What is an Effective SAP Project Governance Model?

Muhammad Razeen
EJADA Systems
March 16, 2010

Effective Project Governance

Govern - To Steer, To Guide Project - Temporary Endeavour, Specific Start and End SAP Project Plain Vanilla Implementation Enhancements (New Modules to be added) EAI Upgrades New Roll Outs Effective Project Governance To steer or guide the project in such a way that it meets its time, cost, quality and other organizational objectives.
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Project Governance Model

It is a framework of defining
Who will steer the project Who will have decision authority at different levels Who will be responsible/accountable for success or failure of the project or a certain project area/deliverables Rules of communication among stakeholders How project should be controlled, monitored and guided properly to meet a happy ending

It contains
Project Organization Chart Project Committees (Objective, Scope, Reporting, Membership) Roles and Responsibilities Critical Success Factors Associated Risks, Definition of Issue and Dependency Documentation Communication Framework (What, When, Who, How) Stakeholders Information

Steps for Developing Your PGM

1. 2. 3. 4. 5. 6. 7. Conduct Stakeholders Analysis Prepare Organization Chart Define Roles and Responsibilities Get Concurrence Identify Critical Success Factors & Their Measurement Identify Risks, Define Issue and Dependency Define Communication Framework

Stakeholders Analysis - Key To PG

Identification of all the persons and parties involved in the project and having a positive or negative impact on the project. How should it be conducted? Identify your project award and closure process Identify all the project deliverables Think about possible architectures and Map Parties Identify all the parties and persons involved Identify why, when and how will they be involved? Prepare your initial "Project Involvement Matrix"
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Project Award Process

Business Need

IT

Finance

Vendor1

Response

Approval

Business Case

Budget

Response

Contracting

RFP

Partial Info

RFI

Vendor10

Response

Technical Commercial Evaluation Response

3 6 Vendors

Evaluation

Vendor3

ERP Implementation Services Hardware / Network / Landscape Equipment Training & Change Management

Sub-Vendor Vendor3 Sub-Vendor Vendor 6 Vendor 7 Vendor 8 Vendor 9 Sub-Vendor

Contract Software Licenses Data Cleansing

IT

Third Party Audits Complete Project

Project Execution and Closure

Start

Timeline
Planning
Project Preparation

End

Initiation
Discovery & Evaluation

Execution
Business Blueprint Realization Final Preparation

Closing
Project Management

Support
(Hypercare)

Implementation Development Integration

Controlling and Monitoring Infrastructure / Landscape Availability Security and Authorizations Training Organizational Change Management Data Cleansing

KickOff
Evaluation, Third Party Audits, Quality Reviews

Golive

Deliverables
Project, Risk, Comm. Quality Management Training & Organization Change Management Security, Job Roles & System Authorizations Business Process Requirements, Design, Configuration &Testing Developments

Project Preparation
Project Charter RM, CM Plan Project Plan QM Plan Training Strategy OCM Strategy T&CM Plan

Business Blueprint
Updated Plans Detailed Plan

Realization
Updated Plans

Final Preparation
Prod. Support , Cutover Plan Quality Check Actual Training, Evaluation, Commitment

Golive & Support

Lessons Learned, Sign Offs

TNA Det. OCM Plan Awareness Campaigns Business Role Catalog / Authorizations

Tools Logistics, Courses, Curriculum RMF Roles Matrix Form

Usage Surveys

Transports

High level Business Requirements

AS-IS, To-BE, Gaps, BBMS, Baselines

Test Charter (UTT, UFT, UAT, IST, )

UFT, SV, Integration Testing, UAT Transports Conf. / Dev. Issues Resolution Infrastructure Tested Transports Strategy Support Infrastructure Setup Data Migration Knowledge Transfer

Base Plan Configuration, Dev, Int. Req. Initial Evaluation for HW, SW, Network Conn. Detailed HW, SW, NW, Landscape Requirements Dev. Env. Helpdesk and Support Procedures DM Plan

BL Conf. Plan Conf. Doc., Dev, Int. Req. Infrastructure Availability (DEV, QA, PRD, TRG)

Technical Solution Management

Miscellaneous

Application Architecture
End-Users Helpdesk Team End-Users
Desktop

Portal

Business Functions Support Team

ERP
(Finance, HR, Logistics, )

BI Reporting Functions

Legacy Business Functions

Technical Design Team

ERP Software

Data Warehouse Software

Legacy Applications

OS, Applications Support Team

Operating System, Firewalls, Security Software, Monitoring Software

Legacy OS, SW

HW, NW, Infrastructure Team

Servers, Network Equipment,

HW, Landscape for Legacy

Project Stakeholders and Areas

Customer
Governing Bodies

Business
Subject Matter Experts End Users

Project
Steering Committee PMO

Support
Functional Teams Technical ERP Imp. Teams Vendor

Vendors
Third Party Reviewer HW/SW/NW Vendor

Project Management
Initiation Planning Execution Closing Controlling and Monitoring

Implementation
Discovery & Evaluation Project Preparation Business Blueprint Realization Final Preparation Golive and Support

Approve Deliver Review Participate

Responsible

Project Governance
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Training Change Management Security and Authorizations Data Cleansing Vendor Evaluation Third Part Reviews Audits

Project Involvement Matrix

Customer
Project Areas / Streams
Governing Bodies

Business
Subject Matter Experts P P P P P P P End Users

Project
Steering Committee PMO

Support
Functional Teams Technical ERP Imp. Teams Vendor

Vendors
Third Party Reviewer HW/SW/NW Vendor

Project Management
Initiation Planning Execution Closing Controlling and Monitoring
A A D D D D D A P P D D D P D D D D P P P P P D D P P P P A D D D D D D D D D D D D D D P P P D P D P P P P P D D D D D D D P P P P D D D D D P P P P P D P P P P P P P P P D D D D P P P D

ERP ERP

Implementation
Discovery & Evaluation Project Preparation Business Blueprint Realization Final Preparation Golive and Support

Training Change Management Security and Authorizations Data Cleansing Vendor Evaluation Third Part Reviews Audits

A=Approve, D=Deliver, R=Review, P = Participate

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Steps for Developing Your PGM

1. 2. 3. 4. 5. 6. 7. Conduct Stakeholders Analysis Prepare Organization Chart Define Roles and Responsibilities Get Concurrence Identify Critical Success Factors & Their Measurement Identify Risks, Define Issue and Dependency Define Communication Framework

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Sample Project Governance Document

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Customer Perspective
Looking for
Within Budget Implementation SMEs/Business Should be Happy - Management is Happy On Time Delivery Easy Maintenance Everyone is properly trained

Challenges
SMEs not Comfortable with Solution (No Buy-In, Politics, No CM & Proper Training) Insufficient IT Support Staff So many parties Involved Who should be involved when and What he will do? Low budget Allocation

Suggestions for Customer

Get Buy-In Identify Strong Project Sponsor Secure Management Support

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Vendor Perspective
Looking For
Customer Acceptance On time sign offs - on time payments More Future Projects Within Budget and Profitable Project

Challenges
First time doing the project Project Manager not competent - Consider Early Change Low Ball - Low Quote

Suggestions
Get Management Support Understand Environmental Constraints from Customer Perspective Provide Help Update Customer Earlier regarding any Risk - Avoid Surprises - Build Trust Visit Customer Regularly - To understand his point of view for the project Discuss Issues and Risks with Team frequently Do not Quote Low Unless Strategic Focus on Long-term relationship

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General Guidelines
Think beyond Teamwork Terminate Blame Game Discuss, Discuss, Discuss Involve Management - only if things are outside the realm of Project team Use Escalations in extreme cases - vanity, lack of motivation, less dedication Build Trust Among Team Members Don't tolerate Nasty Emails Distribute Responsibilities - inverted tree Beware of over planning and Work with checklists Spend time on choosing the right Project managers - both sides Make sure both project managers are fully dedicated Work on Architectures as early as possible in the project Avoid Documentation for the sake of Documentation Practice politics-less communication Good Communication is not too-much Communication Update Governance Model Frequently Perform Advance Vacations Planning - SMEs, IT Support Staff, Project Team

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Thanks for Attending the Session

You are not only responsible for what you say, but also for what you do not say ~Martin Luther Stay committed to your decisions, but stay flexible in your approach. ~Tom Robbins It is easy to dodge our responsibilities, but we cannot dodge the consequences of dodging our responsibilities. ~Josiah Charles Stamp "I must do something" always solves more problems than "Something must be done." ~Author Unknown Most of us can read the writing on the wall; we just assume it's addressed to someone else. ~Ivern Ball "Ninety-nine percent of all failures come from people who have a habit of making excuses." ~ George Washington Carver There's a task for someone to do and everyone can do it, but everyone thought someone will do it. Someone didn't do it, thinking that everyone can do it. At the end no one does it. 19