Creating an Agile PMO via Scrum

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1 Creating an Agile PMO via Scrum Deliver PMO Value Early and Often Utilize Scrum to be Operationally Effective and Efficient Paul Thomas Gilchrest; CSM, ITIL v3, PMP COO & Principal PMO Managing Director Gilchrest Consulting Group, LLC March 24, 2016

2 The PMO Framework Establishing an Agile PMO Utilizing a Scrum Approach 2

3 Strategy generates work Portfolio s to Change Operations Strategy PMO s Portfolios via Projects/Programs Operations 3

4 Portfolio Structure Enterprise: Business Units and Functional Areas Enterprise Portfolio BU / FA Portfolios Projects Maintenance Work Programs Programs Projects Maintenance Work Programs Programs Projects Projects Maintenance Work Projects Projects 4

5 PMO Viewed as a Hub & Spoke Consumers / Customers at Center Customer Service Enterprise PMO Maintains: 1. Continuity Consistency 2. Overall Portfolio visibility 3. Education / Certification Information Technology Shared Services HR, Finance, Legal Consumers Internal & External Manufacturing Sales / Marketing Local PMOs Measure: 1. Localized investment, accountability & success 2. Focused solution delivery 3. Continuity Consistency 5

6 5 Categories of an Effective PMO Establish the Product Backlog as 23 Services A) PMO Governance: 1) Clarity of PMO Mandate and Expectations 2) Perception of PMO Value Proposition 3) PMO Autonomy 4) PMO Performance Measurement B) Stakeholder Management: 5) Project-Level Stakeholder Management 6) PMO-Level Stakeholder Management 7) Vendor Management 8) Project Portfolio Metrics Collection and Reporting C) Staff and Leadership Development: 9) PM/SM Skills and Outlook 10) PM/SM Hiring 11) PM/SM Evaluation & Incentives 12) PM/SM Critical Skills Development 13) PM/SM Career Path 14) PM/SM Best Practice Sharing D) Program and Project Delivery: 15) Adaptability of Project Management Methodology 16) Business Decision Making Efficiency 17) Benefits Realization 18) Risk Management 19) Managing Project Financials E) Portfolio Prioritization & Resource Planning: 20) Portfolio Prioritization 21) Resource Availability and Allocation 22) Project Effort Estimation Rigor / Efficiency 23) Organizational Change Management Source: PMO Executive Council research 6

7 Define a Product Backlog by Prioritizing Service Attributes Calculating the Organization s Value Desire A.1) PMO Governance; Clarity of the PMO Mandate and Expectations. The PMO s ability to articulate its mission, responsibilities and objectives clearly. Qualitative Stakeholder Importance Perspective 1) Not 2) Low 3) Moderate 4) High 5) Critical Qualitative Capability Assessment + Quantitative Questions 5 Optimized 3 Defined 4 Managed 2 Repeatable Priority 1 Initial Importance is 5 Maturity Level is 1 Priority Critical 4-5 7

8 Product Backlog as Roadmap to Enhance Value Survey the Attributes; Determine the Value Offering Category & Attributes Importance Qualified Effectiveness Quantified Effectiveness Priority PMO Governance Critical Stakeholder Management Medium Staff & Leadership Development Low Program & Project Delivery Critical Portfolio Prioritization & Resource Planning High 8

9 Measuring and Sustaining the PMO Value Continuous Improvement Effective / Efficient Base Base Year Target Target Effectiveness Check Category Priority Effectiveness Effectiveness Effeteness Year Points PMO Governance n Stakeholder Management n Staff & Leadership Development Program & Project Delivery Portfolio Prioritization & Resource Planning n n n 9

10 The PMO Framework Establishing an Agile PMO Utilizing a Scrum Approach

11 An Agile Manifesto for PMO Operations Leveraging the Agile Manifesto for PMO Service development Uncover better ways of delivering services by doing it and helping others do it as well. Through this: Value Over Individuals and interactions Working services Customer collaboration Processes and tools Comprehensive documentation Contract negotiation Responding to change Following a plan There is value in the items on the right, value the items on the left more 11

12 Utilize Scrum to Enhance and Maintain PMO Operational Efficiencies and Effectiveness 2 Roadmap 7 Retrospective 3 Release Planning 6 Sprint Reviews 4) Sprint Planning 1 Vision 5 Scrum Meetings 12

13 Scrum in the PMO Step 1 The Vision 1 Vision a) Establish service i. Offerings ii. Maturity goals b) Align goals to business strategy c) Establish / refine organization d) PMO Owner e) Annually 13

14 Scrum in the PMO Step 2 The Roadmap 2 Roadmap a) Detail service offering features Services as the Product Backlog b) Baseline current levels c) Prioritize offering importance d) Solidify vision e) PMO Owner f) Bi-Annually 14

15 Scrum in the PMO Step 3 Release Planning a) Service offering release timing b) Specify expected capabilities Skills Competencies c) Target highest priority features d) PMO Owner e) Quarterly; Service Backlog 15

16 Scrum in the PMO Step 4 Sprint Planning a) Establish specific iteration; Sprint Backlog i. Goals ii. Activities & Tasks b) Detail the deliverable list c) PMO Owner and Team d) At sprint start 16

17 Scrum in the PMO Step 5 Scrum Meetings a) Huddle to create/establish priorities b) Coordinate and estimate the work c) Collaborate on getting the work done d) Value: Commitment, Focus, Openness, Respect and Courage e) Team f) Multiple times a week; Sprint Backlog

18 Scrum in the PMO Step 6 Sprint Reviews a) Demonstrate: i. Services ii. Capabilities b) PMO Owner c) End of each sprint 18

19 Scrum in the PMO Step 7 Sprint Retrospective a) Optimize efficiency refinement b) Team c) End of each sprint 19

20 Review In Summary Projects & Programs Deliver on Strategy to Change Operations Portfolio Structure; Enterprise with BU s & FA s A PMO Viewed as a Hub & Spoke focusing on Customers PMO Services defined as 5 Categories and 23 Attributes Prioritizing PMO Product Backlog as Roadmap to Enhance Value Utilize Scrum to Grow PMO: Operational Value Effectiveness Efficiencies 20

21 Thank You Thoughts & Questions? How efficient / effective / agile is your PMO? Are PMO effectiveness alternatives under consideration? Is Scrum being considered to affect change? What challenges face the PMO? What direction will be taken to make the PMO more effective? Paul Thomas Gilchrest; CSM, PMP, ITIL v3 COO & Principal PMO Managing Director Gilchrest Consulting Group, LLC Cameron Park, CA Mobile paul@gilchrestconsulting.com 21 Copyright 2014 All Rights Reserved Paul Thomas Gilchrest