PeopleSoft apps vex US college

23.06.2006
The 11-campus North Dakota University System (NDUS) continues to work on a troubled rollout of PeopleSoft ERP and academic software that critics said has exceeded budget and missed deadlines.

The Web-based system, based on Oracle Corp.'s PeopleSoft Enterprise 8 software, is known as ConnectND and handles academic tasks such as grant and contracts management as well as payroll and human resources functions.

The effort to date was described as "a train wreck" by Gerald Groenewold, director of the University of North Dakota's Energy and Environmental Research Center, which develops energy-efficient and environmental technologies. The nonprofit group, based on the Grand Forks campus, relies on ConnectND for its operations.

"The old systems had Band-Aids, but they worked," he said. "Just give me something that works. [ConnectND] has cost our organization a phenomenal amount of money to try and implement."

The financials software is at times unable to quickly provide account balances to customers -- a task that once took minutes now can take weeks, said Groenewold. So far, the installation has cost his organization about US$500,000 and still costs about $15,000 a month. "To say I'm frustrated would be a significant understatement," he said.

College officials noted that the full ConnectND application is somewhat unique because its core ERP applications are also used by North Dakota state agencies. The ConnectND financial and human resources applications are housed in the state government data center in Bismarck, and the student management applications are hosted in facilities on the university system's Grand Forks campus.

ConnectND has cost the state an estimated $49 million -- $14 million more than originally projected -- and the implementation remains incomplete. Officials did not break out the cost of the NDUS portion of the project but blamed problems with that piece for the cost overruns and delays.

State Rep. Bob Skarphol, a member of the North Dakota legislature's IT committee, said the ConnectND system was first projected to cost about $35 million, with the rollout originally slated for completion two years ago. "Obviously, we probably underestimated the costs," said Skarphol, who noted that he had expected a smoother rollout from an IT operation at an academic body.

He also noted that the state government's rollout of the PeopleSoft software has been mostly smooth.

The academic software modules, particularly a grants and contracts management application, also did not perform as expected and have required extensive customization, said Laura Glatt, vice chancellor of administrative affairs at the Bismarck-based university system. "Things are not working as intended, but most of that is due to the fact we tried to implement too aggressively with too little resources," Glatt said.

The ConnectND project was launched in 2001 when PeopleSoft was selected to supply the ERP and academic software. The academic applications, many of them Web-based, were to replace a set of legacy applications that included internally-developed and mainframe-based packaged software, Glatt said. The systemwide rollout of the PeopleSoft academic applications began in April 2003, she said.

Glatt said she expects the full rollout to be completed within 18 months. She noted that an academic progress application still needs refinement, the portal requires enhancement and query and reporting capabilities must be expanded.

Glatt said university officials now blame the lack of an executive to oversee the project full time as a key reason for the implementation problems. "The major mistake from Day 1 was not to have a full-time project manager," she said. The first full-time overseer of the project starts work this month along with a new system-wide CIO.

Meanwhile, state government users are pleased with the system, said Mike Ressler, deputy CIO for North Dakota. "This is a first time state government and academic institution shared the implementation of one system, and we've gotten huge benefits from that," he said. "It's substantially cheaper than if we had bought them individually."

In an e-mail, Jim McGlothlin, Oracle vice president for higher eduction applications sales, said, "The project faced some complexity in an effort to meet [the] customized computing needs of the university. Oracle has not been the primary implementer of the project [but is] committed to working hand in hand with NDUS. to help them realize benefits in their technology investments."