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Achieving change successfully: Why good governance matters 1 October 2015

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Achieving change

successfully: Why

good governance

matters

1 October 2015

2

Martin Samphire

Owner and MD

Member APM

Member IoD

Chairman of APM Governance SIG

Sectors –Central Civil Government, Police,

Defence, Energy, Financial Services,

Construction

3pmxl

Governance SIG objectives

Be the UK focus

Advance understanding

Contribute to good practice

Influence national and international standard making

authorities

Influence those operationally responsible

Develop ambassadors and exemplars of excellence

3 ….in the governance of project management (change)

4

Upcoming APM GovSIG Events

• Directing Agile Change – Joint event with

the APM Enabling Change SIG – 14

October at 6pm at XXXX

• 11 November evening – watch this apace

Details at www.apm.org.uk

Why are we here?

We all want:

Successful projects – 100% of time (meet or

exceed benefits)

Maximise outcomes from corporate portfolio of

projects (meet or exceed strategic objectives /

plan)

5

Purpose of Effective Governance

Ensure that an organisation’s project/change portfolio is aligned to the

organisation’s objectives and is delivered efficiently (maximising value)

Ensure that the organisation is aware of risks, minimises project failures

and maximises the beneficial outcomes (value) from their overall portfolio

of projects in a sustainable and transparent manner

It also supports the means by which the corporate board and other major

project stakeholders are provided with timely, relevant and reliable

information.

8

9

Recent Research

10

“poor performance results in

organisations wasting $109m in every

$1bn invested in projects”

“high performing organisations

successfully complete 89% of their

projects, while low performers

complete only 36% successfully”

“Fit-for-purpose governance strongly

influences project and programme

success”

“higher performance is correlated

with higher maturity”.

“there is a highly

visible disconnect

between Executive

Teams and Project

Managers”

“C-Suite are often

missing in action”.

Misalignment of ‘Run

the business’ and

‘Change the business’

results in ‘wastage’ of

resources

“only 62% of programmes have an established

or mature link between programme objectives

and organisational strategy and only 50% of the

respondents felt that the boundaries of their

organisations portfolio were clearly defined and

decision making well supported”

“Just 42% of companies reported having high alignment of

projects and organisational strategy”

“Companies with high degrees of alignment have more

successful projects (69%) compares with companies with

low alignment (45%)”

“80% of the projects

with active sponsors

reported a success

rate of 75%, which is

much higher than the

average”

“actively engaged

sponsors is the top

driver of project

success”

Sources:

2014 PMI Pulse Survey

PwC 2104 Global Survey

PwC 2012 Global Survey

APM Factors for Project Success 2014

GovSIG Benchmarking

myProteus – Project Sponsor Insights 2015

“only 38% of

programmes had

established processes

to identify benefits at

the outset”

“only 20% had robust

benefits measurement

processes in place

during implementation”

“lower value

projects are more

successful than

large more

complicated

projects”

“of the success

factors, ‘delivery to

time’ showed the

least success”

“62% of portfolios do not have

benefits in the sponsor’s

personal performance targets”

“Only 57% of sponsors had

received sponsor training”

Effective sponsorship is

THE differentiator

between project success

and failure

Sponsor role

has got harder

and

effectiveness is

poor – max

25%

Good governance has to start at the top

The Board – the apex

Set the culture, ethics and ‘rules’

Best able to influence appropriate behaviours

Can ask the difficult questions

And ……..The Sponsor

11

Directing Change

2nd edition 2011

Gov SIG Publications

12

Co-Directing Change

2007 (being updated)

Sponsoring Change

2009

Free to APM members at www.apm.org.uk/memberdownloads

Agile Governance

(being developed)

Twitter link

@APMGovConf15

13

Achieving change

successfully: Why

good governance

matters

1 October 2015