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Running Head: Control Portfolio

Control Portfolio CIS 601 Matthew Mabalot National University

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Control Portfolio The article Managing diverse stakeholders in enterprise systems projects: A control portfolio approach discusses the how the control of information systems projects were examined when multiple stakeholders are involved. There is a difference between one controller and multiple controllers. The study was to show a difference in one principle controller compared to multiple controllers as found in the end of the study. It can be very challenging with multiple stakeholders that have a hand in the project but maybe efficient. The article examined a project group for fourteen months to observe the implementation of a project utilizing multiple stakeholders and a control portfolio. Traditionally, there would be one principle controller and controllees as discussed in the article. The principle controller will control the entire project and the management team becomes a controller for their own department. The implementation is an enterprise system for land, sea, and air logistics. The control portfolio is used to identify the controllers, controlees, and controls throughout the implementation. Each control group will be responsible for implementing the project and completing each tasks based on the plan. Control rules are put into place according to the portfolio which limits the amount of customization to the enterprise systems allowed and the controllee-initiated controls. Each control group will have customization and some controls created dependent on their area and will follow the control portfolio within the project. The analysis documented each item changed and what the roles are for each member. The users and consultants are the controllees. The controller is the IS manager or project manager who then controls the group controllers. The textbook Management Information Systems stated that changing enterprise systems can undesirable because enterprise software is unusually complex and extensive

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customization may degrade system performance, compromising the information and process integration that are the benefits of the system (Laudon, 2012). To fully benefit from the enterprise software, companies need to change the way they do their daily processes in alignment with the systems. Enterprise Systems are standardized to fit the majority of processes in a company. Although some customization or programming may need to be changed it is not preferred in the textbook. The article describes changes as feasible as long as it is controlled with a 5% customization from each control group. Change is inevitable when having multiple stakeholders in an implementation team.

The controller in the article was responsible to create the control portfolio that controls all controllees. The control portfolio documents the tasks, roles, skills, and expectations of the controllees and controllers in the project. There are control modes that are used throughout the study which are both informal and formal controls. Two modes that are formal controls are behavior and outcome controls. The informal controls consist of the clan and self controls which do not rely on the hierarchy of the organization. Each mode uses control mechanisms and is documented in the control portfolio. The outcome controls are used to define and measure the outcome of the controls such as milestones, budgets, project plans, roles, and system testing. The behavior control defines the controls in ways of rules, procedures, and sanction controls such as job descriptions, tasks assigned meetings, hierarchy, and system documentation. Clan controls are the controls that rely on agreement of the team goals do not need a sign off by upper management such as trainings and social outings to develop relationships within the teams. Self control is created by the controllees so they have opportunity to set their own goals and have some say in the decisions when completing their tasks. The article analyzed that the use of

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multiple modes and both informal and formal controls were needed to receive efficient results. Each mode and control was documented by the controller in the control portfolio.

The studied discussed more on controls and how the controls are going to be followed within each control group but never really stated who the true controller was or if there were more than one controller. The result ended up being multiple controllers were in place without the groups not actually knowing it. The project was all based on the team work from each control group which made them the actual controllers for each of the departments. Each control group acted as a controller by being responsible for the controls to meet their project goals. The decision makers were the controllers and analysis found that the corporate project was more efficient with multiple controllers with multiple stakeholders in a project. The results of the study found that the control portfolio was the reason for the successful implementation of the project. Utilizing the control mechanisms and modes help everyone in the project better understand the entire project and help work together to limit changes and procedures. Each group controller had the opportunity to complete their portion of the project by identifying every control used to make decisions and complete tasks. The article also emphasized on why each control was used and how it was measured. Projects normally have one controller and sub groups or sub controllers but for large projects but it is more efficient when multiple control groups are used in alignment with the control portfolio. Control portfolio found that working across business units made it easier to complete projects on time and within budget because of the enterprise wide system that is implemented. Every project is different and one controller cannot take on a project without the sub-controllers and stakeholders. Creating

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the controls for each group was key to the success of the project because each groups attributes were different so different controls needed to be created. Most people respond better when their corporate manager or stakeholder is helping in the controls because the multiple external vendors and stakeholders. The users and consultants know the system and should be involved in every aspect by understanding the controls being used in the ES project. The use of everyones diverse skills and knowledge resulted in successful project.

References

Laudon, K. & Laudon, J. (2012). Management information systems managing the digital firm. Upper Saddle River, New Jersey: Prentice Hall. C. Soh, C. Chua, H. Singh (2010). Managing diverse stakeholders in enterprise systems projects: A control portfolio approach. Journal of Information Technology. Retrieved from http://docs.business.auckland.ac.nz/Doc/Managing-diverse-stakeholders-in-enterprisesystems-projects-A-control-portfolio-approach.pdf.