Risk management in IT projects – a case of the South African public sector

Abstract

Purpose – The purpose of this paper is to study the recognition, application and understanding (status) of risk management in information technology (IT) projects in the South African public sector and thus contribute to the research gap. Design/methodology/approach – A quantitative approach in the form of a survey design was adopted, with data being collected through a questionnaire. The results from the study are compared to the theory and practice of risk management before drawing conclusions on the status of risk management in IT projects. Findings – The findings provide significant statistical support for the conclusion that risk management is being applied in current IT projects and that it is understood by the respective project clients. Research limitations/implications – Though risk management has been studied by several authors, very little is known about its status in the South African public sector. This study sheds light on its application in IT projects and its understanding by IT project clients. Practical implications – The study findings encourage project executives to develop knowledge bases for risk management in IT projects, as well as the corresponding tools. This will ultimately assist in knowledge sharing, which increases chances of IT project success. Importantly, the study also highlights that the relationship between project clients and project teams can be accelerated through knowledge sharing and continuous project communication. Originality/value – The research addresses one of the questions held by many scholars on the status of risk management in IT projects. It advances the recognition of risk management as a knowledge base and the practical implications thereof.

Analysis of the Risk Management Process on the Development of the Public Sector Information Technology Master Plan

“…In recent years, the use of the risk management in a public sector became important in some countries. Javani and Rwelamila [9] studied the South African case. They found a significant statistical support for the conclusion that risk management is being applied in IT projects and that it is understood by project clients, although risk management status in the South African public sector is little known.…”

Risk-Informed Decision Making in Information System Implementation Projects: Using Qualitative Assessment and Evaluation of Stakeholders Perceptions of Risk

“…Risk management within IT systems is vital to ensure that systems operate within specific performance and computational accuracy thresholds previously agreed upon in the form of user requirements and made official via Service Level Agreements (SLAs) [2,3]. Generally speaking, managing risks in a software implementation project is a three phase process.…”

“…While risk can never be entirely eliminated from a system, performing risk assessment aids in identifying current or potential risks associated with the implementation and operation of a computerized system in a given organization [2]. Additionally, it can provide strategies to manage identified risks at a level that is acceptable for the organization [3]. Risks are assessed by examining magnitude and likelihood [1,3,4], and risk response involves the organization creating and implementing both preventative and corrective controls to ensure risk is minimized [5].…”

“…Additionally, it can provide strategies to manage identified risks at a level that is acceptable for the organization [3]. Risks are assessed by examining magnitude and likelihood [1,3,4], and risk response involves the organization creating and implementing both preventative and corrective controls to ensure risk is minimized [5]. Additionally, risk mitigation acts to introduce controls that reduce potential risks within a system, to address risks and generate solutions to reduce and resolve threats [6].…”

Conceptualising a multidimensional model of information communication and technology project complexity

“…• Risk: Risks associated with technology is at the core of this element (De Bakker, Boonstra & Wortmann 2010;Bosch-Rekveldt et al 2011;Schwalbe 2013;Javani & Rwelamila 2016;Tatikonda & Rosenthal 2000).…”