Brown bag session (aka lunch and learning) to show the need for a disciplined approach to project management and to encourage other colleagues to continue a series of presentations on this theme.
Project Management Discipline - Brown Bag CXB V03 Jun 2009 SAN
1. Project Management Discipline Lunch and Learning – 2 nd June 2009 Finance IT Carlos Barbosa version 0.3 SAN 26 May 2009 “ Neither snow nor rain nor heat nor gloom of night stays these couriers from the swift completion of their appointed rounds” US Postal Service creed inscribed on the James Farley Post Office building in NYC
11. Pitfalls and Hazardous Behaviour / Conditions Obtain formal support from project sponsor Project team not empowered Use anchor point milestones LCO, LCA, IOC - LCO = Life Cycle Objective, what should the system accomplish? - LCA = Life Cycle Architecture, what is the structure of the system? - IOC = Initial Operating Capability, the first released version Evolutionary development without lifecycle architecture Emphasis on system and lifecycle activities and artifacts, ask: - will the product satisfy its stakeholders? - will it adapt to organizational changes? - will it meet cost and performance goals? - will it integrate with existing business practices? Logic only solution design “ if your best tool is a hammer, the world you see is a collection of nails” Include business drivers in the TOR Business driver ill-defined or insufficiently communicated Conduct thoroughly WBS Scope poorly defined Degree of detail should be driven by risk considerations Insistence on complete specification Risk Identification, Qualitative and Quantitative Analysis, Risk Monitoring and Control Risk insensitivity Train individuals / obtain required skilled resources Not adequate resource / lack of skills Thoroughly conduct stakeholder identification, engage with key stakeholders and encourage their active participation Excluding key stakeholders Eg. assuming requirements are pre-specifiable Violating assumptions (explicit and implicit) Example / Prevention Pitfall Define and keep focus, and align team Lack of focus on clients/value/opportunities, focusing instead on costs Periodically report to get steer and support Lack of stakeholder involvement/engagement Losing sight of vision as soon as somebody resists the change Obtain formal mandate/support and use it Lack of leadership/empowerment Trying to change without making anyone unhappy Management frameworks Lack of communication Expecting new systems to solve problems without considering processes Management and Change Lack of planning, unconvincing business drivers Proposals not accepted by stakeholders Think Strategically, underpinning this with sound Project Lack of strategy & vision Taking too long to implement Mitigation Possible Causes Symptoms Project Complexity Organization PMI PRINCE2 Galaxy Toolkit Model Pitfalls PM vs SD
17. Galaxy Project Management: A Framework Definition Phase Initiation Phase Delivery Phase Closure Phase Infrastructure Delivery Management Testing Best Practice Business Analysis Best Practice Tools & Templates Agile Best Practice Architecture Governance Clockwork (Production Support)
19. CPDEP – funnel cycle OPERATE EXECUTE DEFINE SELECT IDENTIFY ASSESS Primary activities Staff and Working Environment Management HSE/SD Management Information and Technology Management Marketing & Trading Finance Management Value chain Support activities New Business Development Business Governance Asset Management VAR D A B C IDENTIFY OPERATE EXECUTE DEFINE SELECT ASSESS Tollgates funnel VAR VAR VAR VAR VAR
Editor's Notes
The company is going through a period of massive change and our organization is directly involved in a number of initiatives / projects to promote that change. Core message of this brown bag session is to show the need for a disciplined approach to project management, the attributes which are required from such discipline, behavior of the people and values in the organization. At the end of the session participants should have increased understanding of How complexity translates to risk Importance on understanding the organization and business activities / processes for a successful project Diversity of project management lifecycle / frameworks to fit distinct industries PMBOK – 9 knowledge areas of project management (The Guide) Prince2 – 8 high-level processes and 8 components Galaxy Project Lifecycle PM toolkit Qualities expected from a model Pitfalls and hazardous behavior / conditions Project Management lifecycle (business environment) vs Software Development framework (IT Delivery, technology implementation)
Discipline 1. training to act in accordance with rules; drill: military discipline. 2. activity, exercise, or a regimen that develops or improves a skill; training: A daily stint at the typewriter is excellent discipline for a writer. 3. punishment inflicted by way of correction and training. 4. the rigor or training effect of experience, adversity, etc.: the harsh discipline of poverty. 5. behavior in accord with rules of conduct ; behavior and order maintained by training and control: good discipline in an army. 6. a set or system of rules and regulations. 7. Ecclesiastical. the system of government regulating the practice of a church as distinguished from its doctrine. 8. an instrument of punishment, esp. a whip or scourge, used in the practice of self-mortification or as an instrument of chastisement in certain religious communities. 9. a branch of instruction or learning : the disciplines of history and economics. DISCIPLINE in the context of project management in organizations It is not about individually adopting best practices It is not just having a way of working that actually works It is about uniformly adopting a METHODOLOGY It is about COLLECTIVELY applying the same common approach ACROSS THE ORGANIZATION As a facilitator to achieving Competitive advantage Repeatability Business sustainability
BOSCARD = Sections of the project brief/TOR: Background, Objectives, Scope, Constraints, Assumptions, Risks/Reporting, Deliverables RACIS is a management tool to establish roles and responsibilities on a project or business activity (RAM = Responsibility Assignment Matrix) Responsible, Accountable, Consulted, Informed, Sign-off CAIRO = RACI + Omitted (A = accountable + approval) PCC = Project Control Committee VAR = Value Assurance Review DRB = Decision Review Board RAID = Risks, Assumptions, Issues, Dependencies WBS = Work Breakdown Structure (is not an exhaustive list of work, it is instead a comprehensive classification of project scope) MoSCoW is a prioritisation technique used in business analysis and software development to reach a common understanding with stakeholders on the importance they place on the delivery of each requirement MUST have this, SHOULD have this if at all possible, COULD have this if it does not affect anything else, WON’T have this time but WOULD like in the future JAD = Joint Application Development, process used in the Systems Development Life Cycle (SDLC) to collect business requirements while developing new information systems IAD = Iterative Application Development PRINCE = Project IN Controlled Environments DSDM – Dynamic Systems Development Method SDLC – Systems Design/Development Life Cycle (4 phases and 9 disciplines) Phases: Inception, Elaboration, Construction, Transition Disciplines: Business Modelling, Requirements, Analysis and Design, Implementation, Deployment, Configuration and Change Management, Project Management CPDEP – Chevron Project Development and Execution Process (decision driven project management with objective to maximizing value) Identify: business opportunities and projects to exploit those opportunities Select: projects to receive funding and resources Develop: selected projects Execute: successful developed projects Operate: plants from executed projects
Senge, Peter (1990) The Fifth Discipline: The Art and Practice of The Learning Organization. New York. Doubleday. Detail complexity – there are many variables Dynamic complexity – situations where cause and effect are subtle, and where the effects over time of interventions are not obvious. There is Dynamic complexity when: - some action has dramatically different effects in the short-term and in the long-run - an action has one set of consequences locally and a very different set of consequences in another part of the system - obvious interventions produce non-obvious consequences. Social and Generative can be seen as components of Dynamic complexity and are mentioned to highlight some elusive cause-effect links. Think of risk as the reduction of the likelihood that the project’s objectives will be completely achieved.
The Business System Diamond (Hammer, M. and Champy, J., 1993) Reengineering the Corporation: A Manifesto for Business Revolution , HarperColins Publishers: New York “ The design of the company’s business processes determines the nature of people’s jobs and the ways in which they are organised to perform that work. The nature of jobs and the organisation of work, in turn, determine the kinds of management systems, such as performance measurement and employee compensation, shape the values and beliefs held by employees – that is, what they consider to be important in their work. And, finally, employee values and beliefs must be consistent with and support the design of the company’s business processes, the top point on the business diamond ” IDEF = Integration Definition (SADT based) IDEF0 – Function Modeling IDEF1 – data modeling IDEF3 – Process Description Capture SADT = Structured Analysis and Design Technique Taxonomy may vary: Domain, Master Process, Process, Sub-process, Activity, Task Other techniques for process modeling BPMN = Business Process Modeling Notation (BPMI, Business Process Management Initiative) BPEL = Business Process Execution Language (no diagrammatic notation) Language: Declarative / Recursive vs Imperative / Iterative
PMI = Project Management Institute PMBOK = Project Management Book Of Knowledge Integration : Develop Project Charter, Develop Preliminary Project Scope Statement, Develop Project Management Plan, Direct and Manage Project Execution, Monitor and Control Project Work, Integrated Change Control, Close Project Scope : Scope Planning, Scope Definition, Create WBS, Scope Verification, Scope Control Time : Activity Definition, Activity Sequencing, Activity Resource Estimating, Activity Duration Estimating, Schedule Development, Schedule Control Cost : Cost Estimating, Cost Budgeting, Cost Control Quality : Quality Planning, Perform Quality Assurance, Perform Quality Control Human Resources : Human Resources Planning, Acquire Project Team, Develop Project Team, Manage Project Team Communications : Communications Planning, Information Distribution, Performance Reporting, Manage Stakeholders Risk : Risk Management Planning, Risk Identification, Qualitative Risk Analysis, Quantitative Risk Analysis, Risk Response Planning, Risk Monitoring and Control Procurement : Plan Purchases and Acquisitions, Plan Contracting, Request Seller Responses, Select Sellers, Contract Administration, Contract Closure
PRINCE = Project IN Controlled Environments http://www.ogc.gov.uk/methods_prince_2.asp Business Case Organizations Plans Controls are about decision making to ensure that the project: - continues to remain viable against its business case - is producing the right products and to the right quality - is being carried out to schedule and according to resource and cost plans Management of Risk Quality in a Project Environment Configuration Management Change Control Product-based planning technique Change control technique Quality review technique
See the milestones as decision points – there is a reason they are diamonds. Each milestone represents a possibility: that the project will be put on hold or discontinued (M1 and M2) that the previous phase needs to be redone due to insufficient quality (M3 and M4) approved to progress to next milestone (M1, M2, M3, M4) Initialization – this is about identifying opportunities to deliver value Definition – the selected projects are further detailed Delivery – it is developing those projects considered most likely to generate positive return and competitive advantage Closure – this phase is currently the operation of the project product, the phase out of old systems and routines and review of achievements and a learning opportunity M1.TOR Terms of Reference – It is just an outline describing the project with the objective of getting approval for more resources and funding necessary for detailing further. The set formed by all TORs, the projects portfolio, is what is evaluated by the executive team to decide which ones are worth the resources and funding for further detailing. M2.PID Project Initiation Document – Marks the end of the definition phase. The approved projects are considered worth developing. M3.PDD Project Delivery Document – M3 approval indicates that project is detailed in sufficient depth, completeness and quality for the development teams to understand the specifications (blueprints and plans) and start developing (building). Example of specific documents: business processes / operating model, security and performance details, data models, user interfaces, infrastructure, training and test plans. Other aspects to be reviewed and taken into account in the decision: cost, RAID, benefits, scope. M4.DSC Delivery Success Criteria – Represents the acceptance that the ultimate product delivered by the project can actually enter operation mode (go live). Approving M4 is believing that entering into operation will positively impact the bottom line (as opposed to not going live). M5.PIR Post Implementation Review This should be carried out at such a time after the project has been delivered (e.g. 3 months): the operation is stable (or not) and benefits can be measured appreciably old processes and systems have been decommissioned (sun set) after a period of parallel use personal has achieved performance level after M5 takes a hindsight review to check if the project has achieved the expected benefits / cost to draw learnings from the whole exercise M5 provides an assessment of the quality of decisions taken and ultimately gives a performance indication of the executive team.
DFD = Data Flow Diagram RAG – traffic light summarizing project status (largely up to the discretion of the PM) Red = stop immediately, the way we are going we will not reach our goal – steer from PPC is required Amber = a little late, we can still make it if we step on the gas – project team to dedicate more time, or reduce cost, or care for quality, or… Green = we will reach our milestone (time, cost, quality, etc) satisfactorily – just continue with what you are currently doing WBS – Work Breakdown Structure A tool used to define and group a project’s discrete work elements (or tasks) in a way that helps organize and define the total work scope of the project A Work Breakdown Structure is not an exhaustive list of work. It is instead a comprehensive classification of project scope. WBS updates, other than progressive elaboration of details, require formal change control. This is another reason why a WBS should be outcome-oriented and not be prescriptive of methods. Methods can, and do, change frequently, but changes in planned outcomes require a higher degree of formality. If outcomes and actions are blended, change control may be too rigid for actions and too informal for outcomes. BCG matrix ( Growth-share matrix ) = helps analyse a company’s business units or product lines to support rational resource allocation cash cows = units with high market share in a slow-growing industry. These units typically generate cash in excess of the amount of cash needed to maintain the business. dogs = units with low market share in a mature, slow-growing industry. These units typically barely "break even“ and depress a profitable company's return on assets ratio stars = units with a high market share in a fast-growing industry. The hope is that stars become the next cash cows … not dogs. question marks = growing rapidly, consuming large amounts of cash, have low market share and generate little cash – may gain market share and become a star SWOT = Strengths, Weaknesses, Opportunities, Threats (a strategic planning method) 5 forces model = framework for the industry analysis and business strategy development (Michael Porter) competitive rivalry within an industry = bargaining power of suppliers + bargaining power of customers + threat of new entrants + threat of substitute products + competitors MoSCoW is a prioritisation technique used in business analysis and software development to reach a common understanding with stakeholders on the importance they place on the delivery of each requirement MUST have this, SHOULD have this if at all possible, COULD have this if it does not affect anything else, WON’T have this time but WOULD like in the future
A number of modeling techniques are used throughout a project lifetime. Understanding the qualities of a model helps us to develop more effective models and to be more efficient in that task. Model Attributes (Belle, Jean-Paul W. G. D. Van, 2003) A Framework for the Analysis and Evaluation of Enterprise Models , Thesis Submitted for the Degree of Doctor of Philosophy to the Department of Information Systems University of Cape Town, February 2003 A model attribute which is not relevant for IT projects. Timeliness – Time lag between changes in the underlying object and the corresponding model. Simulation using the model should give a result prior the actual reality being simulated (model complexity).
PRINCE = Project IN Controlled Environments LCO = Life Cycle Objective, what should the system accomplish? LCA = Life Cycle Architecture, what is the structure of the system? IOC = Initial Operating Capability, the first released version
IT projects span over a wide scope in an organization from as high level as the strategic view, passing by opportunities/projects portfolio selection, project management, requisite elicitation, business processes modelling, application and architecture design down to software coding. Several layers from a more business oriented and managerial view to a more technology bound approach with focus on product delivery. There are methodologies tailored to address each level and concepts may go overboard and be applied to a different level lacking the appropriate tuning. Separate PM activities from the specialist tasks of delivering the outputs of the project (which may include procured products). PM lifecycle vs SW Development framework – distinct focus / targets / audiences The nine principles of DSDM (Dynamic Systems Development Method) are: 1. Active user involvement. 2. Empowered teams that the authority to can make decisions. 3. A focus on frequent delivery of products. 4. Using fitness for business purpose as the essential criterion for acceptance of deliverables. 5. Iterative and incremental development to ensure convergence on an accurate business solution. 6. Reversible changes during development. 7. Requirements that are baselined at a high level. 8. Integrated testing throughout the life cycle. 9. Collaboration and cooperation between all stakeholders. The Agile Manifesto states: “We are uncovering better ways of developing software by doing it and helping others do it. Through this work we have come to value: Individuals and interactions over processes and tools Working software over comprehensive documentation Customer collaboration over contract negotiation Responding to change over following a plan That is, while there is value in the items on the right, we value the items on the left more.” Some of the principles behind the Agile Manifesto are: Customer satisfaction by rapid, continuous delivery of useful software Working software is delivered frequently (weeks rather than months) Working software is the principal measure of progress Even late changes in requirements are welcomed Close, daily cooperation between business people and developers Face-to-face conversation is the best form of communication (Co-location) Projects are built around motivated individuals, who should be trusted Continuous attention to technical excellence and good design Simplicity Self-organizing teams Regular adaptation to changing circumstances The manifesto spawned a movement in the software industry known as agile software development.