The Accidental Portfolio Manager

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The Accidental Portfolio Manager Who is managing the forest if you're tending the trees? Gerald J. Leonard Director, Legal and Commercial Programs Edwards Project Solutions

description

Key Questions and Ideas this presentation addresses: · How to manage a Portfolio if you don't have a PMO? · How to say no to a project request? · Portfolio Governance · How to setup a portfolio management office? · How to engage the business or practice groups? · How to develop a mature portfolio practice? · What are the steps for setting up a PPM capability?

Transcript of The Accidental Portfolio Manager

Page 1: The Accidental Portfolio Manager

The Accidental

Portfolio Manager Who is managing the forest if you're tending the trees?

Gerald J. Leonard

Director, Legal and Commercial Programs

Edwards Project Solutions

Page 2: The Accidental Portfolio Manager

Gerald’s Profile

During the last 18 years Gerald has worked as a IT

Project Management consultant

4 Years implementing Projects, Programs, IT Portfolios

and IT Governance at a AMLAW 20 Law Firm

Earned the PMP, MCSE, MCTS, CQIA, COBIT Foundation

and ITIL v3 foundation certifications

Certifications in Project Management and Business

Intelligence from University of California, Berkeley

Executive Leadership Certification from Cornell

University

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When you should be managing

the forest.

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What? Why? How To Setting

Up a PMO

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What is Portfolio

Management?

Portfolio Management is a capability that enables

organizations to analyze, select and manage a collection

of project investments that are aligned with your

company’s goals and objectives within a data driven

decision making framework.

Portfolio Management also coordinates the acceptance,

approval, postponement, rejection or cancelation of a

project which will not realize the proposed benefits or

the corporation’s strategic outcomes.

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What is IT Governance?

Governance is the process of putting policies,

procedures and processes in place to guide

organizational operational activities and changes.

Governance warrants the achievement of an

organization’s objectives by strategically aligning daily

activities, setting direction, providing guidance on

decision making and monitoring performance.

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How Does PPM Work Within a

Firm?

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Audience Poll

Go to http://ilta.cnf.io on your mobile device or

laptop.

What is your greatest challenge with implementing

Portfolio Management?

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What? Why? How To Setting up

a PMO

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Why is Portfolio Management

and Governance Important?

Organizations that practice

Portfolio Management and

Governance are 20% more

profitable than their competitors.

(IT Governance, Peter Weill)

2/3 of organizations that employed

PPM reported that 90% of their

projects perform to expectations.

Higher levels of portfolio alignment

increase stakeholder satisfaction.

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Why is PPM different than PM?

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The Chaos of a Multiple

Project Environment

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Audience Poll

Go to http://ilta.cnf.io on your mobile device or

laptop.

What are the pain points that your organization is

experiencing that is driving PPM?

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What are the pain points?

Pain Points Triggers

Frustration with failed Initiatives, rising IT costs and low value outcomes

Call for IT Infrastructure reduction – fewer data centers

Significant incidents related to IT – project failure

Change in the organization’s operating model

Limitation on the organizations

innovation capabilities and business agility

New regulatory or compliance requirements

IT is seen as a bottleneck Significant technology change or paradigm shift

Duplication of business processes or overlapping initiatives

New CIO, CFO, CEO or Executive Director

Hidden and rogue IT spending; Insufficient IT resources

Desire to significantly improve the value to be gained from IT.

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What are the benefits of

adopting Portfolio

Management? Positive impact on project

performance and the

organization’s overall project

portfolio

PPM increase the organization’s

project management capability

effectiveness and efficiency

Organizations that implement PPM

have better executive engagement

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What? Why? How To Setting up

a PMO

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How To Manage a PPM Without

a PMO

Which came first, the chicken or the egg?

The Portfolio or The PMO

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How To Engage Practice Areas

Within a Firm

Provide answers to the following questions

that your executives are concerns about: • What criteria have we applied to determine if

project Y is the right investment?

• Are we adopting best practices and using standard

tools and processes?

• What outcomes should I expect in the next 3 months

and what deployments will impact my area in the

next 3 to 6 months?

• What cost improvements can I expect to see after

this program has been executed?

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How To Say No To Project

Request

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How To Prepare the Firm for

Change

Portfolio Management primary goal is to align the firm’s activities with their core objectives

and goals. This is true for individual as well.

How can we utilize the LUCK principles in our

change management efforts in the way that

Nelson Mandela changed South Africa? The

answer is we need luck!

LUCK =

Laboring:

Under:

Correct:

Knowledge: http://www.principlesofexecution.com/principles-of-execution/2012/02/got-luck.html#more

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How To Address Project

Overload

Determine the

maximum number of

projects your

department can

handle and obtain

leadership buy-in.

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What? Why? How To Setting up

a PMO

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What are the Steps for Setting

up a PMO?

Plan

•Create Portfolio Management Office Charter

•Develop the Portfolio Management Framework

•EPMO Org, WBS, Budget Planning, Policies and Procedures

Implement

•Portfolio Steering Committee Action Plan

•Portfolio Documentation, Tools, and Reporting

•Portfolio Information & Communication

Close Out

•Portfolio Management Sign off and Closeout

•Lessons Learned

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People, Process and Technology

Legend

CNI = Capability Not Implemented

CIL = Capability Implemented but Limited

CI = Capability Implemented

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Obtaining Executive Buy-in

Learn to speak the language of your executive team.

Relate your request to what your competitors are doing.

Show them how your request will solve their key issues.

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Tips For Establishing a PPM

Practice

Start with developing a stream line process, focus on

collaboration and then determine which tools will meet

your needs.

Ensure that your processes and structure are flexible to

meet your organizations needs.

Create a document repository of best practices that are

available to everyone in your organizations.

Establish a process owner for each process you develop.

Develop a straight forward portfolio recalibration

process

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Developing a Mature PMO

Gartner (April 2012)

Maturity comes not

with age but with

the acceptance of

responsibility. You

are only young once

but immaturity can

last a lifetime!

By Edwin Louis Cole

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Questions & Answers

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Resources

Books

CIO Best Practices

IT Governance

Optimizing Corporate Portfolio Management

Strategic Project Portfolio Management

Project Portfolio Management

Advanced Project Portfolio Management and the PMO

Websites and Blogs

http://www.principlesofexecution.com/psgs/

http://www.isaca.org/cobit/pages/default.aspx

http://www.corporateportfoliomanagement.net/Articles

http://www.prioritysystem.com/implementingppm.html

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Contact Information

Gerald J. Leonard, PMP, MCTS, CQIA, ITIL, COBIT

Director, Legal and Commercial Programs

Edwards Project Solutions (www.edwps.com)

Telephone: 800-556-2506

Email: [email protected]

Twitter: @geraldjleonard

Blog: http://www.principlesofexecution.com