Information Technology For Managers 3-1
Chapter 3
Project Management
Solutions to End of Chapter Material
Answers to What Would You Do Questions
1. You are the Optum project leader taking over responsibility for imp
...
Information Technology For Managers 3-1
Chapter 3
Project Management
Solutions to End of Chapter Material
Answers to What Would You Do Questions
1. You are the Optum project leader taking over responsibility for implementing the Vermont
Health Connect state health exchange. Your manager has just sent you a text asking you if
you think it necessary to debrief Vermont state officials on what caused the project with
CGI to spiral out of control. How do you reply?
Students’ answers will vary. Some students may be in favor of debriefing Vermont state
officials on what caused the project with CGI to spiral out of control. They may feel that
this would help them in buying time for the team to deliver the project as per
specifications.
2. The new warehouse inventory control system will use the recently installed wireless
network and RFID scanning equipment mounted on forklift trucks to track inventory in the
warehouse. You have been holding off meeting with the project team to develop a schedule
and cost estimate because three key members of the five-person project team are not
available to meet until late next week. The CFO is on the phone with you. She needs dates,
effort estimates, and dollar estimates to complete the capital and staffing forecast for next
year and ensure there will be a budget for this project. What do you say?
Students’ answers will vary. Some students may suggest arriving at an estimate based on
the other two members’ schedule and cost estimates. Students may also suggest including
contingency cost to the estimate to take care of all unforeseen costs that may arise during
the course of the project.
Answers to Discussion Questions
1. Do research online to find the success rate of IT projects compared to all types of
organizational projects. Which has the higher success rate? Why do you think that this is
so?
Students’ answers will vary. Some students may mention that organizational projects are
more successful than IT projects. There are many reasons why the success rate of IT
projects is so low. IT projects are inherently complex activities that involve numerous
Information Technology For Managers 3-2
people playing many different roles—end users, sponsor, champion, project manager,
project team member, etc. There are many opportunities for miscommunication, especially
around defining the system scope and requirements. In addition, system requirements
change and there is often a desire to change the project scope. Students may cite the
example of the Standish Group that has found that 61 percent of all IT projects failed or
faced major challenges such as lateness, budget overruns, and lack of required features.
The Project Management Institute also found a gap between what organizations should be
doing—aligning projects to the organization’s strategy—and what they are able to
accomplish. The result is that 44 percent of strategic initiatives are unsuccessful.
2. What is meant by the scope of a project? How can the scope of a project be defined?
Project scope is a definition of which tasks are and which tasks are not included in a
project. Project scope is a key determinant of the other project factors and must carefully
be defined to ensure that a project meets its essential objectives. In general, the larger the
scope of the project, the more difficult it is to meet cost, schedule, quality, and stakeholder
expectations.
3. Distinguish between the role of the project champion and the role of the project sponsor. Is
one more important to the success of a project than the other?
A project champion is a well-respected manager with a passion to see the project succeed
and who removes barriers to the project success, whereas a project sponsor who is a senior
manager from the business unit most affected by the project and who ensures the project
will indeed meet the needs of his or her organization. Some students may find the roles of
all key members equally important to the success of a project.
4. Present an argument of why organizations should not include internal cross-charges in
evaluating the economic desirability of projects. Now present an argument of why they
should. What is your final position on the use of cross-charges?
Students’ arguments will vary. However, students may mention that the effort of the
employees involved in the development and implementation of an IT project represents a
cost of the project. This cost, if a significant portion of the total project costs, should be
included in determining the economic feasibility of the project.
5. What is the difference between quality assurance and quality control?
Quality assurance involves evaluating the progress of a project on an ongoing basis to
ensure that it meets the identified quality standards. Quality control involves checking
project results to ensure that they meet identified quality standards.
6. Describe three specific actions that the ideal project sponsor should take to ensure the
Information Technology For Managers 3-3
success of a project.
The ideal project sponsor is a senior manager of a business unit most affected by the
project. The sponsor should ensure that the business unit’s expectations and needs are
clearly communicated and understood. The sponsor should ensure that the project solution
is truly workable and consistent with business and end-user requirements. The sponsor
should work to overcome resistance to change and prepare the organization to embrace the
new system and way of doing things. The sponsor should identify workers from business
unit to be assigned on a full- or part-time basis to the project.
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