Agile & Lean PMO
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The document discusses responsibilities and competencies for an Agile/Lean Project Management Office (PMO). It describes how a PMO can support Agile projects through stable teams, empowering teams, limiting work in progress, and regularly reassessing value delivery. It also discusses portfolio management responsibilities like achieving continuous flow of business value through short cycle times and validated learning over business cases. The document recommends incremental funding approaches and consistency across processes to support Agile/Lean practices.
Agile & Lean PMO
- 1. Agile/Lean PMO Andrew Rusling Agile Coach @andrewrusling
- 2. Competencies to be gained By the end of this session, I am hopeful that you will be able to: 1. Summarise the responsibilities of a typical PMO that are impacted by supporting Agile projects. 2. Summarise the Portfolio Management responsibilities that are impacted by supporting Agile projects. 3. Summarise the incremental funding approach 4. Summarise how Lean Portfolio Management achieves flow of value. 5. List the pros and cons of Stable teams vs Dynamic teams. 6. List some strategies that support Stable teams. 2
- 3. What is a PMO?
- 4. Definitions 4 “An organizational body or entity assigned various responsibilities related to the centralized and coordinated management of those projects under its domain. The responsibilities of the PMO can range from providing project management support functions to actually being responsible for the direct management of a project.” PMBOK 2003 “A project management office is a formal, centralized layer of control between senior management and project management” IS Project Management: Size, practices and the project management office. 2007
- 5. 5 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Programme Alignment to Business Strategy People Allocated to Programmes Portfolio Budget Management Consistency across Programs People Allocated to Projects People Allocated to Teams Programme Budget Management Consistency across Projects Project Budget Management Consistency across Teams Ensure Processes are effective and efficient Training & Coaching
- 7. 7 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Programme Alignment to Business Strategy People Allocated to Programmes Portfolio Budget Management Covered by Agile Project Management Training Consistency across Programs People Allocated to Projects People Allocated to Teams Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management Ensure Processes are effective and efficient Training & Coaching Limited change
- 9. 9 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Programme Alignment to Business Strategy People Allocated to Programmes Portfolio Budget Management Consistency across Programs People Allocated to Projects People Allocated to Teams Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management YES, and ? Ensure Processes are effective and efficient Training & Coaching
- 10. 10 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Programme Alignment to Business Strategy Management of People in the Portfolio Portfolio Budget Management Consistency across Programs Management of People in the Programme Management of People in the Project Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management Ensure Processes are effective and efficient Training & Coaching
- 11. People Management 11 Project Management Programme Management Portfolio Management Management of People in the Portfolio Management of People in the Programme Management of People in the Project Move towards Stable Teams Support and empower teams Support and empower teams Remove escalated impediments Remove escalated impediments Remove team impediments Ensure appropriate team & expert allocation to programmes Ensure appropriate team & expert allocation to projects Ensure appropriate expert allocation to teams
- 12. Support and Empower Teams Support • Care about peoples wellbeing, growth and morale • Remove Impediments 12 Empower teams • Clear goals aligned to business opportunity & company vision (purpose) • Let them self organise, use a pull model for work allocation (autonomy) • Create opportunities for learning and growth (mastery)
- 13. How should we structure ourselves? Pool of all people Business opportunity pipeline
- 14. Business opportunity pipeline Pool of all people Initiate projects to match the work Release people & tear down the project • Prioritised by Business Value • Ordered by people availability Project Backlogs Project Teams
- 15. Allocate work to one or more stable teams • Prioritised by Business Value • Ordered by team availability Pool of Experts i.e. DBA, UX, etc. Business opportunity pipeline Stable Teams Allocate & Release experts to teams each sprint Teams Backlogs
- 16. Stable teams vs Project teams (Pros, Cons) 16 Project Teams Stable Teams + People skills match project need + Keep performing teams + Clearer justification for hiring experts +100% allocation of most people + people skill up in business area + accurate prediction of delivery - Partial allocation of many people - Dependencies between teams - High resource management costs - Delays waiting on team availability - Delays waiting of people availability - Project initiation costs - Delays in starting projects
- 17. Why do we choose Projects over Stable teams 17 Project Teams Stable Teams Focus on high people utilisation Not looking at throughput Easier to second needed people, then get a team to work cross functionally Teams not as cross functional as needed Brings focus to the project goals Teams are poor at focusing, hence working on many things, delivering none It’s the way we have always done it Once initiated, sponsor doesn’t need to baby sit it, to get a result Continual re-evaluation of projects, can stop some projects Easier to prioritise within a project
- 19. 19 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Programme Alignment to Business Strategy Management of People in the Portfolio Portfolio Budget Management Consistency across Programs Management of People in the Programme Management of People in the Project Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management YES, and ? Ensure Processes are effective and efficient Training & Coaching
- 20. 20 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Achieve flow of business value Management of People in the Portfolio Portfolio Budget Management Consistency across Programs Management of People in the Programme Management of People in the Project Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management Ensure Processes are effective and efficient Training & Coaching
- 21. Portfolio Management 21 Achieve flow of business value Align projects to business strategic goals Short Cycle Time over High Utilisation Split large projects Validated Learning over Business Cases Tighten Build, Measure, Learn cycles Limit Work In Progress Regular re-assess value delivery
- 22. Regularly reassess value delivery 22 Period X months Period Planning Inspect & Adapt X weeks Business Value Portfolio Backlog Period Backlog 1. Assess delivery & potential 2. Select projects to Start / Stop 3. Split large projects 4. Allocate Teams and Budget for projects
- 23. Multiple Projects, Multiple Teams 23 Period 2 months Inspect & Adapt 2 weeks Period Backlog Start Continue Period 2 months Inspect & Adapt 2 weeks Period Backlog Continue Period 2 months Inspect & Adapt 2 weeks Period Backlog Start Stop, Start different one Period 2 months Inspect & Adapt 2 weeks Period Backlog Finished, Start another
- 24. Why focus on short Cycle Time? Little’s Law, for a stable system • It is hard to delivery items faster. • It is easier to work on less items. • Hence reduce WIP to realise value earlier. • High Utilisation, increases WIP, which reduces Cycle Time and hence reduces Delivery Rate 24 Avg. Cycle Time = Work In Progress (WIP) Avg. Delivery Rate
- 25. How do we limit WIP? 25 1. Stop some projects 2. Reduce the projects that Start/Continue Portfolio Backlog Period Backlog Our capacity Period Planning
- 26. How do we limit WIP? 26 Portfolio Backlog Period Backlog Our capacity Period Planning
- 27. Split Large Project This reduces cycle time, which increases throughput 27 Portfolio Backlog Portfolio Backlog
- 28. Validated Learning over Business Cases Business Case Validated Learning Reasoning We can predict what will lead to success We are working from assumptions, that must be verified quickly Success Strategy Plan and manage better Learn faster Project Selection Projects with large expected returns Small projects with good learning opportunities 28
- 29. Validated Learning Approach Encourage Validated Learning at all levels • Project • Release • Sprint • Day to day 29 Aim to test assumptions • Plan, Design and Run Scientific Experiments • Business Canvas • Impact Mapping Delivery early, Iterate Frequently • Use narrow vertical slices • Experiments, not marketable products Gain market feedback • Get out of the building • Talk to real users • A/B Testing • Monitor usage metrics
- 30. Tighten Build, Measure, Learn cycles 30 Period 6 months Period 6 months Knowledge of what realises business value Period 6 months
- 31. Tighten Build, Measure, Learn cycles 31 Period 3 months Period 3 months Period 3 months Period 3 months Period 3 months Period 3 months Knowledge of what realises business value
- 33. 33 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Achieve flow of business value Management of People in the Portfolio Portfolio Budget Management Consistency across Programs Management of People in the Programme Management of People in the Project Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management Ensure Processes are effective and efficient Training & Coaching
- 34. Incremental Funding 34 Move towards incremental funding. Projects are Started/Stop (hence funded or not) at Period Planning Links to: • Continuous Flow of value • Validated Learning • Tighter build, measure, learn loops • Smaller projects
- 35. The remainder
- 36. 36 RESPONSIBILITIES AIM Project Management Programme Management Portfolio Management Delivery of Project Goals Delivery of Programme Goals ROI for business Team Alignment to Project Goals Project Alignment to Programme Goals Achieve flow of business value Management of People in the Portfolio Portfolio Budget Management Consistency across Programs Management of People in the Programme Management of People in the Project Consistency across Projects Consistency across Teams Programme Budget Management Project Budget Management Ensure Processes are effective and efficient Training & Coaching
- 37. Consistency 37 Consistency is needed across Process, Tools, Metrics Aim for bare minimum of rules Teams need freedom to innovate and deliver
- 38. Process efficiency and effectiveness 38 Apply Lean thinking • Eliminate Waste • Build Quality In • Create Knowledge • Defer Commitment • Deliver Fast • Respect People • Optimise The Whole Apply Agile values • Individuals and Interactions over Processes and Tools • Working Software over Comprehensive Documentation • Customer Collaboration over Contract Negotiation • Responding to Change over Following the Plan Continuously improve. Don’t accept the status quo.
- 39. Training and Coaching 39 Training on • Processes, Tools, Reporting, etc. • Agile, Lean, etc. Coaching on • Agile, Lean • Agile Project Management • Validate Learning, Lean Start Up, Business Model Canvas • etc.
- 41. Declaration Agile/Lean PMO Ideas We increase return on investment by making continuous flow of value our focus • Regular re-asses • Short Cycle Times • Validated Learning • Tight Build, Measure, Learn cycles We deliver reliable results by engaging customers in frequent interactions and shared ownership • Short Cycle Times • Tight Build, Measure, Learn cycles • Agile Project Management We expect uncertainty and manage for it through iterations, anticipation, and adaptation • Short Cycle Times • Agile Project Management We unleash creativity and innovation by recognizing that individuals are the ultimate source of value, and creating an environment where they can make a difference • Stable Teams • Support & Empower Teams • Remove Impediments • Limit WIP We boost performance through group accountability for results and shared responsibility for team effectiveness • Consistent reporting • Regular re-assess We improve effectiveness and reliability through situationally specific strategies…
- 42. Wrap up
- 43. Reference Information • The agile PMO by cPrime • Elements of a Lean PMO • Scaling Agile through Adaptive Governance by Sanjiv Augustine • The Roles of the Project Management Office in Scrum by Mike Cohn • 21st Century Portfolio Management by David Joyce • The Agile PMO by Alex Adamopoulos (Emergn) 43
- 44. 44 Thank you
Editor's Notes
- #12: Support care about peoples wellbeing, growth and morale Empower teams clear goals aligned to business opportunity & company vision (purpose) Let them self organise, use a pull model for work allocation (autonomy) Create opportunities for learning and growth (mastery)
- #39: Optimise the Whole - (they are in a unique position to do this)