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THE BIG SLEEP
With the economy on the upswing, business
managers look to revive IT projects. It's not always easy.
By John Edwards
In the completely fictional Museum of
Business Technology, the displays are amazing. Down one hall
they've got a Quadricycle, down another the original Telex.
One wing is devoted entirely to computers. There, Hollerith
Desks, Apple is, and IBM 650s sit perched on ivory cubes,
encased in acrylic panels, motionless and muted, forever frozen
in time.
Back in the real world, Kim
Autrey says he knows a little something about technology behind
glass. Three years ago, Autrey, vice president of business
systems for Orlando-based CNL Restaurant Capital, a subsidiary
of CNL Restaurant Properties, had just developed a bold new
tech plan for the company. At the core of the plan: build
a data warehouse that would help CNL, a restaurant-industry
financing provider, operate more productively and efficiently.
The project was well received by Autrey's bosses, who gave
it the green light.
But then, in 2002, Autrey's plan abruptly
came to a halt. With the restaurant business in the doldrums,
and with other projects at the company being moved up, CNL
management decided to suspend the project. "The priorities
changed," says Autrey.
Such a rethink is not uncommon. Over the
past few years, thousands of corporate IT projects - including
those once thought vital to ongoing business success - have
been relegated to some high shelf, victims of laggardly revenues
and a lingering recession. Tech budgets, ramped up by so many
companies during the go-go days of the late 1990s, were reined
in. Indeed, Gartner Dataquest says global corporate spending
on software and hardware actually dropped from 2001 to 2003
- a rare occurrence.
With corporate revenues now improving
(and with IT budgets plumped up), a growing number of companies
are looking to revisit old proposals. Some are finding, however,
that jump-starting a stalled project can be a complicated
affair. "You can't just gas and go," says Rick Brenner, a
principal at Chaco Canyon Consulting, a US company that provides
project-consulting services. "You can almost never resume
a project from where you left off."
Mash Unit
Consultants often advise corporate clients
to appoint a team leader to assess the difficult work ahead.
"You need one person who can conduct a project triage," asserts
Troy Edgar, CEO of Global Conductor, a US management consulting
firm that helps large companies implement and integrate projects.
"This person can then lead a group of people to finding the
right answers."
It's not surprising that a worker with
experience restarting stalled projects makes the best choice
for the job. "You may find someone like this inside," says
Brenner, "but it's unlikely." Why? Some industry watchers
point out that tech workers with good project skills often
command high salaries - exactly the kind of salaries employers
have been eager to dump in recent years.
Occasionally, businesses turn to project-consulting
firms to revive old initiatives. Many companies, though, eventually
hand the keys back to the staff member who first ran the program.
A smart move, particularly if the worker has continued to
champion the project during the big sleep. At CNL, Autrey
says he never lost faith in his data-warehouse proposal. "I
didn't want to let it die," he says frankly.
In fact, after hearing the project had
been mothballed, Autrey immediately went to work building
internal support for its eventual revival. "We got the rank-and-file
and department heads to say, 'We need this, Mr and Ms Executive
- we need to find the dollars to make this happen.'"
The result? As soon as CNL's business
picked up, Autrey's project was sitting at the top of the
corporate to-do list. "The homework was done," recalls Autrey.
"So when we were ready to pull the trigger, we could pull
it and move quickly." Often, the first action after pulling
the trigger is reassembling the original proj-ect team. That's
no small task, given the high turnover in many IT departments.Plus,
funds are almost always reallocated following a project cancellation.
But many restarted projects can move forward with just a core
of former participants, claims Ian Campbell, CEO of Nucleus
Research, an IT research and project deployment consulting
firm in the US. "In most cases, it's just the evangelist and
one or two of the former team members."
That proved to be the case at CNL. When
the "go" signal arrived late last year, Autrey moved quickly
to reassemble the project team. "It wasn't a large group at
that point - three or four people," he says. "But we brought
them back together.""
Perishable
Some companies may have a tougher time
reassembling the old crew. Experts point out that team members,
burned by the initial postponement of a project, could be
reluctant to return. That's particularly true if the workers
have moved on to other successful ventures at a company. "People
generally blame management when things go wrong," observes
Brenner, "although most companies don't acknowledge this fact."
To rebuild trust, a company's management
needs to be honest with team members about why a project was
yanked. More important, say consultants, executives overseeing
the revived project - whether IT managers, CFOs, or other
finance executives - should set a time line that minimizes
the chances of another delay. "It's never a good idea to spend
a long time deploying something," says Campbell. "It's far
better to have 80 percent functionality - going back to work
on the details later - than to make sure everything is 100
percent up front."
Benefits must be delivered quickly as
well. Autrey asked CNL to ensure that sufficient resources
would be committed to the project. That way, Autrey could
swiftly deliver on the promises he had made during the project's
wilderness years. "I could not let this data warehouse be
a 12-, 18-, or 24-month project," he says. "I needed to make
sure the executives and the board saw benefits very, very
quickly."
In truth, some on-hold projects may not
offer the benefits they once did. Technology projects have
a notoriously short shelf life, and experts warn that there
is a big difference between restarting a project that has
been shelved for a couple of months and one that has been
moldering since the 20th century. Notes Brian S Sommer, vice
president of field research services at Aberdeen Group, a
technology research firm in the US: "If it's been more than
18 to 24 months, you need to look at the business case behind
the project."
A close examination may reveal serious
flaws. For starters, the technology driving the project will
likely have changed in the intervening years. Autrey says
he had to reexamine the providers in the data-warehousing
space before relaunching his project. "Not only their products,
but the leadership," he notes. "What happened to them during
the one-and-a-half, two-year period?"
Beyond checking for new and enhanced technologies,
a company's management also needs to look at business options
that may have emerged since a project last saw light. "Perhaps
you can ship some of [the project] offshore," notes Sommer.
"This wouldn't have been an option until recently."
In some cases, it may make more sense
financially to simply start from scratch rather than attempt
to resuscitate an old plan. Other times, the rationale for
a project may simply no longer exist. A downsized company,
for instance, may no longer require the elaborate networking
strategy that was devised a few years back. Reaching that
conclusion, while painful, could prevent some ugliness down
the road. "Restarting a project can be very expensive," warns
Sommer. "Sometimes it's better to kill a bad proj-ect than
to continue on." 
John Edwards is a freelance writer based
in the US |