Why Do Projects Succeed or Fail?
Discover What Really Makes a Difference
Hello Mark,
For too long, project managers have believed that the right planning leads to the right results.
Yet time after time, independent research shows that the current approach to project management fails to produce the outcomes managers expect – and clients want.
It’s clear the traditional solutions to project management are not working. The key to improving project performance is not planning, but execution – creating and sustaining processes and behaviors that deliver consistent, quantifiable results.
Fortunately, the processes and behaviors to deliver consistent execution results are well defined and quantified. These form the Project Execution Maturity Model.
This identifies the elements that drive effective project execution excellence, giving you a measurable means to assess your status, to target areas of improvement, and to make meaningful progress in the way you deliver projects.
You'll learn:
What processes and behaviors lead to lower operating costs, increased throughput, and significant gains in on-time delivery performance
How to confidently identify and work on the right elements to change
Why achieving greater project execution maturity drives increases to your organization's financial performance
How to replicate success, project after project, by learning how to move your organization from ad hoc project management to control of projects, portfolios and continuous strategic improvement
2. What I want to share:
2
The Premise of the Solution
Project Execution Maturity Model – 3 Levels
Understanding Basic Collaboration
3. What does “failure” mean?
Scope
̶ Did the project deliver all
the features?
Quality
̶ Did the outcome function as
it should have?
Business Benefit
̶ Did the project deliver the
results?
Budget
̶ Did it cost as much as it was
supposed to?
Schedule
̶ Was it done when we wanted
it to?
3
4. Most Managers Struggle with
Schedule and Budget
0%
10%
20%
30%
40%
50%
60%
70%
80%
Scope Quality Business Benefit Budget Schedule
Project Success Rates & Length of Time Using a PMO
PMO >= 6 yrs PMO <= 5 yrs No PMO
4
5. Successful projects are NOT the
result of successful planning
7
Successful projects are the result of
skillful execution.
6. Performance Is a
Function of Capability
Project Management
Capabilities
Ability Behavior Result
8
Project Management
Maturity
Project
Performance
Business
Performance
7. Purpose of “Best Practice” Models
Quantify capabilities that deliver
the desired results
Facilitate comparison to your
practices
̶ Determine what is and what isn’t
working
̶ Establish a case for action
̶ Develop a plan for improvement
9
8. Many Project Management
Maturity Models
Over 30 different models, based on
various paradigms
Seem to be useful
̶ Widely adopted
̶ Many organizations report advancements in
maturity
10
9. What Do We Want in a Model?
12
The principles for delivering on time and on budget
Clear relationship between principles and desired effects
Behaviors that exemplify those principles
A path to maturity
Level 5
Optimizing
Level 4
Managed
Level 3 Org.
Focus
Level 2 Basic
PM
Level 1 Initial
10. Project Execution Maturity Model – Principles for
Execution & On Time Delivery
13
Date
Mgmnt.
Schedule
Risk
Delivery
Promising
Managing
Bottlenecks
Remote
Collaboration
Priority
Control
Collaborative
Execution
Control WIP
Functional
Alignment
Probabilistic
Planning
Subcontractor
Management
Capacity
Management More
Mature
Less
Mature
11. Basic Collaboration
14
Emphasize Velocity
The work before you
The team before you
Near term
More
Mature
Less
Mature
Priority
Control
Collaborative
Execution
Control WIP
Functional
Alignment
12. Improved Coordination
15
Inclusion of remote teams
Emphasize On Time Delivery
Inclusion of schedule risk in execution decisions
Medium Term
More
Mature
Less
Mature
Date
Mgmnt.
Schedule
Risk
Delivery
Promising
Managing
Bottlenecks
Remote
Collaboration
13. Integrated Planning & Execution
16
Closed Loop planning & execution
Probabilistic scheduling
Finite resource planning
Life of project, full portfolio
Probabilistic
Planning
Subcontractor
Management
Capacity
Management More
Mature
Less
Mature
15. Basic Collaboration Solves:
18
Lack of direction
Unclear accountabilities for results
Slow progress
Answers the most basic questions:
̶ What is the status of the work?
̶ Are we making progress?
̶ What do we need to do to move forward?
̶ Who is going to do it?
18. Informed Collaboration
Individuals and teams see
beyond their own tasks to the
overall direction of the project
Agreement on the situation
Roles and accountabilities of
each team member are clear
Focusing on what needs to be
done today, rather than the
past
21
19. Collaborative Execution
What if I don’t?
Slow response to project
problems
Slow progress
Increased project lead-
times
22
21. The Situation Must Be Made Obvious
Accuracy – Where are we now?
Shared – Do we agree on it?
22. Purposeful Collaboration
Focus on what is slowing or halting progress
Only investigate the issues
̶ “What are the red issues?”
Ask what we need, not who to blame or why
̶ “How does it hurt the project due date?”
Try to identify next steps, not resolve the issue
̶ “Let’s have a separate meeting to figure this out”
Actionable!
Keep it short!
23. Collaborative Execution
What if I do?
Quick response to
project problems
Increased completion
velocity
Reduced project lead-
times
26
25. Functional Alignment
The project team
shares
̶ A common goal
̶ Agreement on the rules
of the game
Subordination of
individual to team
objectives
28
26. Functional Alignment
What if they aren’t?
Reduced velocity
̶ Time to clarify accountabilities
̶ Difficulty obtaining resources
̶ Low team engagement
Poor resource productivity
̶ Misallocation of skills
̶ Response delays
29
31. Functional Alignment
What if they are?
Increased task completion
velocity
̶ Clear accountabilities
̶ Resources allocated as needed
̶ High team engagement
Improved resource productivity
̶ The right people working the problems
̶ Quick response to problems
34
35. Priority Control
What if we don’t?
Work performed out of
sequence
Plenty of task switching
(multitasking)
̶ Delays
̶ Longer completion times
Reduced productivity
38
36. Setting the Priority
Establish the criteria (delivery date?)
Who controls them?
What if there is
disagreement or
confusion?
Quality problems or
delay – does this change?
What about emergencies?
39
37. Priority Control
What if we do?
The right work at the
right time
Much less task switching
(multitasking)
̶ Increased velocity
̶ Shorter completion times
Increased productivity
40
39. Control Work in Progress
Managers control the release
of work into the system based
on the capacity of the
constraint
Managers promote policies
that reduce multi-tasking –
̶ Clean Start
̶ Clear Priorities
42
40. Controlling Work in Progress
What if we don’t?
Increased complexity of task
management
̶ Increased management effort
(meetings!)
̶ Work performed out of
sequence
̶ Plenty of task switching
Increased project lead times
Delays in task completions
Task rework.
Task over-processing
Reduced productivity
43
41. WIP controls the release of new
projects
45
must be limited.
Project XX
Estimate
(WIP = 4)WIP Controls:
1. Limiting work
2. Release at the rate of consumption
42. The Clean Start Queue
46
TBR (To be released)
It is a prioritized queue
of work that needs to
be done when
resources are
available.
The work has met the
defined “clean start”
requirements
43. Controlling Work in Progress
What if we do?
Simplification of task
management
Reduced project lead times
Tasks can be quickly
completed without delay
Rework reduced
Task over-processing is
eliminated
Improved productivity
47
44. Basic Collaboration - Summary
48
Collaborative
Execution
Working together to achieve shared goals
Functional
Alignment
Each team member subordinates to the
overall objectives of the project
Priority
Control
Local work priorities reflect global priorities
Control WIP
Work is released into the system as it is consumed.
Clean Start
49. Directly Building Capabilities
that Drive Performance
Project Management
Capabilities
Ability Behavior Result
53
Project Management
Maturity
Project
Performance
Business
Performance
50. Basic Collaboration - Results
54
All of the work in the system is in control
Project teams have a clear view of the project work, its
status and risk
Local resource teams are aligned with project priorities.
Accountabilities for results are clear
Priority
Control
Collaborative
Execution
Control WIP
Functional
Alignment
52. Financial Impact (USD)
LT impact with
additional
sales
• More with same
• New sales - reduced lead time
= new projects + aftermarket
0 24 months
Original
Original
New
Sales
1.4
Additional
sales
• More with same
• New sales – additional productivity
= new projects + aftermarket
+27%
Capacity
? ? ?
SCU A B C
1.9
to
2.8
Improved
effectiveness &
efficiency
• Same with less
• 27% reduction of project lead times
translated into cost savings2.1
Bottom line:
≥ 5.3mm
Business capabilities: ability to mobilize and deploy resources in combination or copresent with other resources and capabilities
30: Cooke-Davies 2002: 16)
Als Klasse von Kompetenzobjekten wird ein spezifischer
Realweltausschnitt betrachtet, f¨ur den allgemeing¨ultige Qualit¨atskriterien vorhanden sind.
Ein Kompetenzobjekt ist im Kontext dieser Arbeit also eine konkrete Aufgabe des Projektmanagements.
Kompetenzmodelle und Reifegradmodelle werden in der Praxis oft als Synonyme benutzt.
Ein Kompetenzmodell muss jedoch nicht notwendigerweise eine Unterteilung in Reifegrade
beinhalten (vgl. Ahlemann et al., 2005, S. 12 ff.).
PricewaterhouseCooper. Insights and Trends: Current Portfolio, Programme, and Project Management Practices: http://www.pwc.com/en_US/us/public-sector/assets/pwc-global-project-management-report-2012.pdf
From December 2011 through January 2012, 1,524 participants responded to the survey from 34 industries, across 38 countries.
Key Performance Indicators for a Project Implementing the Typical Organisations Approach to PM
As previously noted, a systematic and organised set of processes brings order and efficiency to project management.
Therefore, the existence of well-defined project management processes – often grouped into a project management methodology - differentiates those companies that are able to consistently deliver high project results from those that do not.
Our key findings in this area include the following: standardisation and institutionalisation of project management processes; prioritisation of projects and application of a standard project life cycle; utilisation of project portfolio techniques; utilisation of methodologies in project management, portfolio management and Agile project management; leveraging communication management best practices; and emphasis on project management certifications.
Together= as a team
Achieve = accomplishment
Goals = the same thing
As a practical matter, this means the right people are doing the right work at the right time.
Accura
– no elaboration
Project priorities are reconciled regularly among the affected stakeholders.
There is a clear escalation process in place to resolve priority conflicts
There is a person accountable to manage project and task priority
Business capabilities: ability to mobilize and deploy resources in combination or copresent with other resources and capabilities