Chapter 2:

The Project Management

and Information
Technology Context
Information Technology Project Management, Ninth Edition
Note: See the text itself for full citations.

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Learning Objectives (1 of 2)

• Define the systems view of project management and how it applies to

information technology (IT) projects
• Summarize organizations, including the four frames, organizational
structures, and organizational culture
• Explain why stakeholder management and top management
commitment are critical for a project’s success

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Learning Objectives (2 of 2)

• Distinguish between project and product life cycles

• Discuss the unique attributes and diverse nature of IT projects
• Summarize recent trends affecting IT project management, including
globalization, outsourcing, virtual teams, and agile project management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
A Systems View of Project Management

• Projects must operate in a broad organizational environment

• Project managers need to use systems thinking:
• Taking a holistic view of carrying out projects within the context of the
organization

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
What Is a Systems Approach?

• A systems approach emerged in the 1950s to describe a holistic and

analytical approach to management and problem solving
• Three parts include:
• Systems philosophy: an overall model for thinking about things as systems
• Systems analysis: problem-solving approach
• Systems management: address business, technological, and organizational
issues before making changes to systems

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Three-Sphere Model for Systems Management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Understanding Organizations

• Systems approach requires that project managers always view their

projects in the context of the larger organization
• Organizational issues are often the most difficult part of working on
and managing projects
• Important for project managers to develop a better understanding of
people as well as organizations
• To improve the success rate of IT projects

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Four Frames of Organizations

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Organizational Structures (1 of 2)

• Three basic organizational structures

• Functional: functional managers report to the CEO
• Project: program managers report to the CEO
• Matrix: middle ground between functional and project structures; personnel
often report to two or more bosses; structure can be weak, balanced, or strong
matrix

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Organizational Structures (2 of 2)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Organizational Culture (1 of 2)

• Organizational culture is a set of shared assumptions, values, and

behaviors that characterize the functioning of an organization
• Many experts believe the underlying causes of many companies’
problems are not the structure or staff, but the culture

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Organizational Culture (2 of 2)

• Ten characteristics of organizational culture:

• Member identity*
• Group emphasis*
• People focus
• Unit integration*
• Control
• Risk tolerance*
• Reward criteria*
• Conflict tolerance*
• Means-ends orientation
• Open-systems focus*

• *Project work is most successful in an organizational culture where

these items are strong/high and other items are balanced.

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Focusing on Stakeholder Needs

• Project managers must take time to identify, understand, and manage

relationships with all project stakeholders
• Using the four frames of organizations can help meet stakeholder needs
and expectations
• Senior executives/top management are very important stakeholders

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Importance of Top Management Commitment
(1 of 2)

• People in top management positions are key stakeholders in projects

• A very important factor in helping project managers successfully lead
projects is the level of commitment and support they receive from top
management
• Without top management commitment, many projects will fail.
• Some projects have a senior manager called a champion who acts as a
key proponent for a project.

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Importance of Top Management Commitment
(2 of 2)

• How top management can help project managers

• Providing adequate resources
• Approving unique project needs in a timely manner
• Getting cooperation from other parts of the organization
• Mentoring and coaching on leadership issues

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Need for Organizational Commitment to
Information Technology

• If the organization has a negative attitude toward IT, it will be difficult

for an IT project to succeed
• Having a Chief Information Officer (CIO) at a high level in the
organization helps IT projects
• Assigning non-IT people to IT projects also encourage more
commitment

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Need for Organizational Standards

• Standards and guidelines help project managers be more effective

• Senior management can encourage
• the use of standard forms and software for project management
• the development and use of guidelines for writing project plans or providing
status information
• the creation of a project management office or center of excellence

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Project and Product Life Cycles

• It is good practice to divide projects into several phases

• Because projects operate as part of a system and involve uncertainty
• The same can be said for developing products

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Project Life Cycle (1 of 2)

• A project life cycle is a collection of project phases that defines

• what work will be performed in each phase
• what deliverables will be produced and when
• who is involved in each phase, and
• how management will control and approve work produced in each phase
• A deliverable is a product or service produced or provided as part of a
project

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Project Life Cycle (2 of 2)

• In early phases of a project life cycle

• resource needs are usually lowest
• the level of uncertainty (risk) is highest
• project stakeholders have the greatest opportunity to influence the project
• In middle phases of a project life cycle
• the certainty of completing a project improves
• more resources are needed
• The final phase of a project life cycle focuses on
• ensuring that project requirements were met
• the sponsor approves completion of the project

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Product Life Cycles (1 of 3)

• Products also have life cycles

• The Systems Development Life Cycle (SDLC) is a framework for
describing the phases of developing information systems
• Systems development projects can follow
• Predictive life cycle
• Iterative life cycle
• Incremental life cycle
• Adaptive life cycle
• Hybrid life cycle

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Product Life Cycles (2 of 3)

• Predictive Life Cycle Models

• Waterfall model: has well-defined, linear stages of systems development and
support
• Spiral model: shows that software is developed using an iterative or spiral
approach rather than a linear approach
• Prototyping model: used for developing prototypes to clarify user requirements
• Rapid Application Development (RAD) model: used to produce systems
quickly without sacrificing quality

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Product Life Cycles (3 of 3)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
The Importance of Project Phases and
Management Reviews

• A project should successfully pass through each of the project phases in

order to continue on to the next
• Management reviews, also called phase exits, phase gate reviews, or
kill points, should occur after each phase to evaluate the project’s
progress, likely success, and continued compatibility with
organizational goals
• It is unwise to wait until the end of project or product phases to have
management inputs
• Many projects are reviewed by management on a regular basis

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Recent Trends Affecting Information Technology
Project Management

• Globalization
• Outsourcing: Outsourcing is when an organization acquires goods
and/or sources from an outside source. Offshoring is sometimes used to
describe outsourcing from another country
• Virtual teams: A virtual team is a group of individuals who work across
time and space using communication technologies
• Agile project management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Globalization

• Issues
• Communications
• Trust
• Common work practices
• Tools
• Suggestions
• Employ greater project discipline
• Think globally but act locally
• Consider collaboration over standardization
• Keep project momentum going
• Use newer tools and technology

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Outsourcing

• Organizations remain competitive by using outsourcing to their

advantage, such as finding ways to reduce costs
• Practice can be unpopular on some countries
• Project managers should become more familiar with many global and
procurement issues

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Virtual Teams (1 of 2)

• Advantages
• Lowering costs because many virtual workers do not require office space or
support beyond their home offices
• Providing more expertise and flexibility or increasing competitiveness and
responsiveness by having team members from across the globe working any
time of day or night
• Improving the work/life balance for team members by eliminating fixed office
hours and the need to travel to work

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Virtual Teams (2 of 2)

• Disadvantages
• Isolating team members
• Increasing the potential for communications problems
• Reducing the ability for team members to network and transfer information
informally
• Increasing the dependence on technology to accomplish work
• See text for a list of factors that help virtual teams succeed, including
team processes, trust/relationships, leadership style, and team member
selection

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter Summary

• Project managers need to take a systems approach when working on

projects
• Organizations have four different frames: structural, human resources,
political, and symbolic
• The structure and culture of an organization have strong implications
for project managers
• Projects should successfully pass through each phase of the project life
cycle
• Project managers need to consider several factors due to the unique
context of information technology projects
• Recent trends affecting IT project management include globalization,
outsourcing, virtual teams, and agile project management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.