Blms on project management 101117
- 1. 1 18th November 2010 Project Management Nick Lake 07910 852 512 01444 484 096 1 © BlueLake Management Services Ltd What is Project Management? Is good Project Management a competitive differentiator for business? What are the basics of Project Management for executives? How much Project Management is needed? How to spot businesses and projects that are at risk? What does good Project Management look like? What to look for if you're hiring a Project Manager? What are success factors for effective Project Management in business? Agenda
- 2. 2 2 © BlueLake Management Services Ltd What is a Project? What is a Project? 3 © BlueLake Management Services Ltd Definition of a Project Project Management Institute definition: “A temporary endeavour undertaken to create a unique product, service, or result.” (PMBOK® Guide) Projects are temporary work to achieve an outcome Operational activities are business processes that are repeated Well managed projects come to an end – When the project objectives have been met – When the project is cancelled.
- 3. 3 4 © BlueLake Management Services Ltd Definitions: Project, Programme and Portfolio Definitions: Project, Programme and Portfolio 5 © BlueLake Management Services Ltd What is Project Management? Apple Example
- 4. 4 6 © BlueLake Management Services Ltd Innovation as a competitive differentiator The bridge between Strategy and Success: Reduced cost, Faster ROI Boosts competitiveness Impact on attracting and retaining talent Builds increased Innovation “The practice of Project Management will be the activity that makes or breaks many global companies in this environment.” Rich Karlgaard, Publisher, Forbes Magazine Business Strategy Business Results ? 7 © BlueLake Management Services Ltd Survey of Executives on Most Important Skills Economist Intelligence Unit survey for PMI: 600 executives worldwide Most important individual skill? – Project execution Most important organizational capability? – Ability to implement strategic change
- 5. 5 8 © BlueLake Management Services Ltd Why Project Management Matters Only a third of an organisation’s projects deliver the expected results Poor project management has a tremendous financial impact Organisations are growing in scale and scope, taking on more complex projects without advancing their project management practices A focus on single project/s not on the portfolio 9 © BlueLake Management Services Ltd Competitive stumble A380 Example
- 6. 6 10 © BlueLake Management Services Ltd Quotation Software example: timeline and surprises 11 © BlueLake Management Services Ltd The competitive advantage of good project management Excellence in project management can enable: Management to make the right investment decisions Results to be achieved quicker, at less cost and with less risk Management to make timely decisions about projects as the work unfolds The organisation to make best use of limited resources
- 7. 7 12 © BlueLake Management Services Ltd The basics of Project Management for executives The system for projects The stages of managing a project Key project artefacts Project management effort 13 © BlueLake Management Services Ltd The Projects System Components depend on the organisation: Business Context Project Management Central Office Staff managing projects Project Management methods, tools etc & … What components exist in your organisation? Assessment of status & action planning: 12 industry Standards (these address half) 800 Good Practices
- 8. 8 14 © BlueLake Management Services Ltd The Project Life Cycle and Key Stages Start Finish Initiate the work Meet the sponsor Define success Hold a kick off meeting Establish the Plan Define the work Obtain resources Make the plan Assess risks Define costs Set up processes Monitor and Control Report on progress Manage risks Confirm acceptance Learn and improve Execute Do the work Review progress Check the results Close Close the project 15 © BlueLake Management Services Ltd Starting the project Define who will be the sponsor – For the business to the project and for the project team to the business Decide who will be the project manager Define the Project What is/are the Problem/s What are the Objectives What Products will the project provide Any critical success factors for the project work or the products Announce the project and who is to be project manager
- 9. 9 16 © BlueLake Management Services Ltd Example Milestones Table Owner Current Forecast End Date Actual Achieved End Date Planned Complete Date Product 17 © BlueLake Management Services Ltd How much Project Management Effort is appropriate? Consider factors such as: Project Type (Incremental or Chaos) Business Risk Potential delay to revenue stream Cost to the business of delays Risk to customer satisfaction Capital expenditure Staff time Technology risk (Familiar or new, proven or unproven) Cross functional risk
- 10. 10 18 © BlueLake Management Services Ltd The Triple Constraint Scope or Quality Cost Time Products BENEFITS 19 © BlueLake Management Services Ltd Alert signs Is Management aware of all the project work being done Are good projects prioritised over bad Is there predictability Are the right people on the job Are projects executed consistently Is there visibility of progress and issues How are small projects done Is it a large new business opportunity Is this a project Out of the Ordinary Is it different – Business – Scale – Client – Sector Issue: Organisational Project Management Individual Project Management
- 11. 11 20 © BlueLake Management Services Ltd Indicators Projects aren't getting enough Management Surprises It will take 3 months The end date changes or there is no clear end date (supported by facts) It is not clear who is the sponsor for the work It is not clear who is in overall charge of the work The objectives of the work are not written down Staff managing projects are out of their depth Team members have different understandings of where the priorities lie You do not have a list of the important projects You do not have visibility of status, progress and issues 21 © BlueLake Management Services Ltd What good project management looks like No surprises A Projects System Regular reviews of investment decisions and progress A means to identify and assess new projects – Size and cost – Management effort A means to terminate projects
- 12. 12 22 © BlueLake Management Services Ltd What makes a good Project Manager? Knows the Project Management Body of Knowledge Can apply the Project Management Body of Knowledge Has Personal and Business skills Knows your organisation Knows your industry After the Project Manager Competency Development Framework, Project Management Institute, 2007 23 © BlueLake Management Services Ltd Success factors in project management Scottish Parliament Example
- 13. 13 24 © BlueLake Management Services Ltd Research on Why projects Fail Critical Success Factors in project management Critical Success Factors Sponsor is identified and committed Project goal set in a clear and measurable way for all stakeholders PM Formally established, is competent and has high level of authority Establish an experienced and competent project team Top management support for the project AND … The application of Risk Management Causes of Failure No sponsor or too many sponsors Project not announced No clear Project goal No PM or PM does not have authority Project team resources not assigned Project team resources not competent Inconsistent management support Problems are known to team but not to Management Sources: PM Network publication and Armshaw Consulting research 25 © BlueLake Management Services Ltd Information Sources: Project Management Standards Project Management InstituteThe Project Manager Competency Development Framework Project Management InstituteOrganisational Project Management Maturity Model AuthorTitle CertificationAuthorTitle NoneProject Management InstituteThe Portfolio Management Standard MSP Practitioner MSP Foundation Office Of Government Commerce Managing Successful Programmes Program Management ProfessionalProject Management InstituteThe Program Management Standard Prince2 Practitioner Prince2 Foundation Office Of Government Commerce Managing Successful Projects with PRINCE2 Project Management Professional CAPM Project Management InstituteA Guide to the Project Management Body of Knowledge Organisations Individuals Plus many others……..
- 14. 14 26 © BlueLake Management Services Ltd What BlueLake does for Projects Focus on the needs of the business Put research and standards to work for you Apply our experience: 30 x 30,000 Create flexible and scalable systems Implement with your staff in a sustainable way Organisational Project Management Individual Project Management 27 © BlueLake Management Services Ltd Conclusion and Problem-solving Problem solving – describe issues Discuss options Feedback forms please
- 15. 15 28 © BlueLake Management Services Ltd Thank You! Nick Lake, Project Director 07910 852 512 01444 484 096