Is Project Essay

552 WordsApr 4, 20083 Pages
List five of the main considerations involved in ensuring the successful outsourcing of an IS project and give a brief description of each. When an organisation is outsourcing their Information system there are many considerations involved to ensure it is successful. The five main areas I feel are specification, change management, software ownership, payment schedule and handover. Specification is an extremely important area. From the initial tender stage the organisation needs to have clear and precise specifications. If changes are made after contract the costs will begin to escalate. PPARS in the health service is a prime example of how the organisation failed to plan and specify their correct requirements which led to escalating cost of over 183bm and the eventual abandonment of the project. In the specification stage often the decisions are made by senior managers when the organisation needs to discover the requirements of the employees, the vital end user. This vital end user knows what the intimate day to day process of the organisations is and not the global rose coloured view of senior management. If all employees are encouraged to participate in the planning and design of the IS project not only will changes to specification be less costly but it will enhance change management. Change management is another vital piece in the jigsaw. Often the employees are excluded from the planning stage and the changes forced on them. This can and will lead to resistance. It only takes one employee to totally destroy a newly introduced Just In Time order system by refusing to use the new technology. If employees are involved in the planning stage and trained with the new technology they will feel involved and accepted the new system as a positive change. In order for an organisation to plan and budget the organisation would need to set a payment

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