Application Of Project Management Tools In Banking Information Systems Development In Kenya
The development of banking information systems is a dynamic environment for banks with respect to project management, and is prone to failure if not managed with the criticality it deserves. This study aims to identify the application of various tools and techniques that aid in the effective and efficient management of the various banking information system development stages. The objectives of the study were to establish the project management tools and techniques used in Bank Information system projcct management in practice, to determine the effectiveness of the tools and techniques used in Bank Information system projects and to determine the challenges faced in using project management tools and techniques in Bank Information system projects. The research targeted all the 43 commercial banks in Kenya. Data was collected using questionnaires; that used a 'drop-and-pick later* approach. The respondents to the questionnaire were the project manager(s), business analyst(s) and Heads of ICT from cach bank. Demographic data of the respondents and the banks were analyzed using descriptive statistics. Means and standard deviation were used to analyze the use and effectiveness of tools and techniques used in the phases of a bank information system project lifecycle. The challenges associated with the use of tools and techniques were analyzed by employing means and standard deviation. The study found out that all the banks used various project management tools in bank information systems analysis and design. The Business Case justification was the most common technique used by banks in the conceptualization phase while Requirements analysis is the preferred technique in the planning phase. User Acceptance Testing and action logs are the most common techniques used in the execution and termination phases respectively. The least employed techniques in the conceptualization phase are net present value and decision analysis. In the planning phase the least used technique was questionnaires and surveys. The Fishbone diagrams and lessons-learned reports were the least used in the execution and termination phases respectively. The study found out that all the banks experienced various levels of effectiveness in using project management tools in bank information systems analysis and design. The v Business Case justification was the most effective technique used by banks in the conceptualization phase while Requirements analysis is the most effective technique in the planning phase. User Acceptance Testing and issues logs are the most effective techniques used in the execution and termination phases respectively. The least effective techniques in the conceptualization phase are Return on investment and Payback analysis. In the planning phase the least effective techniques were Decision trees and Resource histograms. The Fishbone diagrams and lessons-learned reports were the least effective in the execution and termination phases respectively. The study established that complexity of the tools and techniques used and differences in formality of phases in the project lifecycle are the key challenges faced by commercial banks in information system development life cycles. The application of project management tools and techniques is largely based on individual bank judgment most notably from continuous use and size of the information system development projects undertaken. It was discovered that most information system developments don't adopt use of more than two to three tools or techniques to generate a well-grounded base for decision making at the different stages of the project life cycle. Findings arrived at imply that these banks apply the same tools and techniques over time and therefore make use of them in the various bank information system projects undertaken. To ensure that there is a more diverse use of project management tools and techniques the policy makers within the banks should institutionalize project management methodologies that should be adopted in every bank information system project that will ensure at least two or more tools and techniques are used at the various lifecycle stages of a bank information system development appreciation of these tools and techniques is also required for project managers, business analysts and ICT project teams who should use them, therefore adequate training should be adopted for these crucial resources to gain understanding on the use of the tools and techniques. Further all bank information system developers and project managers must ensure to adhere to the traditional system lifecycle in all bank information system developments, this guide will greatly aid in setting the right framework for applying the various tools and techniques.
The following license files are associated with this item: