SymEx 2015 - Troubled Project Recovery, The Story of Firefighter & Hero

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Transcript of SymEx 2015 - Troubled Project Recovery, The Story of Firefighter & Hero

• 15+ years of experience in Project Management / Program Management,

particularly in the financial, telecommunication and manufacturing sectors

• Past experiences: Deloitte Consulting South East Asia, Mitra Integrasi

Informatika (Metrodata Group), Danamon Bank, and Mitsubishi Group

• Lecturer of Project Management, Postgraduate Program, Faculty of

Computer Science, University of Indonesia

• PMI Subject Matter Expert (SME), Chapter Volunteer of PMI Japan

Chapter and PMI Indonesia Chapter

• Panelist/speaker at conferences in US, Germany, Japan and others

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Terminated

Failed

Recovered

Successful

6%

12%

25%

47%

Significant number of projects are at risk every year. Of the 20,821 projects that were closed in the past 12 months in the firms surveyed, 37% were at risk and were either recovered or failed

Source: PM Solutions, 2011

Requirements: Unclear, lack of agreement, lack of priority, contradictory, ambiguous, imprecise

Resources: Lack of resources, resource conflicts, turnover of key resources, poor planning

Schedules: Too tight, unrealistic, overly optimistic

Planning: Based on insufficient data, missing items, insufficient details, poor estimates

Risks: Unidentified or assumed, not managed

Troubled Project

Detection

Assessment

Strategy Plan

Execution

Understand the project tolerances first

Verify if the project is really in trouble

If the variance trends have exceeded acceptable levels of tolerance Project is in trouble

Tolerances

% Variance between planned & actual schedule

% Variance between budgeted & actual Cost

% contractual deliverables completed on schedule

% Variance between budgeted & used resources

Number of risks with high probability & impact

Indicators

No feasible dates on project completion

Key stakeholders are discontent

The morale of the project team has hit rock bottom

Never-ending scope creep

Missing priorities

Source: ESI, 2007

Detection

Assessment

Strategy Plan

Execution

Determine the current status of the project

Identify major threats, opportunities, and problems

Begin to consider recovery overall as the recovery team

Source: ESI, 2007

Is the project still important to project

sponsor?

Will the project still give value to

business/organization?

Is the project technology still viable?

Does the project still have key stakeholders’

buy-in?

Are there any contractual or judicial

disputes that make project unfeasible?

Can the project continue as planned

and defined ?

Are the resource needs to produce the desired

recovery available?

Are the vital signs are in acceptable range

Does PM/new PM have the interest and

capacity to do what needs to be done to recover the project?

Detection

Assessment

Strategy Plan

Execution

• Set expectations with project sponsors first

• Worst-case scenario simulation

• Two choices:

– Continue

– Terminate

A. De-scope

B. Adding Budget

C. Extend the time

D. Redefine

Addition : carry the work & resources to another project

Starvation: terminate work due to no resource

Extinction: terminate project immediately and release resourcesAbsorption : carry only the work to

another project

Definition

Assessment

Strategy Plan

Execution

Improving communication

, stakeholder management,

62%

Redefining the project

(descope, extend timeline

etc), 60%

Adding and/or removing

resources, 58%

Resolving problematic

technical issues, 49%

Assigning the recovery project

manager, 36%

Source: PM Solutions, 2011

THANK YOU