centers for ibm e-business innovation :: chicago © 2005 ibm corporation ibm project management...

Centers for IBM e-Business Innovation :: Chicago

© 2005 IBM Corporation

IBM Project Management

October 2005



Studies show that lack of good project management often leads to failed projects.

According to a study by Metagroup ('Why Operation Projects Fail?' November 2002) 70% of large IT projects fail or do not meet the expectations. The most common reasons refer to project management, project planning and communication.



Why do projects fail?(Common PM Reasons)

Solution Design Solution Delivery

Lack ofDisciplineAccountabilitySkills

Failure to set and manage customer expectations / satisfaction.

Failure to reach common understanding of requirements or completion criteria.

Failure to reach understanding of the proposed solution.

Failure to establish appropriate contractual baseline.

Failure to adhere to published pricing guidelines, failure to assign adequate "risk" contingency and illegitimate "investment pricing" (i.e., low-balling, low margins, etc.).

Poorly constructed or unauthorized subcontractor SOWs.

Failure of key subcontractor to deliver.

Inaccurate project estimates.

Failure to plan for risk containment.

Failure to perform QA reviews.

Lack of DOU with other IBM organization(s).Failure to properly handle multinational issues.

Inability to acquire properly skilled resources.

Ineffective project initiation.

Lack of or inadequate project management.

Lack of Project Management Reviews and effective follow-up on action plans. Lack of management oversight / support.

Unfulfilled customer responsibilities.

Failure to implement / exercise proper change control process.

Starting a phase prior to completing a preceding phase.

Customer unprepared to support the new system.

Customer represented by Third Party.

Change in customer management team.

Continuous / constant change in scope.

Ineffective relationship between IBM and customer.

Technology / architecture issues.

Ineffective relationship between IBM and subcontractor. Subcontractor cost overruns.

IBM project team morale or organizational issues.

.



Project Management is usually seen as managing the interrelationship of three critical success factors for each project.

Scope

Schedule Budget

112

2

3

4567

8

9

1011

It is essential to find the optimal balance to maximize the value of projects related to the company's success considering budget, schedule and scope.



But it is not that simple, in order to manage to those three critical success factors it also involves. . .

Planning

Communication

Coordination

Integration

Execution

Tracking

Budgeting

Control

Reporting

Quality Control



IBM’s Project Management Approach

Project Based Business

Project Management Office (PMO)

Processes/Methodology (WWPMM)

Project Management Maturity Guide (PMPMG)

Tools – Rational Portfolio Manager

Mentoring/Staffing

Education



For IBM to become a project based enterprise it was necessary to integrate project management disciplines into the fabric of IBM.

In 1997, IBM committed to becoming a project based enterprise for integrating project management disciplines across the IBM enterprise.

Since then, IBM has developed and deployed a number of worldwide Project Management initiatives for establishing the Project Based Enterprise Charter. These project based initiatives focused on:

– Project Management Professional Development

– Project Management Methods & Tools

– Project Management Systems



Project Management Office (PMO)



The Project Management Office needs to look at many aspects for supporting project management within a company.

Project Management

Office

Culture

Methodology

TechnologySkills

Organization

Measurement

Principles, Beliefs, Expectations, Vision, Mission, Goals, Objectives, Action Plans

Critical Success Factors, Strategies, Continuous Improvement of Projects,

Investments, Incentives,Communication, Policies, Attitudes, Practices

Work Product, Quality, Time,Productivity, Cost, Impact,

Defects, ROI, Value,Satisfaction

Experience, Method Training,Technical Training, ManagementEducation, On-the-Job Training,

Learning Curves

Methods, Specifications, Outputs, Procedures, Techniques, Standards, Guidelines, Controls,

Roles,Jobs and Responsibilities,

Formal and Informal Structures,Resources and Resource Allocations,

Support Staff Services,Relationships

Tools, Tool Classes, Platforms, Standards, Protocols, Architectures, Physical Environment



Process and Methodology

WWPMM IBM Methodology to Support PMBuilt around PM Domains, PM Work patterns, and PM Work products



IBM’s Project Management Method is a broad, robust and integrated approach to projects

IBM’s PM method (Worldwide Project Management Method – WWPMM) drives consistency and quality by focusing on three aspects of PM best practices

– Work Domains

– Work Products

– Work Patterns

Work Domains provide detailed guidance on how specific types of PM activities should be carried out

– PM must understand how to manage across 13 domains (change, quality, risk, etc.)

Work Products are verifiable outcomes that are used to manage projects

– IBM’s method identifies 51 PM work products that could be used on an engagement

– Standards, templates, and ‘how to’ guidance included in browser enabled tool

Work Patterns are a series of steps designed to meet project management goals or in response to particular project situations

– Includes 39 different process steps spread across 7 phases

– Equivalent to a Standard Operating Procedure (SOP)



World Wide Project Management Methodology - WWPMM

• WWPMM helps define the PM System, a collection of plans, procedures and records that direct all PM activities and describe the current state and history of the project.

• Generic templates are provided in downloadable form, from the WWPMM reference page and through various PM tools.

• When used with appropriate tools and integrated with business and technical management systems, this material provides a comprehensive PM environment.

How the project is shaped, and how its execution is

managed

Subject Matter WorkSubject Matter WorkSubject Matter WorkTechnical Work

IBM Global Services Method

Operations

Architecture

Application

Organization

Business

Engagement

How the work is done



The WW PM Method focuses on The WW PM Method focuses on shaping the shaping the project and managing the workproject and managing the work

Project Definition

Work Breakdown Structure

Risk Management Plan

Issue log

Examples of Project Management work products:

ProfessionalDevelopment

Methods & Tools

ManagementSystems

Independant of the type of work, common to all IBM organizations and geographies

Built around PM Domains, PM Work patterns, and PM Work products

Owned by the IBM Project Management Center of Excellence



Global Services Method focuses on Global Services Method focuses on the work the work to be performed to deliver the projectto be performed to deliver the project

Technical work products examples...

IBM Global Services Method

Operations

Architecture

Application

Organization

Business

EngagementDefines engagement models for the type of work to be done

Owned by Global Competency Development

Business Process ModelLogical Data ModelUsability Requirements



Project Management Process Maturity Assessment Levels



Level 1

Project Management techniques do not exist and are not used.

START UP

Disciplined Processes

StandardConsistentProcesses

PredictableProcesses

ContinuouslyImprovingProcesses

Level 2

IN DEPLOYMENTBasic existence of Project Management techniques used infrequently and inconsistently. Techniques are in developmental stages.

Level 3

FUNCTIONAL

Project Management techniques are robust and fully functional. Processes are standard and consistent.

Level 4

INTEGRATEDProject Management techniques are robust and fully functional. The techniques are integrated and consistently used with predictable results.

WORLD CLASS

Project Management techniques are world class and constitute best practices. Feedback is used for continuous process improvement and preemptive planning.

Level 5

Summary Definitions of Maturity Assessment LevelsThe chart on this page shows the Project Management Maturity Assessment Levels. It has been drawn as stair steps because an organization starts at the bottom and progresses up from one level to the next -- from START UP to IN DEPLOYMENT to FUNCTIONAL to INTEGRATED to WORLD CLASS. The processes are defined and exist beginning at Level 2, IN DEPLOYMENT, but the degree to which they are used and the progression of their use (noted by the arrows) separates one maturity level from another.

Summary Definitions of Maturity Assessment LevelsThe chart on this page shows the Project Management Maturity Assessment Levels. It has been drawn as stair steps because an organization starts at the bottom and progresses up from one level to the next -- from START UP to IN DEPLOYMENT to FUNCTIONAL to INTEGRATED to WORLD CLASS. The processes are defined and exist beginning at Level 2, IN DEPLOYMENT, but the degree to which they are used and the progression of their use (noted by the arrows) separates one maturity level from another.

Project Management Process Maturity Assessment Levels



Project Management Tools

IBM Rational Portfolio Manager



Typical Tool Challenges for Project Managers - BEFORE

Many projects have manual and semi-automated processes, characterized by unnecessary data manipulation, inadequate information flow and sluggish cycle time.



Rational Portfolio Manager is IBM’s Solution of Choice - AFTERRational PM provides process automation, thereby increasing efficiency and reducing

the complexity of project and portfolio processes.

One stop shop” project repository, including the project control book

Support more effective project startup

Superior project tracking and control capabilities

Project management process support

Collaborative and communicative project environment



Project Management Education and Certification

IBM Rational Portfolio Manager



IBM can supply skilled Project Management Mentoring and Staffing Capability

Certification Element IBM Certification Program PMI Certification Program

PMI Examination

PM Experience 6,000-7000 hrs 4,500 hrs (2+ years)

Technical Experience - - -

People Management Experience - - -

PM Education 200-300 hrs 35 hrs

Technical Specialties - - -

Professional Contributions (“Giveback”)

- - -

Detailed Qualification Criteria based on required skills

- - -

IBM’s certification process is more demanding than the standards set by the Project Management Institute



IBM supplies valuable Project Management Education

Areas of educationProject Management Principles

Contracting

Financial Management

Leading Complex Projects Workshop

PMP Examination Preparation

Principles of Project Management

Project Cost and Schedule Management

Project Leadership and Team Building

Project Management Concepts

Project Risk Management

Working on a Project

PMI recognized industry standard Project Management courses currently available to IBM customers.

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