Information Technology Project Risks

Subject: Tech & Engineering
Pages: 2
Words: 548
Reading time:
2 min
Study level: College

Successful initiation, implementation, and conclusion of a project are necessary, especially when implementing Information Technology (IT) projects. The project team needs to ensure that the IT project is conducted well and the deliverables are delivered within the budget, on time, and fulfill the stated project scope that should offer the intended benefits. However, the implementation of projects is riddled with great uncertainties that may result in project failure. Therefore, the tensions present serious risks to the project. According to Greene, up to 14 percent of IT projects totally fail. Thirty-one percent of the remaining 86 percent of the IT projects fail to meet their objectives. Forty-three percent of these projects end up expending more resources than budgeted for, and 69 percent exceed the time constraints. The statistics show that it is important to manage risks in IT projects to reduce such occurrences properly.

To further enhance my experience and knowledge in the field of project management, I got involved in a project that was expected to deliver an IT system at a local hospital. As I reflect on my experience and the research through literature, the key risk factors associated with IT project failure include the project structure, project size, and technical expertise.

Project structure

The project of structuring an IT project can be challenging if not done keenly. The area is thus a key risk factor that could lead to the failure of the project. In structuring the project, it is crucial that the project team clearly defines the project processes and the deliverables (output). The team should create a plan indicating the flow of the project from one stage to another, which should be clear and easy to understand.

In addition, sufficient time needs to be allocated to designing the project, and the specific requirements must be enumerated before the commencement of the project. In a clearly defined and stated project, the users have a clear knowledge and understanding of the needs and the workflow of the project. Specific field experts when preparing the project requirements.

Project size

The size of the project is another key risk factor. The bigger the project, the more the risks involved. The scope of the project can be defined to include the working personnel, the time required to complete the projects, and the cost of the project. While designing bigger projects, there are various tools in project management that must be used if the risks involved are to be minimized. Some fundamental tools include the Gantt chart and the work breakdown structure.

Technical experience

The process of designing, initiating, and implementing an IT project can be challenging to the ordinary person. Experience in project management and delivery is necessary to avoid risks due to a lack of appropriate experience. IT projects can be quite intricate across various areas, including software installation, hardware integration, database management, or program development. To avoid failure of the IT project, it is necessary for the project sponsors to have a person who will guide how the project is executed. Greene states that 27 percent of the projects fail due to a lack of necessary support from the project sponsors. The experts have the adequate knowledge to place the IT project in context to the organization’s strategies, objectives, culture and philosophy, and internal and external capabilities.

Reference

Greene, Jessica. The top 9 reasons for IT project failure: Is your project at risk? Atspoke.com. n.d. Web.