Investigation into project management failure within information technology systems projects

Winter, Mervyn (2006-12)

Thesis (MBA)--Stellenbosch University, 2006.

Thesis

ENGLISH ABSTRACT: Information technology systems are an integral part of many sectors of business and the application of information technology in new sectors of business is increasing continually. Businesses believe that by applying information technology systems in their business processes they will ultimately improve on the profits through increased operational efficiency, reduction of costs and improved ability to make informed decisions. However implementing an information technology system is usually a complex affair involving the technology supplier, client organisation and other stakeholders. The common method of implementing information technology systems is to set up a project in an attempt to manage the cross organisational and cross departmental issues as best as possible. Industry reports that the success of information technology project implementation is low. This study project has analysed 16 sources of literature pertaining to failures in information technology projects, in order to ascertain how the various authors define a project failure and whether project management failure is a major contributor to these failures. Also to examine areas within project management which are deemed to make the most significant contribution to project failure. The study concludes that most of the authors examined define project failure in terms of project management criteria, being cost, time and function (quality). Furthermore it concludes that project management failure is a significant factor in information technology project failure and that the facets of project management failure encountered with information systems implementation projects are not that different from other forms of projects. The main contributing factors being lack of executive support, lack of business case or user requirements, lack of project management expertise, lack of planning, lack of user involvement and changing requirements. The study recommends that organisations need to be aware of the cross functional and cross organisational requirements of information technology project management and that all levels of management in stakeholder organisations need to have the relevant knowledge and experience to deal with these requirements.

AFRIKAANSE OPSOMMING: Inliglings legnologie slelsels inlegrale uil menigle besigheids seklore en die loepassing daarvan (ITS) in nuwe seklore voorldurend Besighede mel loepassing van ITS in hulle besigheids prosesse dil aanleiding sou gee 101 die graei doellreffenheid, die afname in bedryfskosle en ook verbelerde besluitneming . Die daarslelling van 'n ITS is gewoonlik 'n baie moeilike proses wal onder andere insluil die verskaller van legnologie, die klienlorganisasie asook ander deelnemers. Die algemene melode van implemenlering van ITS kan geskied deurmiddel van 'n projek in die poging om kruisorganisasie en kruisdeparlemenlele funksies/werkings Ie beharlig. Terugvoering van bedryf dui aan dal die implemenlerings sukses van inligling legnologie projekle eintiik baie laag is. Hierdie sludie hel in lolaal lileraluur mel belrekking 101 inliglings legnologie projekle, ontieed om sodoende Ie bepaal hoe verskeie skrywers 'n projek mislukking definieer en of die mislukking projek besluur enigsins 'n bydraende faklor kon wees. Asook die ondersoek van areas binne die beslek van projek besluur wal wei 'n noemenswaardige inwerking kon he 101 die mislukking van projekle. iv Opsemming Inligtings tegnologie stelsels (ITS) maak 'n integrale deel uit van menigte sektore toepassing sektore is voortdurend aan die groei. 8esighede glo met die toepassing prose sse dit tot greei van wins. Laasgenoemde as gevolg van verhoogde bedryfs doeltreffenheid, bedryfskoste verbeterde vermoens vir insiggewende besluitneming. daarstelling wat insluit verskaffer tegnologie, klientorganisasie metode implementering kruisdepartementele te behartig . dat implementerings in li gting tegnologie projekte studie het totaal 16 literatuur bronne, met betrekking tot die faal/mislukking van inligtings tegnologie projekte, te van bestuur faktor bestek bestuur wat tot projekte. As gevolg van die navorsing kom hierdie studie tot die slotsom dat skrywers projek-mislukking definieer in terme van projek bestuur kriteria wat 5005 volg lui; koste, tyd en funksie (gehalte). Verder is ook gese dat projek bestuur mislukking 'n groot bydraende faktor uitmaak aangaande inligtings tegnologie projek- mislukking en dat faseUe van projek bestuur mislukking gesien met inligtings stelsel implementering projekte, nie te vee I verskil van ander vorms van projekte nie. Die hoof bydraende faktore kan toegeskryf word aan die gebrek van uitvoerende bestuur ondersteuning, gebrek aan besigheids saak of verbruikers vereistes, gebrek aan projek bestuur kennis, gebrek aan beplanning, gebrek aan deelname van verbruikers asook die voortdurende verandering van vereistes. Hierdie studie beveel aan dat organisasies bewus moet raak van die kruiswerking/kruisfunksionering en kruisorganisie vereistes van inligtings tegnologie projek bestuur en dat aile bestuurs vlakke van deelnemende organisasies ook genoegsaam toepaslike kenn is en ondervinding moet he om sodoende die vereistes te behartig .

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