The Development of ICT Project Management

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Komunikasi (ICT) Sektor Awam. PhD Dissertation Universiti Kebangsaan Malaysia,. 2013. [32] Nor'ini Ab Rahman. 2011. Pengenalan Pengurusan Projek.
International Journal of Information Systems and Engineering (online), Volume 2, Issue 1 (April 2014)

The Development of ICT Project Management Framework in Public Sector Using Business Process Management Approach Kamaliyah Sarjo @ Hj Ahmad

Faculty of Information Science and Technology Universiti Kebangsaan Malaysia Bangi, Selangor, Malaysia [email protected]

Yazrina Yahya

Faculty of Information Science and Technology Universiti Kebangsaan Malaysia Bangi, Selangor, Malaysia [email protected]

Abstract ICT Project Management plays a key role in administration of projects in organization today. Various studies have been conducted on the ICT project management to ensure that projects are being conducted accordingly and services are delivered respectively in line with the progress of information technology. Based on the literature review, there are various methodologies and best practices in ICT project management, however based on the analysis conducted it is discovered that the number of failures in ICT projects internationally and locally are tremendous. ICT project management most used standard project management methodology such as PMBOK, PRINCE2, ITIL, CMMI and PPISA. Preliminary results found that most of the existing ICT project management studies do not focus on business process management (BPM) although BPM has been widely used in organization level. Therefore, this study will use a BPM approach which is a new discipline in project management, to help increase the success of ICT projects. This approach combines the methods of management and information technology and it is believed that can improve the management of ICT projects to meet the needs of consumers. Therefore, the purpose of this research is to develop the ICT project management framework using BPM approach. Research methodology is being conducted through literature reviews, interview and case studies on ICT project management in public sector. This ICT project management framework using BPM approach will be validated using the Delphi technique. The results of this research are found to serve as a guide for the ICT project manager not only to managing ICT project in public sector, but can be applied to private sector and other fields. Field: Project Management 1.

Introduction

The developments of ICT projects have increased in many organizations to ensure that overall needs of customers in business requirements are fulfilled. However, many ICT projects failed to take off such as a series studies (Ashraf, Sarfraz & Mohsin, 2010; Gartner Report, 2011; Liu, Wu & Meng, 2012; Stoica & Brouse, 2012, 2013) produced. Stoica & Brouse (2013) states that due to the ICT project failure and its impact to the organization, researchers and practitioners are asked to specifically look at the history of how the project is carried out to find an effective approach and comprehensive to overcome this issue. Despite of having a lot of standard on project management methodologies in ICT, however up to most ICT project have yet to show a good track record of success (Marchewka 2010; Standish Group Report, 2009). There are many previous studies on project management in which some was done as early as the 1950s as to date studies are still being conducted (CHAOS, 2009, 2001, 1995; Chan & Scott, 2004; Noor Habibah, 2003; Nor'ashikin, 2013; Keil, 1998; Liu, Wu & Meng, 2012; Morris, 2010, 2001, 1994). However most of these studies had focused on organizations, people, procurement, technology, quality, philosophy, governance, value, performance management, knowledge management and project management office. Despite the focus given to various factors involved in project management, the still exists project failure (Stoica & Brouse, 2013).

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Based on the literature review, research conducted has not focused on the strengths and weaknesses of ICT project management. Therefore research needs to be done to get the appropriate method to identify the strengths and weaknesses of the existing ICT project management. However merely studying or researching on the strengths and weaknesses of ICT project management is not enough as there is need to look into further details of what has been focused in ICT project management. Liu (2010) has stated that ICT projects are unique, which are characterized by emergency, uniqueness, one shot, short term and uncertainty. To implement an IT project successfully, problems in the IT project management must be found, analyzed and solved and there must be successful project management and management innovation as well it has been argued (Liu, 2010). Dong, Feng & Wang (2013) also has added facing more complex and much more information than that of the project management, project managers should control all projects at different places in real time and cooperatively and judge a big deal of changeable and uncertain information and make decision rapidly. Thus, ICT project management require new management method which is more coordination of persons, capital, objects, rapid information transfer, real time information, strong flexibility, make decision rapidly and process of project implementation quickly. BPM have this capability to do all of the requirements. BPM usually combines management methods with information technology (Steve, 2011). From observations and interviews with ICT project management consultant team at Malaysian Administrative Modernization and Management Planning Unit (MAMPU) on November 12, 2013, they also confirmed that there is no BPM in ICT project management methodology at public sector. In addition, Hai Xie & Aying Zhang (2013) has listed a number of approaches and processes for project management but the ones listed have not included BPM in project management process. Therefore, this study will be adopt BPM because based on the preliminary analysis conducted it was discovered that no studies on BPM used in project management had been conducted. The reason being is because BPM is used in organization level and a management model that allows the organization to manage their processes as any other assets and improve and manage them over the period of time. Therefore this research will focus on BPM approach in the ICT project management. In Malaysia, ICT tools have been used to improve internal operations of government and the services provided to citizens (Zalinah et al., 2008; Rajmah, 2010). The benefits and capabilities offered by ICT tools have increased the investment to undertake the development of ICT projects in the public sector of Malaysia. This can be seen through the government commitment in approving more than fifty ICT projects with an allocation of over RM50 million per year (MAMPU 2010a). With high investment, the Malaysian Government certainly expects the successful implementation of ICT projects. However, most government or public ICT projects did not deliver as most systems are not developed fully because of the quality of processes, information and services provided do not meet the standards set (Azizatul Yusna, 2011; Chutimaskul et al., 2008). Similarly, a study done by the Standish Group in 1994 to 2012 for ICT projects both public and private sector revealed that many ICT projects failed to take off and displays an alarming failure rate (Stoica & Brouse, 2013). As a result Stoica & Brouse (2013) shows that the performance achievement of ICT projects needs to be improved. Although many standard methodologies and best practices of project management existed and being used internationally such as PMBOK, ITIL, CMMI-DEV, PRINCE2, Adaptive or Agile Methodology (ISACA, 2008), PPISA (MAMPU, 2010) and various studies on project management has been conducted by previous researchers (Morris, 2010), but literature had ISSN: 2289-2265

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also shown that there is still room for improvement. Nor'ashikin (2013) reported in her study on the management of public sector ICT projects in Malaysia showed less use of standard guidelines of project management methodology such as PMBOK only 4% and PRINCE2 only 5% which is 50% used own approach and 25% no specific methodology being used. The study also showed that only 34% of the 471 respondents are satisfied with the ICT project management practice in their agency. This study showed that the standard methodologies and best practices of project management existed have weaknesses and less used in public sector ICT projects in Malaysia. Morris (1994, 2010) based on his study look at data on project costs and project delays; it appears that many of the causes of success and failure lies in the way the project developed determine the goals and strategies of the project, the choice of technology, approach to risk and policy contract. Thus, this study to develop a framework for ICT project management using BPM approach. BPM approach is a method that makes the process of ICT project management greater flexibility to suit the organization or their departments, especially in the public sector. Through this approach, it is believed that can improve the ICT project management and increase the success of ICT projects. This study specifically set three objectives to be achieved: To identify the use of ICT project management standard methodologies in public sector; To propose a framework for ICT project management using BPM approach in public sector; and To evaluate the acceptability of ICT project management framework using BPM approach in public sector. 2.

Literature Review

This literature review discusses previous research critically about key areas of the theoretical basis of the ICT Project Management and Business Process Management. 2.1.

Project Management

According to PMI (2008), project management is the application of knowledge, skills, tools and techniques for implementing activities to meet project requirements. ICT Project management is a strategy to manage ICT projects efficiently and effectively to achieve the success of ICT projects (Demir & Kocabas, 2010). Understandings of ICT project management is fundamental to the efficient use of resources and contribute to increased productivity (Jo & Barry, 2008).

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Figure 1.1: Contribution of Project Management related research for more than five decades (Morris, 2010) Various studies on the project management have been done by previous workers as shown in Figure 1.1. However until now the effectiveness of project management is associated with a number of issues and in part led to the failure of the project itself (Morris, 2010). He suggested focusing to the study in the project management. Referring to Figure 1.1 above, the study early 1950s through 2010, the study found a tendency of organizations, people, procurement, technology, quality, philosophy, governance, value, performance management, knowledge management, and project management office in project management has been done by previous researchers. However, from observation and analysis of the study by Morris, a study on the process of project management has not done yet. The findings of the study clearly demonstrate research should be conducted in the field of the process ICT project management in order to increase the success of ICT projects, particularly in the public sector. This study considered that BPM approach in the ICT project management can be done because of the nature of both is very similar. 2.2.

Business Process Management

Business Process Management is a holistic management approach (vom Brocke & Rosemann, 2010) focuses on all aspects of the organization in line with clients' needs. It promotes business effectiveness and efficiency while striving for innovation, flexibility, and integration with technology. BPM will improve processes continuously. It can be described as a "process optimization". BPM enables organizations to be more efficient, more effective and capable of transforming from a function focused traditional hierarchical management approach. Research done by (Kohlbacher, 2009) and his suggests that BPM helps organizations to gain higher customer satisfaction, product quality, speed of delivery and speed of the current market. In the short term, BPM helps companies improve profitability by decreasing costs and ISSN: 2289-2265

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increasing revenues. In the long run, BPM helps drives competitive advantage by creating agile organizations that respond quickly to change. According to Moller et al. (2009), BPM is the practice-oriented concepts without basic education and no academic approve the conceptual framework. BPM is evolving paradigm and mix paradigm and methodology of organization theory, computer science, mathematics, philosophy and linguistics (Reijers et al., 2010). Research on business processes and their management in the current IT is limited, although it is getting studied now (Ravi, 2012). Practitioners, who work in this field is ad hoc and proprietary, are generally not available in the literature. At this time the areas of information systems has changed attention to the BPM and begin to incorporate these concepts in information systems model curriculum, research and practice (Chircu et al., 2009; vom Brocke & Rosemann, 2010). The report by the National Academy of Engineering academician urged to integrate research paradigm in technology, management and social sciences and to apply engineering concepts, methodologies and quality control processes in understanding service functions and business processes (Zhao et al., 2008). Therefore, there are several unexplored areas of research and literature is the view of many practitioners with information about the processes, techniques, equipment and management. New technologies like cloud, mobile, social technologies and smart assets and business trends such as business process outsourcing, reverse innovation, frugal production and organizational networks may require the business processes that can be dynamically changed in line with changing business needs, competitive landscape and demographic (Bughin et al., 2010). 2.3.

Factors of Success and Failure of ICT Projects

Today's business environment is complex and requires faster results, better allocation of scarce resources, and focus more clearly. A changing organization consisting of a mixture of large and small projects, providing senior management with new challenges in resource planning, prioritizing and monitoring. Compliance with time, scope, cost and requirements in a single project can make a company grow its revenue and value for years to come. However, to fulfill the requirement, project management has to do a project correctly, create a link from the project to the organization's strategy and, at the same time, adopt a long term view. Most research on the success of ICT projects has resulted in a descriptive list of project success factors. The assumption that if the practitioner is aware of project success factors and address them during the execution, then the ICT projects more likely to succeed. In project management literature, the factors have been identified as increasing the success of ICT projects in their research (Ashraf et al., 2010; Azizatul Yusna, 2011; CHAOS, 2009, 1995; Chan & Scott, 2004; Gartner Report, 2011; Liu, Wu & Meng, 2012; Marini, 2010; Morris, 2010, 1994; Marchewka, 2010; Noor Habibah, 2003; Nor'ashikin, 2013; Keil, 1998; Rajmah, 2010; Stoica & Brouse, 2012, 2013; Zalinah et al., 2008). It shows that the success of the project is affected by the success in the management of the project itself. Ling et al., (2009) says that there are many factors that contribute to the success of the project and it can be grouped into five categories: Action project management, project-related factors, project procedures, human-related factors and the external environment (Chan & Scott, 2004). Conceptual framework for project success (Chan & Scott, 2004) which shows that the practice of project management in all areas of project management knowledge can affect the success of the project. According to a study from CHAOS, Standish Group report from year 1994 to 2012. In 1994, 31% of ICT projects fail, 16% of the fully successful ICT projects and 53% of the project

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challenged while in the year 2012 showed 24% project failure, 32% successful and 44% of challenged projects. This shows the success of the project is still low at less than 40%. In Malaysia, a study was made by (Azizatul Yusna, 2011; Ashraf et al., 2010; Marini, 2010; Nor'ini, 2011; Nor’ashikin, 2013; Zalinah et al., 2008), according to the rank of project failure factors shows that project management is essential in implementing projects to ensure project success. From the survey, success and failure of ICT projects factors occur during the process of the implementation of ICT project management, from process initiation, planning, execution, control & monitoring, and closing the project. These factors also relate to the ten knowledge areas of project management ICT project scope management, project time management, project cost management, project quality management, human resource management, communications management, risk management, procurement, project stakeholder management and integration management. Analysis on the success and failure of previous ICT projects is important to assess how the implementation of ICT project management. This justification should be the development of a new framework to give emphasis to the process and poor knowledge in ICT project management. 2.4.

Standard Project Management Methodology

Project Management Institute (PMI 2013) has published guidelines on the integration of project management in the publication A Guide to the Project Management Body of Knowledge (PMBOK), which has been internationally recognized in the discipline of project management. ESI International has written a very good model of integration of project management guidelines in the publication PROJECTFRAMEWORK. Carnegie Mellon University, Software Engineering Institute (SEI) has published the Capability Maturity Model Integration (CMMI), which is recognized internationally. International Business Machine (IBM), Computer Sciences Corporation (CSC), various universities and IT standards committee has issued guidelines established IT integration in the IT discipline. BPMI.org integration has issued guidelines on business process modeling language (BPML). In a standard project management methodology, ICT project management life cycle consists of an initiating phase, the planning phase, executing phase, monitoring & controlling phase and closing phase. It also named the five process groups (PMI, 2013; Schwalbe, 2010). Apart from understanding the ICT project management processes, ICT project managers should also have an understanding of some areas of knowledge embodied in ICT project management (PMI, 2013; Schwalbe, 2010). Schwalbe (2010) and PMI (2013) outline the ten knowledge areas of project management ICT. 2.5.

The relationship between IT Project Management with BPM

The literature review allows the relationship between ICT project management and business process management (BPM) is performed. From the analysis, mapping the life cycle of ICT project management and BPM can be identified as shown in Figure 1.2. In the field of business management have business process management and ICT management have ICT project management, between ICT project management and business process management involve components of people, process and technology that affect the life cycle of each process, but in this study only focus on the components of the process.

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Figure 1.2: The relationship among ICT Project Management and Business Process Management 3.

Research Methodology

The methodology used was adapted from Nor'ashikin (2013). The study went through five phases; this study will use a qualitative approach to achieve its objectives. A qualitative approach selected for their suitability to obtain information relating to the matter under study (Yin, 1984). In this study, two qualitative data collection methods used analysis of documents and interviews. This approach allows the use of various methods used for the collection, analysis and validation of the data (Creswell, 2009), as well as to enhance understanding and accuracy of the data (Cohen & Manion, 1994). The first step involves the compilation and review of a comprehensive literature search on standard ICT project management methodologies used in the public sector and the relationship with BPM. The literature review and document analysis will be carried out by the ICT project information in MAMPU, which is they monitor all ICT projects in the public sector. The results of this study is to help and improve the perception and realistic view of research on BPM approach in ICT project management as well as gain an understanding of the practice of the present ICT project management in the public sector. The qualitative approach using interviews used for the development and validation for ICT project management framework using BPM approach. Finally, the results of this study will be presented in the framework of the ICT project management BPM approach. 4.

Discussion

The project lifecycle and management structure is different in each organization and therefore a project management methodology is not suitable for all cause there is a need flexible methodology. Flexibility here means that the process can be built according to the requirements or the suitability of the organization or department. Choosing the inappropriate methodology in organizational structure will not achieve the promised benefits (Garcia, 2005). This then causes the standard project management methodology does not apply to existing entirely as needs change constantly according to the current demand and need access to information on-line. Therefore, the standard project management methodologies to address these issues and high demand projects.

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According to Seda Cansiz & Fatma Pakdil (2012), major factors that have made a difference in the business world are the speed, flexibility and innovation. Rapid changes in circumstances cause the need to make quick decisions have forced the company to adopt a more flexible approach, lean, and the transformation of management approach. BPM brings flexibility and competitive capabilities to the organization that it has become an important issue to satisfy this requirement (Dhookie, 2008). This study has highlighted the importance of proper view of its relevance to the performance of the public sector. The results obtained can be used as the guide and reference to those involved in project management and can help the public sector better planning, monitoring and management of ICT projects and ICT project failures can be reduced while maintaining the quality of the product. 5.

Conclusion

Studies have showed that ICT Project Management Methodology is the important thing to be taken into account at the beginning of the implementation of ICT projects. However, a preliminary study found that ICT project management methodology less used in public sector, still have weaknesses that need to be improved and do not focus and emphasis on BPM in project management research. Thus, this study takes the BPM approach for process improvements to be incorporated within the ICT project management framework in public sector. This study will explore the actions that should be taken in applying project management methodologies in managing ICT projects using BPM approach, especially in the public sector. Based on an interdisciplinary design and variety of cases, the framework of ICT Project Management-Business Process Management (PM-BPM Framework) will be developed and discussed. This research explores the perceptions of BPM from all walks of people involved in ICT project management such as project administrator, ICT management, project manager, and consultant. It also includes the implementation and impact of the various levels and departments in a multijurisdictional environment in the public sector. References [1] [2] [3]

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