A Leadership Initiative for PMO Directors and Project Managers · Digital Transformation Study...

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Strategic Project Governance 2.0 A Leadership Initiative for PMO Directors and Project Managers Phil Weinzimer Strategere Consulting ©2019 Strategere Consulting September 11, 2019

Transcript of A Leadership Initiative for PMO Directors and Project Managers · Digital Transformation Study...

Strategic Project Governance 2.0 A Leadership Initiative for

PMO Directors and Project Managers

Phil WeinzimerStrategere Consulting

©2019 Strategere Consulting

September 11, 2019

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Phil WeinzimerPresident-

Strategere ConsultingEducator/Speaker

Consultant

Author

L Y N D A M . A P P L E G A T E

RI CH A RD T . W A T S O N

P H I L W E I N Z I M E RStrategic Project

Governance 2.0Project, Process, and

Leadership Excellence

Forthcoming 2020

©2019 Strategere Consulting

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Grab Your Notepad

•Why Governance

• Governance Objectives

• Strategic Project Governance 2.0

• Case Examples

• Implementation Approach

• Research Goals

©2019 Strategere Consulting

Strategic Project Governance 2.0 – A Leadership Initiative for PMO Directors and Project Managers

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Strategic Project Governance Key Objectives

• Identify / prevent unnecessary risk • Proactive process in selection/execution of projects

/technology investment decisions align with enterprise strategy

“The foundation to an effective governance program is effective risk management”… Deloitte

https://deloitte.wsj.com/riskandcompliance/2013/05/24/the-role-and-benefits-of-a-corporate-governance-framework/

• Enable achievement of strategic goals

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Project Failure Statistics

http://blog.mavenlink.com/21-shocking-project-management-statistics-that-explain-why-projects-continue-to-fail

The failure of IT costs the U.S. economy

about $50-$150 billion annually.

Harvard Business Review

17 percent of IT projects go so badly,

they threaten the existence of the

company.

McKinsey & Company in conjunction with the University

of Oxford

Just 40 percent of projects at IBM meet the company's three key goals (schedule, budget, and quality).

IBM

The failure rate of projects with budgets

over $1M is 50 percent higher than

the failure rate of projects with budgets

below $350,000.

Gartner

57 percent of projects fail due to

communications breakdown.

IT Cortex

Three-quarters of projects fail because senior management doesn’t get involved.

Capterra

http://blog.mavenlink.com/21-shocking-project-management-statistics-that-explain-why-projects-continue-to-fail

$150B 17% 40% 75%57%50%

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Digital Transformation Study

• 3- Year Study• 1500 IT/Business Executives• Increase of Transformation Projects Focus on 3 Key Areas

CustomerExperience

OperationalProcesses

BusinessModels

• Understanding Customer• Top Line Growth • Customer Touch Points

•Process Digitization•Worker Enablement•Performance Management

•Digitally Modified Businesses•New Digital Businesses•Digital Globalization

… Identified GOVERNANCE as a Major Obstacles to Success

https://youtu.be/zUmVJcC6Xhk

Research Study: https://www.capgemini.com/consulting/service/digital-transformation/

Video:

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The Evolution of Strategic Project Governance

• IT Driven

• Lack of Executive Buy-In

• They vs Us

• Conflicting Responsibilities

• Historical Metrics

• Misaligned Projects

• Lack of Processes

• Business Driven

• Executive Sponsorship

• Collaboration

• Business Partnership

• Real-Time Metrics

• Strategic Alignment

• Process Optimization

©2019 Strategere Consulting

Governance 2.0(2015 – Today – Future)

Governance 1.0(Pre-2015)

STRATEGIC PROJECT

GOVERNANCE2.0

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Strategic Project Governance 2.0Project, Process, and Leadership Excellence

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BusinessValue

LeadershipExcellence

ITEfficiency

ProjectProcess

Excellence

Strategic Project Governance 2.0Project, Process, and Leadership Excellence

https://www.idginsiderpro.com/article/3331276/strategic-it-governance-20-a-business-imperative-for-competitive-success.html?page=2

https://www.cio.com/article/3331276/it-strategy/strategic-it-governance-20-a-business-imperative-for-competitive-success.html

©2019 Strategere Consulting

EXECUTIVESPONSORSHIP

BUS / ITPARTNERSHIP

STRATEGICALIGNMENT

BEST PRACTICEMETRICS

PROCESSOPTIMIZATION

COLLABORATION

STRATEGIC ITGOVERNANCE

2.0

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Strategic Project Governance 2.0Key Components

• Business/IT Governance Board• Bus/IT Partnership Collaboration• Bus/IT Sponsor Ownership

• Project Impl. Review Panel•Defined Process, Roles, Resp. Matrix•Real-Time Project Monitoring• Continuous Improvement Process

BUSINESS VALUE

• Strategic Imperative• C-Suite Sponsorship• VP/Director/Mgr Sponsorship

PROCESS EFFICIENCY

• Stakeholder Involvement• Predictive Project Risk Indicators•Defined Project Success Criteria

• Proactive Project Management StatusPredictors for Project Success

• Collaborative Project Status Report

• Efficiency Metrics to Measure Success

• Enterprise-Wide Comm.• Bus/IT Technology Plan• Project Selection/Alignment Process• Business Outcome Metrics

ExecutiveSponsorship

Bus/IT Partnership

StrategicAlignment

Collaboration

Process Optimization

Best PracticeMetrics

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https://www.fieldtechnologiesonline.com/doc/orkin-embraces-the-field-service-evolution-0001

©2019 Strategere Consulting

Lee CrumpGroup VP, & CIO

Rollins, Inc

• $2 Billion Global Pest Control• 2 million Customers / 700 locations

Case Example

Jennifer ThomasSr IT Director,

Rollins, Inc

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ExecutiveSponsorship

Department/IT Partnership

StrategicAlignment

Collaboration

Process Optimization

Best PracticeMetrics

• Agile Sprints w/ Stakeholders• Continuous Improvement Teams• 40-Hour Tasks / Issues Mngmnt

• Consensus Governance• Business IT Teams

• Enterprise Communication Transparency

• Technology – Core Strategic Imperative• 6-member Exec Steering Committee• C-Suite Sponsorship

• Operations Governance Committee• Business Project Sponsor• Stakeholder Participation in PM Mtgs

• Core Operating Group Selects Projects& Priorities

• Alignment to Business Obj & Goals• Identify/Measure Business Outcomes

• Weekly Project Stand-Up Mtgs• Real-Time Metrics• Analytics/KPI Measurements

https://www.fieldtechnologiesonline.com/doc/orkin-embraces-the-field-service-evolution-0001

©2019 Strategere Consulting

Lee CrumpGroup VP, & CIO

Rollins, Inc

• $2 Billion Global Pest Control• 2 million Customers / 700 locations

Case Example

Jennifer ThomasSr IT Director,

Rollins, Inc

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I Improve Value to Georgia Citizens

As the stewards of taxpayer dollars, we need to ensure

project success through a well-defined and proven

governance process…Calvin Rhodes, CIO-State of Georgia

•Identify the Key Predictors for Project Success

•Proactive versus Reactive Solution

•Promotes Teaming through Active

Communication /Training via

Assessment Process

Multi Million Dollars Savings to Reinvest in Innovative Projects

Case Example

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Provides Oversight For Complex/Critical Projects

Critical Project Review Panel

• The State CIO-Chair• PMO Director• State Agency Project

Manager, • Business Owner/ Vendor

Project Manager• Governor’s Office

Representative

PARTICIPANTS• Projects -> $1M • Or with significant business

risk that would impact the citizens of the state; regardless of project cost.

CRITERIA

-Project Assessments through project lifecycle

-PMO attends Status Meetings

• Projects -> $10 Million• 600-800 projects/yr

129 STATEAGENCIES

STATE OF GA NEW PROJECT GOVERNANCE PROCESS

Teresa ReillyPMO Director

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ExecutiveSponsorship

Department/IT Partnership

StrategicAlignment

Collaboration

Process Optimization

Best PracticeMetrics

• Integrated Governance Process• Defined Process, Roles, Resp.• Proactive Risk Management

• Stakeholder Assessments• Agency/ IT Teams

• Active Communication / Training

• State Legislature Governance Initiative• State Agency Management • Operations Critical Review Panel

• State Agency Management Involvement• Active Stakeholder Participation • Vendor Participation

• State-Wide Communication Program• Alignment to Business Obj & Goals• State Technology Plan Focused on

Agency/Citizen/Business Needs

• Real-Time Metrics / Dashboard• Analytics/KPI Measurements• Identify Key Predictors for

Project Success

Calvin RhodesCIO - GTA

Teresa ReillyPMO Director

• 129 State Agencies /800 Projects• Multi-million $ Project budget • Governance saved $250 million

Case Example

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How Strategic is Your IT Governance ?

OptimizedInefficientTactical

100

Strategic

50

0 50 100

Bu

sin

ess

Val

ue

Process Efficiency

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How Strategic is Your Project Governance ?Maturity Assessment

Process Efficiency

Business Value

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Strategic Project Governance 2.0 Maturity AssessmentIT EfficiencyBusiness Value

Collaboration

Process Optimization

Best Practice/Metrics

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How Strategic is Your IT Governance ?

OptimizedInefficient

Bu

sin

ess

Val

ue

Process Efficiency

Tactical

100Strategic

50

0 50 100

1.MeasureCurrent

Maturity

2. Identify 6-12Month Goal

• Analyze Gaps

• Prioritize Goals

• Develop Plan

3. DevelopMaturity

Plan

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•Understand The Maturity Path For Project Governance

Awareness

Implementation Roadmap – Key Components

Assess•Strategic IT Governance

Maturity Assessment

IT EfficiencyBusiness Value

Plan•Current Maturity

•Future Maturity Goal•6-12 Mo Plan to Goal

Maturity Plan

Workshop

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Strategic Project Governance- Team-Based Workshop

• Presentations with Accompanying Team-Based Workshops

• Designed to Develop Strategic IT Governance Maturity Plan

• Each Workshop Deliverable is a Component of Strategic Project Governance Maturity Plan

Creating a Culture of Strategic Project Governance

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Strategic Project Governance- Workshop - Example

Strategic Proj. GovernanceA Business Imperative

PRESENTATIONStrategic Proj. Governance Overview/Assessment/ Strategy / APO Demo Process/Critical Success Factors/Framework

WORKSHOPAssess Strategic Maturity of Your Strategic Governance Competency/Develop Target Goal and Improvement Plan

Strategic Proj. Governance

Case Study

PRESENTATIONSanitized Case Study Overview of Multi-Division Business with Project Portfolio History of Excessive Risk/ Cost Overruns

WORKSHOPAttendees Work in Teams to Analyze Case Study Material and Develop and Share Recommendations

DELIVERABLEIT Governance Improvement Plan-Major Components

DELIVERABLEStrategic Proj. Governance Maturity Plan

PRESENTATIONWhy Companies Leverage Technology for Competitive Advantage and It’s Impact on Increased the Role and Skills Required By Project Managers

WORKSHOPAssess the Maturity of Your Business Competencies/ Skills and Develop a Maturity Plan

DELIVERABLEBusiness Competency/ Skills Improvement Plan

The Strategic IT OrganizationThe Changing Role of PM’s

Closing WorkshopTying it all Together

Work in Teams to Identify Value of Today’s Learning Experience.

©2019 Strategere Consulting

-Enhancing Your Career?

-Improving Your Skills?

-Helping the Business?

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Research Requests

• Interviews

• Case Studies Work with a few Volunteer Companies (NO $)- Document Prior/Current/Future State- Conduct/Write-Up Assessment Findings- Assistance in Co-Developing Governance Maturity Plan

Governance Success Stories - Enrich Research- Share Knowledge/Insights with PMI/IT Community

Strategic Project

Governance 2.0Project, Process, and

Leadership Excellence

Forthcoming 2020

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Closing Thoughts

©2019 Strategere Consulting

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Strategic IT Governance 2.0Project, Process, and Leadership Excellence

• Business Driven

• Executive Sponsorship• Business Partnership• Strategic Alignment

• Collaboration• Process Optimization• Real Time Metrics

PROACTIVE

Workshop

Thank YouPhil Weinzimer

+610-509-2583

[email protected]

www.Strategere.com

Strategic Project Governance 2.0 –A Leadership Initiative for

PMO Directors and Project Managers