when bad things happen to good projects
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September 23, 2003September 23, 2003 Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 11
When Bad Things Happen When Bad Things Happen to Good Projectsto Good Projects
MTP4030MTP4030Tuesday, 2:45 p.m.Tuesday, 2:45 p.m.
Tim SalaverTim Salaver
Dana Software, Inc.Dana Software, Inc.
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 22
Project – One DefinitionProject – One Definition
Temporary endeavor Temporary endeavor undertaken to create a unique undertaken to create a unique product or serviceproduct or service
Project Management is the Project Management is the “application of knowledge, skills, “application of knowledge, skills, tools, and technology to project tools, and technology to project activities in order to meet or activities in order to meet or exceed stakeholders needs and exceed stakeholders needs and expectations from a project.”expectations from a project.”
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 33
Project – Another DefinitionProject – Another Definition
A never-ending cycle of stress, A never-ending cycle of stress, failure, mismanaged failure, mismanaged expectations that satisfies no expectations that satisfies no one and wastes time and one and wastes time and resources.resources.
Project Management – it can’t Project Management – it can’t be done!!! An oxymoron!!!be done!!! An oxymoron!!!
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 44
Project HappensProject Happens
The Standish Group International reports: The Standish Group International reports: ““Corporate America spends more than $275 Corporate America spends more than $275
billion/year on Application Software Development billion/year on Application Software Development Projects, many of which fail due to lack of skilled Projects, many of which fail due to lack of skilled project management.project management.
Only 26% of projects were successful (on-time/on-Only 26% of projects were successful (on-time/on-budget)budget)
26% of projects will cost 189% of their original 26% of projects will cost 189% of their original estimateestimate
40% of all IT projects fail or are canceled40% of all IT projects fail or are canceled $74 billion spent by US firms on cancelled projects $74 billion spent by US firms on cancelled projects
each yeareach year Over 60% of the projects do not produce the Over 60% of the projects do not produce the
projected R.O.I.projected R.O.I. Project Management sets the standard for poor Project Management sets the standard for poor
qualityquality
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 55
“…“…the average cycle time for IT the average cycle time for IT projects are 27 weeks. The ones projects are 27 weeks. The ones that are cancelled are cancelled that are cancelled are cancelled after 14 weeks; at that point in after 14 weeks; at that point in time they are 52% complete. time they are 52% complete. Many of the project teams know Many of the project teams know that the project is likely to fail 6 that the project is likely to fail 6 weeks before it is cancelled.”weeks before it is cancelled.”
Wall Street JournalWall Street Journal
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 66
““In a 4-year period an application In a 4-year period an application development organization of 100 development organization of 100 developers can expect to spend developers can expect to spend more than $10 million on more than $10 million on cancelled contracts.”cancelled contracts.”
The Gartner GroupThe Gartner Group
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 77
The Hubble BubbleThe Hubble Bubble
$1.5 million blunder which found in the first 6 $1.5 million blunder which found in the first 6 months of operation:months of operation:
Deformed mirrorDeformed mirror Two out of six memory banks failedTwo out of six memory banks failed Flopping solar-energy panelsFlopping solar-energy panels The velocity measurement system failedThe velocity measurement system failed Chemistry of celestial objects systems Chemistry of celestial objects systems
failedfailed Three gyroscopes failedThree gyroscopes failed Four tons of repair parts costing $100’s of Four tons of repair parts costing $100’s of
millions were sent into spacemillions were sent into space
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 88
Why Projects FailWhy Projects Fail
Failure to adhere to committed Failure to adhere to committed schedule caused byschedule caused by VariancesVariances ExceptionsExceptions Poor planningPoor planning DelaysDelays Scope CreepScope Creep
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 99
Why Projects FailWhy Projects Fail
Poor resource utilizationPoor resource utilization Proper skills not available when they are Proper skills not available when they are
needed on the projectneeded on the project The time of the individuals was not used The time of the individuals was not used
wiselywisely Unable to locate the right skills within Unable to locate the right skills within
the organizationthe organization The best people were not assigned to The best people were not assigned to
the most critical jobsthe most critical jobs Misalignment of skills and assignmentsMisalignment of skills and assignments
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1010
Why Projects FailWhy Projects Fail
Project Portfolio not managed Project Portfolio not managed correctlycorrectly The wrong projects selectedThe wrong projects selected The wrong resources were The wrong resources were
assigned to the projectsassigned to the projects High risk projects were not High risk projects were not
identifiedidentified Poor control over Poor control over
interdependencies between interdependencies between projectsprojects
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1111
Why Projects FailWhy Projects Fail
Loss of intellectual Loss of intellectual capital/knowledge capitalcapital/knowledge capital Lack of the means to transfer Lack of the means to transfer
knowledge from past projects to knowledge from past projects to future projectsfuture projects
People leave the organization or People leave the organization or are assigned to other activitiesare assigned to other activities
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1212
Why Projects FailWhy Projects Fail
Change not accepted Change not accepted User community is unpreparedUser community is unprepared Resistance crops up in Resistance crops up in
undelivered tasks and unmet undelivered tasks and unmet milestonesmilestones
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1313
What is a Good Project?What is a Good Project?
Aligned to the vision of the Aligned to the vision of the corporationcorporation
Project has clear objective to Project has clear objective to improve processesimprove processes
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1414
Twelve Steps to Enterprise Twelve Steps to Enterprise AlignmentAlignment1.1. Determine VisionDetermine Vision2.2. Define MissionDefine Mission3.3. Develop StrategiesDevelop Strategies4.4. Set GoalsSet Goals5.5. Plan Business PortfolioPlan Business Portfolio6.6. Establish Policies and ProceduresEstablish Policies and Procedures7.7. Create Processes and ActivitiesCreate Processes and Activities8.8. Assign Resources and AssetsAssign Resources and Assets9.9. Build Products and ServicesBuild Products and Services10.10. Fulfill Customer NeedsFulfill Customer Needs11.11. Drive Operational ExcellenceDrive Operational Excellence12.12. Communicate ResultsCommunicate Results
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1515
Project ManagementProject Management Body of Knowledge (PMBOK) Body of Knowledge (PMBOK) Integration ManagementIntegration Management Scope ManagementScope Management Time ManagementTime Management Cost ManagementCost Management Quality ManagementQuality Management Human Resource ManagementHuman Resource Management Communication ManagementCommunication Management Risk ManagementRisk Management Procurement ManagementProcurement Management
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1616
The Missing PieceThe Missing Piece
Organizational Change Organizational Change Management (OCM)Management (OCM) The people side of the projectThe people side of the project Prepares the people affected by Prepares the people affected by
the project to accept and, when the project to accept and, when required, to become committed to required, to become committed to the change and often even look the change and often even look forward to it.forward to it.
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1717
OCMOCM
Define the level of resistance to Define the level of resistance to change and prepare a plan to change and prepare a plan to offset resistanceoffset resistance
Define roles and responsibilitiesDefine roles and responsibilities Develop competenciesDevelop competencies Establish burning platformEstablish burning platform Transform the user communityTransform the user community
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1818
S.T.A.R.S.S.T.A.R.S.
ScopeScope
TasksTasks
AcceptanceAcceptance
ResourcesResources
ScheduleSchedule
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 1919
Project CollaborationProject Collaboration On-demand On-demand
collaboration collaboration configurationconfiguration
Multi-source Multi-source encapsulation of encapsulation of business informationbusiness information
Instant and self-Instant and self-managed customer managed customer and partner portalsand partner portals
Inter and Intra Inter and Intra enterprise availabilityenterprise availability
Fully instrumented Fully instrumented collaborations with collaborations with built-in reportingbuilt-in reporting
Integration with Integration with enterprise enterprise communication communication systems and systems and applicationsapplications
Scalable to Fortune Scalable to Fortune 100 and global portal 100 and global portal levelslevels
Knowledge ManagerKnowledge Manager
Collaboration EngineCollaboration Engine
Central RepositoryCentral Repository
Co
nfi
gu
rato
rC
on
fig
ura
tor
Portal ManagerPortal Manager
Messaging ManagerMessaging Manager
An
alyz
erA
nal
yzer
Application & Doc I/FApplication & Doc I/F
Multi-media IntegrationMulti-media Integration
XML SOAP EAI API’s ODBC
Web Email Voice FAX Chat Wireless
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2020
Project Resource CenterProject Resource Center
Hosted project environments
Dev Test StageUpgrade DR
Hosted project teams (hoteling concept)
Consultant PoolConsultant Pool
Project 1Project 1
Project 2Project 2
Project 3Project 3
Dedicated andShared
Resources
Instant deploymentInstant deployment No project disruption No project disruption
due to infrastructuredue to infrastructure Complete life-cycle Complete life-cycle
supportsupport Production migration Production migration
and disaster recoveryand disaster recovery
Customer and Customer and consultant resources consultant resources work in optimal work in optimal workspacesworkspaces
Project infrastructure Project infrastructure available on day-1 with available on day-1 with no delaysno delays
Collaboration Collaboration technology allows off-technology allows off-site developmentsite development
Consultants are Consultants are optimized across optimized across projectsprojects
Customer resources Customer resources optimize their time optimize their time working on projectworking on project
Engagement is monitored Engagement is monitored by key stakeholdersby key stakeholders
Full project financials are Full project financials are available on-lineavailable on-line
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2121
Project Infrastructure HostingProject Infrastructure Hosting
Hosting Facility
Customer Premises (or their own co-lo)
Server grid accommodates multiple environments with the same infrastructure. Automation facilitates deployment and reconfiguration with minimal effort.
Production server is a “node” of the overall grid for ease of image management and overall software deployment.
Image factory holds all applications and system software. Specific server images are built by the factory.
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2222
Demoand
Evaluation
Demoand
Evaluation
Configurationand
Development
Configurationand
Development
Testingand
Training
Testingand
Training
Conversionand
Staging
Conversionand
Staging
Productionand
Support
Productionand
Support
Software is hosted and available for
customer to try immediately for a
period of time
Target image is loaded and project
starts. No environment
delays of any kind.
Testing and training environments are created on the fly and available to
customer
Data conversion environments and final stage
environment are available
immediately
Final production
environment is created at
customer’s site with
copy/paste operation
resulting in no delays
Service Delivery Model Service Delivery Model New InstallNew Install
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2323
Productionand
Support
Productionand
Support
DevelopmentandTest
DevelopmentandTest
DisasterRecoveryDisasterRecovery
UpgradeEvaluation &
Testing
UpgradeEvaluation &
Testing
Upgrade Conversion
&Staging
Upgrade Conversion
&Staging
Software is supported in
desired customer
environment
Dev/test environment is
hosted and can be easily changed
based on customer needs.
All customer images are
stored.
A DR environment can be made
available synchronized with
production environment
Vendor upgrades are made
available to customer via
evaluation environment
New environment is created to
stage migration to
new software version
Service Delivery Model Service Delivery Model Installed BaseInstalled Base
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2424
““The best time to stop a project The best time to stop a project that you don’t know is going to be that you don’t know is going to be successful is when you start it.”successful is when you start it.”
John CarrowJohn Carrow
CIO, Unisys CorporationCIO, Unisys Corporation
September 23, 2003September 23, 2003Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc.Copyright © 2003 H. James Harrington and Tim Salaver, Dana Software, Inc. 2525
Contact InformationContact InformationTim Salaver Tim Salaver tsalaver@danasoftwareinc.comtsalaver@danasoftwareinc.comSVP, Chief Products Officer SVP, Chief Products Officer Dana Software, IncDana Software, Inc381 Stockton Ave381 Stockton AveSan Jose, CA 95126San Jose, CA 95126(408) 279-3838 Main(408) 279-3838 Main(408) 535-4337 Office (408) 535-4337 Office www.danasoftwareinc.comwww.danasoftwareinc.com
Dr. H. James HarringtonDr. H. James Harringtonhjh@harrington-institute.comhjh@harrington-institute.com
CEOCEOHarrington InstituteHarrington Institute
16080 Camino del Cerro, #10016080 Camino del Cerro, #100Los Gatos, CA 95032Los Gatos, CA 95032
(408) 358-2476 (408) 358-2476 www.harrington-institute.comwww.harrington-institute.com
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