U.S. Federal Government Program Management Study

John Ready, PMPPricewaterhouseCoopers LLP

Study Volunteer

February 3, 2011

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Study Goals

Share findings that could be adopted across government

Study “successful” U.S. Federal Government programs to uncover

thematic “success factors”

Delve into the specific practices that support these success factors

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Methodology

Combination of web-based survey and in-depth interviews

Target audience of Program Managers and senior-level Program Sponsors

Results cover 40 different programs across the federal government

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Department of Defense Department of State Federal Highway

Administration

U.S. Army Corps of Engineers

Department of Energy

United States Postal Service

Navy Systems Command

U.S. Marine Corps U.S. Air Force

Department of Agriculture

U.S. Coast GuardFederal Aviation Administration

U.S. Census BureauFederal Bureau of

InvestigationDepartment of the

Interior

Cross-Section of U.S. Federal Government

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Wide Variety of Programs

Various IT Programs: Software Development, Infrastructure

Facility Construction in Combat Areas

Backlog Root Cause Analysis and Process

Improvement

Policy Development for Land Resource Allocation

All-Hazards Protection Program

Tactics, Techniques, Procedures (TTP)

Development

Detection Equipment Develop, Train, Deliver

Build Law Enforcement SME Workforce for OIF

Transition

Design and Build an Ice Breaker Ship

Strategic Worldwide PoV Communications Program

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Wide Variety of Programs

< 100 FTEs66%

100 to 499 FTEs22%

500+ FTEs12%

< $10M36%

$10M to $100M34%

$100M +30%

< 2 years32%

2 to 4 years39%

More than 4 years

29%

Peak Program Staffing Program Budget Program Duration

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Highlighted Study Findings

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Changing Program Environment

Program stakeholders are demanding: More transparency More engagement More innovation More speed More cost controls…

A Program Management Paradox?

How do you deliver increasingly complex programs sooner, cheaper and better than ever before?

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Changing Program Environment

“During the first few years after 9/11, most reconstruction projects were started without any long-term approach. The result was crisis management more than deliberate planning. Continuation of using

the same approach to this mega effort was not acceptable.” Respondent from the U.S. Army Corps of Engineers

“The business drivers have changed as stakeholders (senior management and tax payers) now want products/services from

projects faster, better, and cheaper.”Respondent from the Department of State

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Complex and Critical Programs

Below Average

11%

Average13%

Above Average

76%

Unsure3% No

13%

Yes84%

Program Complexity Mission Critical Program

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Making Progress

Study found that many departments are reporting improvements in program management discipline over the past five years:

Introducing more formalized/standardized program management practices

More use of formalized risk management

More use of earned value management

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Top Success Factors

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Highlighted Best Practices

10 20 30 40 50 60 70 80 90

The outcomes required to achieve the vision were clear for this program

81

The program had a clear connection to the broader strategy for your organization

81

Stakeholders of the program were identified and engaged throughout the program

81

The program had a documented vision of the desired end state

75

Peer reviews/checkpoints were implemented throughout program

74

% rating top four box (7, 8, 9 or 10)

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Conclusions

Best Practices

Tangibles

Success Factors

Intangibles

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Outcomes

Investing in project management yields measurable results One defense-related agency noted cost reduction of 20-

30% on average had resulted from using trained program managers and a more systematic approach to managing programs.

One agency explained how the recent training of 24 project managers has already resulted in better stakeholder management and forecasting.

Another agency explained how program performance evaluations have trended higher since the introduction of (formalized) program management.

Another noted that recent marked improvement in the rigor around scope and requirements definition has significantly improved program success rates.

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Q and A

U.S. Government Relations section of PMI Solutions webpage:

http://www.pmi.org/en/Business-Solutions/PMI-US-Government-Relations.aspx

Government Programs Study:

http://www.pmi.org/en/Business-Solutions/~/media/PDF/Business-Solutions/ Government%20Program%20Management%20Study%20Report_FINAL.ashx