The Project Management Approach. A Critical Success Factor in Digital Transformation Initiatives

Abstract

Abstract Research purpose. The main objective of this work is to highlight the adoption of project management practices in companies’ digital transformation initiatives as a critical success factor. Thus, on the one hand, we will seek to systematize the importance of project management practices in the digital transformation of economic organizations and, on the other hand, analyze them based on a digital transformation project of one of the largest publishing groups in Portugal. Having previously studied the process of digital transformation of the warehouse through the adoption of a Warehouse Management System, it is now important to analyze to what extent the transformation process was successful and to what extent the management as a project contributed to the achievement of the intended objectives and generated economic value. Design / Methodology / Approach. The first part of the study was carried out through surveys to managers for a general characterization; the second part through the adoption of the focus group technique for analysis and study in greater depth of a case study. In the first phase, the focus group adopts semi-structured interviews with the different managers of the group’s different companies and respective departments. In the second phase, a joint reflection on the organizational and economic value creation was developed based on the different existing perspectives of the digital transformation project. This reflection allowed a more objective analysis of the results obtained, the adequacy of management options, and the deviations. Findings. Technologies analysis investment is a management principle, and the project management approach facilitates this practice. It is essential to carry out a careful project management approach and analyze the economic and financial viability of the investment. The disruptive changes associated with digital transformation make it difficult, and it is not easy to achieve the strategic objectives associated with these investments. So, the adoption of a project management approach seems to be critical for the success of the implementation of digital transformation initiatives. The current study highlights three critical aspects in the global assessment of IST investment: the importance of analyzing the objectives achieved; the importance of economic and financial analysis in determining the return on investment; and the relevance of the analysis being carried out by the stakeholders involved as a way of perceiving, individually and collectively, the diversity of the benefits achieved. Originality / Value / Practical implications. The digital transformation of companies is a current reality and justifies a project approach to guarantee success in economic and organizational initiatives. However, it is important to analyze how management adopts the associated practices and whether it is aware of the importance of evaluating the intended results.