Queensland Health Payroll System Project Management Plan

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Project Management Plan
Queensland Health Payroll System
Queensland Health Payroll System Project Management Plan 2

Table of Contents
1 PROJECT EXECUTIVE SUMMARY 4
2 SCOPE MANAGEMENT 5
2.1 Project Objectives 5
2.2 Requirements Collection and Verification 5
2.3 Work Breakdown Structure 6
2.4 Validate and Control Scope 7
3 TIME MANAGEMENT 8
3.1 Project Schedule 8
3.2 Project Milestones 11
3.3 Internal and External Dependencies 11
3.4 Schedule Control 15
4 COST MANAGEMENT 16
4.1 Cost Estimates and Budget 16
4.2 Control Cost 18
5 QUALITY MANAGEMENT 19
5.1 Quality Planning 19
5.2 Quality Assurance Reviews 19
5.3 Quality Control 19
6 HUMAN RESOURCE MANAGEMENT 20
6.1 Roles and Responsibilities 20
6.2 Project Organisation Chart 20
6.3 Availability and Commitment of Resources 20
6.4 Team Development 21
7 COMMUNICATIONS MANAGEMENT 22
7.1 Manage Communications 22
7.2 Control Communications 22
8 RISK MANAGEMENT 23
8.1 Risk Management Processes, Systems and Tools 23
8.2 Assumptions and Constraints 23
8.3 Risk Response and Control 23
9 PROCUREMENT MANAGEMENT 24
9.1 Conduct Procurment 24
9.2 Control and Close Procurements 24
10 STAKEHOLDER MANAGEMENT 25
10.1 Key Stakeholders 25
10.2 Manage Stakeholder Engagement 25
10.3 Control Stakeholder Engagement 25
11 INTEGRATION MANAGEMENT 26
11.1 Change Control 26
11.2 Project Closure 26
12 BIBLIOGRAPHY 27
13 APPENDIX A –GLOSSARY 29
Queensland Health Payroll System Project Management Plan 3

1 Project Executive Summary
The Queensland Health Payroll system was a project that was implemented in March 2010. The project
aimed in replacing the existing payroll solution. The project replaced the old ESP Kronos rostering system to
implement SAP. The project was uniquely complex as the new system that was to be implemented was for
85000 staffs of QH. Queensland had experienced certain challenges in implementation of the payroll system.
The main purpose of the project was to increase the efficiency of QH by automating the payroll process of
thousands of its employees. The project review has been undertaken by evaluating the project audit reports.
However, there are certain issues associated with a project as a result of improper project management. The
project was delayed unexpectedly and could not be completed within the set budget. The main reasons
behind the unexpected delays and failure of the project includes improper scope identification and improper
scheduling. The project started in year 2007 and was expected to be delivered in the year 2008. However,
the project could not be completed until the year 2010. Due to the failure of the project, over 75,000
employees were affected. The project was delivered about 18 months late. The process followed in
implementation of the project was highly manual that resulted in the delays of the project. The software that
was developed resulted in inaccurate payroll payments, defective and missing functionalities and data errors.
The cost breakdown of the project includes $1.01 billion spent on business, $220.5 billion on fixing problems
and $25.0 million on working on the future systems. The development and implementation of a defective
payroll system resulted in inaccurate payroll payments and error in data storage. There are certain major
risks associated with this project as well, which includes the schedule and budget risk. The risk could not be
mitigated while the project was in the implementation phase and hence the delay. This project plan will
document every stages of the project undertaken. The major stakeholders associated with this project
include IBM, QLD Health and The Queensland Treasury. The project plan will further document the identified
project objectives, project schedule, milestones, cost and budget and key stakeholders. The following
sections give an overview of the detailed scope of the project.
Queensland Health Payroll System Project Management Plan 4

2 Scope Management
The project scope can be described as a detailed set of deliverables and the features associated with a
project. The deliverables of a particular project is generally derived from its requirements along with the
project objectives. It is essential to develop a scope management plan for a project as it helps in easier
implementation of the same. The scope of a particular project involves the necessary information required to
start a project along with the work, a project needs to accomplish in order to deliver a project or a particular
service. The scope management process of a project identifies the tasks that are needed to be completed to
ensure that project is implemented successfully. Improper scope management resulted in failure of the
Queensland health payroll project. The project objectives and requirements collection and verification
process that were followed in this project are discussed in the following sections.
2.1 Project Objectives
The identified objectives of the project are as follows-
1. The project was a government initiative and it intended to produce a higher standard of corporate service
functions.
2. The project intended to lower the cost to government by reducing the acquisitions, licensing and the
workforce cost.
3. The project aimed in centralizing the IT management process and operations.
4. The payroll system that was to be developed aimed in simplification of the different systems and
business processes. The developed business processes can be reused by the government agencies.
2.2 Requirements Collection and Verification
The requirements of project are collected by examining the existing system and identifying the
loopholes in the system. The requirement collection process associated with the Queensland
Health Payroll project included a number of stages, which are as follows-
1. Establishing the goals and objectives of the payroll project
2. Documentation of requirements of the project
3. The requirement documentation process for the project should be transparent.
4. Project requirements should be correctly communicated to the stakeholders of the project.
The requirement verification process that was followed in the Queensland Health Payroll
project includes evaluation of the requirements and specifications identified for the project. The
formal verification technique that was followed relied on mathematical proof and correctness in
management of the project. The collected requirements were further examined to check
whether it meets the specification of the software that is needed to be developed.
Queensland Health Payroll System Project Management Plan 5

2.3 Work Breakdown Structure
The work breakdown structure of Queensland Health Payroll Project is represented in the Following picture
Queensland Health
Payroll System
Project Starts Requirement Gathering
Identification and
Validation of Payroll
system Requirements
Validation of the
specifications of the
Project
Identification of Project
Objectives
Identification of the Scope
of the Project
Development of the Initial
Project Plan
Sharing and
communicating the
Project Plan with the
Stakeholders
M1: Approval of Project
Plan
Project Inititaion and
Planning
Preparing the Final Project
Plan
Estimating the Schedule
of the Project
Estimating the Project
Budget
Documentation of the
revised Project Plan
Approval for start of
Project
M2: Initiation of
Development of the
Payroll System
Project Implementation
Understanding the
Specification of the
software to be
developed
Designing the Interface
M3: Approval of the
Project Design
Software Coding
Coding the Database
Linking with Database
M4: Completion of
Software Coding
Testing
Unit Testing
System Testing
M5: Completion of Testing
Phase
Software Release
Software Demonstration
Software Go Live
Users' Training
Bug Fixation
M5: Successful Release of
a Functional Software
Project Closure
Project Evalutaion
Documentation
Payment Completion
Client Sign Off
Resource Release
M6: Project Ends
Figure 1: Representing the WBS of Queensland health Payroll Project
(Source: Created by author using MS schedule Pro and MS Project)