INTEGRATING PROGRAM MANAGEMENT AND SYSTEMS ENGINEERING
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3 INTEGRATING PROGRAM MANAGEMENT AND SYSTEMS ENGINEERING
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5 INTEGRATING PROGRAM MANAGEMENT AND SYSTEMS ENGINEERING Methods, Tools, and Organizational Systems for Improving Performance Eric S. Rebentisch, Editor in Chief With Foreword by Larry Prusak
6 This book is printed on acid-free paper. Copyright 2017 by John Wiley & Sons, Inc. All rights reserved. Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, 222 Rosewood Drive, Danvers, MA 01923, (978) , fax (978) , or on the web at Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) , fax (201) , or online at Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with the respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor the author shall be liable for damages arising herefrom. For general information about our other products and services, please contact our Customer Care Department within the United States at (800) , outside the United States at (317) or fax (317) Wiley publishes in a variety of print and electronic formats and by print-on-demand. Some material included with standard print versions of this book may not be included in e-books or in print-on-demand. If this book refers to media such as a CD or DVD that is not included in the version you purchased, you may download this material at For more information about Wiley products, visit Library of Congress Cataloging-in-Publication Data is Available ISBN (Hardcover) ISBN (epdf) ISBN (epub) Cover image: VLADGRIN/Getty Images Cover design: Wiley Printed in the United States of America
7 To the program managers, chief systems engineers, project managers, systems engineers, and reformers in academia, corporations, government, professional societies, and research institutions who are helping to advance integrated approaches to successfully deliver value through well-executed complex programs.
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9 EDITORS Eric S. Rebentisch Marvin R. Nelson Stephen A. Townsend Edivandro Carlos Conforto Virginia A. Greiman Eric S. Norman Elizabeth Betsy K. Clark Tina P. Srivastava Kenneth M. Zemrowski vii
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11 CONTRIBUTORS Akio Mitsufuji Alan S. Harding Bohdan Oppenheim Brian Maddocks Bryan Moser David Pearson Deborah Nightingale Dennis Van Gemert Eric Nicole Guruprasad C. Vasudeva Josef Oehmen Kambiz Moghaddam Mark A. Langley Michael O Brochta Stanley I. Weiss Thomas Paider Timothy Wiseley ix
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13 CONTENTS List of Figures xxvii List of Tables xxxiii Foreword: Practices, Knowledge, and Innovation Preface xxxix Reference xli Acknowledgments xliii Introduction xlvii The Origins of an Important Collaboration xxxv xlvii Creating a Knowledge Foundation through Exploratory Research Phase I Study xlix Phase II and III Studies l Phase IV Study li xlviii xi
14 xii CONTENTS Strengths and Limitations of the Research Foundation Integrating Practitioner Knowledge with Research lii lii Overview of the Book liii References liv PART I: IN SEARCH OF INTEGRATED SOLUTIONS 1 1 TOWARD A NEW MINDSET Striving for Perfection in Complex Work Boldly Going Again Where People Have Gone Before Strategy Realization Requires Good Management Workforce + Organizational Capabilities = Competitive Advantage Rays of Hope Trekking toward a New Mindset Summary Discussion Questions References 14 2 THE ENGINEERING PROGRAM PERFORMANCE CHALLENGE Introduction Making White Elephants Extinct 17
15 CONTENTS xiii 2.3 Large Engineering Programs Are Complex A White Elephant: Denver International Airport Baggage Handling Learning While Failing: Future Combat Systems What Does Ethics Have to Do with Integration? Volkswagen s Emissions Scandal Typical Engineering Program Challenges We Need a Better Solution Summary Discussion Questions References 33 Additional Resources 36 3 THE FEATURES OF SUCCESSFUL INTEGRATION OF PROGRAM MANAGEMENT AND SYSTEMS ENGINEERING A Major Engineering Program Failure? Bridging Boundaries to Foster Program Success Contributors to Success in Action Accelerated Excellence The Consistent Engine that Could Creating "Collective Consciousness" Summary Discussion Questions References 48 Additional Resources 49
16 xiv CONTENTS 4 THE CASE FOR INTEGRATING PROGRAM MANAGEMENT AND TECHNICAL MANAGEMENT The Roots of Nonintegration Program Management and Systems Engineering Are Different Program Management Program Management as Defined by PMI Distinctions between Projects and Programs Program Management as Defined Worldwide Understanding Program Managers Systems Engineering Systems Engineering as Defined by INCOSE Systems Engineering as Defined by Others Understanding Systems Engineers Why Divergence Is Such a Problem Lack of Integrated Planning Authority Not Clearly Defined Conflicting Practices for Program Management and Systems Engineering Integrating Is Difficult, but Not Impossible Discussion Questions References 76 Additional Resources 78
17 CONTENTS xv 5 KEY CONCEPTS IN INTEGRATION Introduction Assessing Integration between Disciplines Attributes of Integration in Complex Organizations Insights from the Different Perspectives on Integration Practitioner Perspectives on Integration Descriptions of Integration from Low Unproductive Tension Settings Descriptions of Integration from High Unproductive Tension Settings Comparing Perspectives on Integration Summary Discussion Questions References 95 PART II: BUILDING CAPABILITIES TO EFFECTIVELY EXECUTE ENGINEERING PROGRAMS 97 6 HOW INTEGRATION WORKS IN PROGRAMS Introduction The Integration Framework Dimension I: Processes, Practices, and Tools Dimension II: Organizational Environment Dimension III: People Competencies Dimension IV: Contextual Factors 107
18 xvi CONTENTS Dimension V: Effective Integration Dimension VI: Program Performance Summary Discussion Questions References INTEGRATION IN PRACTICE IN THE F/A-18E/F SUPER HORNET PROGRAM Introduction F/A-18E/F Super Hornet Program Background and the Context of Integration Twelve Days of August: A Start on the Integration Journey Enabling Integration by Reducing Program Complexity A Parallel Process in NAVAIR to Improve Integration The E/F Program Pilots a New Way of Working Together Improved Decision Making The WBS Aligned with the Product Promote Collaborative Work Empowerment of Teams Proactive Identification and Management of Risk Master Information Sharing Program Delivery Integration Practices Observed in the F/A-18E/F Program 140
19 CONTENTS xvii 7.10 Summary Discussion Questions References PROGRAM MANAGEMENT AND SYSTEMS ENGINEERING INTEGRATION PROCESSES, PRACTICES, AND TOOLS Introduction Episodic Integration Mechanisms Program Gate Reviews Joint Planning Dedicated Team Meeting Space Pulsed Product Integration and Iterative Development Summary of Episodic Integration Mechanisms Pervasive Integration Mechanisms Standards, Methodologies, and Assessments Integrated Product and Process Development Work Design Processes Requirements Management Risk Management Technical Performance Measurement Governance Summary of Pervasive Integration Mechanisms A Note on Tailoring 164
20 xviii CONTENTS 8.5 Summary Discussion Questions References 166 Additional Resources THE ORGANIZATIONAL ENVIRONMENT Introduction Structural Dimensions of Integration The Shaping of Programs Organizational Environmental Factors Culture Leadership Interdisciplinary Teams to Solve Large Problems Key Observations on Organizational Environment The Challenges of Integration in Large-Scale Programs: Systems Failure The Hubble Space Telescope Program The Heathrow Terminal 5 Program Characteristics of Successful Program Integration The Systems Perspective Incentives as a Tactic for Systems Integration The Impact of Change Practices on Successful Outcomes in Program Organizations The International Space Station: A Model in Systems Integration Summary 185
21 CONTENTS xix 9.8 Discussion Questions References 186 Additional Resources DEVELOPING INTEGRATION COMPETENCIES IN PEOPLE Introduction Background/Case Study Identifying Integration Competencies Leadership Systems Thinking Developing Integration Competencies Integrated Career Path Education and Training Developing Multidisciplinary Teams Managing Integration Competencies Crew Resource Management as a Model for Integration Control Theory Decision Theory and the OODA Loop Summary Discussion Questions References 211 Additional Resources 215
22 xx CONTENTS 11 INTEGRATION THROUGHOUT THE PROGRAM LIFE CYCLE Introduction Integration and the Generic Life Cycle Life Cycle Stages for Systems Engineering Program Management Life Cycle Characteristics Broken Life Cycles and Benefits Management Heathrow Terminal 5 Case Study: A Failure in Systems Integration Large-Scale Infrastructure Programs Large-Scale Infrastructure Life Cycle Models Life Cycle Integration Generic Model for Integration of the Program Management and Systems Engineering Life Cycle Opportunities for Integration Across the Program Life Cycle Whole System Optimization: The MSTI Case Leadership Styles for the Big Dig s Five Stages of Program Management Insights on Leadership Competency Summary Discussion Questions References 234 Additional Resources 236
23 CONTENTS xxi 12 THE IMPACT OF EFFECTIVE INTEGRATION ON PROGRAM PERFORMANCE Introduction Program Performance Measuring Integration in Programs Why Measuring Integration Matters The Key Elements to Measure Integration Integration as a Catalyst for Program Performance Greater Integration Leads to Improved Program Performance The Impact of Integration Behavior on Program Performance Case Study: Electronic Support Upgrade for the Royal Australian Navy s Anzac Class Frigate Introduction to the Case Study Project Background Setting the Stage for Effective Program Management and Systems Engineering Integration: Precontract Risk Reduction Workshops Promoting Collaborative Work Effective Information Sharing Rapid and Effective Decision Making Outcome: Delivery of Capability to the Navy ahead of Schedule, within Budget, and with Minimal Defects in Sea Trials Summary Discussion Questions References 256
24 xxii CONTENTS PART III: DEVELOPING INTEGRATION COMPETENCIES IN YOUR ORGANIZATION INTEGRATION MEANS CHANGE Introduction: The Case for Change The Need to Be Thoughtful about Change Stumbling Blocks to Change Frameworks and Models for Change Strategic Phase Planning Phase Execution Phase Readiness Assessment The Road Ahead and How to Prepare for It Summary Discussion Questions References 275 Additional Resources SUCCESSFUL CHANGE PROGRAMS THAT IMPROVED INTEGRATION Introduction Redefining What Is Possible: The Marriage of Systems Engineering and Program Management at Lockheed Missiles & Space Company Discussion 284
25 CONTENTS xxiii 14.3 Using Certification to Foster Integration in U.S. Government Agency Acquisition Programs Discussion Integrating Software Engineering and Program Management at Nationwide Discussion Managing Change in Engineering Program Organizations: Boosting Productivity in BMW s Engineering Department Introduction BMW Company Background The Challenge for the Engineering Organization Engineering Change and Integration Program Results Discussion Delivering the World s Most Complex Inner-City Infrastructure Program: Boston s Big Dig Project Overview Organizational Structure An Integrated Project Organization Integrated Project Teams Partnering Discussion Summary Discussion Questions References 306
26 xxiv CONTENTS 15 LEADING AN INTEGRATION CHANGE PROGRAM Introduction Understanding the Work Ahead: The Organizational Context Managing Organizational Change Selecting the Appropriate Way Forward Planning for Change within the Organizational Context Observing and Interviewing Synthesizing, Sharing, and Mapping Communications Planning: Presenting and Prioritizing Alternatives Leaders and Decision Makers: Their Required Commitment and Involvement Building the Path for Change Achieving and Sustaining New Ways of Working Putting the Four Input Dimensions for Change Together Processes, Practices, and Tools Organizational Environment People Competencies Contextual Factors Practices to Consider Elements that Drive Success No Shortcuts to Success Shared Authority and Accountability What Happens When Things Don t Go as Designed? Summary References 339
27 CONTENTS xxv PART IV: A CALL TO ACTION CALLS TO ACTION Call to Action for Academia: Help Budding Professionals Learn to Adapt Call to Action for Enterprise: Build the Right Engine for Strategy Implementation Call to Action for Policymakers: Refocus Oversight and Accountability in the Right Ways Call to Action for Industry and Professional Societies: Take an Interdisciplinary View Call to Action for Researchers: Explore Interdisciplinary Systems References 361 AFTERWORD: TOWARD AN INTEGRATED FUTURE 365 The Case for Integration 365 New Insights Gained Along the Way 366 The Path Forward 368 GLOSSARY 371 INDEX 381
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29 LIST OF FIGURES Figure 1-1 The SpaceX facility in Hawthorne, California, USA brings together people and nearly all processes from design through launch into one location. 7 Figure 2-1 Cost increase of the largest 96 acquisition programs of the U.S. Department of Defense. 21 Figure 2-2 Cynefin framework illustrating the dimensions of program characteristics. 21 Figure 4-1 The program management process flow. 57 Figure 4-2 The relative focus of P2M compared with other standards. 61 Figure 4-3 Systems engineering Vee diagram. 65 Figure 4-4 The current view of the application of program management and systems engineering to developing a solution. 70 Figure 4-5 The perceived sources of unproductive tension between program managers and chief systems engineers. 71 xxvii
30 xxviii LIST OF FIGURES Figure 4-6 Figure 4-7 Figure 4-8 Figure 5-1 Figure 5-2 Figure 5-3 Figure 6-1 Figure 6-2 Figure 6-3 Figure 6-4 Figure 6-5 Figure 6-6 Figure 6-7 Definition of roles: A comparison between program managers and chief systems engineers. 72 Use of standards by program managers and chief systems engineers. 74 Reported responsibilities of program managers and chief systems engineers. 75 Degree of integration between program management and systems engineering, and the formality of the integration approach. 80 More formal or deliberate approaches to integration of program management and systems engineering result in higher levels of integration. 81 More frequent assessments of discipline processes and capabilities correlate to achieving higher levels of integration. 83 The Integration Framework for program management and systems engineering. 100 Key elements of the processes, practices, and tools dimension of the Integration Framework. 101 Key elements of the organizational environment dimension of the Integration Framework. 103 Key elements of the people competencies dimension of the Integration Framework. 106 Key elements of the contextual factors dimension of the Integration Framework. 108 Key elements of the effective integration dimension of the Integration Framework. 110 Key elements of the program performance dimension of the Integration Framework. 114
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