Managing Information Technology

412 Part III • Acquiring Information Systems

PROJECT DESCRIPTION MAJOR MILESTONES

· Project Scope and Approval

·Publish RFP

·Vendor Screening/Evaluation/Selection

·Architecture Review

·Implementation

·Training

·Go-Live

BUSINESS BENEFIT

Cite savings and revenue generation expected.

DEPENDENCIES/RED FLAGS

Project budget, Resource & skill sets, Technology

LEVEL OF EFFORT/COST

· 100 hrs ERP Interface

·300 hrs Build Learning

·100 hrs customization

·Total Cost of Ownership (annual or per user)

·FTE support required

Implement Learning Delivery system to build and

deliver virtual classes, conference calls, Web meetings,

and other e-learning events.

Implementation target is 18 months from project

initiation.

Creates dependable, cost-effective, scalable solutions

that offer all learners rich distance learning experience

to expand their knowledge in the way that works best

for them. ·Estimated Licensing, Time &

Materials (500 hrs  hrly rate = $$$$)

FIGURE 11.2 Business Case Example using Template for Project Prioritization (Vavra and Lane, 2004)

• WantedValuable, but with longer time periods for
  returns on investment (more than a 12-month period)


• Nice to HaveProjects with good returns but with
  lower potential business value

In most organizations projects in the top two cate-
gories would most likely be funded for the budget year in
which they were submitted. The “Wanted” projects might
involve the most contentious prioritization decisions. The
business leaders who will be paying for the projects (busi-
ness sponsors) typically present the business cases for the
project. Many practitioners emphasize that a senior com-
mittee approach to IT project approvals and prioritization
results not only in a list of current prioritized IT projects
for funding but also in a better understanding among the
organization’s business and IT executives about the rea-
sons for why a given IT project was funded, or not funded.
Besides assessing new requests, the same committee
typically will also be charged with monitoring the status of
all current IT projects underway in order to ensure that the

company’s IT investments are staying aligned with the

company’s business goals. Some organizations are now

doing this on a quarterly basis—referred to as a “dynamic”

portfolio management process.

Project Management Roles

Every IT project will have at least one formal IT project

manager and one project sponsor(the high-level fiscal

owner of the project). In addition to these two formal roles,

many IT projects also need a project “champion.” We

describe these three roles next.

Project Manager

A systems project is typically led by an IT project manager

who has demonstrated both technical and managerial

skills. This manager is responsible for managing relation-

ships with the project sponsor and other stakeholders, as