This document discusses enterprise project management from Lenati's perspective. It covers the benefits of establishing governance over a project portfolio using tools like a stage/gate approach. It emphasizes using an Enterprise Project Management Office (EPMO) to establish standard processes, templates, and training. The EPMO also supports executive oversight of the project portfolio. Lenati offers services to help clients set up these governance structures and manage projects more successfully.

1. ENTERPRISE PROJECT
MANAGEMENT
A Lenati Point of View
Martin Mehalchin, Principal
mmehalchin@lenati.com
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2. Contents
• Introduction
• Enterprise Project Management Governance and Project
Portfolio Management
• Project Management Framework: Standards & Practices
• Lenati
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3. INTRODUCTION
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4. Most Organizations Struggle to Consistently Execute
Project Work
• Successful Projects Average
– Completed and meets objectives Project
– On time
– On budget 89% Cost
– All scope delivered Overrun
• Challenged Projects
– Completed but may not meet all objectives 122%
– Large cost overruns Schedule
Overrun
– Severe schedule slippages
– Delivered significantly reduced scope 60% Scope
• Failed Projects
Delivered
– Not completed or did not meet objectives
Source: Standish Group
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5. The Path to Consistent Execution Requires An
Enterprise-Wide Approach
M Individual Projects
E Project Portfolio
a Management
x
n •Standard Roles, Documentation
e
a •Assemble
c •Required Measurement and Reporting
g
u •Rationalize & Rank I
e
t Phase / Gate Approach
m •Monitor Execution
i
e
v
n
e
t
EPMO: Set & Maintain Standards, Develop/Offer Training,
Foster Community of Practice
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6. ENTERPRISE PROJECT GOVERNANCE
AND PROJECT PORTFOLIO
MANAGMENT
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7. Project Portfolio Management Aligns Projects With
Your Overall Strategy and Objectives
Phases
Assemble Portfolio Rationalize & Rank Monitor Execution
•Inventory existing •Align to strategy •Hold projects to milestones
•Charter new •Size portfolio to available and delivery of results
resources •Resolve escalated issues
•Prioritize •Assess results
Tools
Strategy / Initiative Alignment Matrix Financial Ranking
Cost Service Clinical
Control Line Quality Project NPV
Expansion
New System $1,000,000
Project A
New Facility $750,000
Project B
Project C Reengineer $500,000
Process
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8. A Stage/Gate Approach Applies Rigor to the Projects
In the Portfolio
Project Phase Deliverables / Critical Decision Gates
•Require all projects to
proceed through Project Phases
Mandates, Department
standard phases Planning, Strategic
Planning
Business Case
Detailed Planning Implementation Closeout & Turnover
•Measurements of cost & Development
impact are refined as the Deliverables
project progresses Problem
Definition/Needs
Analysis
High-level
Specifications
Scope Baseline
Resource
Allocation
Commitments
Project Performance Requirements
- Earned Value Requirements
- Cost Variance Analysis
- Schedule Variance Analysis
Lessons Learned/Knowledge Management
- Scope Changes
- Cost Variance/Controls
- Schedule Variances
- Process Adjustments
•Strategic fit & ROI Detailed Cost
Detailed Project Status Reports
- Issues Log
- Resource Utilization
Assumptions/ Alternatives Schedule
projection tested at each Estimate/ROI - Meeting Notes Project Completion Sign-off Form
Constraints/Risks Selection Including
Calculations - Milestones Completion Buy-off
Milestones
gate Cost Estimate Resource Impact
Quality Control
Risk Assessment
Go-Live Signoff Document
Communicate Project Successes
- Executive Sponsor
- Executive Management Group
Procedures
- Project Team Members
•Each gate represents a - Project Steering Committee
- Broad Employee Base
go / no-go Statement of
Support
Financial Impact
(ROI projection)
Communications
Plan
Critical Success
Factors
•Executive management Business Case Document Project Charter
involvement in all gating
Critical Decision
decisions
Critical Decision Critical Decision Critical Decision
Gates Gate 1 Gate 2 Gate 3
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9. Use An Enterprise Project Management Office (EPMO)
As the Focal Point for a Community of Practice
• Lead the community of practice
– Develop the standard definitions and document templates used by all
projects
– Develop and deliver internal training for project management roles
– Coach, mentor, facilitate sharing and learning across the enterprise
• Support executive engagement
– Administration of project portfolio
– Aggregate monthly reporting into an enterprise roll-up for executives
• Note: Not a bureaucracy
– Minimal full-time staff
– Designated representatives from a broad cross-section of the organization
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10. Executive Governance & Engagement Is a Critical
Success Factor
• Executive team must promote and model the enterprise
standards
• Regularly scheduled executive team review of project
portfolio
– Typically an agenda item for a standing meeting
• Executive sponsor for all projects; executive chairs all Steering
Committees
– Size thresholds may apply
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11. PROJECT MANAGEMENT FRAMEWORK:
STANDARDS & PRACTICES
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12. Benefits of Standard Project Management Framework
• Reduces confusion and churn time within a project
• Everyone speaks the same language which results in improved
communication amongst the project team
• Enables a greater amount of time to work on a project rather than
time being used to establish a new framework or tools for each
project
• Provides integrated approvals to ensure ongoing engagement and
support from key stakeholders
• Clear expectation setting and buy in with sponsor and key
stakeholders
• Increases likelihood of delivering stated objectives
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13. Commonly Understood Phases, Roles & Vernacular
Phases
Vernacular Roles
Executive Sponsor
Assumptions Constraints
Business Sponsor
Risks Issues
Business Program/Project
Owner Manager
Core Team 13

14. Library of Standard Document Templates
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15. Drivers for a Successful Project
• Clear and prioritized Objectives, Goals and Benefits
• Project scope & objectives align with corporate goals
• Executive Management Support
• Roles & responsibilities are clearly identified and
communicated
• Proper planning
• Clear Requirements and Specifications
• Input and buyoff from all participants (user involvement)
• Issues, Risk and Changes are Managed
• Communications are planned and managed
• Lessons are learned and documented along the way
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16. LENATI
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17. Lenati is a professional services firm offering
solutions to organizations striving to
maximize performance, revenue, and
market share.
Our goal is to help Mid-Market and
Enterprise clients go to market more
successfully (higher returns) and more
efficiently (lower cost) with a focus on
creating competitive advantage via
differentiated customer experiences.
As part of our drive to be a services industry leader in helping organizations
maximize their market performance, we have assembled a small, high powered
group of professionals and strategic partnerships that help us deliver innovative
solutions that can help your organization make an immediate impact in the
marketplace.
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18. Lenati Project Management Offerings
• Project Portfolio Management
– Advise on approach
– Gather and analyze data on current inventory of projects
– Facilitate initial series of review meetings
• EPMO
– Advise on set up and selection of resources
– Design and implement stage/gate process
– Assist with development of standards and templates
– Provide pre-built training; train-the-trainer programs for staff
• Large Projects
– Project audits & resource assessments
– Advice on turnaround or close-out of troubled projects
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