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Agendas

Agendas. Recap of IT Outsourcing (Recap) A Managing IT Project Delivery Case 3-2: Volkswagen of America : Managing IT Priorities. Course Road Map. Outsourcing (recap). What important issues you need to pay attention to when outsourcing?. Recommendations.

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Agendas

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  1. Agendas Recap of IT Outsourcing (Recap) A Managing IT Project Delivery • Case 3-2: Volkswagen of America : Managing IT Priorities

  2. Course Road Map

  3. Outsourcing (recap) • What important issues you need to pay attention to when outsourcing?

  4. Recommendations • Define what your outsourcing plan is • Choose the right person to lead your organization and hire the right team • Outsource small auxiliary tasks and scale with time • Work with a trusted partner with strong local presence • Choose the right culture and strategy to implement it • Focus on building a strong brand locally to attract top talent • Think as one company across multiple cultures • Do post-implementation assessments to track costs and benefits

  5. Chapter 10: A Portfolio Approach to Managing IT Projects • Three IT Deficiencies • Failure to assess the implementation risk of a project at the time it is funded • Failure to consider the aggregate implementation risk of a portfolio of projects • Failure to recognize that different projects require different managerial approaches

  6. Projects Typically Fail • Over budget • Average cost overrun: 189% • Delivered late • Average schedule overrun: 222% • Failed to meet expectations • Average coverage: 61% • Larger companies are even worse [Standish Group, 2004]

  7. Source of Implementation Risk • Project size • Experience with the technology • Requirements volatility

  8. Effect of Adding Rick Factors

  9. Risk Metric

  10. Managing the “Dip” during Project Implementation

  11. Risk and Return Distribution for a Portfolio of Projects

  12. Risk and Return Matrix Exercise • Information Systems Implementation at Texas Tech • System #1: Updating MS Office Suite • System #2: Student Relationship Management (SRM) software in Banner. • System #3: RFID system for TTU procurement replacing bar code system.

  13. Criteria for Selecting the Appropriate Methodology • Clear user requirements • Familiarity with technology • Complexity of system • Reliability of system • Time schedule • Schedule visibility

  14. IT Portfolio Approach • Highlights total implementation risk • Enables rebalancing of portfolio to key priorities • Ensure limited resources are linked to critical company needs • 20 individual unites priorities may not be a good portfolio • Existing methods hide commutability (efficiency)

  15. IT Portfolio Approach

  16. IT Portfolio Approach – Barriers • Cut cross management control systems and reallocate scarce resources differently • Changing rules win-loose  to much pain • Can force drastic shift resource allocation inside/out • Not seen as providing enough value – we are OK • Cost too much – Don’t understand it • We choose not to look at IT in aggregate

  17. THE SYSTEMS DEVELOPMENT LIFE CYCLE

  18. Project Phases • Planning (Why build the system? How should the team go about building it?) • Analysis (Who uses system, what will it do, where and when will the system be used?) • Design (How will the system work?) • Implementation (System delivery)

  19. A simple process for making lunch

  20. Process Product System Request Feasibility Analysis Workplan System Proposal System Specification New System and Maintenance Plan Planning Analysis Design Implementation Processes and Deliverables

  21. SYSTEM DEVELOPMENT METHODOLOGIES

  22. Waterfall Development Methodology

  23. Parallel Development Methodology

  24. Incorporate special techniques and tools: CASE tools JAD sessions Fourth generation/visualization programming languages Code generators Rapid Application Development

  25. Phased development A series of versions developed sequentially Prototyping System prototyping Throw-away prototyping Design prototyping Three RAD Categories

  26. How Prototyping Works

  27. Throwaway Prototyping

  28. Planning Analysis Design System Implement Agile Development: Extreme Programming (UML)

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