B assume fidelity needs to initiate a new it project

b) Assume FIDELITY needs to initiate a new IT project in order to
build/develop one of the application software/systems you mentioned
above. Select the most complex information system you mentioned
above. Assume some IT outsourcing will be needed to complete the
project and make your assumption about the outsource approach explicit
(i.e., the contract pricing model and duration ).
Risks : Is Fidelity prepared for a new system of functioning?
Given the above outsourcing approach, complete a table describing the likely project
management challenges and describe ways to address them.
Rev’d for MISM 2301 by md Spring 2018 Page 5

Fidelity Investments: at heart, a technology company (continued)
Project Management
Challenges
Ways to Address Them
Managing Hidden Costs of
Outsourcing
- Outline and budget estimated costs and monitor
actual costs throughout the project.
- Analyze TCO considerations
Trying to maintain high quality
while not losing managerial
control
- Carry out quality planning, assurance and
control continuously to ensure the outsourcing
company is not violating the terms of the
contract
Schedule management
- Track work breakdown and identify the critical
path tasks relating to the project
- They should also create clear milestones of key
deliverables
Risk Management
- Perform a risk analysis of the project
(probability, consequence and visibility) and
develop response and recovery practices
- Use IT systems to make the risks and problems
more visible
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