Strategizing Project Delivery

The purpose of strategy is to provide direction and concentration of effort as organizations continually strive to improve their position or gain the upper hand within the marketplace. Basically, it’s a struggle for advantage, and the one with the best advantage wins. It’s that simple. On what areas must businesses concentrate? Businesses clearly have to:

• Gain new advantages that increase or improve customer satisfaction, which will differentiate them from their competitors
• Either eliminate or minimize their competitors
• Achieve speed to market
• Re-engineer business processes for improved competitiveness
• Align their organizations to the latest economic trends
• Implement the strategy through projects
• Evaluate the success of the strategy by measuring project success

From project management’s point of view, there is no need to manage any project if the project manager has no idea why it’s being done in the first place. It’s crucial for any project manager to address the larger issues of the business strategy and see where the project fits in the overall framework. It isn’t easy—but it needs to be done.

Therefore, organizations must focus on project management as the key business driver that will achieve these advantages for them. With sound project management methodology and processes in place, project management is able to support the overall business strategy of an organization with these logical benefits:

1. Reduced delivery costs. Project management can provide products and services more cheaply by following a structured and formalized project methodology and by ensuring that excessive costs are not spent without due consideration.

2. Quicker product to market. The advantage permits the business to deliver products or services more efficiently than the competitors and the business is able to react more favorably to market demands.

3. Focused advantage. The projects will be focused more on the client needs and products, instead of having a solution that does not deliver the expected returns.

4. Quality and timely deliverables. Project management builds quality into the products or services right from the start, ensuring that the right things are developed at the right specification.

5. Proven customer advantage. Project management gains advantages for their organization by working together with the customer and by accommodating their needs and requirements.

Summary

Today’s organizations are challenged, as they need to keep pace with competitive markets, client needs, and marketplace trends. Winning is basically about who has the upper hand – either with new technology or quicker project implementations. The only winners will be those executives who are able to reinvent their companies quickly enough to take full advantage of the efficiencies that solid project management practices can offer.

A Discussion on Project Management Methodologies

I like what Jason Charvat has presented in terms of Project Management methodologies in his book “Project Management Methodologies – Selecting, Implementing, and Supporting Methodologies and Processes for Projects.” He basically goes by the same premise that I do – there can really be no standard methodology to be utilitized to fit most or all projects – hybrid methodology must exist. Your methodology must fit what you do, who your customers are, and what your capabilities are.

Project Methodology Overview

Key decision makers must often determine whether a universalized project life-cycle methodology is sufficient for all their projects. The answer to that question is an unequivocal no! Very few people are capable of creating a state of-the-art, concisely defined, phenomenally small, highly prescriptive, measurement-intensive, fast, and cost-efficient methodology allowing project managers greater performance improvement (consisting of an expertly designed/optimized family of policies, procedures, plans, specifications, forms, logs, and metrics). Every company has its own process flow diagram. This flow originated from a methodology created to ease implementations of new technologies or new project ideas. These process flow diagrams have many different stages, all similar in nature.

Even dynamic project-based organizations such as Accenture, KPMG, Deloitte Touche, RCG Information Technology, Bechtel, and Keane are far more than a collection of individual projects. If that were all they were, they wouldn’t be multimillion-dollar organizations. They all use various arsenals of project methodologies for each solution they undertake. Companies are becoming very much like small film studios. Each project is a “movie” all by itself and has its own “director” and “script.” The movie needs project funding to begin and is short lived; project teams are also short lived, and, amazingly, in this brave new model, they follow a unique project methodology, because if they don’t, no one will invest in a “movie” or project. Therefore, projects need to be innovative, they need process, and they need to adhere to the “script” or methodology. Each movie script is different from the next; this is where we focus our efforts throughout the book.

By simply assessing those project methodologies that exist today, we see that a universal project approach simply won’t work. The main reasons that a single “be-all-and-end-all” methodology won’t work from industry to industry are differences in:

• Life cycle
• Market sector
• Product
• Size
• Technology
• Situation

For instance, a nuclear plant or space shuttle project has very specific heavyweight life-cycle components (e.g., work breakdown structure, activities, tasks, task durations, priorities, skill sets, and economics) compared to a small construction project. In other words, they use different phases and activities on their projects (i.e., communications and navigation equipment, operating systems, and a variety of technologies).

In addition, the life cycles for construction projects (e.g., bridge building), compared to information systems projects (e.g., three-tier architectures), may be vastly different from one another. This means much tweaking is needed if you have to accommodate every kind of project. Hence, different methodologies are needed. Therefore, we have a catch-22 situation—various technologies and industries make it very challenging to design a one-size-fits-all project life cycle. It does not seem likely that an individual project manager or executive can actually design a highly operational, functional project methodology that meets the needs of every single project—irrespective of its technology or industry. Hence, some creative genius is needed to bridge this gap. A project life cycle is, therefore, a collection of project phases. Project phases vary by project or industry, but some general phases include:

• Concept
• Development
• Implementation
• Support

Remember that products also have life cycles. Many companies have project managers or executives who are unwilling to follow systematic project methodologies all of the time. Instead, they tend to rely on standard business activities to get them through the project. They are simply trying to keep up with all this talk of project methodologies and associated processes and techniques. Questions such as “Why are there so many methodologies?” and “Which one do we use?” often arise. Over the years, even those involved in managing projects have observed that projects have common characteristics that can be formalized into a structural process, which allows them to manage projects more effectively.

Each phase can typically be brought to closure in some logical way before the next project phase begins; and each phase results in discrete milestones or deliverables, which provide the starting point for the next phase. Project methodologies should be structured to take advantage of the natural phases that occur as work progresses. The phases should be defined in terms of schedule and specific accomplishments. Define how you will know when you have finished each phase and what you will have to show for it.

Cost and schedule estimates, plans, requirements, and specifications should be updated and evaluated at the end of each phase, sometimes before deciding whether to continue with the project. At times, you may want to hold off or cancel the project. Large projects are usually structured to have major program reviews at the conclusion of significant project phases. These decision points in the life of a project are called major milestones. The figure below shows how project phases are somehow linked to one another. This is the basis of how project phases, once incorporated, form a typical project development methodology.

Figure: Depiction of general project methodology phases.

Milestone decisions are made after conducting a major program review in which the project manager presents the approved statement of requirements, acquisition strategy, design progress, test results, updated cost and schedule estimates, and risk assessments, together with a request for authorization to proceed to the next phase. The early project phases tend to shape the direction for all further efforts on the project. They provide requirement definitions, evaluation of alternative approaches, assessment of maturity of technologies, review of cost, schedule and staffing estimates, and development of specifications.

A relatively short-term or technically straightforward project may have only a few basic milestones or deliverables following a (1) proposal, (2) feasibility study, or (3) business case. Nevertheless, the project manager should report to clients and executives at intervals to keep them up-to-date on project progress, thus ensuring project direction.

On small projects, if no formal agreements are written, the project manager should deal with clients and executives in an informal, yet somewhat structured and logical, manner. This means managing expectations and making clear agreements about what will be produced and when. You simply cannot do this on the fly.

On long-term projects, you may find project phases take place over many months or even years, and, in this case, it is vital to provide interim deliverables to give the clients and executives a sense that work is being accomplished, to provide an opportunity for feedback, and to capture project successes in documented form. This is exactly why a project methodology works. How else are you going to do this?

It is wise that the project processes be built around the specific project methodology. Particular care should be given to defining the work to be accomplished in each phase. This should include definition of the deliverables to be produced, identifying testing and demonstrations to be completed, preparing updates of cost and schedule estimates, reassessing risks, and conducting formal technical and management reviews.

More Project Management News

Intervals Reaches $330 Million in Work Managed with Web-based Project Management Software
CSRwire.com — Santa Barbara, CA – July 15, 2009 – Intervals, the growing online project management software from Pelago, has recently reached $330 million in work managed by its customers. As a web-based service accessible from anywhere with a web browser and an internet connection, Intervals is currently in use by small businesses in 90 countries. Collectively, they have used the software to track over 48,000 projects, 282,000 tasks and 2,900,000 hours.

The Intervals team recently completed a significant infrastructure overhaul during the first half of the year, and is continuing to improve the service by increasing response times and adding new features based on customer feedback. New features include the ability to update several project tasks at once and a quick-search enabled page for editing tracked time details. “We really want to make a difference and listen to our customers, which is something many software companies have failed to do,” said Michael Payne of Pelago. Pelago has stated on many occasions that their goal is to differentiate their software by offering superior customer service. “We have quadrupled our numbers since this time last year while adding several new features, many of which were suggested by our customers,” stated John Reeve, also of Pelago.

… More

Bottom-up view on challenges to project management

Results of a new global study conducted by ESI International reveal project portfolio management (PPM) challenges from a “bottom-up,” project and program management perspective. Leading concerns noted by project and program managers polled in the study included: greater need for PPM improvement given the economic downturn; lack of PPM experience, tools or process in commercial and public organizations; redundancies and conflicts in project portfolios; and inconsistent project reviews with poor follow-up. Survey respondents were project and program management professionals representing government, as well as commercial industries in financial services, telecom, IT, energy, pharma & health, professional services, manufacturing and other sectors in the United States, the United Kingdom, Europe and Asia.

“ESI’s global Project Portfolio Management Survey provides senior management with insights to guide them in charting a path to increased ROI from their project portfolios,” said Mario Arlt, PMP, vice president of client solutions, ESI. “The survey’s focus on project and program managers rather than senior executives offers a reality check for executives to ponder.”

… More

Project Management Jobs

Mechanical Project Manager

Location:      Hampshire
Salary:      £40-45k + package
Company:      Management Recruitment Group
Job type:      Permanent

Role Summary:

One of the UK’s leading privately owned M&E Contractors with a proven track record in successful delivery of multi-million £ projects our client is seeking an experienced Mechanical Project Manager / Contracts Manager. Able to demonstrate a successful track record in management of projects values ranging up to £5m you will be responsible for timely completion to budget & spec.

The Company:

One of the UK’s leading privately owned specialist ME&P Contractors our client is able to offer their established client base co-ordinated Project Management service covering HVAC & electrical building services installations. In addition they are able to provide in-house ductwork fabrication, pipework prefabrication, refrigeration, electrical, and controls services. They have also taken a leading role in the monitoring and control of refrigerant gases and the introduction of alternative gases as recommended by the Institute of Refrigeration.

Flood Defence Project Manager

Location:      Bath, Avon
Salary:      unspecified
Company:      Project Resource
Job type:      Permanent

The role:
The client is seeking a Project Manager who has experience in flood defence as our client is a leading provider of integrated river and coastal management solutions.
The Project Manager will be part of a growing team that design sustainable projects for drainage, river, estuarine and coastal environments and help coastal communities adapt to climate change.

The Client:
The client are a leading consultancy with a global presence who specialise in environmental, water and energy projects. Our client is well established within there respective sectors and are at the forefront of sustainable projects.

Location: Wiltshire

Remuneration: Dependant on experience ( Basic salary plus good benefits package.)

Requirements:
The project Manager must have flood defence, coastal or river experience and have come from a technical background within this field as well as over 5 years Project Management experience. Degree qualifications would be preferable but not essential.

Job: Assistant Project Manager, London Borough of Barnet

There is an opportunity that has opened up that might interest those of you looking for a PM job in London.

• Employer: London Borough of Barnet
• Posted: 23 Jun 2009
• Reference: SS/129/09
• Location: Barnet
• Sector: Local Authority
• Contract: Permanent
• Hours: Full Time
• Position: Assistant Project Manager
• Salary: £35,067 – £37,692 pa inc.

PLANNING, HOUSING AND ENVIRONMENTAL PROTECTION

Assistant Project Manager
£35,067 – £37,692 pa inc.

Delivering a successful City-Suburb and taking forward ambitious growth realising Barnet’s Three Strands Approach: Protect, Enhance, Grow.
As the fastest growing outer London borough, with over 32,000 new homes and at least 22,000 new jobs expected from planned development over the next 20 years, Barnet will be a place of opportunities.

Working within the Regeneration Service, you will take a key role in delivering the regeneration projects across the borough. You will work with internal and external stakeholders to drive forward the regeneration projects, managing the change control process in order to ensure the necessary requirements are delivered.
With proven success in project management, you will lead and advise on various aspects of the project plans and work with the Senior Project Managers to identify gaps, conduct reviews and put actions in place to ensure the programme delivers on cost, to time and to the required standard. You will influence and co-ordinate programme activity and ensure that projects are managed to corporate project management standards.

With a sound knowledge of property development and regeneration, in the context of housing, mixed-use and economic development, you will be self-motivated with excellent project management, organisational and interpersonal skills; able to manage complex workloads, and communicate effectively verbally and in writing at all levels in the organisation.

For an application pack, please visit our website: www.barnet.gov.uk

Please quote reference: SS/129/09

Closing date: 3 July 2009.

Apply here..