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CONTENT
THE ROLES OF PROJECT MANAGER
PROJECT & STRATEGIC ALIGHMENT
THE WHY PROJECT MANAGEMNT (PM)
PROJECT CONSTRAINS & ELEMENTS OF PM
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“Projects, rather than repetitive tasks, are now the basis for most
value-added in business”
Tom Peters
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Introduction» Be large or small
• Installing a new subway system, which may cost more than $1 billion and take 10 to 15 years to complete, is a project.
• Preparing an ad hoc report of monthly sales figures, which may take you one day to complete, is also a project.
» Involve many people or just you• Training all 10,000 of your organization’s staff in a new affirmative-action policy is a
project.• Rearranging the furniture and equipment in your office is also a project.
» Be defined by a legal contract or by an informal agreement• A signed contract between you and a customer that requires you to build a house
defines a project.• An informal promise you make to install a new software package on your
colleague’s computer also defines a project.» Be business-related or personal
• Conducting your organization’s annual blood drive is a project.• Having a dinner party for 15 people is also a project.
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What Is a Project?
1. An established objective.2. A defined life span with a beginning and an end.3. Usually, the involvement of several departments and professionals. 4. Typically, doing something that has never been done before.5. Specific time, cost, and performance requirements.
A project is a temporary endeavor undertaken to create a unique product, service, or result.
PMBoK 5th edition
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Why are Projects Important?
1. Shortened product life cycles2. Narrow product launch windows3. Increasingly complex and
technical products4. Emergence of global markets
All of mankind’s greatest accomplishments—from building the great pyramids to discovering a cure for polio to putting a man on the moon—began as a project.
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Current Drivers of Projects
1. Knowledge Expansion2. Triple Bottom Line (3P: Planet –
People – Profit)3. Increased Customer Focus4. Complex Project Portfolio
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Project vs Process
Project
Process
Result
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Comparison of Routine Work with Projects
Source: R. J. Graham. (1992). “A Survival Guide for the Accidental Project Manager,” Proceedings of the Annual Project Management Institute Symposium. Drexel Hill, PA: Project Management Institute, pp. 355–61. Copyright and all rights reserved. Material from this publication has been reproduced with the permission of PMI.
ProjectProcess
1. Repeat process or product
2. Several objectives
3. Ongoing
4. People are homogeneous
5. Systems in place to integrate efforts
6. Performance, cost, & time known
7. Part of the line organization
8. Bastions of established practice
9. Supports status quo
1. New process or product
2. One objective
3. One shot – limited life
4. More heterogeneous
5. Systems must be created to integrate efforts
6. Performance, cost & time less certain
7. Outside of line organization
8. Violates established practice
9. Upsets status quo
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Comparison of Routine Work with Projects
Source: R. J. Graham. (1992). “A Survival Guide for the Accidental Project Manager,” Proceedings of the Annual Project Management Institute Symposium. Drexel Hill, PA: Project Management Institute, pp. 355–61. Copyright and all rights reserved. Material from this publication has been reproduced with the permission of PMI.
• Taking class notes• Daily entering sales receipts
into the accounting ledger• Responding to a supply-chain
request Practicing scales on the piano Routine manufacture of an Apple iPod
• Attaching tags on a manufactured product
• Writing a term paper• Setting up a sales kiosk for a
professional accounting meeting• Developing a supply-chain
information system Writing a new piano piece
• Designing an iPod that is approximately 2 × 4 inches, interfaces with PC, and stores 10,000 songs Wire-tag projects for GE and Walmart
ProjectProcess
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Project Life Cycle
(Larson & Gray, 2019)
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Project Life Cycles & Man Hours
Man Hours
Conceptualization Planning Execution Termination
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Project Life Cycles and Their Effects
Conceptualization Planning Execution Termination
Uncertainty
Client Interest
Project Stake
Creativity
Resources
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Quadruple Constraint of Project Success
Success
Budget
Schedule Performance
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Quadruple Constraint of Project Success
Success
Budget
Client
Acceptance
Schedule Performance
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How the Customer explained …
How the PM understand…
How the Analyst designed …
How the Programer wrote…
How the Consultant
described…
How the project was documented
What Operation installed
How the Customer was billed
How it was supported
How the Customer want…
1-23
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Project Customer Trade-off Matrix
• Meeting Agreements_Cost, schedule, and specifications met
• Customer’s Success_Needs met, deliverables used, customer satisfied
• Performing Organization’s Success_Market share, new products, new technology
• Project team’s Success_Loyalty, development, satisfaction
Source: Adapted from Timothy J. Kloppendborg, Debbie Tesch, and Ravi Chinta, “21st Century Project Success Measures: Evolution, Interpretation, and Direction,” Proceedings, PMI Research and Education Conference 2012 (Limermick, Ireland, July 2012).
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According to a 2019 KPMG, AIPM, and IPMA global survey:
• Only 19 percent of organizations deliver successful projects, at least most of the time
• Only 30 percent of organizations deliver on time
• Only 36 percent deliver projects on budget
• Only 44 percent deliver projects that meet original goal and business intent
• Only 46 percent of projects delivered receive stakeholder satisfaction
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Of the projects started in your organization in the past 12 months that were deemed failures, what were the primary causes of those failures (selct up to three)
PMI’s 2017 Pulse of the Profession report
Change in organization’s prioritiesInaccurate requirements athering
Change in project objectivesInadequate vision or goals for the project
Inadequte/poor communicationPoor change menagement
Inaccurate cost estimateUndefined opportunities and risks
Indequate sponsor supportInadequite task time estimate
Resource dependencyInadequate resource forecasting
Limited resourcesInexperience project manager
Task dependencyTeam member procrastimnation
Others
Global Total
0% 10% 20% 30% 40% 50%
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What are the largest project management challenges in your organization
(Wellingtone)0% 5% 10% 15% 20% 25% 30% 35%
Lack of visibility of project status
Poor project selection process
Frequent changes to scope
Poor risk management
Ineffectively implement EPM/PPM solution
Lack of planning skills
Lack of governance
Poorly trained project sponsors
Poor resource management
Lack of senior management support
Lack of appropr iate software
Doing the wrong projects (lack of strategic alignment)
Inconsistency in approach
A lack of project funding
Attempting to run too many projects
Poorly trained Project Managers
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Project Critical Success Factors
Phase Success Factors
ConceptualizingClear understanding of project environmentEffectiveness of consultation with stakeholdersCompetency of project team
PlanningAlignment with development prioritiesAdequate resource supportEffectiveness of consultation with stakeholdersCompetency of project team
ImplementationCompatibility of regulations for project managementEffectiveness of consultation with stakeholdersConsistency of support for stakeholdersCompetency of project team
ClosingAdequacy of project closure activitiesEffectiveness of consultation with stakeholdersCompetency of project team
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Summarized literature reviews on project's critical project-success-factors
Source: International Journal of Business and Management (2013)
Critical Success Factors
AuthorsPinto & Stevin(1987, 1989)
Kerzner(1992, 2001, 2003)
Yeo (2002)
Boyd (2001)
Andersen et, al, (2002)
Hyvari(2006)
Turner & Multer(2005, 2007)
Khang& Moe (2008)
Frese & Sauter(2003)
Clear Project Management objectives ü ü ü ü ü
Top Management Support ü ü ü ü ü ü ü
Information/Communication ü ü ü ü ü
Client Involvement ü ü ü ü ü ü
Competent Project Team ü ü ü ü
Authority of the Project Manager/Leader ü ü
Realistic Cost and Time Estimates ü ü ü ü
Adequate Project Control ü ü ü
Problem Solving Abilities ü ü
Project Performance and Quality ü ü
Adequate Resources ü ü ü ü ü
Planning/controlling ü ü ü ü ü ü ü
Monitor performance and feedback ü ü ü ü
Project mission/common goals ü ü ü
Project ownership ü ü ü ü ü
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• Project Understanding• Information and
Communication• Project mission/common goal• Competent Project Team• Top Management Support
• Realistic Cost and Time Estimates
• Adequate Project Control• Adequate Resources• Client Involvement• Project ownership
• Authority of the Project Manager/Leader
• Problem Solving Abilities• Risk Management• Monitor performance and
feedback• Planning/Controlling
• Clear Goals/Mission• Top Management Commitment and Support• Adequate financial and other resource• Compatibility with development priorities• Effective consultation with stakeholders• Consistent support for stakeholders• Compatible regulation and standards
Social, Cultural, Political, Governmental, Economic, Technical and Operational Environment
• Leadership• Effective Management Systems• Competent project team• Accomplishment of Budget• Use of superior and appropriate technology• Environmental Positioning• Monitoring and Feedback• Adequate project activities for each phase
FILTERS FILTERS
Ofori's Conceptual framework for assessing project success factors
Ofori's Conceptual framework for assessing the quality of project management practices and critical success factors (Ofori, 2013)
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What is Project Management
Project management is
the application of
processes, knowledge, skills and
experience to
achieve the project objectives
Proccesess
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Project Governance
• Governance is designed to improve project management in the whole organization over the long haul. The rationale for integration of project management was to provide senior management with:
oAn overview of all project management activities;
oA big picture of how organizational resources are being used;
oAn assessment of the risk their portfolio of projects represents;
oA rough metric for measuring the improvement of managing projects relative to others in the industry;
o Linkages of senior management with actual project execution management.
(Larson & Gray, 2019)
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Project Manager Responsibilities
1. Selecting a team2. Developing project objectives
and a plan for execution3. Performing risk management
activities4. Cost estimating and budgeting5. Scheduling
6. Managing resources
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EXECUTIVE ROLES MANAGERIAL ROLES ASSOCIATE ROLESSponsor Project Manager Core Team Member
Customer Functional Manager Subject Matter Expert (SME)
Steering Team FacilitatorProject Management Office
Traditional project roles
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Agile project roles
EXECUTIVE ROLES MANAGERIAL ROLES ASSOCIATE ROLESCustomer (product owner) Customer (product owner) Team MemberSponsor (product manager) Scrum MasterPortfolio Team Functional ManagerProject Management/Scrum Office Coach
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The key to project success is being proactive. Instead of waiting for others to tell you what to do:
• Seek out information because you know you need it.• Follow the plan because you believe it’s the best way.• Involve people whom you know are important for the project.• Identify issues and risks, analyze them, and elicit support to address
them. à Share information with the people you know need to have it.• Put all important information in writing.
• Ask questions and encourage other people to do the same.• Commit to your project’s success.
Project Management for Dummies, 2019)
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Four Dimensions of Project Success
Project Completion Time
Importance
1Project
Efficiency
2Impact on
the Customer
3BusinessSuccess
4Preparing for
the Future
Source: A.J.Shenhar, O.Levy, and D. Dvir. (1997). “Mapping the Dimensions of Project Success,” Project Management Journal, 28(2): 12. Copyright and all rights reserved. Material from this publication has been reproduced with the permission of PMI.
www.bemind.com.vn(source: Pinto, 2019)
Center for Business Practices
Level 1: Initial Process• Ad hoc process• Management awareness
Level 2: Structure, Process, and Standards • Basic processes, not standard
on all projects• Management supports use• Estimates, schedules based
on expert knowledge
Level 3: Institutionalized Project Management• All project processes are
repeatable• Estimates, schedules based
on industry standards
Level 4: Managed• Project management
practices integrated with corporate processes
• Solid analysis of project performance
• Estimates, schedules based on corporate specifics
Level 5: Optimizing• Processes to measure project
efficiency• Processes in place to improve
project performance• Company focuses on
continuous improvement
Kerzner’s Project Management Maturity Model
Level 1: Common Language • Sporadic use of project
management• Small pockets of interest in the
firm• No investment in PM training
Level 2: Common Processes• Tangible benefits made
apparent• PM support throughout the
firm• Development of a PM
curriculum
Level 3: Singular Methodology• Integrated processes• Cultural and management
support• Financial benefit from PM
training
Level 4: Benchmarking• Analysis and evaluation of
practices• Project office established
Level 5: Continuous Improvement• Lessons learned, files created• Knowledge transfer between
teams• Mentorship program
ESI International’s Project Framework
Level 1: Ad hoc• Processes ill-defined because
they are applied individually• Little support by organization
Level 2: Consistent• Organization is well
intentioned in its methods• No project control processes
or lessons learned
Level 3: Integrated• Processes are tailored to
enhance all PM aspects• Common use and
understanding of methods across the firm
Level 4: Comprehensive• PM fully implemented across
the firm• Information is used to
evaluate process and reduce variation
• Advanced PM tools and techniques are developed
Level 5: Optimizing• Continual effort to improve
and innovate project capability
• Common failures are eliminated
SEI’s Capability Maturity Model Integration
Level 1: Initial• Ad hoc, chaotic processes
Level 2: Managed• Requirements management,
project planning, and control occur
• Process quality assurance occurs
• Configuration management is used
Level 3: Defined• Requirements development
and product integration occur
• Verification and validation of processes
• Risk management is emphasized
Level 4: Quantitative Management• Process performance is
gauged• Quantitative PM highlighted
Level 5: Optimizing• Innovation and deployment
accentuated• Causal analysis and resolution
occur
A Comparison of Project Maturity Models and Incremental Stages
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Project Management Maturity Generic Model
High MaturityInstitutionalized, seeks continuous
improvement
Moderate MaturityDefined practices, training programs, organizational
support
Low MaturityAd hoc process, no common
language, little support
(Pinto, 2019)
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High performers Offer Variety of PM Training
(PMSolutions)
85% of high-performing organizations
have a project management training
program in place. This chart shows the percentage of PMOs responsible for each type of
training course or program.
Project Management Software Tool Training
Project Management Basic
Advanced PM Skills Development
Leadership Training
Business Alignment Training
PMP Preparation
PM Certificate/Degree Program
Agile Project Management
79%
76%
67%
61%
48%
48%
42%
33%
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Project Management skills for SuccessThe Recent Past
Subject Matter Expertise
Project Leadership
PM Tools and Techniques
Subject Matter Expertise
Project Leadership
PM Tools and Techniques
Subject Matter Expertise
Project Leadership
Project Leadership
PM Tools and Techniques
The Current Environment
Soon to be
(James Lewis, 2015)
PM Tools and Techniques
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A Socio-Technical Approach to Project Management
(Larson & Gray, 2019)
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Strategic planning and portfolio alignment
(Timothy, Vittal, Kathryn, 2019)
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Linking a Project to Organizational Strategy
• A portfolio is a collection of programs, projects, sub-portfolios and operations managed as a group to meet the organization’s strategic goals and objectives.
• Programs, which are the “children” within a parent-child relationship with a portfolio, contain a related set of projects, sub-programs or program activities. They’re managed in a coordinated way to obtain benefits and control.
(source: MPUG)
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PMI’s statistics (2016)• Poor performance results in organizations wasting an average of US$109
million for every US$1 billion spent on projects. In other words, for every $1 spent, almost 11 cents is being wasted. A February 2016 report stated that the waste has gone up-to US$122 million for every US$1 billion investment (more than 12 cents per dollar!).
• On average only 56 percent of strategic initiatives undertaken by organizations are successful; the reverse of that sounds worse: 44 percent of strategic initiatives are failing.
• High performing organizations (76 percent) have twice as many successful strategic initiatives compared to the low performers (38 percent).
• High performing organizations (57 percent) are twice as likely to have strategic alignment of projects compared to the lower performing ones (28 percent).
• 92 percent of high performers in terms of project success and 91 percent in organization success align projects in the portfolio to strategic initiatives.
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Strategic Management Process
(Larson & Gray, 2019)
What are we now?
What do we intend to be?
How are we going to get there?
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E2E structure from business strategy to project activity
(source: MPUG)
GOAL
PROJECT
ACTIVITY
Executive Management
Creation of Program & Project
Lowest Level ofProject
Creation of Portfolio
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Examples of project selection criteria
(Timothy, Vittal, Kathryn, 2019)
1. How well does this project fit with at least one organizational objective?2. How many customers are there for the expected results?3. How competitively can the company price the project results?4. What unique advantages will this project provide?5. Does the company have the resources needed?6. What is the probability of success?7. Are the data needed to perform the project available or easily collected?8. Do the key stakeholders agree that the project is needed?9. What is the expected return on investment?10. How sustainable will the project result be?11. How does this project promote (or hinder) our corporate social responsibility?12. What risks are there if we do not perform this project?
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