Describe about the Project Management for Adaptation Software Industry.
The government over the last few years has made efforts and used its inspirations from the software industry and adapted to agile approaches of project management and software development works. Agile is the new way to work efficiently and effectively and efficient professionals are helping agencies all across the US to implement practices of agile nature. Agile concepts are even being used in relation to stakeholders and government leaders and reports has been published regarding the success. Agencies and programs today are striving to expand their work methodologies to agile management techniques so as to get better outcomes.
Such changes in administrative departments making operational technique solidified with agile process will help strengthen the managerial programs in present times and for the future. Leaders of agencies must by all means leverage on the principles and implementations of agile management to help gain progress in IT and other program deliverables. By breaking up the large scale government processes into small iterative simple components involving the primary stakeholder’s one can improve the solution providing quality. All process involved are hence accelerated. Continuous deliverables help gain a competitive advantage and feedback from stakeholders help make services better in their “work in progress” stage thus lowering risks arising from its implementations (Chenok, 2016).
From the real life scenario there has been many scenarios where one can witness that the Healthcare government undergoing failures as it adopted a traditional method of work where a stage of work is completed totally and then one moves to another stage. It is unlike the agile approach where a stage of work has small iterations and testing all throughout its development phase. It is evident how agile actually makes work more efficient and fast (DePillis, 2013).
According to experts, there is a strong difference between the traditional and agile project management approaches. The traditional approach primarily focuses on sticking to the scope of the project and ignores everything outside the scope of the project. On the other hand, the agile approach focuses on the business need of the customer as compared to the scope of the project (Ullah, 2014). Furthermore, the agile framework views a change as an excellent way to evolve and develops the project the way it proceeds; however, the traditional approach tends to stick to the scope and does not want to break the rules or evolve the project over time. Along with this, it is noted that the Agile Approach includes a number of important principles in order to evolve a project such as the MoSCoW Principle. However, the traditional approach has failed to do so (Salameh, 2014).
Apart from this, it has been recorded that the project managers of the previous generation tend to stick to the Traditional Approach; however, the new generation has been laying an increasing amount of focus on the new methods of project management which includes Agile primarily. The approach is being adopted by an increasing number of businesses over time (Awad, 2005).
For all ages running organizations and managing them is a process of evaluation. Over decades these techniques and processes have undergone structural transformations. Today from functional management infrastructure, organizations has shifted to project based approach. As a result of this, project management needs in public as well as in the private sectors is witnessing a growing demand. Irrespective of what the type of business is or what the domain of an agency is, structural changes in managerial process is witnessed everywhere over the last three decades. The federal government undergoes a large job of managing its daily operations and delivering wide scale public services under all kind of circumstances. Large IT projects driven by the government in many sector uses traditional means of management. The government does not just manage their routine works of programs which are ongoing but also ventures new, large and intricate efforts for creating new services and products. Such programs need a rapid adaptation with changing external environments. Factors like technology changing at a rapid speed, changes happening in preferences of consumers and the need to use less resources drive such strategic operations of the government.
Although effective managerial techniques are used, project managers face several critical time path issues in the large IT projects they develop under government undertakings. Such weaknesses and issues has been a concern for years. Studies has been made to address the efforts made in project management for improving acquisitions of the federal government in various IT sectors. A study made in the year 2008 focusing itself on issues of project management made by the Council for Excellence in the government showcases the primary concerns and challenges (Marshall, 2015) which are summarized below:-
CPM technique failures – A method called the critical path method is widely used by project managers. By critical path is meant all the tasks involved in a project which helps determine the end date of the project being delivered. Any of the tasks if gets postponed or delayed for some reason, it signifies that the project completion day also delays for an equivalent time. Many times tasks are not included under the critical path. This can be a result of poor or slack in management techniques. This can lead to unnecessary delays (Makar, 2009).
Inadequate addresses of law –The design of project management is such that it aligns functions which are diversified and also aligns stakeholders to meet the final project goals. This way of organizing work works opposite to the fragmented sectors of the federal government. An example of this is the trials made by the government to strengthen managerial programs by making individual functions strong, For this several executive positions are created. Although officers are there at the senior level who understands the value of this but there is none to promote it.
Padding deliberately – The concept of deliberate padding is witnessed in scenarios when layers of management increases the scope of work even when the estimated for the total work completion time has been done previously. This occurs when managers feel the requirement to protect their own performance outcomes. There is a difference in between “estimates” and “commitment”. Hence, in some scenarios estimates are padded deliberately by managers so that they do not fail in delivering committed results.
Syndrome of student – The syndrome of student is witnessed many times. It is when deliberately work is put off till the last moment. This involves longer durations than estimated since time is lost as work is not started in time. This is where the Murphy ’s Law sets in and makes it even longer due to special cause variation in processes or common causes variations.
Poor multitasking – Even individuals working in the team of these large projects work in more than one project then it is a case of multitasking. There is no harm in multitasking. But often individuals face issues related to this . Sometimes before one work is finished the person moves on to the other leaving the previous one unfinished. This is an example of poor multitasking at work place.
Lack of professional community – Teams working in projects in managerial roles work in isolation relatively. They mostly are not aware about their colleagues present within the agencies. There is no practical process to communicate and discuss with them issues and policies. There is also no way they can participate in group discussions of government agencies or policies which has an effect on the project management within government sector. Hence such a lack of communication or community hinders the overall building up of project management capabilities in government sectors.
Law of Parkinson’s – As per this law work involved in a project tends to increase as per the time needed to complete it (Shurrab, 2015).
While planning and execution technology related projects it is extremely important for the team to anticipate and analyze what are the risks associated with the work. The project management integrator is the primary person who does such speculations and also has the knowledge to mitigate such risks. Risk management techniques like analysis risk matrices the team can devise a better plan and execute in inside the team. Issues which are common to such projects and which keep arising frequently can easily be anticipated by the integrator of project management. Hence in a timely manner they can deal with these potential risks, confront methodically, track and solve all issues with the help of frequent team meetings and in-depth documentations (Goodman, 2009) .
The success of implementation of policies depends how thorough the planning process is. Only a team where through proper program management goals, process, people and technology are tracked and organized is successful. The project management staff must be involved various planning initiatives as they can help make sure the feasibility of goals and address requirements needed for the success of programs and policies. Traditional management techniques still today has a lot of concerns and hence measures are taken to overcome them and streamline work process in new methods like agile management techniques.
Government employees are employed in the public sector thus are controlled by national, state or local governments. The public sector usually comprises of industries, organizations and companies owned by the government and only exists to offer and deliver services to the general masses with no intent whatsoever to make profit. Different governments have different ways and means of funding their projects through revenue generated, taxes and levies collected, public auctions etc.
The public sector tends to employ its workers through the national, state or local government by recruiting employees into civil service duties in various government institutions and establishments. Typical civil service institutions are the health sector, armed forces, education and vocational institutions, emergency services and city council duties. These employees are paid by the Federal government through the proper channels but from a portion of the tax payers’ money.
The private sector is the part of the economy run by individuals and corporations with a sole intent of making profit. It is also referred to as the citizen sector because this sector is not run by the government for the people rather by the people for profits. Businesses in the private sector tend to push prices of commodities down so that it can attract more customers. Ideally, customers will not pay more for goods and services they can procure at a cheaper price from competitors.
The private sector sources its employees through nongovernmental agencies, individual business owners, corporations and recruitment agencies. Jobs offered by the private sector include but are not limited to banking services, law firms, agriculture, retail stores management and other nongovernmental institutionalized jobs. Workers in the private sector are paid salaries with part of the company’s profits.
There have been discussions on who offers better paying jobs and livelihood security between the public sector and the private sector for as long as people started working for both entities. This debate will not quell soon because it is arguably not possible to have an “apple-to-apple” comparison between employment benefits in the public and private sector. This is because, the projects/jobs and environmental factors are quite different in both public and private sectors.
In light of government IT projects employees and how they view the private IT sector; they would rather remain attached to the public sector rather than risk it out in the private sector. Study has shown that even though government jobs are often seen as underpaying and demeaning, they come with a series of benefits that workers in the private sector would never receive in their entire work life.
Several studies have shown that federal and local government employees earn more than their counterparts in the private sector. This is after a critical analysis of the average wages and benefits in both the private and public sectors. Relying on the most recent findings and conclusions of Employer Costs for Employee Compensation survey, from the U.S. Bureau of Labour Statistics, employees of the state and local governments earn an average of $39.60 per hour, compared to $27.42 per hour for the private sector workers. This represents a 44% difference including 35% and 69% greater wages and benefits respectively.
Basing on wages and benefits alone, the government IT project employees would rather stick working for the public sector so that they enjoy more benefits. However, a new study showed that government employees both at local and state levels are highly educated, qualified and better experienced than those in the private sector thus it’s just natural that they should earn more. So what would keep them working for the government and not have any appetite whatsoever to partner with their industrial partners?
The industrial partners/private sector workers have greater work opportunities to get promoted, more than enough career choices and better pay increment. However, they also have; less job security, fewer benefit plans, less vacations and no security of tenure. Workers in the private sector face a lot of market pressure due to working in a very competitive marketplace. This would also call for longer working hours for the employees so that they can keep their organization competitive in the market.
On the other hand, the public sector/government workers enjoy much more benefits including and not limited to better comprehensive benefit plans, guaranteed job security, guaranteed work leaves (maternal and paternal), vacations among others.
Public sector workers also enjoy the fact that many government jobs lead to permanent appointment to various positions. In addition to that, a public sector worker can move from one position to the other while maintaining his/her comprehensive benefits, vacation entitlement, sick leave pay among other benefits applicable. However, public sector employees find it difficult to secure job promotion and pay increases. This is countered by having a stable and market pressure-free working environment.
In light of partnering with the private sector, government employees would rather not partner with the private sector. A study by the U.S. Bureau of Labour Statistics showed that private sector workers worked an average of 2,050 hours as compared to 1,825 hours of work by an average government/public sector worker. This shows that the level of productivity differs between the two economic sectors. This is necessarily not reflected by the wages and benefits each type of worker receives. A private sector worker has to put in more hours because if he/she doesn’t, the competition will catch up. On the other hand, a private sector employer will not pay as much as the government because he/she needs to maximize profits. However, the government worker does not have much competition and the government can afford to pay high salaries and benefits thus the productivity drags along.
For the above reasons, the government IT project employees would rather work with their own kind than partner or move to the private sector. Furthermore, the government/public sector has projects flowing in day after day; therefore it’s nearly impossible to have its employees laid off.
In an infrastructure, PPPs or public private partnerships signifies a contract in between a government body and any entity belonging to the private sector which needs a private partner for the delivery of services and associated risks. The administrative and financial burden of the government is hence eliminated for providing such services yet, retaining a crucial role in the tracking, monitoring and regulating performances of its privatized partner. Initially, the popularity of public private partnerships started when the government required meeting the ever increasing demands for expansions and the rehab of various infrastructures like roads, water, energy facilities and networks of sanitation. The PPP tool has to meet its various requirements to the citizens. Expertise of the privatized sector and latest technology can now be availed by the government without any strain on them due to their restricted budgets.
As a result of this citizens get better delivery of services without any enhancement in the taxation prices, Sometimes even user fees are decreased and there is flourishing in the economic growth in various sectors competing for lucrative contracts of PPP. The experience of work happening in such public private partnership firms is varied. The distribution of work is not even in this. The model is showing a growing acceptance and is improving and expanding in all lives involving public sector, government and ICT resources.
Two crucial questions come up while assessing PPP projects. One whether the private sector will be able to continue financing various capital investments needed for designing, installing and operating government based big IT projects like e-government or an ICT project. If they can afford to finance it. Whether the public sector financing systems and operations will prefer to accept it for those projects whose social returns are high. The second crucial assessment is to find whether it is possible for the private sector to manage IT government projects and operate it under the regulations and supervisions of the government in an efficient manner. If they can, then how will the government gain to fetch highest bids in the competitive market so that these IT projects reap the best possible value and innovations (InfoDev, 2009).
A question also arises why the government will go for private infrastructure financing. Infrastructure works, development and strategies of private sector is much more organized, fast paced and customer driven for the private sector. Previously the government used to finance infrastructure solely. The government was in responsibility for its operations, implementations and maintenances. However, with time they realized that there can be better ways to execute such projects and the process used currently are not the best efficient. Such a realisation was considered due to the factors like cost effectiveness, considerations of equity, fiscal prudence and allocative efficiencies. Based on these the government made much effort for creating the best environment for sustenance. The importance for having an adequate effective infrastructural services are realized because there has been failures in the implementations of the public based operational services. Countries often face fiscal constraints due to negligence in maintaining infrastructures. Thus, this increasing awareness made the government transfer to public private partnership for resources (Ailemen, 2014).
One of the most common procurement strategies is developing infrastructure project using privatized capital with the help of PPP routes. In developing countries the adoption of such techniques is high (Alfen, 2009). Financial crisis faced by countries developing is the reason for the interest towards PPP renewed. Here is a summary of the reasons why there is a shift to PPP by the government:-
Exploring public private partnership is helpful as the government can use technology from private sector and make innovations in making public services better with the help of operational efficiencies.
The private sector can also help deliver services in time and inside fixed budget
The Budgets present and future infrastructure project costs are taken into account and then a strategic plan is made in the private sector.
The PPP is pulling capabilities from privatized sectors to joint venture projects with the government where large firms of international standards gives opportunities of sub contracts to local firms. These can be electrical works, civil works, security services, facilities management, cleaning and maintenance.
This is also a way in which state is gradually being exposed towards ownership enterprises. The participation of the government to PPP is increasing. Skill transfer of such nature is also focusing to develop national champion s which runs as per their own operations on a professional level. This eventually helps exporting capabilities needed to bid projects under joint venture.
With this personification is also created in an economy where a country is in a better competitive terms in facilitating its infrastructural base. It also helps boost business and industries which are associated with development of infrastructure.
The capacities of public sector are limited and the PPP helps supplementing it for meeting the increased demands of infrastructure developments.
The long term value for finances is extracted with risks appropriate for transfer to privatized sector for projects related to design, constructions, operations or maintenances (PPPIRC, 2006).
Some significant weaknesses of the model are :-
Work efficiency is always a challenge in such models. Supervision from public sector and execution of work in private sometimes causes collisions. For example if product deliverables delay, cost estimates increase or if defects are found in the techniques then all the burden has to be taken by the private public partnership firms
If the services promised by the public private partnerships are not met, then their availability becomes risky. For an instance not meeting safety standards in schools, prison and hospital works.
Some of such demand risks occur when the number of users expected from such an infrastructure is much higher than what is actually. Bridges, tunnels, toll roads are examples where such scenarios are common. Here the private partner agrees for paying a minimum fee irrespective of the expectations met or not. Hence the risk is on the shoulders of the partner.
From suggestions of the past it can be said that implementing a best practice of division of work is difficult to be achieved. The emergence of new PPP models of hybrid nature with the help of the international aids and government reforms, the effect on the users can be significant (Pessoa, 2008).
A careful understanding of the project management operations by both Private and Public project management industries will clearly cite which industry is better with Agile Project management. The amount of money that can be wasted on a project is quite different in public project management than in private agile project management. The amount of money that the Private sector can invest is dependent on the funds they can raise for it. In case the private company spends money on a project that does not bear fruit, the stock prices for it would collapse and issuing new debt would become difficult. The characteristics of the free market is such that it would cause a company, that is badly managing its projects to become bankrupt ensuring no further loss is incurred.
The government does not face such limitations. If the government mismanaged any project their ability to raise funds are much higher. They can meet the shortages through a number of means such as raise the taxes, issuing unlimited new debt, therefore the chances of failed project risks in public sector is much higher than private sector. The main reason being, the public project management does not face any threat to bankruptcy as opposed to private sector therefore they keep pumping in money and end up critical losses. Considering the following examples would serve as evidence to the above statement. The FAA, while rewriting a control tower air traffic control software lost close to $1 billion and the FBI lost $1 billion while rewriting internal records management software. Furthermore a partnership between the Federal and the state is even more risky. Examples of such partnerships is the Big Dig in Boston and the Bay Bridge reconstruction between San Francisco and Oakland. Both these projects superseded their budget by billions of dollars (Krock, 2011).
Agile practices in the public sector is a big failure. The Cabinet Office may think that Agile will decrease the ICT project risk, however, practically that is not the case. Recalling the court battles of BskyB v EDS and De Beers v Atos Origin was a proof of how incredibly wrong an agile project in the public sector can go wrong. The method of Agile management for IT projects is expected to provide flexibility in iterations. Customers are supposed to be involved more directly than traditional methodology, all this shows that the ultimate result of a project develops eventually. It also means that a fixed amount is not paid by the customers for any project, but these are the very drawbacks of Agile. Roles and requirements are not clearly defined.
Those who advocate Agile say that traditional method of project control management are unrealistic. They are of the view that pre-planned project does not accommodate changes therefore it is unable to to fulfil requirements. Agile may work for reducing risks in private project management failure but the chances of it are frail in government ICTs.
There are four main reasons why Agile will not be appropriate for Government ICTs. The main reason being Agile does not provide upfront information on costs and government customers would always like to know the costs involved.
Secondly, you pay a particular amount for a set amount of effort however Agile does not ensure a set amount of effort for a set amount of money.
Thirdly, according to Agile policies the amount for materials and charges for time must be kept open, however, government agencies follow a strict budgetary policy and each of those policies must be approved. Therefore governmental departments may not be comfortable with Agile arrangements.
Fourthly, under agile there are no clear cut specifications on output. Giving an exact costing is also not entirely possible under agile. In the case of Government, they legally follow open procurement legislations.
In addition to the above problems there is a greater risk for the government to find remedies for failed Agile projects. Any failure in government projects immediately come under the limelight of the media, National Audit and the Public accounts committee who would not spare such mishaps. Therefore, observing the flip side to Agile project management in Public sector the verdict is clear, Private sectors perform better with Agile Project Management Control than Public sectors. (Ballard, 2011)
Even though private and public sector must work in collaboration for the betterment of the society and the economy, in most societies, they come together out of no other choice but to work in peace to benefit themselves. Some of the activities they work together for are roads and infrastructure, healthcare system and many more joint ventures
The reasons why these two sectors function are for a completely different reason. Their motives and forms of functioning are very divergent. One works towards effectiveness while the other for profit; thus the quality of service would equally differ from superior service environment to inferior service environment. One of the major advantages of a Private-Public Partnership is seen in the mental health care department, especially in the psychiatric department where the management of patients and effective organisation of service is vital. However there seems to be a number of reasons for their inability to work together. In order to understand the barriers to collaboration, an investigation was undertaken. According to the examination, a questionnaire consisting the above concerns were sent to all public sector mental health clinicians and private sector psychiatrists in a particular area. About 105 out of 154 public sector clinicians and 103 out of 194 private sector psychiatrist participated in the questionnaire. Approximately 71. 4% public sector clinicians and 72% private sector psychiatrists said that the main problem faced by them in mutually working together was communication gap. 66% private sector workers said that there was ambiguity in the roles and responsibilities, as opposed to 62.9% public sector clinicians and about 47.6% of public clinicians and 45.6% private sector psychiatrists said that they differed in the approach to treatments. Above 60% of private sector psychiatrists mentioned that there was a huge barrier to to accessing public systems. The study also showed a hypothesized view that the two sectors seem to handle different kind of patient population and the public sector clinicians are not as expert as private psychiatrists are.
Private sectors are profit driven. They seek to make money therefore the quality of infrastructure they provide are of superior standard as compared to public sectors. For example: A private hospital is cleaner and provides better facilities and internationally educated doctors but public sectors are performance driven. They seek to help the general public with little or no focus on gain. Though they may not have highly equipped services or great infrastructure but they provide superior quality services at no price or subsidiary rates. Public hospitals have more specialised but locally trained doctors (Purvis, 2014).
Private sectors need the help of public sectors for regulatory policies. The private sectors are extremely profit driven therefore if the government does not limit their pricing through regulations and pricing limits then the private sector can sell important services or goods at exorbitant prices that are very important to the people such as medicines. However, not all private sector companies are bad or unscrupulously makes money out of exploiting people. There are private companies that are serving people in a much better and cost effective way than the government. The private sector finances, builds and operates on behalf of the public sector in some areas. The private sector is then repaid through charges received from public services or public authorities and sometimes by both the sources (Hall, 2015).
Due to global crisis governments are seeking the support of private sectors and it has been a popular phenomenon and is an ongoing discussion at United Nations for Sustainable Development goals and also link finances for development. If considerable development takes place then privatisation will become a part of UN Policies, however is privatisation such a good thing? Are the public sectors doing this willingly or do they have no other alternatives? Studies show that under no plausible circumstances is the private-public collaboration feasible. They tolerate each other because without each other they cannot move forward. The problem for private sector however is they operate out of greed. With the passing of time the pressure of debts on public sectors have gone up which has caused the need for collaboration. Even though theoretically the public sectors must regulate the private sector practices and financial aspects, can they practically have any control over their operations since they need the help of the private sector? There are plenty of loopholes, there are no real public consultations, they make too many false promises, practices bribery and complex agreements to protect corporate profits.
Even though Private- Public collaboration may benefit the economy of a country it can also exploit its citizens therefore it is important that proper regulations and the terms for agreement is clearly discussed and formulated in order to avoid conspicuous money making schemes by the private sectors as well as any lobbying in the public sector.
Public private collaboration are beneficial and the two can work to fulfill a greater responsibility towards the society through their cooperative functions. Some of the areas that they can work together are healthcare sectors, roads and infrastructure and transport facilities.
A collaboration will ensure superior services and products which will not be highly priced because there will be guidelines provided by the government to function in a manner that does not exploit the public.
While there are advantages to Public-Private collaboration, their networking campaigns are facing a huge backlash from a number of NGO’s in various countries as well as globally and on national levels. Many who advocate PPP says that costs for the government comes down and the savings can be spent on developing other areas whereas in reality there is no savings. The government is expected to pay for the constructions and the service operation costs.
Conventional public sector projects cost much lower than PPP projects because the capital costs are higher and private sectors charge the people a much higher price due to monopoly of services. Furthermore the concept of risk transfers is used by the advocates of PPP, however there is a cost for risk transfers. It costs 25% more than traditional contracts. Therefore the collaboration may not be as beneficial as it may seem.
In conclusion, there are a number of areas that causes barriers in Public-Private collaboration which can be dealt with only with systematic changes in the way they provide services while both sectors need a cultural shift. A need for increased communication between the two sectors are essential in order to remove any communication barrier between the two. These meetings can be formal or informal and help them to compliment each other.
Even though there are a number of ways to work harmoniously together, the private and public sector to come together are more of a need than a luxury. Inasmuch as they do not like to work together, their need to work together may become necessary at times (Department of Psychiatry, 2005).
Conclusion
After a detailed analysis of the answers provided to each of the questions, it can be concluded that the Agile Project Management Approach is indeed among the primary methods used in the organizations today. With the changing business environment and the growing needs of organizations, the agile approach has been successful in catering to the needs of the businesses in a much more effective manner as compared to the traditional approach that focuses on the objectives of the project and unlike Agile Approach does not understand the business needs of a customer or looks towards growing the same.
It has also been understood that the individuals who work on the traditional approach once, face obstacles in transforming their frame of mind and incorporating the factors proposed by the agile approach. In such scenarios, it has been recorded that agile approaches have largely been adopted by the new generation. Although Private sector and Public sector individuals have their own set of problems, however, they have been able to work together when the situation arises and they do not have a solution. Furthermore, it can be stated that since the Public sector is bound largely by the limitations of resources or funds, it is able to function better with the Agile Project Management Approach as compared to the Private sector that may collapse in case a project is not successful. Apart from this, it has been noted that the government sector has consistently been complaining of critical time path issues and the inability to manage projects within the time frame set. For such purposes, the need for evolution and integration of the new project management approaches may seem to be a good idea for the purpose of resolving time management issues. Lastly, the PPP projects have encountered a number of issues in the past and consistent efforts are being undertaken to ensure that the private and public sectors are able to collaborate and work efficiently on a particular project.
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