Walter a viali pmp region 6 mentor pmi
This presentation is the property of its rightful owner.
Sponsored Links
1 / 112

Walter A. Viali, PMP Region 6 Mentor PMI PowerPoint PPT Presentation


  • 78 Views
  • Uploaded on
  • Presentation posted in: General

Strategic Planning – Shaping the Project Slate. Walter A. Viali, PMP Region 6 Mentor PMI. My Background…. Worked with Texaco in Rome and in Houston for 25 years (1974-1999) PMO “aficionado” since 1983 Consulting since 1999 with several companies on PMO implementation

Download Presentation

Walter A. Viali, PMP Region 6 Mentor PMI

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Walter a viali pmp region 6 mentor pmi

Strategic Planning –

Shaping the Project Slate

Walter A. Viali, PMP

Region 6 Mentor

PMI


My background

My Background…

Worked with Texaco in Rome and in Houston for 25 years (1974-1999)

PMO “aficionado” since 1983

Consulting since 1999 with several companies on PMO implementation

PMI member since 1998

Became a PMP during the last century

PMI Houston President in 2007

PMI Region 6 Mentor since 1/1/2011

And, of course………………….


Elvis who

Elvis Who?


My roman elvis ancestor

My Roman Elvis Ancestor…

Roman Elvis, circa 200 A.D.


Walter a viali pmp region 6 mentor pmi

When Elvis died in 1977, there were three known impersonators…In 2004 there were over 50,000….With this growth rate, in 2022, one of four people on the planet will be an Elvis Tribute Artist (ETA)... So, get ready!


Walter a viali pmp region 6 mentor pmi

… as I’ve been working at it for a while!


Walter a viali pmp region 6 mentor pmi

March 24th, 2011

Out of Galveston, TX on the Carnival Ecstasy

6th Annual Seminar at Sea!

Ensure your registration and book by December 31, 2010

For additional reservations and transportation options:

Go to www.houstontravelzone.com

or email [email protected] call Sherry at 281-326-8050

Registration officially closes on January 31, 2011

Registration requests received after the January 31th deadline are subject to availability

[email protected] VI

Excitingly new, with great presenters, an outstanding keynote speaker, new activities for spouses, great prizes, and new excursions.

Also some great pricing for groups.

.

  • Need a few Good Reasons why you should choose to come on the

  • Seminar at Sea Cruise?

  • Network with colleagues from other chapters

  • Attend the informative seminars and earn up to 15 PDUs

  • See the beautiful scenery, relax, and enjoy four wonderful days of sailing

    • with 24-hour dining and non-stop entertainment

  • For questions, contact AJ Collier at [email protected] or at 713-854-2660

VI


Walter a viali pmp region 6 mentor pmi

Eric Jenett

PMP no. 1


What we re going to talk about

What We’re Going to Talk About

What Is Strategy?

From Vision to Projects

The PMO and Strategy?

Time for the PMO to Step Up

The Driver for Strategic Planning

Time for Senior Management Buy-in

The Processes for Strategic Planning

What really works

Balanced Portfolios of Projects

What About Project Management?

Top Project Management Trends for This Year


In plain english

In Plain English…..

Strategic Planning gives us direction and tells us which projects will best support the business and therefore increase its probability of success

Alignment ensures that, as the business changes, so will the projects we are working on

Project Management tells us how to effectively manage these projects and what information to generate and communicate, to ensure that the overall process is working as smoothly as possible


Why plan

Why Plan?

“Planning is an unnatural process. It’s much more fun to do something. And, the nice thing about not planning, is that failure will come as a complete surprise, rather than being preceded by a period of worry and depression”…

We love to react and hate to plan, but lack of planning will result in delays, rework, cost increases and even greater problems...


What is strategy

What is Strategy?

Strategy is foresight: the deep intellectual challenge of trying to see and understand when the future is still “formless”, communicating that foresight and mobilizing the organization to act

Strategy is a process in motion, unending and never complete, constantly adapting to in accord with events


What is strategy1

What is Strategy?

Strategy is holistic understanding of all the functions of the business – including all, neglecting none

Strategy is alignment: creating a shared competitive agenda and preempting misalignment

Strategy is an art, assembling a plan from a puzzle of missing and irregular pieces


Project driven organization

Project Driven Organization

Strategies

Change

Continuously!

Everything

is a project!

Provant Project Management


A high level view from pmi

A High-Level View from PMI


From vision to projects

From Vision to Projects

Vision

Strategy

Portfolio

Programs

Projects


In plain english1

In Plain English…..

Portfolios are collections of Programs and Projects that support specific business strategies in an organization

Programs are groups of related projects (i.e. Apollo Space Program)

Projects are unique endeavors, with a definite start and end, which produce a desired product on time and on budget


Support for organizational pm

Support for Organizational PM


Support for organizational pm1

Support for Organizational PM

PgMP


Support for organizational pm2

Support for Organizational PM

PMP, CAPM, RMP, SP


Support for organizational pm3

Support for Organizational PM

OPM3 A

OPM3 C


Support for organizational pm4

Support for Organizational PM

Strategic Planning ???


Completing the big picture

Completing the Big Picture

We’re working on getting a handle on managing portfolios, programs, and projects through PMI and its standards

What about vision and strategy? How do we do that?


What do we want to accomplish with strategic planning

What Do We Want to Accomplish with Strategic Planning?

Establish common vision

Agree on company mission

Define long-term objectives

Develop business strategies

Define associated goals

Key Performance Indicators (KPIs)

Understand which programs and projects are needed to support each long-term objective and business strategy


Where do projects fit in strategic planning

Where Do Projects Fit in Strategic Planning?

Each project must clearly support a business strategy because

It consumes valuable resources

It costs money

It impacts a lot of people

If a project no longer supports a business strategy,

It must be terminated and

We need methodologies and controls in place to know how and when to do this


The bottom line

The Bottom Line...

What we need is the initial alignment of business and projects with continuous monitoring and reporting to ensure all projects adequately support the organization’s business strategies on an ongoing basis.

This is not going to happen by itself!

Organizational Function (and a Driver)

Strategic Planning Processes

Overall commitment (not a once off deal!)

*


Organizational function the project management office

Organizational Function - The Project Management Office

An “office” staffed by project management professionals who serve their organization’s project management needs

Full service provider of project management services

Center of project management excellence

What does this have to do with Strategic Planning?


Organizational function the project management office1

Organizational Function - The Project Management Office

If business long-term objectives, strategies and goals are to be met through projects, then we need to:

get a good handle on projects and related processes for managing them

ensure continuous alignment of these projects with the business long-term objectives, strategies and goals through persistent performance monitoring and reporting


Project office models

Project Office Models

  • Project Control - Model 1

    • Plan, cost, project management schedule, resources at a project level (ERP implementation)

    • Develops and supports project management process

  • Organizational Project Control - Model 2

    • Develops and supports extensive software development and organizational processes

    • Coordinates project management, schedule and cost across the organization

  • Enterprise Project Management - Model 3

    • Supports strategic planning and related alignment of projects

    • “Owns” the organization’s project managers, trains them and assigns them to projects

    • Develops and supports the development and organizational processes


Model 3 project office

Model 3 Project Office

Projects

Drill Down

Capability

Status

Executive

Business

Project Portfolio

Management

Units

Database

Policy

Approvals/Adjustments/Status

Budget Proposals

Vision

Business Cases

Strategy

Project Justification

Bus.Trends

Program Status

Direction

Standard

Program

PROJECT

Reporting

Forecasting

Requirements

Schedule

MANAGEMENT

Performance

OFFICE

Project Funding

Training

Resource Analysis

and Allocation

Projects

Disposition

Issues/Resolutions

PMO Tools

Resource

Overtime Reporting

Pool

Cost Overrun

PMO Operations

Business Function/

Guide

Program Evaluation

Contract Analysis

Program Exception

Process

Contractor

Analysis

Database

Library

Budget Analysis

Problem Analysis


Pmo focus areas

PMO Focus Areas

Project

Management

Financial

Technology

Quality

Assurance

Business

Strategy

Operations

  • Resource organization/management

  • Employee satisfaction/ retention

  • Project Authorization

  • Mapping to business goals

  • Meeting customer demands

  • Risk mitigation

  • Ensuring quality project outcomes

  • Budget planning

  • Cost benefit analysis of projects

  • Monitoring project investment

  • Leveraging current technology

  • Maximizing technology effectiveness

  • Mentoring

  • Issue resolution

  • Scope control

  • Deliverables

  • Change control

  • Resource fulfillment

  • Project Status Reporting

The Project Office facilitates project success by focusing on all key aspects of a project:


The spo and the pmo

The SPO and the PMO

The Strategic Planning Office

Vision and Strategy

Portfolios, Programs and Projects

The Project Management Office


Project governance defined

Project Governance Defined

“Ultimately, project governance is the responsibility of the board of directors and executive management. It is an integral part of enterprise governance and consists of the leadership and organizational structures and processes that ensure that the organization’s projects sustain and extend the organization’s strategies and objectives.”

ITGI document: Board Briefing on Governance

The Driver


Enterprise and project governance

Enterprise and Project Governance

Enterprise Governance

Operating

CEO

COO

Departments

The Driver

Project

Senior

Senior

Senior

Governance*

User

Business

Technical

* = Level of Project

Project Manager

Governance staffing tied

to project visibility and

delegation of authority

PMO

Project Team

QA


The processes and techniques for strategic planning

The Processes and Techniques for Strategic Planning

… and commitment


Establishing project portfolios

Establishing Project Portfolios

BUSINESS STRATEGY A

BUSINESS STRATEGY B

BUSINESS STRATEGY C

$

$

TOTAL COST

PORTFOLIO B

TOTAL BENEFITS

COST

PROGRAM X

BENEFITS

COST

PROGRAM Y

BENEFITS

$

PROJECT 1

$

$

PROJECT 4

$

$

PROJECT 2

$

$

PROJECT 5

$

$

$

$

$

PROJECT 3

PROJECT 6


Establishing a strat planning cycle

Establishing a Strat Planning Cycle

Jan.

Feb.

Mar.

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Execute the Business Plan and the I.T. Plan

Prepare/

Review

Strategic

Business

Plan

Develop

Tactical Plan

from the

Project

Portfolio

Performance (Monitor/Evaluate/Report)

Prepare/

Review

Project/

Programs

Portfolio

Submit

Tactical Plan

to the PMO/

Budgeting

Process

Determine

Required

Changes to

the Planning

Process


Using a standard methodology for strategic planning

Using a Standard Methodology for Strategic Planning

Project Initiation

Business Strategy Definition

Portfolio Development/Alignment

Identify Programs / Projects

Project Closure

Manage it like

any other project!


Business strategy definition standard methodology

Business Strategy Definition (Standard Methodology)

Major Steps:

Industry Analysis

Organization Analysis

Business Unit Analysis

Organization Infrastructure Analysis

Business Strategy Definition and Review

Definition of Portfolios of Programs and Projects


Business strategy definition standard methodology1

Business Strategy Definition (Standard Methodology)

Major Deliverables:

Industry Components, Trends and SWOTs

Organization and BU Culture, Trends, Mission, Vision, Objectives, Critical Success Factors and SWOTs

BU Significance and Financial Analysis

Activity and Information Needs Analysis

Business Strategy

Vision, Mission, Long-Term Objectives, Strategies, Goals, Critical Success Factors

Portfolios of Programs and Projects


Strategic plan format standard methodology

Strategic Plan Format (Standard Methodology)

Executive Overview

Current situation analysis for the organization and its stakeholders

Definition of business strategiesand supporting projects

Prioritized projects and description

Financial and tactical plans

Elapsed time to develop?


A few issues

A Few Issues

Issue # 1 – How long does it take to develop the strategic plan?

Issue # 2 – How much will it cost to develop the strategic plan, if led by an external consulting group?

Issue # 3 – How long will this strategic plan remain current?


How about some speed

How About Some Speed?

As the world continues to accelerate…

As the current business climate demands quick action…

As new strategies are required almost on a daily basis…

…Can we do things faster? Can we develop a strategic plan in 2-3 days?


Jad for strategic planning

JAD for Strategic Planning

JAD (Joint Application Development) is a structured meeting, conducted by a neutral facilitator, designed to extract high-quality information from the meeting participants, using a compressed timeframe and a workshop environment to enhance the process.

JAD strongly complements, but does not replace, analytical methodologies.

Yes!


Walter a viali pmp region 6 mentor pmi

Structured Agendas-The Standard JAD Agenda

  • Introduction

  • Review Purpose, Scope, Objectives

  • Ground Rules

  • Executive Sponsor Kickoff

  • I.T. Perspective

  • [ Session Approach ]

  • Review Issues

  • Review Design

  • Evaluate Workshop


Walter a viali pmp region 6 mentor pmi

Structured Agendas - A few JAD Session Approaches

  • Strategic Business Planning Approach

  • Business Reengineering Approach

  • I.T. Planning Approach

  • Project Scope Definition

  • Project Requirements Definition

  • Project Management

    • Delphi Estimating Sessions

    • Detailed Project Planning Sessions

  • And many more…


Walter a viali pmp region 6 mentor pmi

Strategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs, Projects and Resources

  • Describe support Organization

  • Define follow-on activities

Structured Agendas


Many techniques available

Many Techniques Available

Vision/Mission Definition

Barriers to Entry

Opposing Forces

Stakeholder Analysis

Strengths, Weaknesses, Opportunities and Threats (SWOT)

Balanced Scorecard

F.I.S.T.

Value Chain Analysis


Vision statement

Vision Statement

Set of operationally meaningful statements

Focuses on what the organization wishes to become

Takes into consideration matters of strategic importance:

Mission

Driving Force

Stakeholders


Vision statement1

Vision Statement

What is the thrust or focus for future business development?

What is the scope of products, services and markets that will --- and will not --- be considered?

What is the future emphasis or priority and mix for products, services and markets that fall within that scope?

What key capabilities are required to make the vision happen?

What does this vision imply for growth and return expectations?


Mission statement

Mission Statement

Definition:

- What needs is the organization trying to fill?

- Who are the primary stakeholders?

- How do we do our business?

- What are our philosophies and core values?

- What makes us distinctive and unique?

Purpose:

- To provide focus and direction to the business

- To specify the purposes of the organization and the

primary rules that guide it


Walter a viali pmp region 6 mentor pmi

VISION

To be recognized as a valued partner in driving Texaco’s growth

and profitability through excellence in information services.

MISSION

Our Mission is To Provide Texaco and its Affiliates with:

Information Architecture Standards

World class network and computing environment

Value added information solutions

Effective transfer and sharing of Information Technologies across entities

Strategic workforce planning for information professionals


Walter a viali pmp region 6 mentor pmi

Equilon and Motiva Sales and Marketing

Our Vision

To be the leader in fuel and convenience marketing

Equiva Services Sales and Marketing

Our Mission

Assist the Alliance in becoming the convenience marketer of choice


Walter a viali pmp region 6 mentor pmi

Structured AgendasStrategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Strategic Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs and Resources

  • Describe support Organization

  • Define follow-on activities


Guiding principles

Guiding Principles

Guiding Principles are statements of belief which define the philosophies of the organization and how the group will work in order to support the mission statement of the organization.


Examples of guiding principles

Examples of Guiding Principles

We will support each other in striving towards our goals.

We believe that people and their knowledge are our most valuable assets.

The desire for continuous quality improvement will drive our every action.

We will lead by example.

We will provide guidance to our customers in understanding and implementing continuous quality improvement.

We will continuously improve the products and services we provide.

We will focus on our vision, but not lose sight of the details required to accomplish it.

We believe that team management is the best vehicle for implementing continuous quality improvement.


Walter a viali pmp region 6 mentor pmi

Structured AgendasStrategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Strategic Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs and Resources

  • Describe support Organization

  • Define follow-on activities


Analyze current and competitive situation

Analyze Current and Competitive Situation

Current Situation Analysis

Competitive Situation Analysis

Value Chain Analysis

Five Forces Analysis


Analyze current and competitive situation1

Analyze Current and Competitive Situation

SWOT Analysis

Strengths of the organization (internal)

Weaknesses of the organization (internal)

Opportunities for the organization (external)

Threats to the organization (external)


Sales and marketing swot analysis

Sales and Marketing SWOT Analysis

Strengths

Weaknesses

  • Business performance subject to the instant volatility of the spot market

  • High dependence on fuel margin

  • Channel flexibility is limited and movement is slow

  • Age and size of sites not easily adaptable to fuel margin decline

  • Fully developed network plan

  • Broad based risk portfolio of businesses (i.e., unbranded fuel sales to fast food)

  • Strong, national brands which currently command a “majors” price premium

  • Network provides competitive cost and customer access advantages

Opportunities

Threats

  • Leverage assets to provide new revenue streams with improved income resiliency

  • Market share provides scale for alliances with others

  • Strategic wholesale joint ventures

  • Supermarket expansion will continue with attendant cost structure advantages

  • Fuel is becoming commoditized in the minds of most consumers

  • Recent industry mergers pose new efficiency/effectiveness challenges


Walter a viali pmp region 6 mentor pmi

Value Chain Analysis

  • Think about an organization as a big input/output process

  • At one end, supplies (input) is brought into the system

  • At the other end, goods and services are sold (output)

InboundLogistics

Operations

OutboundLogistics

Sales &Marketing

Service

  • Throughout this process are opportunities for people to add value to the organization

    • By bringing in supplies more efficiently

    • By selling more products, etc.


Walter a viali pmp region 6 mentor pmi

Value Chain - Manufacturing

SWOTs

Margin

Administration and Firm Infrastructure

Human Resource Management

Support

Activities

Technology Development

Procurement

In-

Bound

Logistics

Operations

Out-

Bound

Logistics

Marketing

And Sales

Services

Primary

Activities


Value chain services

Value Chain - Services

SWOTs

Administration and Firm Infrastructure

Margin

Human Resource Management

Support

Activities

Technology Development

Procurement

Service Delivery

Service

Follow-Up

Service Preparation

Primary

Activities


Walter a viali pmp region 6 mentor pmi

Structured AgendasStrategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Strategic Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs and Resources

  • Describe support Organization

  • Define follow-on activities


Strategic objectives

Strategic Objectives

Strategic Objectives are statements of positions to be reached or purposes to be achieved. They answer the question “where do we want to go?”

They should be consistent with the intent and purpose of the mission and vision statements.

Strategic Objectives should be challenging, yet achievable, guides that set criteria for selection of alternatives among possible courses of action. They should not specify a specific course of action, like a goal.

Objectives can be distinguished from goals by the following example:


Strategic objectives1

Strategic Objectives

One of John F. Kennedy’s strategic objectives in 1960 was to reestablish the USA’s position as a leader in the fields of science and technology; one of his goals was to land a man on the moon and return him safely by 1970.


Strategic objectives examples

Strategic Objectives Examples

Have dominant market share for all refined oil products

Be recognized as the premier provider of Project Management training and consulting services.

To constantly be in the process of developing and integrating appropriate new quality improvement methodologies.

Have in place an organizational culture where people find quality improvement and customer focus fulfilling and rewarding.

Grow international presence in lubricants market


Goals

Goals

Goals are specific accomplishments for the organization to achieve in moving from the current situation towards the identified strategy.

Goals define where the organization wants to go and when it wants to be there.

Goals define the gaps that the organization’s activities must bridge if they are to meet their strategies and thereby their objectives.

Each goal should have a specific date and deliverables associated with it.


Goals examples

Goals Examples

1. By June 1, 2010 have completely revamped

training materials and classes.

2. By the end of April, 2009, have completed support documentation (slides, handouts, agendas, etc.) for SBP and ISP sessions.

3. By September 1, 2009, document alternative resources needed to meet the needs of customers.

4. By December 31, 2009 have negotiated SLAs with 50% of our current customer base.


Walter a viali pmp region 6 mentor pmi

Structured AgendasStrategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Strategic Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs and Resources

  • Describe support Organization

  • Define follow-on activities


Strategies

Strategies

Strategies answer the question, “How do we get where we want to go?”.

Strategies further refine objectives by identifying specific means of supporting the strategic objective; however, they do not identify specific tasks or establish time-frames for completion. Rather, strategies define how the organization is going to accomplish the objective.

Strategies focus on the opportunities and threats in the corporation’s relationship to the environment and on the strengths and weaknesses in the internal operations of the company.


Strategies examples

Strategies Examples

Some strategy areas that an organization can pursue include:

Product and Markets:

- Improve existing products and services

- Develop new products in existing product lines

- Develop new product lines

- Withdraw low-revenue products

- Expand market share

- Seek new or associated markets


Strategies examples1

Strategies Examples

Manufacturing:

- Transfer programs from development to manufacturing

- Expand existing facilities

- Buy new equipment

- Develop new manufacturing technologies

- Decrease manufacturing costs

Marketing and Sales:

- Undertake new or revised market studies

- Change sales and advertising budgets

- Change pricing structure

- Modify distribution system

- Add or drop geographical areas of sales


Walter a viali pmp region 6 mentor pmi

Structured AgendasStrategic Business Planning

  • Define Vision and Mission of activity

  • Define Guiding Principles

  • Analyze current situation

  • Analyze competitive situation

  • Define Strategic Objectives and Goals

  • Develop Business Strategies

  • Define Critical Success Factors

  • Design Programs and Resources

  • Describe support Organization

  • Define follow-on activities


Critical success factors csfs

Critical Success Factors (CSFs)

Critical success factors are all those factors needed to realistically achieve strategies and strategic objectives.

The absence of the necessary CSFs could easily delay, hamper or totally prevent a goal from being achieved in the stated time frame


Csf examples

CSF Examples

Sufficient budget available

Having the right expertise

Completion of another project

Reduced product costs

Consensus on a standard Service Level Agreement.

Weather

The economy


Strategic objective strategy goal csf examples

Strategic Objective/Strategy/Goal/CSF Examples


Walter a viali pmp region 6 mentor pmi

Market Share

Infrastructure

Reduce Costs

Mandated

Profitability

Initiative creates profitability to organization

Initiative increase product or service market share

Initiative improves organization infrastructure

Initiative enables organization to compete

Initiative is required

Does not improve

service

Does not improve Infrastructure

0

Does not improve competition ability

0

Initiative is not mandated

0

0

Does not improve

Market Share

0

State mandated within fiscal year

Reduces cost somewhat of existing infrastructure

1

1

Improves somewhat ability to compete

1

Less than $1M in first

year

1

Strong potential to increase Market Share somewhat over next 2 years

1

Federally mandated within Fiscal Year

2

2

Reduces cost moderately of existing infrastructure

Improves moderately ability to compete

Greater than $2M in

first year

2

2

High risk of State penalty if not implemented in fiscal year

Strong potential to increase Market Share somewhat over first year

3

2

Improves significantly ability to compete

Less than $5M in first year

3

Reduces cost significantly of existing infrastructure

3

3

High risk of Federal penalty if not implemented in fiscal year

4

New industry product

3

New industry product

4

Moderately reduces cost to compete

4

Provides competitive advantage

Significant impact right away

4

4

Large Penalty to the

Business if not

implemented in fiscal

year.

Industry leader

5

Significantly reduces cost to compete

5

5

Industry Leader

5

Market Owner

5

10 x .4 = 40

12 x .3 = 36

5 x .15 = 75

4__ x .1 = 4

_0 x .05 = 0

Project Portfolio Prioritization Matrix

Project Name/Business Strategy:_Expand use of Web solutions______

Business Project Manager: ___Bill Jones__________________________

Texaco Inc.

I.T. Project Manager: ___Carl Roecker_____________________________

As Of Date: _ 10/15/2010________

Strategic Priority: ______2________


A final word on real benefits

A Final Word on Real Benefits

On a major tax project, JAD sessions generated six months worth of project documentation in 14.5 days

Major refinery identified and prioritized 24 new information systems in 2 days

JAD brought together participants from several locations to develop specifications for a project that had been on the drawing board for 10+ years

Major computer manufacturer collected critical requirements for a vital company function in 6 days

Alignment of business strategies and I.T. strategies identified need for a major reporting project tied to a new business initiative about to be launched


A final word on jad

A Final Word on JAD

  • JAD is the most effective technique we have found in over 35 years when it comes to strategic planning, project scope definition, project planning, and collecting lessons learned.

  • Not using JAD takes away from an organization’s ability to be the best it can be in truly creating and managing its knowledge assets.


Strategic planning alignment

Strategic Planning & Alignment

Align portfolios with the business activities

As the business changes, update the business plans and, consequently, re-align project portfolios

Ensure projects are viewed from their financial perspective and contribution to the success of the business strategies (and are not “pet“ projects)

Have the right methods and tools in place to monitor performance of projects, alignment with strategies, overall costs and benefits

If projects are no longer viable, trash them!


Project portfolio summary

Project Portfolio Summary


Project portfolio reporting

Project Portfolio Reporting


Establishing project portfolios1

Establishing Project Portfolios

BUSINESS STRATEGY A

BUSINESS STRATEGY B

BUSINESS STRATEGY C

$

$

TOTAL COST

PORTFOLIO B

TOTAL BENEFITS

COST

PROGRAM X

BENEFITS

COST

PROGRAM Y

BENEFITS

$

PROJECT 1

$

$

PROJECT 4

$

$

PROJECT 2

$

$

PROJECT 5

$

$

$

$

$

PROJECT 3

PROJECT 6

Constantly

Re-Align


So what s the big deal

So, What’s the Big Deal?

We absolutely have to tie all projects in our portfolios to business strategies!

Strategies change all the time!

We need a true and tried rapid process to develop and update our strategic plan and align and realign projects and strategies!

We need a PMO to make all this happen or it simply will not!

How many companies are really doing this???


Need a robust approach for project management too

Need a Robust Approach for Project Management, too


Enterprise and project governance1

Enterprise and Project Governance

Enterprise Governance

Operating

CEO

COO

Departments

Business Controls

Project

Senior

Senior

Senior

Governance*

User

Business

Technical

* = Level of Project

Project Manager

Governance staffing tied

to project visibility and

delegation of authority

PMO

Project Team

QA

Quality Controls


Process project management

Process/Project Management

Business and Quality Controls

Business Controls

(Management)

PM Process

Application Area Process

(Seismic, Drilling, Plant Dev., etc.)

- Resources

- Schedule

- Cost

IPECC

IPECC

IPECC

IPECC

Technical Tasks

Technical Tasks

Technical Tasks

Technical Tasks

Post-Project

Review

T e c h n i q u e s

Quality Controls

(Technical)

T o o l s

- Product Quality

- Technical Standards

= Compulsory End-Stage Assessment Meeting

Stage 1, 2, 3, 4…

(for example: Initiation, Development,

Implementation, Closure)

= Quality Review Meetings

(Scheduled as needed by Project Type,

Activity Type, Deliverable Type

= Compulsory Quality Review Meeting


Walter a viali pmp region 6 mentor pmi

Continuous Loop of Direction, Validation and Adjustments

Governance Review Board

Governance Review Board

Enterprise Strategy

Direction

Feedback

Business Unit Delivery Strategy

Prioritization

Project Management Office

Feedback

Feedback

Program/ Project Managers

QA/QC

Project Status Reports, Time Sheets, Project Schedules

Courtesy of Steve Rollins, PMOUSA


We have a plan now what

We Have a Plan – Now What?

“Strategy has never been more important,” – Business Week.

“Less than 10% of strategies are effectively executed,” – Fortune

“If you’re not managing to a strategy, than what are you doing?”

“In the majority of failures – we estimate 70% – the real problem isn’t bad strategy, it’s bad execution.” – “Why CEO’s Fail,” Fortune


Implementing the strategic business plan

Implementing the Strategic Business Plan

“You may have sweated bullets to come up with a great strategic plan, but the really hard part is yet to come: actually implementing your plan for strategic change. For a plan to succeed, you’ve got to successfully orchestrate and direct a diverse range of people, resources, programs and actions over a sustained period of time and across numerous organizational boundaries. It’s difficult, complicated work that allows for no shortcuts and no compromises.”

C. Davis Fogg

Implementing Your Strategic Plan:

How to Turn “Intent” into Effective Action for Sustainable Change

Change

Management


Implementing the strategic business plan1

Implementing the Strategic Business Plan

In the end, it’s all about people and how they are organized and professionally “nurtured”

Set accountability

Fix the organization

Enable and align

Provide an environment in which people can excel

Judge and reward

Change

Management


The 18 keys to strategy implementation

The 18 Keys to Strategy Implementation

1. Setting accountability

Key 1: Develop an accountability

system

Key 2: Turn strategic priority issues

into assigned, measurable

action plans

Key 3: Embed departmental planning

Key 4: Negotiate individual

accountability

5. Judging and rewarding

Key 17: Review performance

Key 18: Reward strategic results

18

4. Providing an

environment in which

people can excel

Key 13: Empower execution

Key 14: Select, train and develop for

the future - now

Key 15: Fix broken core processes

Key 16: Communicate to everyone

all o f the time

2. Fixing the organization

Key 5: Change the organization

structure - fast

Key 6: Change the people - fast

Key 7: Foster creative leadership and

mental toughness

Key 8: Remove resistance

Key 9: Use teams (appropriately)

3. Enabling and Aligning

Key 10: Define the future culture

Key 11: Allocate resources effectively,

putting your money and people

where your future is

Key 12: Align your organization’s work

with the plan – from top to

bottom

Change

Management


How well are we doing

How Well Are We Doing?

Are we implementing the strategic plan effectively (and who is doing this)?

Are we managing our portfolios, programs and projects effectively (and who is checking)?

Are they aligned with our business strategies (and who is looking)?

How do we know if we’re really doing well or not, on an ongoing basis (and who is worrying about it)?


Bridging the gap

Bridging the Gap

In a global survey of 750 project management office (PMO) leaders, 68% reported having no systematic method to prioritize projects or link them to corporate strategy.


Organizational pm improving performance

Organizational PM - Improving Performance

488 Best Practices


The pmo and pmi s opm3

The PMO and PMI’s OPM3

The assessment tool must be effective and allow for quick results

All companies assessed so far have failed to score higher than 39% (on a 0 to 100 continuum)

Conducting OPM3 assessments periodically does give the PMO an opportunity to show its value to senior management


Top pm trends in 2013

Top PM Trends in 2013

  • Specific project management training continues

  • Effectiveness of agile development challenged

  • Project management expands beyond project managers

  • Larger projects hold challenges

  • Project managers pushed to innovate

  • Project manager certification upgrades

  • Vendor management becomes a priority

  • Project management offices further strained

  • Funding pressure increases portfolio management

  • Agile development gains popularity to cut project times


Pmos further strained

PMOs Further Strained

  • While project management offices exist to improve project performance, businesses rarely grant those offices the resources needed to do so.

  • That, combined with increasing pressure to perform, will strain and break many project management offices.


Project portfolio management

Project Portfolio Management

  • Portfolio management is more than a prioritization exercise.

  • It is the culminating activity in competitive strategy where executives have identified the programs and projects that will turn their intentions into reality.

  • We are witnessing more companies investing in IT and process improvement to get a better handle on all of the project-based investments occurring across their business.


Project portfolio management1

Project Portfolio Management

  • And they are tweaking — and in some cases overhauling — their portfolio management approach to make sure it is the best it can be.

  • Many organizations will continue to develop a portfolio hierarchy at the division, business unit, regional, and corporate-wide levels.

  • This will require substantive expertise in portfolio management principles and practices, and a healthy dose of diplomatic and political skills to get everyone headed in the same direction.


The desired pmo lifecycle

The Desired PMO Lifecycle

Strategic

Business

Planning

Strategic

IT

Planning

Business

Process

Reengineering

It all starts here!

Project

Management

Office

Project

Portfolio

Management

Maturity

Models

Projects


The desired pmo lifecycle1

The Desired PMO Lifecycle

Strategic

Business

Planning

Strategic

IT

Planning

Business

Process

Reengineering

Project

Management

Office

When?

Project

Portfolio

Management

Maturity

Models

Projects


The bottom bottom line

The Bottom, Bottom Line…

  • A Model 3 PMO is a necessity not a luxury

  • The PMO has to adopt JAD as a most effective technique (speed/accuracy) for strategic planning and project requirements/scope definition

  • Constant realignment of business strategies and programs/projects is most desirable and should not be viewed as a disruptive activity

  • PMO needs to adopt OPM3 to assess the effectiveness of Organizational Project Management and to produce “survival” metrics

  • Culture Change Management is key!


Nothing much has changed

Nothing much has changed….

"Nothing is more difficult than to introduce a new order. Because the innovator has for enemies all those who have done well under the old conditions and lukewarm defenders in those who may do well under the new”

(Nicolo’ Machiavelli, 1513 A.D.)


Walter a viali pmp region 6 mentor pmi

Who Survives?

Not the strongest

Not the most intelligent

Those most responsive to change

(Charles Darwin)

The ones who can deal with the unexpected

(Walter Viali)


Walter a viali pmp region 6 mentor pmi

Everyone Must Be On The Same Page…

The Arthur Andersen partner was on his cell

The Arthur Andersen partner was on his cell

phone, when he said,

phone, when he said,

“Ship the Enron documents to the Feds,”

“Ship the Enron documents to the Feds,”

But his secretary heard,

But his secretary heard,

“Rip the Enron documents to shreds.”

It turns out that it was all just a case of bad

cellular.

Sprint PCS

The clear alternative to cellular


The trunk monkey

The Trunk Monkey

Four video clips to convey the importance of critical resources on projects.

Make sure the Strategic Business Plans take into account the need for the proper levels of critical resources.

At the project level, have a Plan “B”, agreed to upfront with the sponsor, in case critical resources vanish!


Thank you thank you very much

Thank you, thank you very much..


Contact information

Contact Information

Walter A. Viali, PMP

PMI Region 6 Mentor

713-252-9722

[email protected]


  • Login