Enterprise Project ManagementEnterprise Project Management ... · PMMG Design Stage Two Maturity...

(c) 2006 DLB Associates, LLCAll Rights Reserved 1

(c) 2006 DLB Associates, LLC All Rights Reserved 1

Chapter Meeting

September 13, 2006

Program byDennis Bolles, PMP



•• PM Is A Business FunctionPM Is A Business Function•• Critical First MovesCritical First Moves

OverviewOverview

Initiating the House of ExcellenceInitiating the House of Excellence

•• GovernanceGovernance•• StandardizationStandardization•• CapabilityCapability•• ExecutionExecution

Program OutlineProgram Outline


Enterprise Project Management is amindset, a way of communicating andworking that is supported by technology.

EPM organizes an enterprise’s resourcesin direct alignment with the Enterprisesvision, mission, strategic initiatives,and business objectives (VMSO).Enables the enterprise to translate VMSOinto executable portfolios, programs,and projects.

Enterprise Project ManagementEnterprise Project Management --DefinitionDefinition


•• MissionMission – the degree to which the enterpriseknows why it exists and what its direction is –Governance.

•• ConsistencyConsistency – the company’s systems andprocesses which support efficiency andeffectiveness in reaching enterprise businessobjectives - Standardization

•• CommitmentCommitment – the degree to whichindividuals at all levels of the enterprise areengaged in and hold that direction as theirown – Capability

•• AgilityAgility – the ability of the company to knowwhat Customers want, and the degree towhich it can respond to external forces anddemands – Execution

Cultural Change Requires:Cultural Change Requires:


The Driving Forces Behind EPMThe Driving Forces Behind EPM

• Loosing Market Share• Competition is Faster to Market• Fewer Resources Available• Cost Cutting – Budget Reductions

• Customers are demanding it• Dynamic Growth

PAIN!NEED

ACTION



EPMO BenefitsEPMO Benefits

Expands PM Practices Enterprise-wide

Opportunity to Recognize Successes

Facilitates Internal Benchmarking

Distribute Lessons Learned

Establishes Best Practices

Enables PM Training and Development


Project Business ManagementProject Business Management

Project Business Management is theintegration of General Business ManagementGeneral Business Managementand Project ManagementProject Management policies, processes,

and procedures.

Project Business Management begins withStrategic Planning, and progresses through

developing Business ObjectivesBusiness Objectives, establishingPortfoliosPortfolios that prioritize and manage theauthorization of ProgramsPrograms and ProjectsProjects.


Establish a EPMO enterprise StructureRequires Careful Planning

The first moveoftendetermines theoutcome of thegame

Establishing EnterpriseEstablishing Enterprise--widewideProject ManagementProject Management


1) Obtain top executive commitment andsupport

2) Get middle management commitment &support

3) Assess the current situation4) Create a EPMO Charter and get it

formally adopted by the managementteam

5) Make a big splash to get everyone’sattention

Important Steps to TakeImportant Steps to Take


6) Create a current Portfolio of Programsand Projects

8) Implement a Project ManagementMethodology standard

9) Provide Education & Training10) Sell the concept of enterprise-wide

PM whenever you can

Establishing Enterprise-wide ProjectManagement Is Not A Trivial Pursuit!

Important Steps to TakeImportant Steps to Take -- ContinuedContinued


Establishing EPMOEstablishing EPMOEnterprise Assessment / Plan to

Achieve the Future State

Assess the Current StateAssess the Current StateDefine the Future StateDefine the Future StatePlan to Fill the GapPlan to Fill the Gap



The Importance of PositioningThe Importance of Positioning

• Position is equated with Authority

• Position establishes level of Acceptance• Position enables enterprise-wide Adoption

• Position defines level of Autonomy


(c) 2006 DLB Associates, LLC All Rights Reserved 15 (c) 2006 DLB Associates, LLC All Rights Reserved 16

VisionVision

“To create an environment that enablesworldworld--class proficiencyclass proficiency in managingprojects enterprise-wide within the

enterprise.”


MissionMission

“To provide the leadership that will guidethe enterprise in providing its Programs,Projects, and Services by utilizing ‘‘bestbest--

inin--classclass’’ project managementmethodologies, tools, templates, and

technology.”


Strategy

“Create an environment within theenterprise that embraces project

management as an intrinsic enablerintrinsic enabler forachieving its strategic initiatives and

business objectives.”



Business ObjectivesBusiness Objectives

“To establish and institutionalizeproject management practices as thenaturalnatural way to accomplish work andtreats it as a business function to thedegree that PM becomes part of the

enterprises core competency .”



Establishing EPMEstablishing EPM

Critical Success Factors

Establish GovernanceEstablish Governance

Define StandardizationDefine Standardization

Develop CapabilityDevelop Capability

Enable ExecutionEnable Execution


Establishing The EPMOEstablishing The EPMO

Created EPMO Charter

PurposePurpose VisionVision MissionMission StrategyStrategy Goals & ObjectivesGoals & Objectives MethodologyMethodology Critical Success FactorsCritical Success Factors RRoles/Responsibilities/Accountability/Authorityoles/Responsibilities/Accountability/Authority

-- LeadershipLeadership-- ConsultingConsulting-- MentoringMentoring

EPMOEPMOCharterCharter

ManagementSign-off



Enterprise Organization StructureEnterprise Organization Structure

EPMOEnterprise-wide ProjectManagement OfficeForecasting, Strategic Planning

Corporate Level

Business Unit PMOPlanning,Scheduling, Reporting

PMOPMOBUPMOBusiness Unit

Level

Divisional PMOOverview & Master ProjectPlanning

PMOPMODPMODivision

Level

Project Management OfficePlanning,Scheduling, ReportingMission-Critical StrategicProjects

PMOPMOPMOProjectLevel


EPMO Reporting StructureEPMO Reporting Structure

EPMO

DPMODPMO DPMO

BUPMOBUPMO BUPMO

PMOPMO PMO

EPMO = Executive Level

DPMO = Division Level

BUPMO = Business Unit level

PMO = Mission CriticalProject Level



Manage Enterprise ResourcesManage Enterprise Resources

New OpportunityRequires Reprioritization

Of the Portfolio

CapacityAnd

CapabilityTo Do Work

Limited Resources


EPMO staffing,responsibilities and skill levelrequirements change as theenterprise matures.

Strategies evolve asmaturity progresses

ResourcesCost Tracking

SchedulingTools & Templates

ProcessesProcedures

Work Instructions

Project Management

Process ManagementEvolutionary stateof the EPMO

Maturity Path

Time

Ben

efits



Establish Project BusinessProject BusinessManagement StandardsManagement Standards including:policies, procedures, processes,tools and templates that will be

commonly appliedcommonly applied to all enterpriseportfolios, programs, and projects.

Develop StandardsDevelop Standards


Establishing A MethodologyEstablishing A MethodologyPublish the Project ManagementMethodology Guidelines (PMMG)

IntroductionIntroductionProject AuthorizationProject Authorization

Project InitiationProject Initiation

Project PlanningProject Planning

Project ExecutionProject Execution

Project ClosingProject Closing

Education & TrainingEducation & Training

PM TemplatesPM Templates


1E-1 Close Strategy1D- 1Manage Strategy Change1D- 2Monitor Strategy MetricsPerformance

1C-1 Implement Strategy1C-2 Perform StrategyStatus Reviews

1B-1 Prepare StrategicBusiness Plan1B-2 Prepare Business Cases1B-3 Prioritize BusinessStrategies

1A-1 UpdateEnterprise Vision andMission1A-2 DevelopBusiness Strategiesfor Next BusinessCycle1A-3 IdentifyApplicable EnterpriseEnvironmentalFactors1A-4 Define StrategyPrioritization Criteria1A-5 DevelopStrategyAccomplishmentMetrics

Strategy ClosingProcesses

( E )

Strategy Monitoring &Controlling Processes

( D )

Strategy ExecutingProcesses

( C )

Strategy PlanningProcesses

( B )

StrategyInitiatingProcesses

( A )

PBMM Business Strategy DevelopmentModel Processes


PBMMBusinessStrategyDevelopmentInitiation &PlanningProcesses


PBMM Business Strategy Processes Summary(Example)

Initiate ProcessesOBJECTIVE: Obtain organizational commitment for the project. Setup funding for

planning and initial startup activities.

ENTRANCE CRITERIA: TYPICAL INPUTS: Management approval to proceed. EPM and PM identified.

Proposal/Contract/Sales Order/Projectmaterial

TASK DESCRIPTION:Identify Core Integrated Product Development Team membersPrepare/open start - up EPA.

EXIT CRITERIA: OUTPUTS: Start- up EPA approved Core Integrated Product Development

Team members identified and assigned(Required)

Approved startup EPA (Required)



Develop a Project BusinessProject BusinessManagement Education & TrainingManagement Education & Trainingprogram, which definesdefines educationand training requirements, testing

criteria, and validation processes forportfolios, programs, and projects.

Education & TrainingEducation & Training


Education & Training ProgramEducation & Training Program

GeneralPopulation

ProjectTeams

ProjectManagers

Executives&

Managers

Knowledge Objectives

Learning Objectives

Assessment Methods


Enabling The EnterpriseEnabling The Enterprise

Develop Education & Training Program

Entry

Intermediate

Advanced

Project Management Career Path• Qualification• Certification


Project AuthorizationProject Authorization

Establish a Portfolio/Program/ProjectPortfolio/Program/ProjectAuthorizationAuthorization process to initiateinitiate

authorization to ensure the use ofresources are in alignment with

corporate strategic initiatives andsupporting business objectives.



PBMM Business StrategyPBMM Business StrategyDevelopment Data FlowDevelopment Data Flow


Business Objective PlanningBusiness Objective PlanningProcessProcess


PBMM Business ObjectivePBMM Business ObjectiveDevelopment Data FlowDevelopment Data Flow


Business Objective/Project Prioritization &Selection Process


PBMM Portfolio / Program / ProjectPBMM Portfolio / Program / ProjectProcess Data FlowProcess Data Flow


Portfolio Authorization Process




Initiating Phase

Planning Phase

Executing Phase

Closing Phase

ReviewGate

ReviewGate

Project Readiness CheckProject Readiness Check

ReviewGate

Lessons learned ReviewLessons learned Review

Capture Lessonslearned





Established MonthlyPortfolio/Program/Project Reviews

PMPM’’s Report By Departments Report By Department

New ProjectsNew Projects

WIP ProjectsWIP ProjectsCompleted ProjectsCompleted Projects

(lessons learned)(lessons learned)



Provide Hands-on Mentoring & Coaching

Assist With Project StartsAssist With Project StartsCost Benefit AnalysisCost Benefit Analysis

Scope StatementScope Statement

Risk AnalysisRisk AnalysisBaseline PlanBaseline Plan

Communications PlanCommunications Plan


1. Initial1. Initial A Baseline and a EPMO is established

2. Repeatable2. Repeatable Project business managementmethodology is consistently applied toall projects

3. Managed3. Managed Product and projectmanagement processesare fully integrated

4. Distributed4. DistributedPM is fully distributedwhere it is a corecompetency

5. Sustained5. SustainedContinuous improvement andinnovation is common

Maturing ProcessMaturing Process



Implementation Time LineImplementation Time Line

DevelopPMMG Design

Stage TwoMaturity

DistributePMMG

Timing Depends on Level of SupportTiming Depends on Level of Support

BasicTraining

Establish PMCoE


QUESTIONS


Contact InformationContact Information

Dennis Bolles, PMP

DLB Associates, LLC

Email: [email protected]: 616-392-2292

Website: www.dlballc.com

Enterprise Project ManagementEnterprise Project Management ... · PMMG Design Stage Two Maturity...

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