How to Cause Information Technology Disasters William A. Yasnoff, MD, PhD Oregon Health Division.
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Transcript How to Cause Information Technology Disasters William A. Yasnoff, MD, PhD Oregon Health Division.
How to Cause Information
Technology Disasters
William A. Yasnoff, MD, PhD
Oregon Health Division
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Causing IT Disasters
Risks
of Information Technology
Types of Disasters
Disaster Strategies: Management
Disaster Strategies: Technical
Avoiding Disasters
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Risks of IT: How Projects Fail
Functional:
system does not perform
needed tasks (correctly)
Users resist new system
Management resists new system
Cost overrun
Delays
Technical problems: system does not
work
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Sources of IT Risk
Mismatched
expectations
– lack of knowledge by management
– lack of accurate forecasting
– lack of adequate communication
Inadequate planning
Changing specifications
Resistance to change
Technology
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Nolan & Norton Benefit/Risk Grid
HI
B
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F
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S
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High Wire Acts
Dud
Block Buster
Bread & Butter
D O AB I LITY
HI
Rates of IT Failure are High
• 16.2% were “project successful” (software
projects that are completed on-time and on-budget among
American companies and governments)
• 52.7% were “project challenged” (they were
completed and operational but over-budget, over the time
estimate, and offers fewer features and functions than originally
scheduled)
• 31.1% were “project impaired” (canceled)
Source: “Charting the Seas of Information Technology”
The Standish Group 1994
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Strategies for IT Failure
Management
Technical
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Key Elements in IT Projects
Time
Features
Budget
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1. Trust the Vendor
Buy
system without clear problem
specification
Rely on single source of advice
Ignore standards and open systems
Select the lowest cost option
Use only one vendor for all purchases
Only allow use of “standard,” centrally
approved software
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2. Delegate
Implement
and manage IT systems with
different group from purchaser
Separate strategic and operational
management
Impose cosmetic quality control
standards
Delegate operations, retain financial
control
Develop rigid job descriptions
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3. Impose Rigid Controls
Eliminate
exploratory work
Enforce conformity with current inhouse standards
Require justification for every computer
system expenditure (savings or
competitive advantage)
Eliminate operational managers who
take an organization-wide view
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4. Divide and Rule
Separate
business and IT functions and
personnel; separate career tracks and
reporting lines
Encourage competition within the
organization; discourage collaboration
Maintain management ignorance of IT;
do not fund IT continuing education
Underpay all IT staff
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5. Use IT as Tool for Finance
Place
IT under Director of Finance
Use IT primarily for financial control
Focus IT efforts on executive information
systems
Move corporate staff to remote site
Move IT staff and operations to
(different) remote site
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6. Use Consultants
Rely
solely on external consultants for IT
Use the same external consultants for
management advice
Eliminate any in-house staff that address
the areas of IT covered by the
consultants
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7. Set Objectives
Impose
rigid quarterly financial
performance objectives with required
cost-benefit analyses of all IT
expenditures
Use IT to support and reinforce vertical
patterns of management reporting
Do not support general objectives with
detailed IT project planning
Always accept the lowest bid
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8. Control Information
Restrict
contacts between departments
Penalize criticism of IT systems
Avoid discussions of failures or
conflicting views
Minimize communication between
management and staff
Centralize all IT operations and
development
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9. Avoid User Input
Do
not consult with staff who will use or
be affected by new systems
Provide minimal training in new IT
systems
Automate all possible functions with the
goal of eliminating the maximum number
of staff
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Strategies for IT Failure
Management
Technical
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1. Technical Leadership
Appoint
a technical project leader with
complete authority; do not involve users
Ensure that team consists only of
programmers
Give technical team complete financial
and decision-making autonomy
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2. Resources
Provide
whatever resources are
requested at outset and as project
continues
Do not involve managers or users in
resource allocation
Provide latest state-of-the-art equipment,
software, and tools without regard to
other IT systems
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3. Planning
Insist
on complete specification of system
in advance, including all deliverables,
tasks, and sub-tasks
Require strict adherence to a timetable
completely defined in advance
Allow continuous modification of
requirements throughout the project
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4. Feedback
Avoid
discussing technical issues with
users
Avoid user testing of system operational
concepts
Develop complete working systems
without user involvement
Insist on user cooperation in use of new
systems even if they do not benefit
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5. Technology
Encourage
development of custom
software and tools rather than use of
commercial packages
Encourage use of latest technology,
especially if unproven in operational
systems
Avoid purchases of any capability that
can be developed in-house
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Avoiding Disasters
Reasons
for success and failure
Warning signs of projects in trouble
Paradigm for IT project implementation
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Reasons Projects Fail
Expectation
Mismatch
Poor communication
Bad idea
Forcing project delivery dates
Assigning under-skilled managers
No business sponsorship
No comprehensive plan
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Reasons Projects Succeed
User
involvement
Management support
Skilled, experienced project managers
Clear requirements statement
Comprehensive work plan
Sound development methodology
Prototyping
Extensive Testing
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Project Failure Warning Signs
Lack
of agreement on goals
Continuously changing requirements
No written project implementation plan
Rapidly growing budget
Repeated contract modifications
Major deliverables are late
Project managed solely by contractor
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Paradigm for Success
Behavior Modification
– management
– users
Minimize
increments of change
Use intermittent positive reinforcement
– provide real benefits to users
– what they want, NOT what you want
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Disaster Avoidance: Pearls
Clear
goals supported by management
Adequate budget and time
Continuous user involvement
Planning
Use proven methods & technology
Prototyping
Minimize increments of change
Behavior modification
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Key Elements in IT Projects
Time
Features
Budget
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