Sunday, November 8, 2009

The IT Department at BP

This case identifies some of the serious problems and challenges involved in accurately tracking and determining the status of ongoing projects. In this case, there is no clear method for tracking and identifying project performance midstream. Either it succeeds, or (more often) it comes in very late and over budget. Nigel Smith, the new head of the IT department, is not helping the process because he himself has a tendency to paint a rosy picture of his projects.


1. As a consultant monitoring this problem, what are your proposed solutions? To what degree has Nigel's management style contributed to the problems?

2. What are some of the types of project status information you could suggest they begin to collect to assess the status of their projects?

3. How would you blend “hard data” and “managerial or behavioural” information to create a comprehensive view of the status of ongoing projects at BP?

4. If you were in charge, what would you do?





One of the key important components of monitoring the status of project is COMMUNICATION. It helps project managers to realistically allocate time and resources to the project. Accurate tracking of the status of ongoing project allows the project manager and team members to compare the project against the project plan and determining the steps to take if something is going wrong.


1. As a consultant monitoring this problem, what are your proposed solutions? To what degree has Nigel's management style contributed to the problems?

As a consultant, I would set up a method of Weekly status reporting. This I will ensure via meetings or emails.

I will equally ensure that the true picture of the project status is conveyed to the management and all stakeholders.

As Rowe (2007) suggested, I will implement the use of the traffic light report. The traffic light report provides the overall summary of the project status by using the red, green and yellow lights of the conventional traffic light.

Green indicates that the project is on track, red on the other hand indicate that the project is in trouble and has missed a key milestone. Yellow is more of a warning that the project might not meet completion criteria.

2. What are some of the types of project status information you could suggest they begin to collect to assess the status of their projects?

Hard data (facts and figures) and soft data (rumours and less specific information) are two types of project status information.

Kendrick (2009) further explained that hard data shows how the project is proceeding while Soft data may provide early warnings or futuristic problems.

Based on these definitions, I will suggest the collection of the following hard data project status information: task completed, task remaining, time to complete remaining tasks, time spent so far on completed tasks, budget variances, operating costs, quality etc.

Smith (1995) is of the view that soft data are subjective and difficult to define, collect and analyse. I would probably not suggest they collect soft data information.

3. How would you blend “hard data” and “managerial or behavioural” information to create a comprehensive view of the status of ongoing projects at BP?

Hard data and behavioral information are both useful in relation to the status of ongoing projects especially where risk management is involved.

Hard data according to Kendrick (2009) are diagnostic metrics that assess progress. These metrics are schedule, resources and scope.

4. If you were in charge, what would you do?

If I were to be in charge, I would make sure the following are areas the status report should concentrate on:

· Schedule and scope status of the ongoing project

· Quality of interim deliverables

· Risks including new risk identified

· Spending patterns (versus the planned amounts)

· Staff effort (versus the planned time)

· Changes to the plan


References:

KENDRICK, T., 2009. Identifying and Managing Project Risk: Essential Tools for Failure-Proofing.2 ed. New York: AMACOM.

ROWE, S.F., 2007. Project Management for Small Projects. Vienna: Management Concepts.

SMITH, E.A., 1995. Creating productive organizations: developing your work force: manual. Florida: St Lucie Press

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