Cult of Wasteful Projects

Cult of Wasteful Projects

Tapio Järvenpää & Ilkka Kankare

Veikö Moolok Vallan? Vapauta projektisi tuhlaajakultista | Tapio Järvenpää & Ilkka Kankare | 2013

IntroductionThe problemThe causeThe solutions

Contents




Contents


UK National Health Service (NHS) National Programme for IT (2002 )

System abandoned - costs are still piling up


Conclusions of the UK Public Accounts Committee

http://www.publications.parliament.uk/pa/cm201314/cmselect/cmpubacc/294/29404.htm

There were also failures

-to understand the complexity of the tasks,

-to recognise the difficulties of persuadingNHS trusts to take new systems that had been procured nationally, and

-to get people to operate the systems effectively even when they were adopted.“

“Launched in 2002, the National Programme was designed to reform the way that the NHS in England uses information. The benefits include financial savings, efficiency gains and wider benefits to society …”

“…two-thirds of the £10.7 billion of total forecast benefits were still to be realised in March 2012.”

Shortcomings included

-poor negotiating capability, resulting in deals with

-poor value for money

-weak programmemanagement and oversight.


The 1st governance model of PALKO-program didn’t work. It took the program 4 years to figure out the model needed to be streamlined…

PALKO program reported here. All committees above it, plus those depicted on the other

diagram, were setting expectations to PALKO.Where is the project? It did not fit this

organizational diagram…


Project targets vs Line of Command targets (invisible resistance, inertia)

Here is your project.What are your chances to make a change in Rolling

Mills department?

Important project


The headline stories of major failures are the tip of an icebergThe real problem? The anonymous, everyday underperformance

Headline stories of megafailures

Why don’t we hear about these?

Most programs manage to keep it private

Most failures are not ugly/sexy/political enough

Big programs failing is not news anymore

Bubbling under the surface,

the mass of megafailures

Why don’t we care about this?

We live it everyday, consider it normal

It’s the industry standard; risky to break

We don’t want to see real, viable options

The makings of megafailuresMASSIVE, ANONYMOUS, EVERYDAY

UNDER-PERFORMANCEmissing deadlines, budget overruns

poor value for moneyroutines, frustration, burnout

Huge overruns in time & money. Why?

Exceptional challenges, show-stopper surprises

Unique circumstances, extreme complexity

Unimaginable unprofessionalism


The Religion of Moloch in Bertrand Russell’s “A Free Man's Worship” (1903)



Contents


The cause? Our mistakes

Jekyll & Hyde


Spending lots of money in the beginning is like…

Licenses, hardware, tools ... So

many things of everything and lots

of them. Paid in advance

compared to benefitting from

project’s results. Like so many

traditional ERP projects.

Let’s say you want to improve order-to-cash performance: less

inventory, shorter throughput and better responsiveness to customer

demand.

And you start a traditional ERP Project.

Do you see the paradox?


Change program communications are constantly neglectedEither it’s really bad, or there’s just not enough of it

WRONGmessage

timeaudience

mediaNO

interaction integration

innovation

inspiration interest

RESULT?confusion ignorance

resistance

And much more...

criticism


Are you, your team, program or organization learning? Second loop learning through critical reassessment?

Secondloop

Firstloop

Zeroloop

REASSESS


Are you, your team, program or organization learning? Second loop learning through critical reassessment?

Secondloop

Firstloop

Zeroloop

REASSESS

most programsare stuck on

zero loop=

no learninghappens



Contents


R2O: 12 steps to better projects

steer

benefit

impact

simplify

be agile

reuse

interact

energizeengage

self-assess

learn

oil


ReTHINK: Deliver benefits early


ReWORK: Turn communications into interaction

be RELEVANTintegrate innovate

inspired agents

RESULT? The organization turns into

active subject of change

active audience

journeydialogue

be EXCITING

HOW? SoMe

GamifyCollaborate

And so on...


ORIENT: Invest in learning

The bigger the project the more

there is to learn.

Apprentice – journeyman – master

craftsman, a centuries old process

of knowledge sharing. And it is still

very useful because some people

know how to do the stuff and some

don’t - yet.

How’s the training program of your project? By when each of the

apprentices should be able to advance and present their master pieces?


Get in touch Find Moolok in media

Ilkka [email protected]@gmail.comTel: +358-50-337-9549

Tapio Järvenpää[email protected]: +358 40 199 0836@Tapsa_Jpaa

Facebook Twitter Talentum

IMAGE: Kaikki meni, eikä riitä

Taloussanomat: Huono it-johtaminen maksaa Suomelle miljardeja

Talouselämä: Taas meni pieleen

Digitoday: Suomessa hassataan miljardeja huonoon it-johtamiseen

ICT Standard Forum: Terveisiä Moolokille

Tietoviikko: It-hankkeiden budjeteista tehdään ylisuuria

Tietoviikko (video): Tämän takia IT-projektit floppaavat

YleX Etusivu: Haastattelussa epäonnistuineista it-projekteistakirjan kirjoittaneet Tapio Järvenpää ja Ilkka Kankare

Verkkouutiset: Väite: IT-hankkeisiin hukkuu 7 miljardia vuodessa

Tuomasmuraja.com: Apotti-hankkeen tiellä on vielä monta mutkaa

CxO Mentor, Kirja-arvio

mailto:[email protected]




https://twitter.com/Tapsa_Jpaa

http://www.tietoviikko.fi/cio/ithankkeiden+budjeteista+tehdaan+ylisuuria+varmuuden+vuoksi/a923483

https://www.facebook.com/VeikoMoolokVallan?ref=hl

https://twitter.com/veikomoolok

http://www.talentumshop.fi/kirjailijat/ilkka-kankare/veiko-moolok-vallan-epub.html

http://www.image.fi/artikkelit/kaikki-meni-eik-riit



http://www.itviikko.fi/uutiset/2013/08/12/huono-it-johtaminen-maksaa-suomelle-miljardeja/201311071/7








http://www.talouselama.fi/kirjat/taas+meni+pieleen/a2202312




http://www.digitoday.fi/yhteiskunta/2013/08/12/suomessa-hassataan-miljardeja-huonoon-it-johtamiseen/201311130/66






http://www.tietoviikko.fi/cio/blogit/ict_standard_forum/terveisia+moolokille/a928406












http://ylex.yle.fi/ylex-areena/play/2008871

http://www.tietoviikko.fi/kaikki_uutiset/video+taman+takia+itprojektit+floppaavat++nain+ne+onnistuvat/a921940


















http://www.verkkouutiset.fi/talous/it tappiot miljardeja-6643







http://tuomasmuraja.com/?page_id=819




http://www.cxomentor.fi/blogi/2013/09/13/272






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Cult of Wasteful Projects