Terry Dargan

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Project managers often find management of the change process one of the hardest aspects to deal with in their projects. While they have been trained to deal with facts and figures using templates and other project management aids, rarely do they have the necessary skills and experience to successfully manage the workplace change associated with their projects.


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Conclusion: Organisations that allocate insufficient effort to planning for their desktop RFPs run the risk of achieving a sub-optimal outcome from their RFP. Less than competitive pricing over the contract life and a mismatch in buyer and vendor expectations are just two examples of the negative outcomes that can result from inadequate planning.


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Conclusion: Most decisions to outsource IT projects or functions offshore are based around the potential to make significant cost savings. There are however a number of other considerations that should be addressed before any final decision is made. If your organisation takes a measured approach to the activity, uses outside experts where necessary, and develops rigorous plans to address issues identified in the planning and successive stages of the project, then there is a high probability that your offshore outsourcing initiative will be successful.


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Conclusion: Despite considerable advances in the discipline of project management many organisations continue to report unacceptably high rates of failure for their IT projects. There are, however, a number of initiatives that organisations can take, particularly in the planning phase of IT projects, which can significantly reduce the likelihood of project failure.


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Conclusion: Success in negotiating an outsourcing agreement requires a well thought-through negotiating strategy supported by an appropriately structured negotiation process. To achieve this the buying organisation must develop an understanding of the negotiating style likely to be adopted by the service provider, as well as any other characteristics that are likely to influence their approach to the negotiations.


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Conclusion: A carefully thought through negotiating strategy building on the concepts needed for a Win – Win result will provide the basis for a successful outcome to your outsourcing agreement negotiations. It will also provide for the opportunity to think through what will need to be done if a successful outcome cannot be negotiated.


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Conclusion: In order to maximise the likelihood of a successful outsourcing initiative, your negotiations to finalise the outsourcing agreement should be based on processes that will lead to a Win – Win outcome. To be successful in such negotiations the buying organisation needs to understand a number of key concepts which can be used to establish the criteria needed for the development of the negotiation strategy.


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Conclusion: When outsourcing deals are not working, buying organisations often look at contractual remedies as a way of resolving their problems. This can have unintended consequences, such as a breakdown in the buyer/ service provider relationship or added costs due to contract termination.


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Conclusion: To get the most from their IT vendors, buying organisations must understand the underlying importance of each of their vendors to the organisation, and their potential to work with the organisation to help achieve business goals. A structured approach to building a vendor portfolio will allow key vendors to be identified and for the process of building strategic, partnership type relationships to be initiated.


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Conclusion: The ability of organisations to implement major strategic business initiatives is to a large degree dependent on their ability to successfully execute the program of projects on which these strategies are reliant. Despite the importance of such programs most organisations, while accustomed to the demands of managing individual projects, often lack the skills and experience required to manage the complexity of such programs. The recruitment of an experienced program manager to lead the program and an integrated approach to program governance and planning can go a long way to ensuring a successful outcome.


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Conclusion: Stakeholder management is a critical, but often overlooked aspect of project management. Insufficient attention to the needs and attitudes of project stakeholders can lead to project failure even when the more well known components of project management have been addressed.


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Conclusion: Organisations considering outsourcing are increasingly focusing on the ability of service providers to implement effective relationship management in their outsourcing arrangements. A systematic approach to the evaluation of service provider relationship management capabilities is more likely to lead to the selection of a service provider who will be able to work with the buying organisation to help it achieve its outsourcing goals.


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Your organisation is planning to outsource some of its IT functions. You have a competent purchasing group, a long standing arrangement with a firm of legal advisors and an experienced IT management team ready to go. So your expectation is that you should be able to handle the selection and transition to a service provider without resorting to external advisors.

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Conclusion: Project Portfolio Management (PPM) is now viewed as a necessary pre-condition for maximising the contribution of an organisation’s IT projects to the achievement of corporate goals. Unfortunately many Small to Medium Size Enterprises (SMEs) have made the decision not to implement the process due to its cost. The guidelines provided in this paper have been found to be effective in allowing a scaled down version of PPM to be implemented in a cost effective fashion within SMEs.


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