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Project Problems and Termination

Project Libra: to Terminate or not to Terminate

After reading the case study and visiting the Website reference below, help with the following questions. to see the string of news stories related to Project Libra.
1. Identify some of the sources of the problems the project faces.
2. If you were to make the decision on whether or not to terminate this project, what would it be? Justify this position.

Case Study:
The UK government has insisted that it will spend no more money on the troubled Libra project at the Lord Chancellor's department.

Libra combines office infrastructure and a new casework system linking magistrates courts, but the software application was not delivered in July 2001 as planned, and is still delayed.

Libra IT system courts controversy Magistrates' IT system soars to £390m

In response to a parliamentary question Michael Wills, parliamentary secretary at the Lord Chancellor's department, said that the office infrastructure part of the project is now in place at 70 per cent of the magistrates courts.

But he explained that the contract with Fujitsu Services (formerly ICL) is currently under re-negotiation and that "it is not yet possible to indicate the outcome".

When asked by Labour MP Derek Wyatt if anything in the Libra contract required the department to fund an overspend, Wills responded: "There is no obligation within the current contract with Fujitsu Services that would require the department to fund an overspend."

The department said that it has so far paid £33m to Fujitsu Services. The cost of the contract has already increased from £183m to £319m due to additional work that the Lord Chancellor's department requested.
Although two companies started bidding for the project in 1997, only one formal bid was received.

Solution Preview

1. Identify some of the sources of the problems the project faces.
-Software application is behind schedule (was not delivered in July 2001) with no defined ETA.
i. One of the first questions that come to mind is did the project have the type of resources (i.e. skill level) and/or number of resources that was required to complete the project within the target completion date. The fact that the project is behind schedule is bad, but the most concerning things is that fact that there does not seem to be a clear understanding of what amount of work is still remaining on the project. Without that information, the stakeholders will not be able to determine what it is going to take to get the project to 'completion'.
-Project is over initial targeted budget by 57% (£183m to £319m).
i. Similar to the schedule, this is very considering. For the budget to increase over 50% and the project is not ...

Solution Summary

The solution discusses project problems and termination.