Introduction of a new metric “Project Health Index” (PHI) to successfully manage IT projects

Jayaraman Rajagopalan (Department of Operations and Supply Chain Management, SP Jain Institute of Management and Research, Mumbai, India)
Praveen Kumar Srivastava (SP Jain Institute of Management and Research, Mumbai, India)

Journal of Organizational Change Management

ISSN: 0953-4814

Publication date: 9 April 2018



The purpose of this paper is to develop a new comprehensive metric to successfully plan and execute IT projects. The development will be based on a study of all the variables that go into making a successful IT project.


A questionnaire, containing qualitative and quantitative response questions, to gather data from practicing project managers is designed and used in an IT company. Cronbach’s alpha is used to analyze the data and multiple regression is used to find the equation relating project success to project management success.


A comprehensive variable called Project Health Index (PHI) has been identified. Using this variable, one can predict whether a project is likely to succeed or not. This comprehensive, composite variable is calculated by using 17 other project-related metrics identified from the responses to the questionnaire.

Research limitations/implications

The PHI has been calculated for the company studied. However, more studies need to be performed before it can be established that the PHI can also be used in other companies and projects. What has been established and validated is that PHI can be used in the studied company and that the methodology to calculate PHI is valid.

Practical implications

The PHI can be used as a predictive variable, i.e. one that can be used to take corrective and preventive actions to make a project successful. The PHI can also be used to allocate resources, prioritize the allocation and improve project management during the course of project execution.

Social implications

By implementing projects efficiently, resource utilisation increases and leads to waste avoidance. Improved sustainability is the end result.


The work is original. The contents and the conclusions drawn, as well as the use of the PHI will enable IT companies to implement projects efficiently, reduce cost and enhance profit.



Rajagopalan, J. and Srivastava, P. (2018), "Introduction of a new metric “Project Health Index” (PHI) to successfully manage IT projects", Journal of Organizational Change Management, Vol. 31 No. 2, pp. 385-409.

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