Zeitschrift für Managementinformation und Entscheidungswissenschaften

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Abstrakt

Scope confirmation exercise (SCE): A pre-project exercise to ensure a successful capital market fintech project

Kumar, S.

Cost and time overruns is persistent problem in software projects. The chaos report (1994) from the Standish group reported the extent of time and budget overruns in a software project delivery, which was quite intriguing. They had reported an average of 178% of the cost overruns for large companies, 182% for the medium, and 214% for the small companies. Time overruns averages are 230%, 202%, and 239%, respectively. Similar findings were reported by McKinsey & Company in 2012 even after 18 years. McKinsey Company said that around 66% of the software projects suffer from cost overrun, 33% from Schedule overun, and 17% get delivered with benefits shortfall. This is a significant project risk. While there are multiple methods proposed to mitigate this project risk, there is no evaluated project risk management methodology available in the literature. We offered a Pre-Project Scope Confirmation Exercise (SCE) as an activity, if done correctly that can lead to successful project delivery. We proposed a framework of SCE and then evaluated the SCE approach using 20 capital market financial technology projects done for the last 11 years, between 2010 and 2021, and suggested a newly proposed TUB score (Project success score). We have found that more time spent on one SCE drives to a better TUB Score. Essentially a detailed SCE ensures the success of the project. The analysis is done on the primary data collected from those 20 projects.

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