Putting the E in EPMO. Agenda. Context. Typical Project Office Implementations. Real World Examples. Open Forum. Stephen Beise PPM Domain Leader
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1 Putting the E in EPMO Stephen Beise PPM Domain Leader January 3, Trissential. All Rights Reserved. 1 Agenda Context Typical Project Office Implementations Real World Examples Open Forum 2011 Trissential. All Rights Reserved. 2 2
2 2011 Trissential. All Rights Reserved. How is your PMO positioned? Does your Project Office have a seat at the table? Has your Project Office become an administrative center as opposed to an execution group? Is your Project Office value in question? Does your Project Office lack influence sponsorship? 2011 Trissential. All Rights Reserved. 3 Context 2011 Trissential. All Rights Reserved. 4
3 Essential Business Model The Right Work Effective Strategy ning Portfolio Health Prioritized Portfolio Architectural Quality Guidance Product Scorecard Efficient Management Managed Right Project Health PM Best Practice Exceptional Execution Executed Right 2011 Trissential. All Rights Reserved. 5 E1 Effective Strategy Vision Strategy Business IT Leadership Governance and Decision Process Frameworks Portfolio Architecture Business Architecture Capture Business Intention Define Capabilities Identify Enablers Alignment Technology Architecture Technology Readiness, Form Fit 2011 Trissential. All Rights Reserved. 6
4 E1 Value Proposition The Right Work s projects selected prioritized according to business vision and objectives Improved objective project selection prioritization process Regular evaluation of project and product value by Governance Ability to respond quickly to changing business needs Redundant projects/products eliminated 2011 Trissential. All Rights Reserved. 7 E2 Efficient Management Portfolio Management Above the line / left of the line Resource capacity / demand management Management Project Management On time/on budget Execution consistency Right-sizing Project leaders High risk, large dollar, big impact design and leadership 2011 Trissential. All Rights Reserved. 8
5 E2 Value Proposition Managed Right Repeatable PM planning controlling processes Earned vs. burned project health information Resource demand vs. capacity Dependency management enabled What If analysis enabled Individual productivity improvement 2011 Trissential. All Rights Reserved. 9 E3 Exceptional Execution Elicit, Validate, Maturity model implementation SDLC design and automation ment excellence Business Analysis QA capability maturity Process definition and improvement Solution ment Service Management Quality Assurance ITSM maturity and roadmaps Managed services/outsourcing improvement Dashboards and metrics 2011 Trissential. All Rights Reserved. 10
6 E3 Value Proposition ed Right Architecture involved early Repeatable Analysis Requirements processes Flexible SDLC process Application/Product scorecards The right technologists in the right seat Objective reuse decisions 2011 Trissential. All Rights Reserved. 11 PMO Role Responsibility EM PA BA TA Business Analysis Quality Assurance Prg-M Prt-M Prj-M Requirements Engineering Software ment Change Mgmt RM QM QA DM SM 2011 Trissential. All Rights Reserved. 12
7 PPM Context -Strategic ning Alignment - Financial ning - Intake: Identification Categorization - Evaluation, Selection and Prioritization - Resource Demand Management Governance -Dashboards - Reports -Executive Reports - Stage Gate Reviews - Project Health Project Management Office -Resources Assigned -Time Tracking - Project Setup - Project Schedule - Dependencies Initiate,, Execute,, Close Project Management Execution - Time Tracking Results - Project Financials - Change Objectives Products Product ment Lifecycle 2011 Trissential. All Rights Reserved. 13 Portfolio Management Context Strategic ning Business Architecture Aligning Identification Identification Categorization Categorization Evaluation Evaluation Selection Selection Prioritization Prioritization Portfolio Balancing Portfolio Balancing Authorization Authorization ing Portfolio Review Portfolio Review Reporting Reporting Strategic Change Strategic Change Source: PMI PFM v Trissential. All Rights Reserved. 14
8 Project Management Context Initiating Project Charter Project Charter Identify Stakeholders Identify Stakeholders ning Project Management Project Management Collect Collect Requirements Requirements Define Scope Define Scope Create WBS Create WBS Define Define Activities Activities Sequence Sequence Activities Activities Estimate Activity Resources Estimate Activity Resources Estimate Activity Durations Estimate Activity Durations Schedule Schedule Estimate Estimate Costs Costs Determine Budget Determine Budget Quality Quality Human Human Resource Resource Communications Communications Management Management Identify Identify s s Perform Perform Qualitative Qualitative Analysis Analysis Perform Quantitative Analysis Perform Quantitative Analysis Responses Responses Source: PMI PMBOK Fourth Edition Executing Direct Manage Project Exec. Direct Manage Project Exec. Perform Perform Quality Quality Assurance Assurance Acquire Project Team Acquire Project Team Project Team Project Team Distribute Distribute Information Information Manage Stakeholder Expectations Manage Stakeholder Expectations Select Sellers Select Sellers ing/ ling Project Work Project Work Perform Integrated Change Perform Integrated Change Verify Scope Verify Scope Scope Scope Schedule Schedule Costs Costs Perform Quality Perform Quality Report Performance Report Performance and s and s Administer Administer Closing Close Project or Phase Close Project or Phase Close Close 2011 Trissential. All Rights Reserved. 15 Management Context Initiating Initiate Initiate Establish Establish Financial Financial Framework Framework ning Management Management Infrastructure Infrastructure Scope Scope Define Goals Objectives Define Goals Objectives Requirements Requirements Architecture Architecture WBS WBS Schedule Schedule Communications Communications Management Management Identify s Identify s Analyze s Analyze s Responses Responses Financial Financial Estimate Estimate Costs Costs Budget Budget Costs Costs Stakeholder Mgmt. Stakeholder Mgmt. Identify Stakeholders Identify Stakeholders Establish Establish Governance Governance Structure Structure For Audits For Audits Quality Quality Source: PMI Standard for Management Second Edition Executing Direct Manage Exec. Direct Manage Exec. Manage Resources Manage Resources Manage Manage Architecture Architecture Manage Manage Component Component Interfaces Interfaces Distribute Information Distribute Information Conduct Conduct Engage Engage Stakeholders Stakeholders Approve Component Initiation Approve Component Initiation ing/ ling Performance Performance Manage Manage Issues Issues Scope Scope Sched Sched Report Report Performance Performance s s Administer Administer Financials Financials Manage Stakeholder Manage Stakeholder Expectations Expectations Provide Provide Governance Governance Oversight Oversight Manage Benefits Manage Benefits Changes Changes Closing Close Close Close Close Approve Component Approve Component Transition Transition 2011 Trissential. All Rights Reserved. 16
9 PPM Context Portfolio Management Project Management Identification Categorization Evaluation Selection Prioritization Balance Authorize Initiate Execute Close Review Report Strategic Change Pre-Project Project 2011 Trissential. All Rights Reserved. 17 Typical Implementation Approaches 2011 Trissential. All Rights Reserved. 18
10 Typical PO Implementation Typical Goals Center of Excellence Org PM Maturity Central PM Staffing Org EPM Tool Administration Organizational Training Executives Project Office Typical Approach (waterfall) Org Assessments Define all Roles/Responsibilities Define doc all processes Train all PM s Rollout big heavy PM SW templates, methodologies EPM tool Managers Directors Goal: Enterprise Adoption Project Resources Team s 2011 Trissential. All Rights Reserved. 19 Typical PO Implementation About 1 Year Later Executives Typical Outcomes Lack of Influence Viewed as Bottle Neck Incomplete Adoption ROI Questions Keeper of Templates Admin Project Office Managers Directors Incomplete Adoption Project Resources Team s 2011 Trissential. All Rights Reserved. 20
11 Trissential PO Approach Tactical (90 Day) Goal Improve Measurement Improve Budget Est. Process Enable key organizational goals Manage Project Portfolio Tactical Approach Deep Slice : - High Area - Strategic Managers Measurement A Better Way Executives Project Office Directors Project Resources Team s High Strategic Goal ning Estimating Outcomes Measurable ROI early Mitigate Org. Success Stories Executive Support Supplemental PM Maturity Begin Org. Change/Adoption Pick one, rollup sleeves, do it better, provide objective information solidify sponsorship 2011 Trissential. All Rights Reserved. 21 Real World Examples 2011 Trissential. All Rights Reserved. 22
12 PMO 1 PMO Context: Relatively new, low maturity, PMs not reporting into PMO Goal: Enterprise adoption of consistent PM process Approach: Educate and train PMs on their process Execution: Minimal buy in from executives, management. Result: Oh no, PMO. Keeper of the templates. PMs blamed for most project issues 2011 Trissential. All Rights Reserved. 23 PMO 2 PMO Context: 4 th PMO in 4 years, IT PMs report into PMO Goal: Enterprise adoption of PM process with a focus on a new PPM tool, weekly governance Approach: Educate and train PMs on their fundamental processes, stage-gate governance, portfolio management Execution: Engaged executives, directors, managers and project level resources. Built foundational processes. Implemented new tool rapidly. Over time stopped going to governance meetings. Result: Died Trissential. All Rights Reserved. 24
13 PMO 3 PMO Context: Low maturity but involved in portfolio management and project execution. PMs report into PMO. Goal: PPM maturity over 2 years that support organizational goals Approach: Roadmap of change, ran like a project with a focus on organizational change management. Execution: Engaged executives, directors, managers and project level resources. Built foundational portfolio and project management processes. Top down, bottom up education. Postponed new tool implementation until processes executed for 1 year. Result: Seat at the table. Working towards resource capacity / demand management Trissential. All Rights Reserved. 25 Key Take-Aways 2011 Trissential. All Rights Reserved. 26
14 PMO Journey 2011 Trissential. All Rights Reserved. 27 Discussion Stephen Beise 2011 Trissential. All Rights Reserved. 28
15 2011 Trissential. All Rights Reserved. 29
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