300-500 words write up

Organizational Project Management ETM 544/644 Session 8 OPM Implementation

OPM 2015

Factors affecting OPM Implementation

Assessment of an organization for OPM

Discovery and Analysis

Implementation Roadmap

Implementation

Topic Unpacked:

OPM 2015

 Organizational enablers (OE’s)

 Structural

 Cultural

 Technological

 Human resource

 OE’s are essential and should be leveraged to support and sustain the implementation

Success Factors for

Implementation

OPM advances

organizations by

linking portfolio,

program, and

project

management with

the OE’s to support

strategic goals

OPM 2015

 Drives reporting relationships among

employees

 Allocation of resources

 Aligns to strategy

Structural Enabler

 Establishes strategic

alignment and resource

allocation based on the

organizational structure

OPM 2015

 People embrace portfolio, program and

project management

 Governance (ex. PMO), policies and

vision

 Support of OPM best practices by people

Cultural Enabler

 Recognize resource efforts of

good PM

 Highlight managers efforts in

support of good PM practices

 Host lunch-learn sessions

OPM 2015

 Invest in management systems that

support effective portfolio, program, and

project management

 Develop methodologies that become

standard for programs and projects

 Improve knowledge sharing

Technological Enabler

 Display project results

 Share technology

practices across

departments

 Host lunch-learn sessions

OPM 2015

 Have the right people in place to

execute the necessary roles

 Executive and manager support

 Training investments

Human Resource Enabler

 The right people, not

just by title, rather by

experience and

knowledge

 Share PM success and

basis for it with the

boss

 Host Quick-Hits lunch

&learn sessions

OPM 2015

Determine Commitment to Critical Success

Factors

Determine Feasibility

Propose OPM Business Case Stakeholders

Preparing for OPM

Implementation

OPM 2015

 OPM integration requires a leadership,

management, and support environment

to support the portfolios, programs, and

project strategic alignment

 It is important to assess your

organization’s readiness to accept the

change

Assess for OPM

Implementation

OPM 2015

 The assessment measures the reality of the organization in relation to its future state

 Advanced preparation promotes a better understanding of the following:

Business priorities

 Integration of business processes

 Identification of areas of improvement

 Thus, implementation will strive to achieve a greater alignment between projects and organizational strategy

10 Why assess your

organization?

OPM 2015

 Step 1: Determine management’s

commitment to the Critical Success

Factors

 Sustained leadership

 Continuous improvement

 Organizational change management

Steps for Assessment

OPM 2015

Critical Success Factors

Diagram

http://www.pmi.org/~/media/PDF/Knowledge%20Center/ImplementingOrgPM.ashx

OPM 2015

 OPM implementation success requires a committed, sustained, executive-level leadership

 Should be an ongoing program throughout the life of OPM operation

 Buy-in from executives eases organizational change management challenges

 Highly desirable to select a member of the management team that has strong knowledge of organizational strategy

Sustained Leadership

OPM 2015

 It follows both quality and business process improvement principles

 It is a never-ending race with a moving finish line

 Needs to be receptive to new ideas, staff level suggestions and visible executive suite presence

 Reacts best with demonstrated business metrics

and distribution of progress and change

communication across the organization

Continuous Improvement

OPM 2015

 Organizational change management (OCM) is a

framework for managing the effect of new

business processes, changes in organizational

structure or cultural changes within a company

 OCM is beneficial when change requires people

to learn new behaviors and skills

 Organizations needs to be able to adapt and change to improve

Organizational Change

Management

OPM 2015

 Determine feasibility by identifying a strategic

need to improve and evaluate the OPM

benefit vs the cost

 Discussion items:

Why is change needed?

Who needs to be involved?

How much will it cost?

How long is the implementation?

Step 2: Determine Feasibility

OPM 2015

 Purpose: Capture the organization’s OPM

landscape, cultural aspects, and help determine

how best to formulate the business case for OPM

 What are we doing now?

 Environmental factors

 Budget and resource

 Organizational culture and style

 Change management

 Organizational strategy, vision, and mission

 Program/project culture and style

 Organizational structures, governance, rules,

and policies

Evaluate Current State

OPM 2015

 Assess First!

 Sustained leadership and continuous improvement are critical to the success of OPM

 The involvement from executive leadership

directly correlates to success of implementation

 Core-enabling process (strategic alignment,

governance processes, etc.) are crucial to implementation

Key take aways from

Assessment

OPM 2015

 Purpose:

 Capture the rational for OPM using a cost-benefit and/or

strategic planning model to justify investment

 Set parameters and define success criteria

 Provide a tool to guide the design, planning, management,

implementation and evaluation of an OPM initiative.

 To ultimately gain approval

Step 3: Develop Business

Case

Might be

a good place to

utilize PM!!

OPM 2015

Proposal to consist of:

Example Business Case

 Executive summary

 Problem statement

 Alignment with business strategy

 Key assumptions

 Benchmark OPM status or practices

 Proposed approach and vision

 Cost benefit analysis

 Analysis of alternatives

 Planned deliverables

 Implementation timeline

 Opportunities and risks

 Recommendation

OPM 2015

 Be sure to provide a compelling vision that drives all stakeholders to a shared desired future state. Consider the use of a Stakeholder power/interest grid

 Include all stakeholders at the earliest stages possible and keep them engaged and informed

 Express how OPM fits into the organization’s long-term growth and strategy

 Identify benefits and how OPM will help achieve goals and objectives

Success of a business case

OPM 2015

OPM Implementation Framework consists

of three distinct phases

Discovery and

Analysis

Implementation

Roadmap Implementation

Implementing OPM

OPM 2015

 Typical team members

 Executive sponsor

 Portfolio manager

 Program manager

 Process methodology expert

 Project management specialist (PMP)

 Continuous improvement expert

 Change management expert

 Quality assurance expert

 Communications specialist

 Project managers

Form the OPM

Implementation Team

OPM 2015

 The goal of this phase is to identify the gap

between the current state and desired future state

and the requirements needed to fulfill it

 Discovery and analysis steps:

1. Understand the organization’s strategy and

project management practices

2. Identify the future state

3. Perform gap analysis

Discovery and Analysis

Discovery and

Analysis

OPM 2015

 Holistic approach in order to gain a better understanding of the strategy

 Main objective of OPM is to tie the project management process to business processes and organizational strategy

 Understanding how the elements of business processes and strategy relate to the element of project management is a key

 OPM implementation team identifies the bond between project management practices and business management practices and how they align to organizational strategy

 The team documents their findings and produces a current state document describing how the organization works today

Understanding the Organization’s

Strategy and Project Management

OPM 2015

 This is the foundation of OPM implementation

 The current state defines the starting point on

the path to the future state

 The OPM implementation team identifies a

high level view of the future state of the

organization

Identify Future State

OPM 2015

 The future state describes how the organization will

work in the future and how changes will affect the

organizational structure

 Valuable feedback to the organization on where

changes need to happen

 How soon changes need to happen

 The future state document is a dynamic document

Future State Goal

OPM 2015

 Gap analysis bridges the current state with the

future state

 Helps identify the tasks needed and allocation of

resources with the required allocation in order to

achieve the future state

Perform Gap Analysis

OPM 2015

Jeff Busch PMP

STRATEGIC GAP ANALYSIS

OPM 2015

 The goal of this phase is to clearly map,

identify, and align the initiatives and

development of an implementation plan

 Consist of two steps

Identify and Prioritize Initiatives

Develop Implementation Roadmap

Implementation Roadmap

Implementation

Roadmap

OPM 2015

 Use the gap analysis for generation of the OPM

initiatives

 Prioritize initiatives based on their strategic importance and difficulty in implementing

 Rank each initiative, compare and contrast

 A priority matrix is a good tool for this

Identify and Prioritize

Initiatives

OPM 2015

Example Priority Matrix Quick wins: • High strategic

importance • Easier to implement • Short time frame

Differentiators: • Very complex • Long time

Low value: • May be risky • No significant value

Building Blocks: • Easy to implement • Small contribution • May be distractors

http://www.pmi.org/~/media/PDF/Knowledge%20Center/ImplementingOrgPM.ashx

OPM 2015

Roadmap consist of

 Planning period (year 1, year 2, etc.)

 List of selected initiatives

 Long-term view for selected initiatives as

well as a short-term view for initiatives to be

implemented in the planning period

 Target state and completion dates for each

initiative

Develop Implementation

Roadmap

OPM 2015

 Implement by portfolio then program, and lastly project domains

 Flexible but some form of portfolio and/or program management should be in place first before project activities begin

 Implement by programs, projects, geographic locations, or organizational units

 This option considers the best logical grouping that ties with the organizational structure

 Implement by readiness level and business impact

 Used when there may be differences in readiness levels among business units or projects

Examples of commonly

exercised phase options

OPM 2015

Implementation Roadmap

Example

http://www.pmi.org/~/media/PDF/Knowledge%20Center/ImplementingOrgPM.ashx

OPM 2015

 Use the list of prioritized initiatives

 The roadmap showcases the high-level, short- term and long-term milestones

 View the initiatives estimated start and stop dates,

and relationships to other initiatives

 Take a phase approach on the roadmap

 Must be careful of transitions between phases

Developing Implementation

Roadmap Key points or

Milestones

OPM 2015

IMPLEMENTATION

Implementation

OPM 2015

 The OPM Implementation team elaborates the

roadmap into a detail plan

 Each initiative has a detailed plan for its implementation

 Each organization starts from a different point but

it is recommended that they implement all four

core-enabling processes

Implementation Plan

Overview

Implementation

OPM 2015

 Determine whether to build from scratch, buy it, or

buy it and modify.

 In assessing which approach to take, consider the

OPM budget and team size.

 The goal is to select the approach that will

provide a high degree of fit with what will work

best in the organization. (This is sometimes by trial and error))

Implementation Alternatives

OPM 2015

 Use pilot runs for each initiative planned, when

the future state is substantially different from the

current phase.

 The pilot phase provides an opportunity to

validate the fit of the implementation, reshape the

deployment, and gain-buy from pilot participants.

 The pilot creates flexibility, reduces risk, and increases success for actual implementation of

the initiatives.

Pilot Runs for Implementation

OPM 2015

 Factors to consider for initiatives

 Characteristics of projects managed, for

example, size, complexity, duration, risk

 Budget

 Resource availability

 Current state of initiatives components, such

as project management methodologies

Determine Requirements of

Initiative

OPM 2015

 Example of implementing a training program for project

managers.

 The requirements may include different levels of

project management needed to support the

organization’s portfolio,

 The existing level of project management expertise in

the organization.

 The available learning tools available for training.

 The experience and qualifications of the PM

A Requirements Example

OPM 2015

 The Implementation Plan should include the

following characteristics:

 A clear schedule that includes deliverables, due dates, and responsibilities.

 Resource management plan

 Organizational change management plan –

Change readiness, initiate change, and

manage change for initiatives

 Risk management plan

 Key performance indicators

The Implementation Plan

OPM 2015

 Gather feedback

 Conduct the analysis and discovery step

periodically to determine the state of OPM and to

identify which improvements should be made

 It is recommended that the OPM cycle be

continued on an ongoing basis

Continuous Improvement

OPM 2015

 It is critical to assess your organization first

 Develop a roadmap for implementation

 Form a implementation team

 Develop implementation plan

 Execute the plan!

Wrap up on OPM

Implementation

OPM 2015

Questions?