P3 m3 intro long


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how to use P3M3 to assess project maturity

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P3 m3 intro long

  1. 1. P3M3 introductionmaturity model for PRINCE2Van Dam Orendaproduct development consultantsFrank van Dam 1
  2. 2. 1. Introductions2. Maturity models; names and costs3. Does it work (higher maturity = better performance?)4. P3M3 examples P3M3 intro 2
  3. 3. 1. introductions Van Dam Orenda Product Development ConsultantsP3M3 intro 3
  4. 4. Van Dam Orenda:  Product development consultants, working on:  Creation (development tools and methods)  Control (processes, project mgt, in- and external fit)  People (team-work, roles, knowledge circulation)  registered consulting organisation  PRINCE2 ®, MSP ® and P3M3 ®.  PRINCE2® is a Registered Trade Mark of the Cabinet Office  MSP® is a Registered Trade Mark of the Cabinet Office  P3M3® is a Registered Trade Mark of the Cabinet Office  The Swirl logo™ is a Trade Mark of the Cabinet Office .P3M3 intro 4 4
  5. 5. Control  Development projects that fit strategy  Projects that are on-time and on-budget  Stakeholders properly managed  We can help you gain more control  We assess and improve project management capabilities  We teach, coach, fix project teams  We help match development processes to controls  We help supply chains speak the same project- management -languageP3M3 intro 5
  6. 6. Orenda Clients , 18 yrs Creation 10 x R&D process-improvement Maxi-Cosi, Power Packer, 20 x mechatronics Holec, Atag, Batavus, Philips Healthcare, Koppert Control 15x Positioning, portfolio Nedinsco, Kappa, Stork, BTG, 30 x clustering and financing Sara Lee/DE, Mecon, Netagco, Accredited PRINCE2®, MSP® Norma, VDL- ETG, ECN/ NRG, consultants ministries, KLM People 30x team role analysis, courses VNO-NCW, EVD, KCE, ICM 10x culture analysisP3M3 intro 6
  7. 7. P3M3 intro 7
  8. 8. Potato harvester? changing market; new strategy? Which product would fit? QFD and project mgt New standard in class Start modular familiy In record time (50%) P3M3 intro 8
  9. 9. Costprice reduction PMS? Outsourcing under price pressure? Buyers and suppliers have different goals Open communication Process-sketch of final customer as translator for both Target Costing, Value-analysis Open calculation on the basis of “live and let live” 30% cost price reduction P3M3 intro 9
  10. 10. Frank van Dam Mechanical engineer Marketing and finance MBA Product developer  Philips, Volvo, ten Cate Consulting company  Van Dam Orenda  Accredited Prince2 + MSP consulting organisationP3M3 intro 10
  11. 11. Some of our consultants Frank van Dam Tonny Grimberg (Graham Bosman) ‘58, ir, MBA • ‘52, ing, ir  ‘50, MSc, MBA D&E, Volvo, ten • R&D, Philips,  programmes, Cate Thales author P3M3 Industry, RO, Infra  Industry, infra • Industry, ROP3M3 intro 11
  12. 12. 2. Maturity Models set-up and big namesP3M3 intro 12
  13. 13. Maturity measured in 5 levels: 13P3M3 intro
  14. 14. Maturity models (and their use)  General:  EFQM / INK (x 103 per year)  R&D&E  Projects:  CMMi (x 103)  PWC-survey (x 102)  Stage-Gate (x 102)  P3M3 (x 102)  RACE (x 10)  OPM3 (none or a few)P3M3 intro 14
  15. 15. Competitors pricing; cost to clients  Survey € 100 – 200  Appraisal: € 15.000 – 20.000 from approved auditors  appraisal: $ 5.000 - $ 10.000 for larger comp., academic for smaller comp; reduced price  Survey: $ 300-500, incl comparison  Appraisal: $ 3.000 – 5.000 from approved consultant  Survey: ???? Free ????  Appraisal: $ 12.500 from approved consultantP3M3 intro 15
  16. 16. P3M3 = maturity model for PRINCE2, MSP, MoP etc.P3M3 intro 16
  17. 17. P3M3 in 3 versions1. Introduction  1 piece of paper / matrix  To start discussion2. Traditional, consultant led  Questionnaires, multiple entry or single entry  Based on paper version, also on-line version  Measures current practice3. APMG Index  Online questionnaires, current and required levels  Automatic comparison and report generationP3M3 intro 17
  18. 18. 1. P3M3 introduction Organisational Organizational complexity A B C At what level complexity No of people <6 7 – 50 50+ involved should we No of departments 1 or 2 3 to 5 5+ Psychological Limited Great operate? distances Type of teams Alll 1 group Loosely differences 1 or a few differences Hierarchy Indication based on BRACE connected real teams of teams Choose A, B or C A B C no of Product / disciplines / How big a process choice knowledge change? composition areas Mono, 1 part or step 1 main + few minor/ sub Few changes X 1 2 Simple grouping / assembly Few main, more minor / sub Gradual change Y 2 3 4 Family, large grouping / assy More main, many sub Radical renewal Z 4 5 Product / process complexityP3M3 intro 18
  19. 19. 2. P3M3 traditional short input P2 vragen maturity uit P3M3 MPM (input Marcel) level 1 org lowest level is combined level, use judgement! yes sometimes not always never comment1.01 distinguish line from project x1.02 does mgt review regularly? x 1 project overall / weighed average is combined score yes sometimes not always never comment2.01 are project objectives agreed x Soms wordt het ook wel opgelegd vanuit het management of de klant2.02 changes identified and communicated x2.03 outline plan for key activities x bij een groot project en kostbaar project wel. Als de klant er specifiek om vraagt ook. P3M3 intro 19
  20. 20. 2. P3M3 traditional short output Samenvatting scores P3M3 Norma IMSlevel 1 organisation not (always) lot of times yes lot ofnot (always) yes times level 1 projectdistinguish line from project are project objectives agreeddoes mgt review regularly? changes identified and communicated outline plan for key activitieslevel 2 organisation not (always) lot of times yes lot ofnot (always) yes times level 2 projectresource allocation supported by sr mgt? objectives + benefits defined and understood?approved by sr mgt before start? key roles in place?does sr mgt monitor benefits, cost, risks? clear definition of scope? scope broken into PBS / PFD? team aware of approach? is there a project plan covering time,resources key stakeholders identified and managed external supliers managed effectively? changes controlled, how? performance for time, cost, quality monitored major risks identified quality controls in place BC as rationale for approval? P3M3 intro 20
  21. 21. 2. P3M3 traditional long inputP3M3 intro 21
  22. 22. 2. P3M3 traditional long output Level Description Management Control Average 1 Programme management terminology may be used but not consistently. The Yes Always general approach will be focused on project rather than programme level. Some general understanding exists of the concepts of programme Yes Always 2 management and its control mechanisms but adoption is localized. There is a centrally defined and documented approach to a programme Yes 3 management life cycle and controls, and it is applied in all programmes by capable staff that support programme teams. Sometimes Programme management is seen as a key tool for the delivery of strategic Occasionally 4 objectives. Within the programme environment the focus is on improvement of delivery through measurement and analysis of performance. 5 Management controls ensure that the programme approach delivers the Occasionally strategic aims and objectives of the organization. Acceptance of programme management as the optimal approach to strategic delivery is organization-wide.P3M3 intro 22
  23. 23. Determine the current P3M3 maturity scores usingCurrent Practice Levels the 7 perspectives Complexity Characterise client projects to understand the unique challenges of the organization The system determines the maturity profile that Right Practice Levels results in the highest likelihood of success given the complexity profile The system will generate a report which includes the Report generation analysis of current practice versus right practice and areas for improvementP3M3 intro 23
  24. 24. 3. P3M3 index input 1P3M3 intro 24
  25. 25. 3. P3M3 index input 2P3M3 intro 25
  26. 26. 3. P3M3 index output reports Current Prac ce versus Right Prac ce 5 PjM3 Project Management Maturity Level 4• Complexity scores and profile• 3 Current practice versus Right Practice for: 2 Current Prac ce • 7 perspectives 1 Right Prac ce • 6 generic attributes 0• Recommended areas for ce es s l t t t t t nt on t iew t ro en en en en en en es me an oc em em em em em em on li ev ta ib i rn lop Pr en tC dR ag ag ag ag ag ag ve ns ng ve um en an ng an an an an Go an po De rE M kM M tM em M oc es a ny improvement al m lde ial ce ts dD ity dR on ag jec Ris efi ru ur nc s bil an ho an Current Prac ce versus Right Prac ce an dE ro Sc a n so a pa M niz ke Be Fin nP les on an Re Ca St a ga ei Ro ing a Or nc m nn• or rie Pl a Detailed descriptions of Right Inf pe Ex Management Control 5 Scru ny and Review Benefits Management Practice controls Informa on and Documenta on 4 3 Financial Management 2 1 Planning and Es ma ng Process Stakeholder Engagement 0 Capability Development Risk Management Experience in Project Management Organiza onal Governance Roles and Responsibili es Resource Management Current Prac ce Right Prac ce P3M3 intro 26
  27. 27. P3M3 costsper use (once); excl application license type Tool costs (€ k) man costs (€ k) Self-assessment:  0  0 Paper P3M3  0  10 - 15 P3M3 + complexity  1  10 – 15 P3M3 + complexity  5  15 – 20 + Right Practice verification  5 - 10  5 - 10P3M3 intro 27
  28. 28. 3. Does it work? (higher maturity = better performance?)P3M3 intro 28
  29. 29. YES, it works: Research has shown that higher maturity results in better performance At level 1 and 2 there are a large number of organisations with low project performance and a small number with high project performance. At levels 4 and 5 the opposite is true. Global survey of 200 organisationsP3M3 intro 29
  30. 30. Performance = f (maturity) development-projectsP3M3 intro Performance van PPP 30 30
  31. 31. 4. P3M3 examples By Van Dam OrendaP3M3 intro 31
  32. 32. VDL- ETG 1600 p; 4 plants, Part of very large group Precision manufacturingP3M3 intro 32
  33. 33. 33P3M3 intro
  34. 34. 34P3M3 intro
  35. 35. 35P3M3 intro
  36. 36. ETG benchmark scores: from 1+ to 3- From individual styles + “bleeder”projects And accompanying score of 1+To Consistent approach to projects And clear budgets, customer agreement in seconds! But not company-wide yet, hence 3-P3M3 intro p. 36
  37. 37. Norma 4 companies, 500 p. Ultra high precision manufacturingP3M3 intro 37
  38. 38. Heroic efforts, inspired by challenge! ‘06 p. 38P3M3 intro
  39. 39. Well begun better done, inspired by challenge! ‘07 p. 39P3M3 intro
  40. 40. P3M3 intro 40
  41. 41. How can we help you toimprove project maturity?Van Dam Orendaproduct development consultantsPB 627620 AB BORNE, NETHERLANDS+31-74 - 250.9155www.orenda.nlFrank van Damvandam@orenda.nlnurturing creation 41
  42. 42. Additional screenshotsP3M3 intro 42
  43. 43. P3M3 intro 44
  44. 44. P3M3 intro 45
  45. 45. P3M3 intro 46
  46. 46. P3M3 intro 47