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Managing for Change. Simon Noble Oracle Primavera. Copernicus: A Renaissance Man and Founder of Modern Astronomy. Mathematician, astronomer, physician, quadrilingual , classical scholar, translator, artist, Catholic cleric, jurist, governor, military leader, diplomat and economist
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Managing for Change Simon Noble Oracle Primavera
Copernicus: A Renaissance Man and Founder of Modern Astronomy • Mathematician, astronomer, physician, quadrilingual, classical scholar, translator, artist, Catholic cleric, jurist, governor, military leader, diplomat and economist • Helocentric cosmology: Proved mathematically that the sun is the center of our solar system
ProgrammeAgenda <Insert Picture Here> • Rate of change • How PPM has responded to change • How people respond to change • Better ways to respond to change • Summary and Q&A
Increasingly Rapid Rate of ChangeInformation Expansion – Drowning in Information • Five megabytes can hold the text of the entire works of Shakespeare. • 50 gigabytes would contain the text of an entire library floor of books. • A terabyte is one thousand gigabytes of data. 10 terabytes would hold the text of the entire Library of Congress. • A petabyte is one million gigabytes of data. Two petabytes would contain the text of every academic research library in the U.S. • An exabyte is one million terabytes. Five exabytes would store all of the words ever spoken by human beings on this planet.
Increasingly Rapid Rate of ChangeTechnology Adoption • Telephone: 45 years to reach 50% adoption, 75 years to reach 90% • Color TV: 13 years to reach 50% adoption, 25 years to reach 90% • VCR: 5 years to reach 50% adoption, 25 years to reach 90% • Cell phone: 13 years to reach 50% adoption, 18 years to reach 90% New York Times, 12 Feb. 2008
When will project management respond to rate of change and explosion of information? Top Down Central Control Baseline Plans Progress Measurement& Reporting
How does the real world accommodate change? • Avoid it • Deny it • Control it • Tolerate it • Encourage it • Embrace it
What are the human consequences of change? Burnout Dissatisfaction Frustration Stress Destruction Obstruction Loss ofExperience Talent Flight
So why do we as project managers resist change? Messy Reporting is impossible Hard to control Hard work to re-plan Hard enough to build one baseline Can’t measure performance 1 2 3 4 5 6
But isn’t dealing with change a good thing? Modify plans to circumvent obstacles and delays 1 Re-assign individuals where they can be more productive 2 Bring in partners with experience 3 Modify scope to meet client needs 4 Use new technology that was unproven or unknown 5 Employ value engineering 6 Try a new approach to save time or money 7
But if change is good why do we resist it? Loss of authority Loss of control Creates more work for us Our tools don’t support change Can’t keep all the possibilities in mind Moving target is hard to hit 1 2 3 4 5 6
So maybe we need better “sights” on our PPM “weapons” to deliver • Tools that are built to handle collaboration • Tools that treat change as inevitable and desirable • Experienced people who can use the new tools well Platform Customer Results Processes People Partners
So what’s wrong with today’s PPM tools? How will we tell where to focus? Assumption of a fixed plan. PPMTools Fixed plans are hard to modify. How will we spot deviations? What is the correct basis for comparison? How will we know what is working? How will we know who is not performing?
A New Proposition: Two Heads Are Better Than One • Collaboration is the keyto better results • We can have tools that help us collaborate not litigate • We can have tools that help us consider possibilities • We can have tools that triangulate schedule, cost and scope. • We can tolerate more input like our kids do • We can live in the moment and trust the outcome
A Case Study in Poor Scope and Quality: Scottish Parliament Building • £389 - 414 million spent on the construction • Original budget: £62 million • Scope expansion and fieldchanges: £327 - £352 million • Delivered 3 years late, due in part to building, logistical, security and contractual difficulties and principally evolving changes
Means and Methods • Tools that make it easy to access and multiply our intelligence • Tools that make change easy to accommodate • Analyses that compare and contrast future possibilities and options • Ability to perform lots of what-if analyses with consequences to • Q x S = T x C • Documentation of what should have happened and what did happen • Version control to track and maintain multiple plans, forecasts and decisions
But Ultimately It Is About People People need to embrace change People need to seek candor (including bad news) People need a way to collaborate quickly People need to seek advice and opinions
Our Only Hope for the Future:Plan, Revise, Re-plan, Revise, Re-plan, Revise… We don’t know yet what we don’t know Need to evaluate scope changes relative to the quality of the desired result Revise Plan Re-plan But when we know we need to adjust Revise Revise Re-plan Re-plan Revise Need to adjust quickly We need to solicit contrary opinions and advice
Project and Change Management Maturity Enterprise PPM: Enterprise Business Objectives are King and Change in Portfolio’s Project and Programme Mix is driven through continuous iterative review Programme Management: Programme OUTCOME is King and Project Level Change is Acceptable Project Management: Project is King and Change is Avoided and Minutely Documented Zero Project Management: Change Causes Reactive Project and Business Behaviour PPM Maturity
Results of Project Management Embracing Change • Better projects • Higher client satisfaction with the outcome • Rapid response to changing circumstances • Greater success • Appreciation for project management for leading the future • Keeping to project commitments! • i.e. ‘Saving’ ~£350 million