The Life Cycle of A Large System Integration

The Life Cycle of A Large System Integration Project 2. PRESALE & PROJECT MANAGEMENT

PRESALE Business Plan Customer Relationship Solution and Technology Process

BUSINESS PLAN (1) Creative product or penetrating existing market FEASIBILITY STUDY Market analysis (marketing person or outsourcing) government statistics market (scale, competitor) potential customers and their values strong points and week points (predominance) risk analysis SHORT/LONG TERM OBJECTIVE initial investment, mid-term investment revenue, cash flow and sales channel technology product (series) planning resource (facility, engineer, marketing, sales) possible solutions, initial product effort and time to market

BUSINESS PLAN (2) Revenue M US$ Revenue Investment 10 9 8 7 6 5 4 3 2 1 1 st year 2 nd year 3 rd year 4 th year 5 th year 10 th year Time

CUSTOMER RELATIONSHIP Top management’s customer visit to show support Take customer to site visit Build friendship

TECHNOLOGY AND SOLUTION Experiences: past projects and technology/solution involved Influence the Request For Proposal (RFP) Organize seminars for the customers Philosophy of technology/solution selection

PRESALE PROCESS Objectives: • • • Establish solid customer relationship to build up trust Introduce company’s successful history, experiences, solutions and leading technology Help customer to build up the knowledge To know what the customers want and what they prefer To know customer’s budget To influence the RFP (Request For Proposal) as much as possible Participants: • • Marketing and sales Program manager, Sometimes business director, Engineers (system engineer and software engineer) Sometimes the business director, even president Activities: • • Seminars and presentations Project sites visit Sometimes home site visit Leisure contact

BIDDING (1) Prequalification: To reduce the number of bidders, so only qualified venders will participate the bid. • Business license • Size, revenue of the company • Similar experiences of comparable size project in recent five years • Solution summary Procedure: 1. 2. 3. 4. 5. Issuance of RFP (Request For Proposal). Once issued, no customer contact any more. Purchase RFP Bid opening: Declare price for each vendor Review and evaluation: Couple of months Bid closing: Announce winner Contents of RFP • International open bid, deadline is set • Two sections: business and technical

BIDDING (2) Participants PM: Chief Engineer: Business Director & Accountant: Engineers: Marketing and sales Legal: Administrators: leads the team leads the business team lead a technical team pricing and signature hardware and software customer relationship legal terms and consulting administrators tasks Time: Approximately two-three months

BIDDING (3) Proposal Includes: 7 copies of the following items, one copy with original signature on every page BUSINESS • Legal certificate of the business • Last three years’ financial reports • Liability • Certificate of CMMI level • Matrix (line by line, yes/no) TECHNICAL • Assumptions • Proposed solution, technology and tools • Effort estimation • Management method, schedule • Solution for every subsystem and its info from the vendor • Matrix (line by line, yes/no) MATERIALS • Price brakes down to parts

BIDDING (4) Contract Includes: 2 copies with original signatures on every page • Scope of services (RFP & Proposal) • Price • Payment schedule • Hardware and software • Confidentiality • Rights on data • Warranty • Limitation of liability • Indemnity • No solicitation • Arbitration (disputes) • Jurisdiction (laws apply)

THE LIFECYCLE ACTUAL DURATION: Total of 28 months Program Management Project Management Risk Management Requirement Management 2 yr 2 mo 12 mo 3 mo 1 mo End Operation Backup M 4 M 5 Implementation Testing Delivery Acceptance M 3 Design 5 mo Installation And Testing M 2 Collection Analysis 3 mo Implement Design Requirement PPP Plans Presale M 1 Planning 2 mo M 6 Delivery 6 MILESTONES Participants: Business, Marketing, Sales, Program Manager, Contract Manager, Subcontractor Manager (s), Project Manager, Hardware/Software Engineers, Customers and End-users

THE MANAGEMENT SPECTRUM Four P’s: People Product Process Project

KEY ELEMENTS TO SUCCESS TECHNOLOGY • Technology • Domain knowledge • Experiences CUSTOMER MANAGEMENT • • Requirement Risk Schedule (milestones) Cost • Culture • Relationship METHODOLOGY CUSTOMER • Right process MANAGEMENT • • Requirement Risk Schedule (milestones) Cost • Right process • Culture • Relationship TECHNOLOGY • Technology • Domain knowledge • Experiences

THE PEOPLE(1) Needs of Human Being prestige success reputation achievement rich safety shelter Life

THE PEOPLE (2) People management maturity model: recruiting, selection, performance management, training, compensation, career development, organization and work design, and team/culture development. PM-CMM is a companion to the CMM model, which guides organizations in the creation of a mature software process. The Taxonomy of players: • Senior managers • HR • Project managers • Practitioners • Customers • End-users

THE PEOPLE (3) The Software Team Group Team 1 Leader Team 2 Leader Team m Leader Team Members Three Management Styles [Mantei 81] Democratic Decentralized (DD) Controlled Decentralized (CD) Controlled Centralized (CC) No permanent leader, vary by tasks Defined leaders for tasks and subtasks Decision and approach are made by consensus Decision are made at group level, implementation at subgroups (Team) Top level problems are managed by a team leader Horizontal communication Vertical communication Best for difficult problems; High morale; job satisfaction; Too much communication Good for simple problems; Better for high modularity; More efficient

THE PEOPLE (4) Four Paradigm [Constantine 93] Closed paradigm Traditional hierarchy, good for software products Random paradigm Loosely structured, depends on individual initiative, heavy communication Open paradigm Structure between Closed and Random, heavy communication Synchronous paradigm Rely on the natural compartmentalization of the task, little communication outside task

THE PEOPLE (5) Factors in constructing a team: • The difficulty of the problem to be solved • The size of the resultant program in lines of code or function points • The time that the team will stay together (team lifetime) • The degree to which the problem can be modularized • The required quality of reliability of the system to be built • The rigidity of the delivery date • The degree of communication required for the project To achieve a high performance team: • Team members must have trust in one another • Skill distribution must be appropriate to the problem • Mavericks may have to be excluded from the team

THE PEOPLE (6) Coordination and Communication: 6 Formal, interpersonal procedures Informal, interpersonal procedures Email, E-bulletin board, video conferences Interpersonal networking Informal discussion with people inside/outside team Status review Electronic mail Code inspection Public bulletins Source code Repository data Project control tools 2 Electronic communication Documents Project milestones Error tracking reports Group meeting 3 Group meeting for info dissemination and problem solving Req. reviews 4 Quality assurance, status review, and code inspection Design reviews 5 Plan, tech memo, milestone, schedule, and deliverables Value of coordination technique Formal, impersonal approaches Discussion with peers 2 3 4 5 6 Use of coordination technique

THE PEOPLE (7) • A jelled team is a group of people so strongly knit that the whole is greater than the sum of the parts, the probability of success goes way up • It is difficult to find a challenging and interesting project, but not as difficult as finding a jelled team, in which your creativity, energy, and happiness can be maximized

THE PRODUCT (1) The dilemma of software project manager at the beginning of a project: Quantitative estimations and an organized plan before solid information is available (before requirement collection/analysis) Understand the overall characteristics of the product Refer to past projects with similar scale, technology, and functions Software scope at system level based on RFP and PROPOSAL, which must be unambiguous and understandable at the management and technical levels: • • • context information objectives function and performance

THE PRODUCT (2) Problem decomposition Example: a new word-processing product with unique features: voice and keyboard input; automatic indexing and table of content; automatic copy edit; page layout capability, etc. Input: voice learning voice recognition keyboard input Automatic copy edit: spell checking, sentence grammar checking reference checking section and chapter reference validation …

THE PROCESS (1) The software development process models: select right process model that is best fit the project for the team • • • The Waterfall (linear sequential) model The Spiral (prototyping) model The Iterative (incremental) model • • • The RAD model The WINWIN spiral model The component-based development model The concurrent model The formal method model The fourth generation technique model • • CMMI (Capacity Maturity Method Integration) SEI (Software Engineer Institute)

THE PROCESS (2) Model selection based on which process model is most appropriate for: 1. The characteristics of the project 2. The customers and parishioners 3. The project working environment 1. 2. 3. 4. 5. 6. Common framework activities: Customer communication Planning Risk analysis Engineering Construction and release Customer evaluation

THE PROJECT (1) Signs that indicate that a project is in jeopardy: PEOPLE • • • REQUIREMENT RISK FINACE None technical split in the team Software people do not understand their customer’s needs The project scope is poorly defined Changes are managed poorly The chosen technology changes Business needs change (or are ill-defined) Financial difficulties Deadline is unrealistic Users are resistant Sponsorship is lost Lack of skill sets in the team Avoid best practices and lessons learned

THE PROJECT (2) To manage a successful project is to manage problems, i. e. , • to avoid problems • to reduce the degree of difficulties • to have a plan/solution before the problems occur. Five-part commonsense approach [Reel 99] • Start on the right foot • Maintain momentum • Track progress • Make smart decision • Conduct a postmortem analysis

PROJECT CONSTITUTION TYPICAL CONTENTS: Project formal name Program manager and contact Project target and deliverable Project time table Project resource, budget, vendor Constitution Resource Team Manager Initiator Definition Origin

FACTS OF PM 1995 vs 1998 • The cost of failed projects went down from $81 billion to $75 billion • Decrease in cost overruns from $59 billion to $22 billion In 1998 • 26% of information technology projects succeed in meeting scope, time, and cost goals • 46 percent of IT projects completed over budget and past deadline • 28% failed 2001 vs 1995 • Time overruns significantly decrease to 63%, compared to 222% • Cost overruns were down to 45%, compared to 189% • Required features and functions were up to 67%, compared to 61% • 78000 US projects were successful, compared to 28000 • 28% of IT projects succeeded, compared to 16% The Standish Group, “ 1998 CHAOS Report” & “CHAOS 2001”