Information Systems Project Management

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(No Transcript)
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Information Systems Project Management

• Globalization Impacts
• Part II

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Dispersed / Global Teams

• Now for a few final points on how we should /
  shouldnt deal with outsourcing
• Protectionist legislation and tariffs wont slow
  it companies are too clever
• Anti-outsourcing web sites wont help
• Neither will white collar unionization
• And tax incentivizing corporations to keep jobs
  here treats the symptom vs. the cause

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• Some ways we can deal with outsourcing
• With a positive attitude that makes one a master
  of fate versus a victim
• Workers should consider international assignments
  and different types of jobs/industries where they
  can use their skills
• Workers also need to determine how to
  characterize their contribution to an employers
  bottom line
• Corporate clarity during outsourcing initiatives
• Skills retraining programs
• Increased pension/insurance portability
• Increased adaptability innovation
• Individual initiative continuous learning

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• The U.S. technology workers future will include
• More frequent job changes accompanied in some
  cases by lower wages
• More frequent relocation, more frequently to
  international locations
• More constant learning and training, including
  mastering foreign languages in order to maintain
  employability

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• Lets switch gears now and go back to the topic
  of cultural diversity
• A 1998 book titled Riding the Waves of Culture
  had an interesting view of that topic
• This book plotted corporate culture as four
  general types running along two axes, looking
  like this

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Egalitarian
INCUBATOR
GUIDED MISSILE
Person
Task
FAMILY
EIFFEL TOWER
Hierarchical
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• The bottom-left Family quadrant is
  characterized by on orientation toward the person
  and the hierarchy, described by the authors as a
  person-oriented culture
• The result is a power-oriented culture where the
  leaders are seen as benevolent fathers who know
  best

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• Cultures most attuned to the person-oriented
  culture are
• Mid-East Far East
• Southern Europe
• Latin American
• Cultures least attuned to the person-oriented
  culture are
• U.S., Canada Australia
• Western Europe

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• One of the most fascinating bits of data on this
  instrument was the Germanic influence
• So where would you expect the former West Germany
  and East Germany to fall on the person-oriented
  scale?
• How about Uruguay?

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• East Germany is aligned with a person-oriented
  culture
• West Germany and Uruguay are not
• Any guesses as to why this is?

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• The bottom-right Eiffel Tower quadrant is
  characterized by an orientation toward the task
  and the hierarchy, described as a role-oriented
  culture
• The result is a bureaucratic culture best attuned
  to an environment of order and predictability

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• Country cultures most attuned to the
  role-oriented culture are, not surprisingly,
  those that were the worst match for a
  person-oriented culture
• U.S., Canada Australia
• Western
• Mid-East
• Country cultures least attuned to the
  role-oriented culture are generally swapped,
  too
• Far East
• Latin American

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Dispersed / Global Teams

• The top-left Incubator quadrant is
  characterized by on orientation toward the person
  and a lack of hierarchy, described by the authors
  as a fulfillment-oriented culture
• The result is a person-oriented culture where
  commitment is extremely emotional and
  self-expression and creativity valued highly

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• The bottom-left Guided Missile quadrant is
  characterized by on orientation toward the task
  and a lack of hierarchy, described by the authors
  as a project-oriented culture
• The result is a target-oriented culture where
  motivation is intrinsic and loyalties are divided
  between functional specialties and short-term
  project roles

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• These are all over-generalizations, but useful
  for a PM in assessing which cultures would
  provide staff that would fit best into a matrixed
  project structure
• Or, perhaps better, assuming you were tasked with
  staffing a project from a different culture, how
  much hard work would be ahead in team formation
• Anyone have a guess re highest scores for each
  category?

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• Family
• Spain, India Israel
• Eiffel Tower
• West Germany, Austria Hungary
• Incubator
• Switzerland Sweden
• Guided Missile
• USA Norway

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• Youll note that India and the U.S. are high
  scorers in opposite quadrants
• This made our offshore staffing challenge very
  interesting at Convergys

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• One of my favorite examples
• A new India employee was set up to start work on
  a Monday. He called in the week prior saying that
  his father told him it was not an auspicious day
  to start a new job, and that hed be in on
  Wednesday (which I suppose was more auspicious)
• We had been counting on him being there and had
  him scheduled in training on Monday

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• One of my favorite examples (cont)
• My reaction was typical, culturally-insensitive
  American stuff I sent a note to the India Human
  Resources department asking them to tell him to
  report as agreed, unless he wanted me to
  reconsider whether it was auspicious to pay him
  on payday
• The postscript is that they calmed me down,
  explained the cultural family importance, and
  hes still a valued employee to this day

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• But leading these international project teams
  is not for the weak of heart

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• Heres some data from the Sept 2003 issue of
  Computerworld comparing countries pursuing IT
  outsourcing contracts on the criteria of
• Political stability
• IT Skills availability
• IT / Network infrastructure

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• Anything surprise or interest you in the
  preceding chart?
• How about the next slide???

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Annual US Dollar Cost for Programmer

• Singapore 19140 Brazil 5950
• Malaysia 8130 Russia 7940
• Vietnam 4110 Mexico 5150
• China 5850 India 6400
• Ireland 23500 Canada 28200
• Philippines 7250
• This number is fast becoming outdated

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• The India labor supply has been experiencing some
  stress in the two years since the study was done,
  and their number has risen quite a bit
• Its why India now outsources some work to China
• Its also why Russia Eastern Europe are
  beginning to look more enticing

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• Heres another example of the need for
  situational leadership of different types which
  is not International, but generational in focus,
  from Generations at Work Managing the Clash of
  Veterans, Boomers, Xers and Nexters in Your
  Workplace, by Claire Rames

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• Veterans
• Reward their efforts with symbolic displays
• Allow them time to chat socialize
• Boomers
• Give them public recognition
• Give them a chance to prove themselves
• Give them perks recognition
• Ask for their input
• Reward their work ethic

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• Xers
• Give them lots of work and feedback
• Give them time to pursue other interests
• Invest in technology for them
• Nexters
• Mesh their goals with the companys
• Equalize opportunities
• Give them training and mentors
• Watch for conflict with Xers

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• Well finish up this part of the discussion by
  showing you some country-specific items of
  interest, courtesy of J Paul Dittmans
  International Project Management course

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• Additional Facts on India
• Roughly 80 Hindu, 10 Muslim
• Over 70 of people live in rural areas
• Changing as urban middle class grows
• Democracy is almost 60 years old
• Totally free press
• Worlds third largest educated labor pool, yet
  literacy rates hover around 50
• Middle class is over 250M and growing
• Environmental consciousness also growing

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Dispersed / Global TeamsUS-Latin America
Comparison
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Dispersed / Global TeamsUS-European Comparison
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• Business 2.0 Supplemental Reading
• Passing the Screen Test
• Key Points

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• Business 2.0 Supplemental Reading
• Why Latin America is the New India
• Business 2.0 Sept 2005 article on Digital Divide,
  a company offering data entry service from
  Cambodia Laos
• Pays workers 75/month, double prevailing wage
• Business 2.0 Sept 2005 article on video game
  maker Ubisoft
• Puts game studios in nine countries using
  students and flat org charts to keep labor costs
  down

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Dispersed / Global Teams

• Business 2.0 Supplemental Reading
• Making Book on China
• Making It In China
• Key Points

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More on China

• CIO Magazine article, Its Cheaper in China,
  September, 2005
• More emphasis needed on precise process
  definition communication barriers than in India
• But Chinese government investing 5 billion in
  English language education at universities
• IT leaders planning to outsource to China within
  next 3-5 years up to 40 from 8
• Labor costs 20 of U.S. lowest real estate/power
  costs PwC estimates 37 savings over India
• Hiring off-shift relationship manager good idea

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More on China

• CIO Magazine article, Making it in China,
  October, 2005
• Logistics costs high in China
• Should use importers/exporters and logistics
  providers
• If labor LT 25 of TC, may want to mfg in West
• Factories not as flexible to design changes
• Supply chain precarious (and manual, with longer
  lead times and higher inventories)
• Govt involved in everything
• Contracts not followed to the letter
• Cash- and relationship-based economic system

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More on China

• Orlando Sentinel Insight article, Should America
  Worry About China, 9/25/2005
• China India now cooperating in recognizing
  common goal of selling to West
• Rejection of central planning playing big role
• Value of human capital in growing global economy
  plays to their strengths
• China GDP growth over twice that of U.S.
• Produces 4 times more engineers than U.S.
• Purchasing power double Japans
• U.S. must increase education commitment to thrive
  in the impending global economic war for jobs

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• Business 2.0 Supplemental Reading
• The Great Windfall
• Key Points
• Update March 2006 Business 2.0 News Item
• John Deere now in the game
• Sells stakes in wind turbine ventures to farmers
  based on their wind regime and proximity to
  transmission lines
• Deere turbines manufactured in India!
• India also entering semiconductor manufacturing,
  per March 2006 Business 2.0 news item
• 2005s 17 billion wind-driven kilowatt hours
  projected to grow to 100 billion by 2020

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• Worst Practices in PM in TV Supplemental Reading
• Key Points

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Remainder of the Term

• Professor Jiang will be taking over the rest of
  the way, covering current, topical content in
  areas such as
• Enterprise Project Management
• Program Management
• Portfolio Management
• Reading TBD