Project Management

(Chris Devlin) #1

Reality Check #1: Stop or Go?


Although it is very early in the life of the project, two important
questions should be asked:



  • Is this problem worth solving?

  • Does a potential solution exist?
    These two questions address the issues of justificationand
    feasibility, respectively. You should address both issues before
    continuing. If not, you run the risk of wasting time and money
    on problems that should not or cannot be solved.
    Justification—particularly financial justification—is very dif-
    ficult to assess at the requirements stage, because not much is
    really known about the project. Nonetheless, it’s wise to try to
    assess whether or not you can justify continuing the project.
    You may be able to do this by executing a simple cost vs. bene-
    fit analysis.
    The benefit component is relatively easy to estimate: it’s the
    value of satisfying the need. In many cases, this is nothing more
    than calculating how much the problem is costing today.
    Estimating the cost of the solution is more difficult, because
    you’re not sure what you’re going to do or how you’re going to
    do it. One approach you may wish to consider consists of work-
    ing backwards through the financial calculations. (We’ll cover
    these later in this chapter.) By doing this, you can determine the
    most you’d be able to spend on a solution. If none of your pro-
    posed solutions can be executed for less than that amount of
    money, the project will ultimately be unjustifiable—at least from
    a purely financial standpoint.
    The second issue, feasibility, comes down to a basic ques-
    tion: Do you believe that a solution exists? In other words, can
    this problem even be solved? This step is referred to verifying
    feasibility. There can be much subjectivity in this step; you
    should rely heavily on the judgment of subject matter experts.
    In reality, the most that you can realistically hope to determine
    at this point is that the possibilityof a solution is thought to
    exist. That’s OK. As with justification, all you’re trying to do at


Defining Your Project 57
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