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Chapter 14 Managing Projects 583

Review Questions

1. What are the objectives of project management • Explain how real options pricing models can
and why is it so essential in developing informa- help manages evaluate information technol-
tion systems? ogy investments.
• Describe information system problems result- 4. What are the principal risk factors in information
ing from poor project management. systems projects?
• Define project management. List and describe • Identify and describe each of the principal
the project management activities and risk factors in information systems projects.
variables addressed by project management.
• Explain why builders of new information
2. What methods can be used for selecting and systems need to address implementation and
evaluating information systems projects and change management.
aligning them with the firm’s business goals? • Explain why eliciting support of management
• Name and describe the groups responsible for and end users is so essential for successful
the management of information systems implementation of information systems
projects. projects.
• Describe the purpose of an information • Explain why there is such a high failure rate
systems plan and list the major categories in for implementations involving enterprise
the plan. applications, business process reengineering,
and mergers and acquisitions.
• Explain how key performance indicators,
portfolio analysis, and scoring models can be 5. What strategies are useful for managing project
used to select information systems projects. risk and system implementation?
• Identify and describe the strategies for
3. How can firms assess the business value of
controlling project risk.
information systems projects?
• Identify the organizational considerations that
• List and describe the major costs and benefits
should be addressed by project planning and
of information systems.
implementation.
• Distinguish between tangible and intangible
• Explain how project management software
benefits.
tools contribute to successful project manage-
ment.

Discussion Questions

1. How much does project management impact the 3. What is the role of end users in information
success of a new information system? systems project management?
2. It has been said that most systems fail because
systems builders ignore organizational behavior
problems. Why might this be so?

Hands-On MIS Projects

The projects in this section give you hands-on experience evaluating information systems projects, using
spreadsheet software to perform capital budgeting analyses for new information systems investments, and
using Web tools to analyze the financing for a new home.
Management Decision Problems

1. The U.S. Census launched an IT project to arm its census takers in the field with high-tech handheld
devices that would save taxpayer money by directly beaming population data to headquarters from census
takers in the field. Census officials signed a $600 million contract with Harris Corporation in 2006 to build

MIS_13_Ch_14_global.indd 583 1/17/2013 2:32:03 PM