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Project,  Program  and  Por/olio   Management  Maturity    

Algin  Erozan,  PMP  

       Maturity  is  Not  When  We  Start  Speaking  Big   Things….But  Actually  It  Is,  When  We  Start   Understanding  Small  Things….     Unknown  quote    

Agenda  
Why  maturity?   Organiza0onal  Maturity   Project  Management  Maturity   Maturity  Models  (CMM,  PMMM,  P3M3,  OPM3  )   The  role  of  PMO  (Project,  Program  &  PorBolio   Management  Offices)   •  How  to  determine  the  organiza0onal  Project,   Program  and  PorBolio  Management  maturity   level?   •  •  •  •  • 

Why  maturity?  
•  Individuals  are  trying  to  get  benefit  from   maturity.   •  Organiza0onal  maturity  is  also  important.   Organiza0ons  also  get  benefit  from  mature   processes.   •  Organiza0onal  maturity  enables  an  organiza0on   to:  
–  Transform  organiza0onal  strategy  into  success   –  Develop  business  improvement   –  Get  compe00ve  advantage  

Organiza<onal  Maturity  
•  Organiza0onal  maturity  is  the  level  of  organiza0on’s   readiness  and  experience  in  rela0on  to  people,  processes,   technologies  and  consistent  measurement  prac0ces.   •  Organiza0onal  Maturity  is  the  process  of  refining  business   processes  to  ensure  success.  

Typical  Organiza<onal  Environment  
PorBolio  

PorBolios   Project   Other  Works   Programs  

Programs  

Program   Projects   Projects  
Projects  &  Programs  are  part  of  a  Project  PorBolio  

Strategic  Plan  &  Delivery  
Typical  Organiza<onal  Environment   INPUT   Strategic   Plan  &   Resources   PorBolios   Programs   Projects   Other  Work   OUTPUT   Strategy   Delivery  

Project  Management  Maturity  
•  Organiza0onal  Project  Management  Maturity   Model  is  your  guide  to  achieving   organiza0onal  maturity.  Use  the  maturity   model  to  improve  your  processes,  and   increase  and  measure  your  maturity  against  a   comprehensive  set  of  organiza0onal  best   prac0ces.   •  We  need  effec0ve  PM  processes  

Without  Effec<ve  PM  Prac<ces  
•  More  than  30%  Percent  of  projects  cancelled.   •  More  than  80%  Percent  of  projects  over   schedule,  over  budget.   •  As  a  result  we  can  not  come  to  successful   point  without  effec0ve  PM  processes  

Maturity  Models  

•  CMM  (Capability  Maturity  Model  -­‐  Carnegie  Mellon   University  So[ware  Engineering  Ins0tute)   •  PMMM(Project  Management  Maturity  Model  -­‐  IIL  /   Harold  Kerzner)   •  P3M3  (PorBolio,  Programme,  and  Project  Management   Maturity  Model  -­‐  OGC  /  Office  of  Government   Commerce  UK)   •  OPM3  (Organiza0onal  Project  Management  Maturity   Model  -­‐  PMI  /  Project  Management  Ins0tute)  

CMM  (Capability  Maturity  Model)  
•  Recognized  as  a  standard  for  IT  industry   •  In  2000,  the  SW-­‐CMM  was  upgraded  to   CMMI®  (Capability  Maturity  Model   Integra0on).    

Kerzner  Project  Management  Maturity  Model   (PMMM)  
Similar  in  appearance  to   SEI  CMM  
ss nt e c P r o v e me pr o m I
Continuous Improvement
q q

Level 5

q q q q q

Existing Process Improvement Integrated Process Improvements Behavioral Issues Benchmarking Managerial Issues

es s c o Pr ntrol Co

Level 4
Benchmarking
q q q q q q

Quantitative Benchmarking Qualitative Benchmarking

ss e c n Pro nitio fi De sic Ba ledge ow n K

Singular Methodology
q q q q q

Level 3

Integrated Processes Culture Management Support Training and Education Informal Project Management Behavioral Excellence

Level 2
Common Processes

Embryonic Executive Management Acceptance Line Management Acceptance Growth Maturity q q q q Procurement Management Quality Management Risk Management Communication Management

Level 1
Common Language

q q q q

Scope/Integration Management Time Management Cost Management Human Resource Management

P3M3  

Maturity  Levels   P3M3  uses  a  five-­‐level  maturity  framework  and  the   five  Maturity  Levels  are:   Level  1  –  awareness  of  process   Level  2  –  repeatable  process   Level  3  –  defined  process   Level  4  –  managed  process   Level  5  –  op0mized  process  

OPM3:    Five  PM  Process  Groups     x  Three  Domains  x  Four  Levels  

OPM3  

OPM3  

GENERAL  MATURITY  MODEL  
Level  4     Integrated  &   Managed   Level  3   Defined  &   Organized  
  Level  2   Planned  &   Repeatable  

Level  5   Op0mized  &   Sustained  

 

Level  1   Ini0al   Ad  Hoc  

Current  Situa<on  

Level  1  Ini<al  /  Ad  Hoc    
•  •  •  •  •  •  •  No  Defined  Process   Discre0onary     Abandoned  in  Crisis   Sucess  depends  on  Heroic  Efforts   No  PM  Tools   Zero  Governance   Unpredictable  Results.    

Level  2  Planned  &  Repeatable  
•  •  •  •  •  •  •  •  PM  Training   Basic  PM  Process   Not  Consistent   Project  Plans   Resource  Conflicts   Simple  PM  Tools   Project  Sponsor   PM  Results.    

Level  3  Defined  &  Organized  
•  •  •  •  •  •  •  •  •  •  Formal  PM  Training   Formal  PM  Process   Monitors  &  Controls   Managed  Plans   Standardized  Tools   Exec.  PM  Support   Simple  Project  Priority   Project  Results.     Project  groups  work  together   Data  is  systema0cally  shared  across  the  projects  

Level  4  Integrated  &  Managed  
•  •  •  •  •  Career  Path     Integrated  Projects   Programs   Enterprise  Resources   Quan0fied  Project:    
–  Selec0on     –  Priori0za0on  

•  Enterprise  PM  Tools   •  Predictable  Results.    

Level  5  Op<mized  &  Sustained  
•  PM  CQI  (con0nuous  quality  improvement)   •  Corporate  Training:  
–  Advanced  PM  Skills   –  Leadership  Skills   –  Cer0fica0on  

PM  Core  Processes   PM  Strategic  Plan   Strong  team  work   Focus  Business  Value   Data  is  used  to  evaluate  and  select  process   improvements   •  New  technologies  are  used  and  deployed   •  •  •  •  • 

  programs  and  porBolios  depends   –  Deploying  successful  projects,   a  lot  on  the  maturity  of  the  organiza0on.     –  Generally,  the  role  of  the  project/program/porBolio   management  office  (PMO)  will  be  to  support  the  strategy  and   strategic  direc0on  of  the  company.     –  Having  the  PMO  as  a  separate  office  from  other  business  units  is   a  good  thing  as  it  helps  the  office  maintain  neutrality  and   harnesses  business  resources  in  a  more  cohesive  manner.  

The  role  of  the  PMO  

PMO  in  Organiza<on  
Chief  Execu0ve  

Func0onal  Manager   STAFF   STAFF   STAFF  

Func0onal  Manager   STAFF   STAFF   STAFF  

Func0onal  Manager   STAFF   STAFF   STAFF  

PMO   PM   PM   PM  

Project  Management  Office  
•  Improved  collabora0on  on  cross-­‐business  unit   projects   •  Increased  visibility  of  project  performance  across   the  company   •  Enhanced  career  pathing  for  project  managers   •  Streamlined  project  budge0ng  and  approval   process   •  Standardized  project  metrics  and  methodology  

Program  Management  Office  
•  •  •  •  •  Organize  projects  into  groupings   Compare  benefits  between  projects   Examine  the  dependency  between  pojects   Facilitate  program  repor0ng   Balance  resources  among  programs  

Por/olio  Management  Office  
•  Usually  a  dedicated  comminee  who  review   projects  on  a  regular  basis   •  Comprised  of  members  represen0ng  finance,  IT,   compliance,  Legal,  Business   •  Members  are  normally  at  the  execu0ve  level  of   the  organiza0on.   •  They  determine  RoI,  Rate  of  Return,  Strategic   Priority   •  They  ques0on  new  projects  prior  to  receiving   capital  appropria0on  or  funding  

Determine  the  level  of  maturity  
•  How  does  the  organiza0on  determine  its   current  level  of  maturity?  By  doing   Assessment  !   •  You  should  know  where  you  are?   •  You  have  to  see  where  to  go?  

How  to  do  the  assessment?  
•  Project  Management  experts  perform  the   maturity  assessment  by:  
–  Using  some  tools  like  OPM  3,  PMMM,  CMM,  P3M3   –  Staff  interviews   –  Survey  evalua0on   –  Benchmarking  in  comparison  to  established  standards  

       The  current  maturity  is  determined  by  performing   a  detailed  maturity  assessment  of  organizaEon’s   capability,  weaknesses,  and  overall  business  

How  to  determine  the  organiza<onal  Project,  Program  and   Por/olio  Management  maturity  level?   •  There  are  some  maturity  models  (OPM3,  CMM,  PMMM,   P3M3  etc.)  to  evaluate  and  track  an  organiza0on   •  Some  ques0ons  to  consider  are:  
Are  the  business  processes  within  the  organiza0on  repeatable?   Is  any  project  methodology  followed?   Is  any  project  data  captured?    Any  So[ware  tools  used?   How  are  projects  chosen  and  ini0ated?   How  are  project  roles  determined?   How  is  project  informa0on  communicated?   How  are  the  execu0ves  in  the  organiza0on  kept  informed  on  the   projects?   –  Are  there  cer0fied  project  managers  in  the  organiza0on?   –  –  –  –  –  –  – 

Assessing  &  Improving  Maturity  

Assess  the  Maturity  

Improve  the  Maturity  

What  do  you  think  ?       How  mature  your  organiza<on?  

Thank  You     algin.erozan@kron.com.tr   algin.erozan@pmi.org.tr   algin.erozan@gmail.com     +90.555.255  6831     www.alginerozan.com  

Reference  
•  Carnegie  Mellon  University  So[ware   Engineering  Ins0tute   •  PMI  -­‐  Project  Management  Ins0tute   •  OGC  /  Office  of  Government  Commerce  UK   •  Interna0onal  Associa0on  of  Project  and   Program  Management  –  IAPPM   •  Robbinsgioia   •  Knight  Associates