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Best Practice in Programme Management. Geoff Reiss. Senior Consultant: The Program Management Group plc Chairman: ProgM - The UK Programme Management Specific Interest Group Masters degree in Project Management FAPM Author of: Project Management Demystified
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Geoff Reiss • Senior Consultant: The Program Management Group plc • Chairman: ProgM - The UK Programme Management Specific Interest Group • Masters degree in Project Management • FAPM • Author of: • Project Management Demystified • Programme Management Demystified • One Project Too Many (with Geof Leigh) • The Gower Handbook of Programme Management (6 authors)
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management Governance Program Office/Centres of Excellence Sources of Further Information
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management Governance Program Office/Centres of Excellence Sources of Further Information
Programme Management Cross Project Links Resources Business As Usual Benefit Management Project Portfolio Management A Project A Project A Project A Project Oh no, another project A Project A Project A Project A Project
Programmes vs Projects Project More complex interface with the strategy • Defined start and finish dates. • Focus is more on delivering products. Rather than benefits. • Simpler; only have to focus on delivering defined products. • Projects are ‘ring fenced’. • Change control is a more structured and easier activity. • Micro view, will fight against others which threaten their success Programme • Contain many projects, drive operational change. • Exist in a world that is constantly changing. • Macro view; have to consider the combined effect of a portfolio of projects. • Less well defined end date. • Focus is on delivering benefits and requires involvement after projects have ended. • Every programme must directly benefit the organisation in some way.
Some Current Initiatives • PMI Program Management Standards • APM Program Management Qualification • Managing Successful Programmes Refresh • Major UK Government Investment • Programme Management Maturity Model
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: OrganisationProject Portfolio Management Governance Program Office/Centres of Excellence Sources of Further Information
A single delegation Agreed and audited scope, timing, budget, documents Delegator Automatic updates of latest plans Delegatee
DirectUpdateModel Project Managers Program Manager Team Leaders Team Members
The Loan Model
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management- Governance Program Office/Centres of Excellence Sources of Further Information
deliver no benefit deliver benefit Portfolio Management • Because a significant proportion of projects: • fail to deliver their business benefits, or • fail to demonstrate delivery of benefits through poor use of metrics • Gartner Research: Do companies measure benefits? no yes Do Programmes Deliver Benefits? Do some 75% Forrester’s 2001 research tells a similar story, stressing that “[Programme] Prioritisation tops the list of CIO’s challenges” 25%
The Value Path Projects create deliverables. Programmes combine deliverables to create capabilities. The organisation utilises the capabilities and gains BENEFITS BENEFITS Capabilities Programmes Deliverables Projects
Defining a Programme • Mandate – a written statement • Owner and / or Sponsor(s) • A List of Benefits: • ‘No Change’ cost or income levels over time • ‘Post Change’ cost or income levels over time • Strategic Alignment measures: KPI’s • Risk Estimates (schedule, cost, benefit) • Resource Requirements and Costs (Investment)
Typical Screen shot showing a complete set of data for a single programme including resource requirements, investments, cash flow curves plus the aggregation of a variety of KPIs
A Benefit Management Cycle • Set a Strategy – the goals • Request Programme Proposals • Contender Programmes • Analyse each Contender Programme • Cyclic Review of all current and contender programmes • Scenarios • Mandatory, Important, Should do, Could do • Benefits, investment, resources, risk • Select the best group of programmes • Select Projects to deliver the programmes • Stop as many unapproved projects as you can • Monitor those programmes in benefit terms
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management Governance Program Office/Centres of Excellence Sources of Further Information
Governance PMG’s view of Governance Program Governance is a minimum framework of rules necessary to manage the delivery of portfolios of projects in a consistent and reliable manner. US Sarbanes-Oxley Act (SARBOX). For Projects: PRINCE2 Program Management Standard Program Portfolio Management Standard For Programs: Managing Successful Programs
A Simple Project Process Prepare & Submit Project Implementation Document Project Board Approves Project Implementation Document Work Begins based on Approved Project Implementation Document Stage up to placing a major purchase Stage Review Proceed to end of project Project Closure Project Closure Report & Lessons Learned
Governance: Prince2 Templates Also have 6Sigma & Governance White Paper
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management Governance Program Office/Centres of Excellence Sources of Further Information
Program Office The KPMG program management survey • Focused on the importance of the Program Office • The global research covered all industry sectors, with 50% of participants from the UK. • Almost two thirds of participants experienced a failed project within the previous 12 months • 98% of organisations with a mature program office reported a 100% project success rate
Program Office Roles • Project register • up to date point of reference • Visibility • program and project reporting • Methodology & governance • maintaining appropriate processes and procedures • ownership & Support of the methodology • Resource allocation and prioritisation • the right people doing the right work • Project closure • and keeping them closed • Lessons learned • Portfolio Management • the process for program & project selection Education and training • Appropriate levels for the project and programme management community
Benefits of a Program Office • Very rapid progress • Quick wins • Reduced risk • Short term • Long term • Best practice input • Visibility • Consistency
Knowledge Management Portfolio Management Management Information Exception Management Program Delivery & Control Program Office
Introduction & Definitions Difference between project and programme management UK government activities/world interest and developmentsFour Very Common Problems: Organisation Project Portfolio Management Governance Program Office/Centres of ExcellenceSources of Further Information
Sources of Information Further Sources • ProgM - The Programme Management Special Interest Group • Register for Newsletter and invitations • The Project Selection and Benefits Management Initiative • Free Evening events and other Conferences • The Programme Management website • Programme Management Maturity Model • www.e-programme.com • PPSO SIG • http://www.ppsosig.co.uk/index.html • PMI Program Management Standard • http://www.pmibookstore.org/PMIBookStore • Office of Government Commerce • www.ogc.gov.uk/index.asp?id=38 • The Program Management Group plc • www.pm-group.com
Good Luck with your programmes and your projects