Evaluating an It Project

Evaluating an IT Project

To ensure your IT project is on track, and to prevent serious performance issues, you should evaluate the project at the end of each of the six project stages. Usually, the end of a stage is identified by the completion of a project deliverable. An evaluation process can help your team determine whether changes need to be made to the process or plan before moving to the next stage.

After working diligently to reach the end of each stage of the project, it is important for all team members to meet to discuss the negative and positive aspects encountered up to this point. The focus of this meeting is to evaluate the activities and variables for each particular stage in the current project's development.

For example, during the evaluation, the team may determine that the project scope has changed, the team has not been as productive as planned, or necessary tasks have been left out. These are all variables that can lead to missed deadlines.

During the evaluation of an IT project's development, it is essential to consider two main business activities. The two business activities that should be the focus of the project evaluation are described below.

1. Estimate schedule performance.

Processes that should work harmoniously together sometimes do not. Your team may find that these unforeseen circumstances can dramatically slow down development. You then have to stop and reevaluate the process. This can sometimes be very time consuming.

Your team can estimate schedule performance by comparing the schedule estimates with the actual work completed. A formula for measuring schedule efficiency is the schedule performance index (SPI).

SPI is the schedule efficiency ratio of earned value (EV) accomplished against planned value (PV). The formula is SPI = EV Ð"* PV x 100. In this formula, EV answers the question, "How much work has actually been completed at this point?" PV answers the question, "How much work was scheduled to be completed by now?" To round the SPI, look at the digit to the right of the place to which you are rounding. If that digit is less than 5, round down (6.45 = 6). If that digit is equal to or more than 5, round up (6.51 = 7).

When analyzing SPI for a project, you must consider the results from the calculation. A result equal to 100 indicates that the project is performing as estimated. A result that is greater than 100 indicates that the project is performing ahead of estimates. A result of less than 100 indicates the project is behind estimates.

Managers prefer to see the schedule hit within an acceptable range, where 85 or 90 out of 100 is considered acceptable. When the result varies significantly below 100, risk analysis will be necessary.

2. Evaluate team member performance.

Another business activity to evaluate is team member performance. The wrap-up at each stage of the project is an ideal time to evaluate whether the team has met the goals of the project plan.

It's important to evaluate the performance of team members to ensure they meet completion dates for each task, as documented in the project plan. Valuable time can be lost when even one member of the team does not meet individual goals. With each task set up to flow smoothly into another, a deviance from the established plan can cause major problems.

How can you determine whether team members have met project goals? You can establish a performance expectation for each task prior to beginning the project. The completion time for each task is normally estimated using an average work week of an eight-hour day and 40 hours. The equation you can use to determine completion time for a task is: number of estimated hours for completion Ð"* 8-hour day = time allowance in days.

For example, if the task is estimated at 20 hours, then it should be completed in 2.5 days (20 Ð"* 8 = 2.5) to be on schedule. If a task is estimated to take 2.5 days and it actually takes three days to complete, then the task has missed the deadline. If the task is completed in less than 2.5 days, it is ahead of schedule.

Do not underestimate the importance of evaluating your project's development. An evaluation at the end of each stage of your project can prevent serious performance issues as the project progresses.

Retaining IT Project Professionals

Did you know that the average employee turnover rate in the IT sector is approximately 12.5 percent, and that it can run as high as 40 percent in the most severe cases? This high turnover rate can have an impact on the success of your IT project.

There are three main reasons why your company should implement plans to retain its IT professionalsвЂ"in particular, those who work on your IT project. These three reasons are explored below.

1. IT professional shortage

Today's organizations are depending more and more on the qualified employees of their IT departments to help sustain growth and develop new products or services. Managers need to know how to acquire and retain these qualified IT employees.

With a continuing shortage of qualified IT professionals, and recruiters aggressively pursuing these individuals, it is becoming more and more important for IT managers to develop employee retention plans.

2. Project delay prevention

The loss of an IT project team member can cause serious project delays. It may take the organization months to replace the skilled employee, and then another several months to bring the new IT professional up to speed on the core aspects of the project he or she will be working on.

The loss of knowledge and experience that the IT professional brought to the organization can be especially relevant in the middle of a project. Time needed to train a replacement will put the project behind schedule, and products or services may not get delivered to customers as promised.

The time delay caused by employee loss also will negatively affect project plans, cost estimates, and deliverables. This could result in poor relations with the customer, something an organization needs to avoid.

3. Staff replacement cost

Staff replacement cost is another major factor in the quest for employee retention. The financial and psychological costs related to staff turnover can include:

• costs such as advertising, sign-on incentives, relocation, training,