Ali Jawad, Data Management Consultancy, 2003,The Route to Project Success,Developed for Effat College, January 2003 Data Management Consultancy, Ali Jawad, Data Management Consultancy, 2003,CONTENTS,Introduction: Facts and Figures about IS success and failure What is an Information System strategy Understanding different types of IS projects Project success and failure, Ali Jawad, Data Management Consultancy, 2003,SESSION ONE,Introduction: Facts & Figures about IS project failures Defining Information Systems Strategy, Ali Jawad, Data Management Consultancy, 2003,If building construction had the same ratio of cancellations as IT projects, more than half of the office buildings in the world which were larger than 30 stories tall would be abandoned before completion. “The average height of buildings in New York City would be only three stories and there would be no skyscrapers at all.“,An Interesting FACT, Ali Jawad, Data Management Consultancy, 2003,Project Success and Failures: Statistics,The Robbins-Gioia Survey, USA. 232 survey respondents from different industries including government, IT, Communications, financial, utilities, and healthcare: 51% viewed their ERP implementation as unsuccessful KPMG, Canada. The survey covered1,450 public and private sector organizations: Over 61% of the IT projects that were analyzed were deemed to have failed, Ali Jawad, Data Management Consultancy, 2003,Project Success and Failures: Statistics,The Chaos report, USA. The survey covered 8,380 applications through IT executive managers in large, medium, and small companies across major industry segments: banking, securities, manufacturing, insurance and government organizations: 31% of the projects will be cancelled before they ever get completed 52.7% of projects will cost over 189% of their original estimates Only 16.2% of software were completed on-time and on-budget, Ali Jawad, Data Management Consultancy, 2003,Statistic cont.,The OASIG study, UK. Sample based on 45 experts employed by universities and consultancies. The bottom line is: 7 out of 10 IT projects “fail” in some aspect. Seventy-four percent of all IT projects fail, come in over budget or run past the original deadline. 28 percent of projects fail altogether. Source: The Standish Group Every year, $75 billion is spent on failed IT projects in the U.S. Source: The Standish Group, Ali Jawad, Data Management Consultancy, 2003,Session Two, Ali Jawad, Data Management Consultancy, 2003,Defining Information Systems Strategy, Ali Jawad, Data Management Consultancy, 2003,What is an Information System?,Main components Technology People Organization/business Data, Ali Jawad, Data Management Consultancy, 2003,Strategy,Simple definition Knowing where we are now Knowing where we want to be and knowing roughly how to get there, Ali Jawad, Data Management Consultancy, 2003,Information Systems Strategy,Business strategy,Information Systems strategy,Information Technology strategy,Where are we Going, and why?,What is needed to do in order to achieve the business objectives?,How can we deliver The business objectives?, Ali Jawad, Data Management Consultancy, 2003,Session Two, Ali Jawad, Data Management Consultancy, 2003,Let us understand different kinds of IS projects, Ali Jawad, Data Management Consultancy, 2003,WHY DO WE USE IT ?,?, Ali Jawad, Data Management Consultancy, 2003,Different Kinds of Information Systems,Some contribute - simple efficiency Some contribute - competitive advantage Some contribute - relatively little Some are purely - experimental, Ali Jawad, Data Management Consultancy, 2003,There is a framework that can help us to organize our thoughts:,Benefits What is most important to do Resources What is capable of being done Risks What is likely to succeed, Ali Jawad, Data Management Consultancy, 2003,The Applications Portfolio,Strategic,High Potential,Key Operational,Support,Evolutionary,Effectiveness,Exploratory,Efficiency, Ali Jawad, Data Management Consultancy, 2003,Application Portfolio: Strategic,Driving Forces: Future business or competitive advantage External factors (market, competition) Change! Examples: Sales forecasting system / student intake A PC-based system used by sales people to capture business new customers Links to supplier for Just-In-Time delivery, Ali Jawad, Data Management Consultancy, 2003,Application Portfolio: Key Operational,Driving Forces: Core activities of the business If the system fails the business has immediate and significant problems leading to business disadvantage High quality and effective data management Examples: ticketing system in an air-line company production scheduling in a manufacturing company, Ali Jawad, Data Management Consultancy, 2003,Application Portfolio: Support,Driving Forces: Performance of specific business tasks Productivity or efficiency improvements mainly economic benefits To enable resources (people) to be used more appropriately They are NOT critical to