The Failure of the Implementation of Queensland Health’s Payroll System Name Institution Introduction Queensland Health implemented a new payroll system on March 8th 2010. The new system, consisting of two interfacing systems namely SAP and Workbrain, has brought a number of significant challenges to Queensland Health…
Queensland Health used a centralized payroll system whereby the districts that the system covers are linked to a local payroll service provider. In this system, the payroll officers solely handle all the pay information without involving district staff (QHPSCI, 2013). This makes the whole operating system vague. Healthcare organizations face several challenges that are unique to the healthcare sector. This paper uses the Queensland Health payroll system failure case to discuss significant government roles in the process of delivering successful project outcomes. We also analyze the pros and cons of two organizational structures (centralized and decentralized), with reference to the healthcare sector, successful business management and continuity. Additionally, an outline of the challenges in healthcare management practice as a result of the complex nature of healthcare organizations compared to other sectors is provided, with reference to the Queensland Health payroll system failure case. Finally, we discuss the short-term and long-term impact of IT implementation failure. The failure of payroll system at Queensland Health brought both short term and long term effect to the government. The government has incurred severe losses in the processes of repairing the errors created by the defective system. Moreover, the workers of Queensland Health were greatly affected by inaccurate pay outcomes during the two years when the system was under implementation (QHPSCI, 2013). Queensland Health is currently in the process of re-implementing the system, and anticipates that the long term consequences of failure in the payroll system will be reversed eventually (QHPSCI, 2013). Importance of Governance Governance refers to the roles and responsibilities of an organization’s executive management and board of directors. It is an important area of enterprise management and comprises the leadership and organizational structures and processes that guarantee that the organization maintains and extends its goals and strategies. Governance determines how an organization manages demand and delivers value while protecting against risk. Due to the large number of individuals, processes, and technologies involved in the operation of IT and the broad nature of governance, managers may find it challenging to identify the areas that require more focus and effort in order to achieve the utmost impact. Organizations without efficient governance experience greater risk exposure, low performance, and arbitrary, political or inappropriate allocation of resources. Effective governance of a system reduces the risk of failure and ensures superior project outcomes. Governance also eliminates conflicts among individuals in an organization by specifying their roles, legal obligations and responsibilities. It ensures the successful implementation of projects by enforcing responsibility, justice, legality, direction and transparency. Organizations that pursue an enhanced approach to governance exhibit better performance. This improvement results from both the governance and how the public perceives this governance (VandenBerghe & Ridder, 1999). Moreover, governance protects the reputation of an organization and ensures that it meets the demands of clients, regulatory bodies, legislators, employees and other crucial stakeholders. Governance drives value and manages ...
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