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IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                     1




                IRTC Project Role Assignments and Outsourcing

                           Loren Karl Schwappach

               PM 610: Project Planning, Execution, and Closure

                        Colorado Technical University
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                 2


                                           Abstract

This post discusses the role assignments needed for the IRTC billing system upgrade project and

the consequences of outsourcing roles with IRTC’s vender.
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                    3


                         IRTC Project Role Assignments and Outsourcing

       IRTC Manufacturing Enterprises legacy billing system upgrade project will involve a

great amount of cooperation and technical expertise from project team members and the vender.

This project is expected to be completed with a limited budget of $100,000 USD set aside for

vender resources. It is expected that IRTC will require the use of at least one technical writer

and instructional designer due to lacking availability and proficiency at IRTC, as well as the

possible use of a vender programmer to supplement IRTC expertise and provide a training

opportunity and communication resource for IRTC team members.

       This project will offer an opportunity for employees to gain experience in leadership,

business analysis, web based programming, and system testing, while improving employee

satisfaction and involvement in the billing system upgrades. IRTC also believes that using in

house expertise in this project will result in a more effective and usable system for IRTC billing

and customer service employees, and will reduce the use of monetary resources for vender

expertise that will not stay at IRTC.

       Five IRTC FTEs were looked into for inclusion into the project team. However, due to

the authorization limit of 2.5 FTE’s for this project, I selected four employees that I believe are

best suited to ensure this projects success.

       Terry was selected to act as the projects team leader due to her involvement in the

original legacy system’s installation as well as all system upgrades. She has technical experience

as a developer and tester, is extremely motivated about the project and will be able to effectively

coach and communicate with the vender, project manager, and project team members. She will

also be heavily involved in the legacy system upgrade and will work with Chris and Jan to

ensure the web based system and legacy system is fully compatible.
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                    4


       I have selected Robin to act as the systems analyst for the project due to her love and

involvement as systems analyst in the past two system upgrades. Robin will also assist Chris and

possible vender programmer in the development of the web based version to further develop her

knowledge in web programming.

       Chris will act as the projects web programming expert / leader due to his degree in

computer science and his past experience in web programming and software systems testing.

IRTC will augment Chris’s web programming expertise with a vender programmer whom will

train and work with Chris for a maximum of ten hours each week.

       Jan has been selected to act as the end user / tester of the legacy and web based billing

systems due to her experience with the similar web based billing system projects. She will work

with Chris and the end users (customer service and billing departments) to ensure the system

meets all organizational goals, features, and usability requirements outlined by the project scope.

Jan will also work with the vender hired instructional designer and technical writer in developing

documentation and training materials.

       The vender will be contracted to provide a skilled programmer, technical architect, and

technical writer to train, offer limited assistance, and core competencies to IRTC’s project team.

The vender team members will be utilized on an as needed consultant basis and should only be

used to develop IRTC team members and ensure the quality and integrity of the IRTC system.

       The project team will also be responsible for the development of the projects change

management program. “Change management is about starting up activities needed in order to

get people ready for change” (Smith, 2011). The project management team will need to bring

people up to speed on the upcoming software and process changes, to include getting them to

engage and participate in the change process in a positive manner so that conflicts and resistance
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                        5


are reduced. This will require excellent communication between the PMO and the project

management team. This will require the project manager and project team to “communicate early

and communicate often” (Smith, 2011).

Results of Outsourcing

        Corporations should be clear about their core competencies. If an organization does not

have the resources, capability, or functionality to deliver the required products or services, those

products or services should be outsourced (Smith, 2011). Actively training employees is an

effective method for reducing employee outsourcing. This can be accomplished by bringing in

contractors to coach, mentor and train employees and can offer tremendous overall savings

compared to what is sometimes lost through employee outsourcing (Smith, 2011).                 Using

corporate FTE also offers a moral boost for employees and can accelerate positive change

management results.

        According to Bucki (n.d.) in an article about the top seven advantages of outsourcing,

advantages include focusing on core activities, cost and efficiency savings, reduced overhead,

operational control, staffing flexibility, continuity and risk management, and the development of

internal staff (Bucki, n.d.).

        In a case study completed by Dahl (2006) of [WHO] Contract Counsel, a lawyer

contracting company created by David Galbenski, [WHERE] in Royal Oak, Michigan, [WHEN]

and founded in 1993, [WHAT] showed that even small companies could gain a tremendous

competitive advantage through outsourcing. [HOW] Companies like Contract Counsel could

offshore their work, in this case to include legal consulting services, to other countries such as

India. Outsourcing Contract Counsel legal services resulted in an explosion of growth and

income for Contract Counsel and allowed the corporation to expand from a small consultant firm
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                    6


into a national legal consulting business. [WHY] This case study illustrates the competitive

advantage of price, reach, and flexibility offered by personnel outsourcing (Dahl, 2006).


       Disadvantages of outsourcing include reduced client / organizational communication,

employee dissatisfaction, hidden costs, loss of managerial control, timeline problems, ill-will and

bad publicity, and treats to confidentiality (Meehan, n.d).
IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING                                                7


                                         References

Bucki. J (n.d.). Top 7 Outsourcing Advantages. Retrieved August 30, 2011 from:

       http://operationstech.about.com/od/officestaffingandmanagem/a/OutSrcAdvantg.htm

Dahl. D. (2006). Case Study: Was Outsourcing to India the Right Move? Retrieved August 30,

       2011 from: http://www.inc.com/magazine/20060101/handson-casestudy.html

Meehan. C. (n.d.). Advantages and Disadvantages to Outsourcing IT. Demand Media. Retrieved

       August 19, 2011 from: http://smallbusiness.chron.com/advantages-disadvantages-

       outsourcing-it-764.html

Smith, G. (2011, August 21). PM610 Live Chat Session 3 with Professor Gigi Smith [Online

       Presentation]. Retrieved August 30, 2011 from Colorado Technical University Online

       Virtual Campus, PM610-1103B-02: https://campus.ctuonline.edu

Smith, G. (2011, August 22). PM610 Live Chat Session 4 with Professor Gigi Smith [Online

       Presentation]. Retrieved August 30, 2011 from Colorado Technical University Online

       Virtual Campus, PM610-1103B-02: https://campus.ctuonline.edu

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Pm610 1103 b-02-schwappach-loren-p2-db3

  • 1. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 1 IRTC Project Role Assignments and Outsourcing Loren Karl Schwappach PM 610: Project Planning, Execution, and Closure Colorado Technical University
  • 2. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 2 Abstract This post discusses the role assignments needed for the IRTC billing system upgrade project and the consequences of outsourcing roles with IRTC’s vender.
  • 3. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 3 IRTC Project Role Assignments and Outsourcing IRTC Manufacturing Enterprises legacy billing system upgrade project will involve a great amount of cooperation and technical expertise from project team members and the vender. This project is expected to be completed with a limited budget of $100,000 USD set aside for vender resources. It is expected that IRTC will require the use of at least one technical writer and instructional designer due to lacking availability and proficiency at IRTC, as well as the possible use of a vender programmer to supplement IRTC expertise and provide a training opportunity and communication resource for IRTC team members. This project will offer an opportunity for employees to gain experience in leadership, business analysis, web based programming, and system testing, while improving employee satisfaction and involvement in the billing system upgrades. IRTC also believes that using in house expertise in this project will result in a more effective and usable system for IRTC billing and customer service employees, and will reduce the use of monetary resources for vender expertise that will not stay at IRTC. Five IRTC FTEs were looked into for inclusion into the project team. However, due to the authorization limit of 2.5 FTE’s for this project, I selected four employees that I believe are best suited to ensure this projects success. Terry was selected to act as the projects team leader due to her involvement in the original legacy system’s installation as well as all system upgrades. She has technical experience as a developer and tester, is extremely motivated about the project and will be able to effectively coach and communicate with the vender, project manager, and project team members. She will also be heavily involved in the legacy system upgrade and will work with Chris and Jan to ensure the web based system and legacy system is fully compatible.
  • 4. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 4 I have selected Robin to act as the systems analyst for the project due to her love and involvement as systems analyst in the past two system upgrades. Robin will also assist Chris and possible vender programmer in the development of the web based version to further develop her knowledge in web programming. Chris will act as the projects web programming expert / leader due to his degree in computer science and his past experience in web programming and software systems testing. IRTC will augment Chris’s web programming expertise with a vender programmer whom will train and work with Chris for a maximum of ten hours each week. Jan has been selected to act as the end user / tester of the legacy and web based billing systems due to her experience with the similar web based billing system projects. She will work with Chris and the end users (customer service and billing departments) to ensure the system meets all organizational goals, features, and usability requirements outlined by the project scope. Jan will also work with the vender hired instructional designer and technical writer in developing documentation and training materials. The vender will be contracted to provide a skilled programmer, technical architect, and technical writer to train, offer limited assistance, and core competencies to IRTC’s project team. The vender team members will be utilized on an as needed consultant basis and should only be used to develop IRTC team members and ensure the quality and integrity of the IRTC system. The project team will also be responsible for the development of the projects change management program. “Change management is about starting up activities needed in order to get people ready for change” (Smith, 2011). The project management team will need to bring people up to speed on the upcoming software and process changes, to include getting them to engage and participate in the change process in a positive manner so that conflicts and resistance
  • 5. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 5 are reduced. This will require excellent communication between the PMO and the project management team. This will require the project manager and project team to “communicate early and communicate often” (Smith, 2011). Results of Outsourcing Corporations should be clear about their core competencies. If an organization does not have the resources, capability, or functionality to deliver the required products or services, those products or services should be outsourced (Smith, 2011). Actively training employees is an effective method for reducing employee outsourcing. This can be accomplished by bringing in contractors to coach, mentor and train employees and can offer tremendous overall savings compared to what is sometimes lost through employee outsourcing (Smith, 2011). Using corporate FTE also offers a moral boost for employees and can accelerate positive change management results. According to Bucki (n.d.) in an article about the top seven advantages of outsourcing, advantages include focusing on core activities, cost and efficiency savings, reduced overhead, operational control, staffing flexibility, continuity and risk management, and the development of internal staff (Bucki, n.d.). In a case study completed by Dahl (2006) of [WHO] Contract Counsel, a lawyer contracting company created by David Galbenski, [WHERE] in Royal Oak, Michigan, [WHEN] and founded in 1993, [WHAT] showed that even small companies could gain a tremendous competitive advantage through outsourcing. [HOW] Companies like Contract Counsel could offshore their work, in this case to include legal consulting services, to other countries such as India. Outsourcing Contract Counsel legal services resulted in an explosion of growth and income for Contract Counsel and allowed the corporation to expand from a small consultant firm
  • 6. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 6 into a national legal consulting business. [WHY] This case study illustrates the competitive advantage of price, reach, and flexibility offered by personnel outsourcing (Dahl, 2006). Disadvantages of outsourcing include reduced client / organizational communication, employee dissatisfaction, hidden costs, loss of managerial control, timeline problems, ill-will and bad publicity, and treats to confidentiality (Meehan, n.d).
  • 7. IRTC PROJECT ROLE ASSIGNMENTS AND OUTSOURCING 7 References Bucki. J (n.d.). Top 7 Outsourcing Advantages. Retrieved August 30, 2011 from: http://operationstech.about.com/od/officestaffingandmanagem/a/OutSrcAdvantg.htm Dahl. D. (2006). Case Study: Was Outsourcing to India the Right Move? Retrieved August 30, 2011 from: http://www.inc.com/magazine/20060101/handson-casestudy.html Meehan. C. (n.d.). Advantages and Disadvantages to Outsourcing IT. Demand Media. Retrieved August 19, 2011 from: http://smallbusiness.chron.com/advantages-disadvantages- outsourcing-it-764.html Smith, G. (2011, August 21). PM610 Live Chat Session 3 with Professor Gigi Smith [Online Presentation]. Retrieved August 30, 2011 from Colorado Technical University Online Virtual Campus, PM610-1103B-02: https://campus.ctuonline.edu Smith, G. (2011, August 22). PM610 Live Chat Session 4 with Professor Gigi Smith [Online Presentation]. Retrieved August 30, 2011 from Colorado Technical University Online Virtual Campus, PM610-1103B-02: https://campus.ctuonline.edu