Risks of transformational change: Keynote to PMO Conference, Banco Central Do Brasil, April 2014
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Transcript of Risks of transformational change: Keynote to PMO Conference, Banco Central Do Brasil, April 2014
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The Risks of Transformational Change& what the PMO can do
about it
© fotomek - Fotolia.com
Patrick Mayfield
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Fails
7 Reasons Transformational
Change
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WARNING!
Some of these could offend …
You might be exciting some of them!
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1. Stick to the Plan
… at ALL COSTS!!!
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What’s wrong with sticking to the plan?!
… nothing … unless the context changes
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Merger ‘Millennium Bug’
Story of a late ‘90s Global Logistics System2 Strategic Shifts:
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INSTEAD:Align to Changing Strategy
… We Live in a VUCA World
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‘VUCA’?
Volatile . Uncertain . Complex. Ambiguous
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StartEnd
“deliverable”“output”“product”
a project delivers …
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I can deal with risks
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��
��
😩- beyond competence
😩- overloaded with admin
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That office is great ... can we use it as well?
Hey! We can help you with that ...!
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+ more consistency
That office is great ... can we use it as well?
I do like that ....
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Capability a‘single
source of truth’
… then along came programmes… … & the programme office …
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… then portfolio management…
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the ‘single source of truth’ now extends across the portfolio, it’s programmes & projects …
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making a “Governance Backbone” that provides…
+ support
+ “centralnervous system”
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2. Treat as a Technical Problem
manage merely as a system of Tasks, Processes, Governance Structures, Documents
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What’s wrong with that?! It’s what the books teach us!
manage merely as a system of Tasks, Processes, Governance Structures, Documents
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Also:Lead the Change
… It’s more about Influencing
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A Tale of Two Bullies
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3. Assume the Purpose is Obvious
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It’s not always Obvious, is it?(You’re getting this)
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NPfIT (National Programme for IT
divergent visions from the beginning
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Result?
£14bnwritten off from public investment
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INSTEAD:Envision a Better Future
… and Communicate It like Crazy
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4. Manage as a Mega-Project
See it as a mere aggregation of projects
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projects as temporary silos
projects are notstructured for the free flow of relevant information between them
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Value SynergyProject 1
Business Case
$20m+
Project 2Business Case
$30m+
Project 3Business Case
$25m=
ProgrammeBusiness Case
$75m
If that’s all the programme business is, then leave the projects to get on with it.Be programme-skeptic. Expect more from the whole than the sum of the parts.
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Add Value
… not just Sum the Projects
INSTEAD:
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5. Focus on Delivery
… and the Rest will Follow
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so what’s so wrong with that?
… nothing except it is not what you should focus on
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A Stock Fulfillment System
key stakeholder did not exploit a delivery to the point where benefit was realised
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INSTEAD: Focus on Benefits
… and the Threats to Them
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Copyright © Patrick Mayfield 2013
Two key behaviours support climbing on the value ladder:1. Leaning to people2. Leaning to action
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6. Sweat the Specification
… and everything else will Fit
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Ebbw Vale Redevelopment
managing as separate projects endangered a good outcome
until it was co-ordinated through a programme
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INSTEAD:Deliver a Coherent Capability
Design & Deliver
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Motion without Movement
Reactingto the latest
driver
Reactingto the latest
driver
Unaligned initiatives
Unaligned initiativesOutcomes
without benefits
Outcomeswithout benefits
CurrentCapabilityCurrent
Capability
Time
Str
ate
gy –
Perf
orm
an
ce a
gain
st
KP
I’s
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The Target Operation
Time
Str
ate
gy –
Perf
orm
an
ce a
gain
st
KP
I’s Target
Operation
CurrentOperation
CAPABILITY GAP
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Programme Management and the Capability Gap
Key milestones
Str
ate
gy –
Perf
orm
an
ce a
gain
st
KP
I’s Target
Operation
CurrentOperation
Operational plansrefocused
Projects aligned tostrategic objectives
Managethis withProgrammeManagement
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7. Forget the Past
… It’s Happened. Concentrate on Today’s Problems
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Learn from Experience
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The Deming Cycle
The Learning Organization
Adapt
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7 Principles
Universal . Empowering . Self-Validating
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7 Principles1.Remain Aligned with Strategy
2.Lead Change
3.Envision & Communicate a Better Future
4.Focus on Benefits & Threats to them
5.Add Value as a Programme
6.Design/Deliver a Coherent Capability
7.Learn from Experience