Table of Contents

1.INTRODUCTION ......................................................................................................................3

2.CHALLENGES IDENTIFIED ...................................................................................................3

2.1 BUDGET MANAGEMENT ............................................................................................................4

2.2 SCOPE MANAGEMENT ..............................................................................................................4
2.3 PROJECT EVALUATION AND MONITORING ................................................................................4
2.4. END USER REQUIREMENTS ......................................................................................................4
2.5. LEADERSHIP AND TEAM DYNAMICS .........................................................................................5
2.6. TECHNICAL AND GOVERNANCE CHALLENGES.........................................................................5

3.SOLUTION TO THE CHALLENGES ......................................................................................5

3.1 BUDGET MANAGEMENT ............................................................................................................5

3.2 SCOPE MANAGEMENT ..............................................................................................................6
3.3 PROJECT EVALUATION AND MONITORING ................................................................................6
3.4 END USER REQUIREMENTS .......................................................................................................6
3.5 LEADERSHIP AND TEAM DYNAMICS..........................................................................................6
3.6 TECHNICAL AND GOVERNANCE CHALLENGES..........................................................................7

4.CONCLUSION ...........................................................................................................................7

5.REFERENCES ...........................................................................................................................7

6.APPENDIX .................................................................................................................................9
1.Introduction

Fig-1 NSW Transport Infrastructure (Source: The Sydney Morning Herald)

The "Making It Work for You" project, a major $425 million IT initiative by Transport for New
South Wales(NSW), was conceived to revolutionize the Australian agency's technology
infrastructure (O’Sullivan, 2018). This case study delves into its challenging journey, marked
by considerable financial investment, yet achieving only a fraction of its goals. It explores the
myriad issues highlighted in the Third Horizon report, from financial constraints and technical
complexities to governance and team dynamics, that collectively steered the project off its
intended course (Hendry, 2018). This narrative not only underscores the intricate challenges in
large-scale public sector IT projects but also prompts a deeper evaluation of the strategies and
leadership required to navigate such complex endeavors successfully.

2.Challenges Identified

In the case study of the "Making It Work For You" IT project for Transport for NSW, several
key challenges have been identified from a project management perspective. Refer table 1. The
detailed analysis of these challenges has been structured into the following paragraphs:
2.1 Budget Management

A fundamental issue in this project is budget management. Despite consuming a significant

portion of its allocated budget which is $348 million out of $425 million, the project has only
achieved a third of its intended goals. This discrepancy points to a critical lapse in budget
planning and control, a common challenge in project management where resources are not
adequately aligned with project timelines and deliverables (Kerzner, 2019). The
mismanagement of funds in large-scale IT projects can lead to substantial financial losses and
diminished returns on investment, a phenomenon well-documented in project management
literature (Schwalbe, 2018).

2.2 Scope Management

The case study highlights issues in scope management, evident from the need to revise the
project's scope in 2017. The initial failure to clearly define and manage the project’s scope
often leads to 'scope creep' - a prevalent problem where uncontrolled changes or continuous
growth in a project's scope occur beyond its original objectives (Larson & Gray, 2018). This
misalignment between project execution and initial objectives is a classic example of poor
scope definition, a critical aspect emphasized in effective project management practices (PMI,
2013).

2.3 Project Evaluation and Monitoring

The Third Horizon report indicates worsening service delivery performance and declining
credibility. This suggests a lack of effective project evaluation and monitoring mechanisms to
track progress and address issues in a timely manner. Regular and systematic project evaluation
is crucial for early detection of issues and timely corrective actions (Kendrick, 2015). The lack
of effective monitoring mechanisms often leads to projects failing to meet their objectives, as
highlighted in various studies on project management (Burke, 2013).

2.4. End User Requirements

A key challenge in this project is aligning with end user requirements, as only a third of the
user goals have been met. Understanding and meeting end-user needs is a fundamental aspect
of project management, particularly in IT projects (Verzuh, 2015). Failure to adequately capture
and integrate user requirements can lead to project outcomes that are not aligned with user
expectations, resulting in reduced user satisfaction and project utility (Schwalbe, 2018).

2.5. Leadership and Team Dynamics

The report criticizes the team dynamics and calls for stronger leadership. Effective leadership
is critical in navigating complex projects and ensuring team cohesion and motivation (Müller,
2017). The issues of mindset and behavior within the team reflect a broader challenge in project
management: the need for effective leadership and communication to foster a positive team
environment and ensure project success (Kerzner, 2019).

2.6. Technical and Governance Challenges

The project also grapples with technical complexities and governance issues. Technical
challenges in integrating various IT systems and ensuring compliance with standards are
common in IT projects and require specialized expertise (Larson & Gray, 2018). Moreover,
governance issues, such as adherence to regulatory standards and stakeholder management, are
crucial for project success, especially in government settings (PMI, 2013).

3.Solution to the Challenges

Several solutions can be proposed to the identified challenges in the "Making It Work for You"
IT project for Transport for NSW, each supported by project management theories and best
practices. Refer Table 1.

3.1 Budget Management

To address the budget management issues, it is essential to implement a more rigorous financial
control system. This includes frequent budget reviews and adjustments aligned with project
milestones (Kerzner, 2019). Utilizing Earned Value Management (EVM) can provide a
comprehensive view of project performance and progress in financial terms, enabling more
accurate forecasting and better budget control (Project Management Institute, 2013).
Additionally, contingency planning for unforeseen costs can prevent budget overruns
(Schwalbe, 2018).
3.2 Scope Management

To combat scope creep, a clear and detailed project scope statement should be developed at the
project's outset. This statement should be regularly reviewed and updated with stakeholder
input to ensure alignment with project goals (Larson & Gray, 2018). Implementing a formal
change management process can help manage and control scope changes, ensuring that any
modifications are carefully evaluated and approved before being implemented (PMI, 2013).

3.3 Project Evaluation and Monitoring

Improving project evaluation and monitoring involves establishing robust Key Performance
Indicators (KPIs) and regular status reporting systems (Hill, 2013). These practices enable early
detection of deviations from the plan and prompt corrective actions. Additionally, adopting a
project management information system (PMIS) can provide real-time data for better decision-
making (Kendrick, 2015).

3.4 End User Requirements

Aligning with end-user requirements necessitates a comprehensive requirement gathering

process, involving all relevant stakeholders. Techniques such as user interviews, surveys, and
focus groups can aid in accurately capturing user needs (Verzuh, 2015). Regular user feedback
loops throughout the project lifecycle ensure that the project remains aligned with user
expectations (Schwalbe, 2018).

3.5 Leadership and Team Dynamics

Strengthening leadership and improving team dynamics can be achieved by providing

leadership training and team-building activities (Müller, 2017). Leaders should focus on clear
communication, fostering an inclusive and collaborative environment, and recognizing and
addressing team conflicts proactively (Kerzner, 2019).
3.6 Technical and Governance Challenges

To address technical and governance challenges, it is crucial to involve experts in these areas
from the project's inception. Regular compliance audits and adherence to industry best
practices can ensure that technical and governance standards are met (Larson & Gray, 2018).
Stakeholder engagement and effective communication strategies can also play a significant role
in navigating governance issues (PMI, 2013).

4.Conclusion
The case study of Transport for NSW's "Making It Work For You" project vividly illustrates
the intricate challenges inherent in large-scale IT projects. Key lessons emerge in budget
management, scope clarity, robust evaluation, alignment with user needs, leadership
effectiveness, and technical governance. The adoption of targeted solutions like rigorous
financial controls, proactive scope management, continuous project monitoring, user-centric
approaches, collaborative leadership, and technical compliance highlights a path to rectifying
these issues. This case not only sheds light on the complexities of project management in the
public sector but also underscores the importance of strategic, multifaceted approaches to
successfully navigate such grand endeavors.

5.References

• A Guide to the Project Management Body of Knowledge. (2013). PMBOK Guides.

https://repository.dinus.ac.id/docs/ajar/PMBOKGuide_5th_Ed.pdf

• Burke, R. (2013, November 25). Project Management. John Wiley & Sons.
http://books.google.ie/books?id=uJgYAgAAQBAJ&printsec=frontcover&dq=%E2%
80%A2%09Burke,+R.+(2013).+Project+Management:+Planning+and+Control+Tech
niques&hl=&cd=1&source=gbs_api

• Hill, G. M. (2013, September 5). The Complete Project Management Office

Handbook, Third Edition. CRC Press.
 http://books.google.ie/books?id=zYTNBQAAQBAJ&pg=PA1&dq=%E2%80%A2%0
9Hill,+G.+M.+(2013).+The+Complete+Project+Management+Office+Handbook&hl
=&cd=1&source=gbs_api

• Kendrick, T. (2015). The Project Management Tool Kit: 100 Tips and Techniques for
Getting the Job Done Right. New York: AMACOM.
https://www.google.com.sg/books/edition/The_Project_Management_Tool_Kit/HzcV
AgAAQBAJ?hl=en&gbpv=1&printsec=frontcover

• Kerzner, H. (2019). Project Management Best Prac0ces. John Wiley & Sons.
h:p://books.google.ie/books?id=OTPWEAAAQBAJ&pg=PA421&dq=Kerzner,+H.+(201
9).+Project+Management+Best+PracTces:+Achieving+Global+Excellence.&hl=&cd=2
&source=gbs_api

• Gray, C. F., & Larson, E. W. (2014, January 1). Project Management. McGraw-Hill
Education.
http://books.google.ie/books?id=5AbongEACAAJ&dq=Larson,+E.+W.,+%26+Gray,
+C.+F.+(2018).+Project+Management:+The+Managerial+Process.&hl=&cd=1&sour
ce=gbs_api

• Hendry,K. (2018,March 26). NSW Transport’s $425m IT overhaul hits the skids.
(n.d.). iTnews. https://www.itnews.com.au/news/nsw-transports-425m-it-overhaul-
hits-the-skids-487707

• Müller, R. (2017). Governance, governmentality and project performance: the role of

sovereignty. International Journal of Information Systems and Project Management.
https://doi.org/10.12821/ijispm070201

• O’Sullivan, M. (2018, March 25). $425m IT upgrade for transport agencies veers off
the rails. The Sydney Morning Herald. https://www.smh.com.au/national/nsw/425m-
it-upgrade-for-transport-agencies-veers-off-the-rails-20180322-p4z5n2.html
 • Schwalbe, K. (2006, January 1). Information Technology Project Management.
http://books.google.ie/books?id=doATmAEACAAJ&dq=Schwalbe,+K.+(2018).+Info
rmation+Technology+Project+Management&hl=&cd=1&source=gbs_api

• Verzuh, E. (2015, October 12). The Fast Forward MBA in Project Management. John
Wiley & Sons.
http://books.google.ie/books?id=R1izCgAAQBAJ&pg=PR2&dq=Verzuh,+E.+(2015)
.+The+Fast+Forward+MBA+in+Project+Management.+Hoboken,+NJ:+John+Wiley
+%26+Sons&hl=&cd=2&source=gbs_api

6.Appendix

Table -1

Challenges Identified Challenge Details Solutions

Budget Management A significant portion of the Implement a more rigorous

budget $348 million out of financial control system,

$425 million was consumed, including frequent budget

but only a third of goals were reviews, adjustments aligned
achieved, indicating a lapse in with project milestones, and

budget planning and control. utilizing Earned Value

Management (EVM).

Scope Management The project's scope had to be Develop a clear and detailed

revised, highlighting issues of project scope statement,

scope creep and regularly reviewed and
misalignment between updated with stakeholder
project execution and initial input, and implement a

objectives formal change management

process.

Project Evaluation and The deteriorating service Establish robust Key

Monitoring delivery and credibility Performance Indicators (KPIs)
indicate deficiencies in and regular status reporting
project evaluation and systems; adopt a project
 monitoring, leading to the management information
project not meeting its system (PMIS) for decision-
objectives. making.

End User Requirements Only a third of the user goals Conduct a comprehensive
have been met, showing a requirement gathering

misalignment with end-user process, use techniques like

needs and inadequate user interviews and surveys;
integration of user ensure regular user feedback
requirements. loops throughout the project.

Leadership and Team The report criticizes team Provide leadership training
Dynamic dynamics and highlights the and team-building activities;
need for stronger leadership, focus on clear
indicating challenges in communication, fostering an
navigating complex projects inclusive environment, and
and ensuring team cohesion. addressing team conflicts.

Technical and Governance The project faces technical Involve experts in technical
Challenges complexities in integrating IT and governance areas from
systems and governance the start; conduct regular
issues, including compliance compliance audits and

with standards and effective engage stakeholders

stakeholder management. effectively.