Finding The PPM “Sweet Spot”
How
the
Cloud
and
a
Top
‐
Down
Approach
Can
Help
Drive
Project
Portfolio
Value
Featured Presenter:
Daniel Stang Research Director
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Daniel B. Stang is a Research Director in Gartner Research, covering project and portfolio management (PPM) applications. His expertise includes PPM process definition, adoption, and automation. Daniel is the lead analyst for Gartner's PPM software market research and analysis, the founder of Gartner's "PPM Market Universe" of PPM market analysis and research reports, and lead author on multiple PPM‐related MarketScope and Magic Quadrants, including the PPM Software Applications MarketScope, the Cloud‐Based PPM Services Magic Quadrant, and the Integrated IT Portfolio Analysis Magic Quadrant.
Jay Hoskins is a Director of Solution Consulting at PowerSteering Software. He helps companies improve the value and return of their portfolios, programs, and other business investments through efficient and effective business processes, change management, and system automation. Jay has helped hundreds of leading organizations successfully implement enterprise‐wide Portfolio Management processes, Business PMOs, IT Governance, and New Product Development programs. Jay has been a portfolio management professional for over 10 years , and also has experience in managing enterprise deployments of ERP systems, project management, and software development methodologies.
Different PPM Environments Require
Different PPM Products …
Reasons organizations will not
see tool proliferation:
• "We spent a lot of money on our single-source business application vendor, and we can configure our investment to support PPM without buying
best-of-breed software."
• "All of our PPM needs across all of our different departments follow identical PPM processes. We need only one tool to cover it all."
• "Our existing PPM system eliminated all spreadsheet use across our business managers and project managers.
They will never use spreadsheets to communicate ever again."
Reasons organizations will
see tool proliferation:
• "Our IT PPM software system will not match the PPM needs of our product development group.
We need a different product and configuration."
• "We want to manage products and programs, not just projects."
• "We need an independent PPM system supporting EPMO
activities. Our current PPM system supports project and resource
management in one specific department."
By 2014, more than 30% of organizations will experience a
proliferation of software tools installed to support PPM processes
and projects.
What Type of PPM Customer Are You?
•
Execution-level PPM customer —
¾
Project & resource managers, team members
¾
Project an project and resource management
¾
Tactical details of project execution
¾
Reporting services for progress, expenditures
•
Project portfolio-level PPM customer —
¾
Sponsors, management, PMO, project managers
¾
Investment related decision frameworks
¾
Planning
¾
Aggregate actuals collection
¾
Tracking, monitoring, accountability
Answering These Questions Can Help You
Find PPM Software That Meets Your Needs
•
Who?
-
Who is the target audience?
-
What roles do they play?
•
What?
-
What types of projects are you trying to manage?
-
What level of PPM process do you need to automate?
-
Are you managing something other than projects
(for example, services, products, programs or applications)?
•
Why?
-
Portfolio-level PPM?
-
Project-execution-level PPM?
Balance Your Current Level of PPM Maturity
Against the Scope of Your PPM Implementation
Failure
and Risk
PPM
Apps
PPM
The PPM Sweet Spot — Three Steps
Standardized
Collection
Resource
Management
Project
Tracking
Demand
Supply
PPM System Deployment Strategy
(Crawl, Walk, Run): Top Down & Bottom Up
•
Narrow system
scope
•
"Just enough"
visibility
•
Established
processes first
•
Portion of work,
not all of it
•
Add to initial system
scope
•
Focus on more
visibility
•
Add new processes
•
Increase volume
tracked
•
System supports
enterprise
•
Granular/enterprise
visibility
•
New processes,
multiple areas
•
Increase volume
tracked
Cloud-Based PPM Services
PPM Software Applications
How Should You Deploy PPM?
Control, Extend, Customize Configure, Adopt, Consume
More Time to Value Less Time to Value
More Financial Commitment & Risk Less Financial Commitment & Risk
On-Premises Traditional
Hosted
Cloud-Hosted
Cloud-Optimized
Cloud-Native
Agenda
Recipe
for
the PPM
Sweet
Spot
Defining the
problem
Key
themes
for
success
Implementation
scope
Implementing the
themes
Problem
solved
PMI
compliance
Project
Management
Time
reporting
Status
reporting
What
the
PMO
Wants
11
What
Business
Leaders
Want
Competitive
advantage
Do
more
for
less
Innovation
and
alignment
Close to Project /
Far From Results Project Manager Don’t bother me with status, I have a project to run Team Member I never know what to do next and am constantly
interrupted with changing priorities
Program Manager My program roadmap is constantly in jeopardy Resource Manager I have to do major adjustments every month to the
resource plan
Executive Sponsors /
Approvers Your asking me to approve stuff with no clear business
case or priority
Portfolio Managers /
Business Unit Managers I keep asking for improvements but never see any results PMO No one is communicating status with us
Far From Project /
Close To Results CEO / CIO / Executives / Management I can’t see how your project benefits the P&L but your
asking for more money?
“Sweet
Spot”
Keys
to
Success
Business Leader…
(Do this)
PPM Deployment Manager…
(not this)
Improve competitiveness in our
markets
Visibility, Project Status, PMI
standards, Be on time, Report
Status, Time tracking
•
Adoption
– Easy
to
use
and
simple
•
Crawl, Walk, Run – Use easy, effective, and proven processes first
•
Enterprise systems that follow adoption principles are enablers
•
Alignment
– Business
driven
•
Performance
– Measure
your
results
•
Top performers only have 10% unplanned work
Strategy Management – Ability to model, quantify, and measure business strategy
Demand Management – The ability to define work in terms of business strategy
Prioritization– Ability to score and select demand based on business value and strategy
goals
Governance Board– Ability for stakeholders to create business strategy, and execute
portfolio decisions based on that strategy
Quality of Execution– Ability to measure the quality of executing the currently defined PMO
process and strategy execution
System of Record – A single source of truth (like PowerSteering! ) to manage the portfolio
and relevant information
Collaboration– The ability for everyone to have visibility and transparency in order to easily
participate in the governance process.
Milestone/Deliverable Management – The ability to ensure that key milestones are met and
visible
Benefits Realization– The ability to measure the results or impact of the portfolio on the
business strategy.
Project Portfolio Management Maturity Levels
Project Portfolio Management Maturity Levels
The
Result:
Increased
Speed
to
Value
Project Portfolio Management Maturity Capability Levels
Benchmark
your
Capabilities
Governance ‐
No major gaps.
Optimize Demand:
– Prioritization – Selection – Roadmap – Resource CapacityExecute:
– Deliverable Management – Project HealthAnalyze:
– Benefits Realization – Quality of Execution – RoadmapSeveral
key
portfolio
management
capabilities
were
missing
and
will
significantly
improve
value
delivery
and
productivity
when
deployed.
These
are
organized
across
four
capability
categories:
Implementing
the
Themes
•
Adoption
•
Alignment
Why
is
Ease
of
Use
Important?
The top 3 responses all had to do with ease of use, the “just-right” level of functionality and being simple and appropriate for each person.
Satisfaction is all about adoption and value
delivery, not features
Close to Project /
Far From Results Project Manager Projects status manages itself and my reporting time is
reduced by 75%
Team Member My work dashboard is clear, easy to use, and the project
managers leave me alone to get more work done
Program Manager The program roadmap now has clear objectives and we
are delivering results more predictably
Resource Manager The resource plan has stabilized with more focus on the
right work and much less unplanned work
Executive Sponsors /
Approvers It’s clear the budget is going to important work with
business impact
Portfolio Managers /
Business Unit Managers My portfolio review meetings have been cut in half and
we make better project decisions
PMO I seldom have to bother the managers with status reports
and the executives get the right reports at the right time
automatically
Far From Project /
Close To Results CEO / CIO / Executives / Management We are spending less and getting better service levels
than our peers
Please
submit
your
questions
via
the
Q&A
panel.
For
Further
Reading:
• Gartner’s Magic Quadrant for Cloud‐Based Project and Portfolio Management Services:
http://info.powersteeringsoftware.com/GartnerMQForCloud‐BasedPPM.html
• PowerSteering’s Business‐Driven PPM Blog: http://www.powersteeringsoftware.com/blog/
PDU
information:
Obtain 1 PDUby registering your participation in PMI’s Continuing Certification
Requirements System (https://ccrs.pmi.org/Search.aspx)
• Provider ID#: 2579
• Provider Name: PowerSteering Software
• Course ID: 10102012
• Program Name:Finding The PPM "Sweet Spot" ‐How the Cloud and a Top‐Down
Approach Can Help Drive Project Portfolio Value
