the project the best chance of success (Using APA, 2011).
Project Life Cycle.
Before one can evaluate a project’s
success or failure, the project has to follow a
structure. The structure of the project is often
referred to as the project’s life cycle. “A
project’s life cycle is the series of phases that a
project passes through from its initiation to its closure,”
(PMBOK, 2013)
(PMBOK, 2013). The project management life cycle can be used for any project regardless of
complexity or size. Projects are usually broken down into these phases so additional control can
be added to effectively manage the processes. Those phases begin with starting a project, then
organizing and preparing the project, carrying out the project work and finally closing the
project. The project is broken out into these phases so that additional control can be applied for
management.
The project management life cycle has three different models, and each model has
advantages and disadvantages.
There is the waterfall model which describes a development method that is linear
sequential. The waterfall method has distinct goals for each phase of the development phase.
Once a phase is completed, the development proceeds to the next phase, and there is no turning
back (Scheid, 2012).
Some advantages of this model are:

The schedule can be set with deadlines for each stage of development.

Each phase of development proceeds in strict order, without any overlapping.

The amount of resources required to implement this model is minimal.

Documentation is produced at every stage of the development cycle. This makes
understanding the product designing procedure, simpler.
The disadvantages of this model:

Does not allow for much reflection or revision. Once the application is in the testing
stage, it is very difficult to go back.

Small changes or errors that arise in the completed software may cause many problems.

Until the final stage of the development cycle is complete, a working model of the
software does not lie in the hands of the client, so you never know if it is what they asked
for.

Often, the client is not very clear about what he exactly wants from the software. Any
changes that he mentions in between may cause much confusion.
The spiral model is another project life cycle model. This model combines features of the
prototyping model and the waterfall model. This model is usually favored for large, expensive
and complicated projects.
The advantages of this model are:

It is design flexibility allows changes to be implemented at several stages of the project.

The process of building up large systems in small segments makes it easier to do cost
calculations.

The client, who will be involved in the development of each segment, retains control over
the direction and implementation of the project.

The client's knowledge of the project grows as the project grows, so that they can
interface effectively with management.
The disadvantages of this model are:

Highly customized, limiting re-usability

Applied differently for each application

There is a required explanation of the steps involved in the project such as breakthrough,
blueprint, checkpoints and standard procedure.

The models work best for large projects only, where the costs involved are much higher
and system pre-requisites involves a higher level of complexity.
The cyclical model is a conceptual model used in project management that describes the stages
involved in an information system development project, from an initial feasibility study through
maintenance of the completed application.
The advantages of this model are:

Clearly defined stages

Simple to understand and use

Well understood milestones

Easy to arrange task
The disadvantages of this model are:

It is difficult to measure progress within stages

Cannot accommodate changing requirements

No working system is produced until later in the cycle.

Risk and uncertainty are high within this process model.
The project life cycle is a very valuable tool, the phase in which the literature examines is the
planning and organization part of that cycle. The planning and organization portion not only
looks at how the project is supposed go; it also looks at the risk management involved in the
planning of the project (Johnston, 2011).
Risk Management
Projects tend to operate in the area of ambiguity. Every project presents a level of risk,
and these risks can positively or negatively affect the project. Project risks are uncertain events
that, if occurred, can have a positive or negative effect on the prospects of achieving project
objectives (PMBOK, 2013). A project's success or failure has nothing to do with the problems
that occur during the project. The key to successful projects lies in the plans that are in place to
deal with problems as they arise.
Project risk management includes the processes of conducting risk management planning,
identification, analysis, response planning, and controlling risk on a project (PMBOK, 2013).
The objective of risk management is decreasing the possibilities of negative impacts on a project
while increasing the positive impact possibilities. The process of Risk management is divided
into six phases:

Plan Risk Management – This is the phase in which you map out what activities will be
utilized to discover the risk in the project.

Identify Risk – In this phase project risk are identified and documented.

Perform qualitative risk analysis – During this phase the risk are prioritized, and the
probability of the risk occurring is determined.

Perform quantitative risk analysis – This phase the risk(s) effects on the project are
measured and identified.

Plan risk responses – This phase options and actions are developed to address and reduce
the threats on a projects objective.

Control risk – The phase a risk response plan is implemented to track identified risk,
monitor residual risk, identify new risk and evaluate the effectiveness of the processes.
We will look at each risk management process in a bit more depth.
Plan Risk Management.
As previously stated, plan risk management is the plan put in place to determine what
activities are going to identify risk (PMBOK,2013). In order to accurate prepare a risk
management plan, you need to first assess the project. The project assessment consist of
identifying activities, key services, resources, staff and other variables that could affect identify
the risk the project might encounter such as: power failures, illness, natural disasters and other
unforeseen issues (Queensland Government, 2014). After the project assessment is complete, it
is time to address the plan risk management. In order to address the plan risk management phase,
we will have to look at the inputs that make up the phase. Those phases are cost management
plan, schedule management plan, communications management plan and enterprise
environmental factors (Litten, 2014).
Cost management plan
Cost management is the process of planning and controlling the business aspect of the
project. Cost management is used a lot in project management; it is the calculated expected cost
of a project determined while the project is still in the planning phase (Rouse, 2010).
Schedule management plan
Identify risk
Risk identification is the most valuable process in the overall risk management process.
When determining the risk, it allows you to identify which risk might affect your project and
gives you the opportunity to document those risks and their characteristics. It is generally
recommended that you do not spend a lot of time on this phase after the list created because the
qualitative and quantitative analysis will help you decide which risk warrant additional actions
(Rawi, 2014).
Perform Qualitative Risk Analysis
Qualitative risk analysis values are established based on the risk. These values are
separated into descriptive categories such as low, medium and high because the properties
observed cannot typically be measured with a numerical value (Lowder, 2008).
Perform Quantitative Risk Analysis
Quantitative risk analysis is a calculated objective numeric values for each of the components
gathered in the risk assessment (Tan, 2002). The key variables
(ALTENBACH, 1995)
and equations for showing quantitative risk are;

Exposure factor (EF) = Percentage of asset loss caused
by identified risk (0-100%)

Single loss expectancy (SLE) = Asset value X Exposure
factor

Annualized rate of occurrence (ARO) = Estimated frequency that the threat will occur
with a year and is characterized on an annual basis

Annualized rate of expectancy (ALE) = Single loss expectancy X annualized rate of
occurrence

Safeguard cost/benefit analysis = (ALE before safeguard)-(ALE after safeguard)-(annual
cost of safeguard)
Plan Risk Responses
The risk plan response is a prepared document that maps out all of the foreseen risk,
estimated impacts and how they are to be addressed if occurred. This process consist of
registering the risk and defining risk tolerance and how they are to be managed. Once this is plan
is in place the project manager plans updates to frequently revisit this document and make
changes if necessary, because as the project progresses the risk change (Marchewka, 2009).
Control Risks
Controlling risks is one of those processes that continue throughout the duration of the
entire project - they need to be identified, analyzed and responded to. Controlling risk will also
require constant updating because the risks will change as the project progresses (PMBOK,
2013).
Risk management is a proactive item that requires constant monitoring and updating.
Risk management continues through the process of the project and evolves as the project
evolves. It is essentially a quality solving problem that allows the project manager to identify the
risk, assess the risk and develop a contingency plan. Having the ability to assess and manage risk
is the best weapon a project manager has against a project catastrophe. The literature shows us
that project risk management process that incorporates many different phases, and each one of
those phases is dependent upon one another. Risk management is not just a step within the
process of managing a project; it is the most important step within the process of managing a
project. A step that requires constant updates and could ultimately be the reason why a project
was successful or failed miserably.
Chapter III: Methodology
The purpose of this study is to examine the success of projects involving project
managers versus those that were considered successful without a project manager. The
categories measured to deem a project a success were; projects being delivered on time, under
budget and with customer satisfaction.
The research methodology will be described in this section. The sample selection will be
identified, and a description of the procedures used in designing the survey, used in collecting
data and finally an analysis of the data.
To produce a quality survey, it is said to have specific goals for the survey. Consider
alternatives to using a survey to collect information: select samples that well-represent the
population to be studied, use designs that balance cost with errors, take great care in matching
questions’ wording to the concepts being measured and the population studied, pretest
questionnaires and procedures, train interviewers carefully on interviewing techniques and the
subject matter of the survey, check quality at each stage, maximize cooperation or response rates
within the limits of ethical treatment of human subjects, use appropriate statistics analytic and
reporting techniques, develop a fulfill pledges of confidentiality given to respondents and
disclose all methods of the survey to allow for evaluation and replication. When utilizing a
survey to collect data on this topic all of the items that applied to the topic were taking into
account.
As a result of all of the information in regards to surveys, it was determined that a survey
to collect the desired data was the best methodology for this paper. As a survey could be
utilized to assess the success of projects involving project managers by measuring if the project
was delivered on time, if it came in under budget and if the customer was satisfied with the end
results.
Subject Selection and Description
For this study, a sample group was selected from customers who participated in a project
in the past year. The sample group consisted of users involved in any project at Silgan, not
limited to only IT projects. This was done because other departments utilized project managers
and to get accurate data on the success of projects with project managers, they were included.
The data obtained from the research was a random sample of customers and contained more than
150 participants.
Instrumentation
While the survey used in this was to address the successfulness of the project ran by a
project manager, it also identified other areas in which the customer/end user was able to
determine if the project was a success.
This survey was divided into three sections. The first section: Project Success, questions
1-5 addresses the areas that the customer deem important in determining the success of the
project. The questions look at timing, budget, scope, quality, customer satisfaction and their
importance in determining if a project is successful or not. Those categories were selected
because they recurred as the five most important categories when looking at the success of a
project in many documents.
The second section: Companies Success in Managing Projects, question 6, addresses how
the company did on the projects that they managed in the areas of timing, budgeting, addressing
the scope of the project, quality of the project and end user\customer satisfaction. This section is
very important as it allows us to determine what percentage of the projects were successful and
why.
The final section: Who are you, questions 7-10 deal with the individual and who they are;
their position in the project, years of experience, organization sector, and location. This allows
us to get an idea of our audience and evaluate if the data is viable, if it spans across a vast
majority of people or if it just relates to a certain type of individual.
The second part of data gathering involved reviewing prior research relevant to the study.
The information researched was meant to provide statistical information on the percentage of
projects that fail with a project manager running them versus the percentage that fail without a
project manager.
Data Collection Procedures
The surveys were sent to the customers via email. Once those surveys were returned the
data was divided up into useable data versus no useable data. The useable data was surveys that
were completed and followed the survey. The useable data was surveys that were incomplete and
contained additional notes and comments. The useable data was then put into a spreadsheet to be
analyzed, and the unuseable data was discarded.
Sample Survey Questions
Section 1: Project Success
1) What did we do well on the project?
2) What can we do better next time?
3) Did we understand the scope of the project?
a. Yes
b. No (what was missed)
4) Did the project come in on budget?
a. Yes
b. No
5) Was the project delivered on time?
a. Yes
b. No
Section 2: Success in Managing Projects
Section 3: Who are you?
7) How long have you been with the company?
8) Were you an active participant in the project meetings?
a. Yes
b. No
9) Which division of Silgan do you work for?
a. Silgan Containers
b. Silgan WhiteCap
c. Silgan Plastics Closures
Limitations
The limitations that hindered this study included not being able to survey individuals that
were involved in projects that without the leadership of a project manager. By doing this, I
would have been able to get a more accurate comparison of successful projects versus nonsuccessful projects with and without assistance of a project manager. Another limitation was the
lack of data I could gather in regards to success rate of projects at Silgan Containers. Because
this data does not exist, it will be hard to accurately paint a picture of how successful a project
manager would be at Silgan. While these limitations do play a role in making an accurate
conclusion, the addition of the researched data to increase the sample size will aid in getting
accurate information. Going forward, the research would be better performed if a larger sample
size was selected and subject selection was widened to include those individuals involved in
projects that do not include project managers.
The data analysis consisted of reviewing all the surveys received and making sure they
were all filled out correctly and discarding those that were not accurately filled out. After the
surveys are filtered, data is taking from those that were accurately filled out and combined with
the data received from the research. The relevant data was then added to a spread sheet, and the
irrelevant data was removed. Charts were then created to show the results as they pertained to the
research questions.
Summary
Measuring the success of a project is very difficult to determine. The purpose of this
chapter was to look at the research methodology involved in determining how project managers
increase a project success. In doing so, we looked at the subject selection, the instrumentation
used to collect data, the procedures involved in collecting the data, the analysis of the data and its
limitations.
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