Return on investment as an indicator of success: An analysis of information technology project management outcomes

by Czerwinski, David S., Ph.D., CAPELLA UNIVERSITY, 2008, 159 pages; 3337353

Abstract:

Information technology (IT) project success ratios have not been stellar over the past decade costing organizations billions of dollars. Averaging an annual project success rate of 27%, researchers as well as practitioners have published various rationales for improving IT project success. The research presented provides empirical evidence in determining that a relationship exists between IT project success and conducting Return on Investment (ROI) evaluations "Before", "During", and "After" project completion as well as "Organizational" attributes of policy, procedures, and leadership. A computer-based survey instrument consisting of a 51 questions was hosted by the Project Management Institute (PMI) organization to cultivate data from various project management professionals to address the various research problems. Over 1,100 cases were collected and a factor analysis methodology employed. Participant data from the largest group of global professional project managers suggests that there is a strong relationship between the firm conducting ROI evaluations throughout the various phases of the project life cycle and project success. Compelling analyses indicates that the most critical time to perform a ROI is during the PMI Execution, and Monitoring and Controlling project phases. Additionally, a high success correlation was found when organizational processes and administrative procedures are in place to facilitate ROI valuations during the project life cycle.

AdviserMargarita Rovira
SchoolCAPELLA UNIVERSITY
Source TypeDissertation
SubjectsBusiness administration; Management; Information science
Publication Number3337353

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