Progress of PM in India: High Growth of PMI and Breaking of Cultural Barriers Saji Madapat MBA,CSSMBB, PMP “ TEAM India” representative PMI Component Mentor, Asia (Region 9) Presented to PMIWDC Chapter Chapter to Chapter Speaker Exchange Program June 19, 2007, Washington, DC

Setting the Context – Behind the scenes Asia, PMI’s fastest* region – two fifth of Humanity TEAM India - PMI’s fastest* 7 Chapters Several leadership meetings to set the PMIWDC-TEAM India CtoC stage TEAM India’s turn to share with PMIWDC, the largest chapter of PMI Two PMIWDC delegations in India *Based on 2003-2005 PMP & Membership Growth

Asia, PMI’s fastest* region – two fifth of Humanity

TEAM India - PMI’s fastest* 7 Chapters

Several leadership meetings to set the PMIWDC-TEAM India CtoC stage

TEAM India’s turn to share with PMIWDC, the largest chapter of PMI

Presentation Overview Snapshot of India Global Reach of Projects – USA as India’s strategic partner Transformation in TEAM India Perspective Breaking Cultural Barriers the PMBOK ® way - INDO-US Perspective

Snapshot of India India is the cradle of the human race, the birthplace of human speech, the mother of history, the grandmother of legend, and the great grandmother of tradition.Our most valuable and most instructive materials in the history of man are treasured up in India only. -Mark Twain

Snapshot of India

Over 5000 Year Old History…. Indus Valley civilization (3300 BC) Nalanda, the world’s first University (700 BC) Taj Mahal built in 1648 AD In 1001, 33% of the world’s trade Richest country in the world till 17 th century India has a rich heritage of culture and inventions “ We owe a lot to the Indians, who taught us how to count, without which no worthwhile scientific discovery could have been made” Albert Einstein

Indus Valley civilization (3300 BC)

Nalanda, the world’s first University (700 BC)

Taj Mahal built in 1648 AD

In 1001, 33% of the world’s trade

Richest country in the world till 17 th century

“ We owe a lot to the Indians, who taught us how to count, without which no worthwhile scientific discovery could have been made”

Albert Einstein

21 st Century – Unity in Diversity 60 year old Parliamentary & largest democracy 28 States & 7 union territories 22 Official & ~1600 minor languages By 2010 the largest English speakers in the world -Prof. David Crystal, Cambridge Encyclopedia of the English Language 80 / 117 SEI CMM 5 are Indian companies Economy - bankruptcy (1991) to boom India is the most Pro-American country – The Pew Global Attitude Survey

60 year old Parliamentary & largest democracy

28 States & 7 union territories

22 Official & ~1600 minor languages

By 2010 the largest English speakers in the world

-Prof. David Crystal, Cambridge Encyclopedia of the English Language

80 / 117 SEI CMM 5 are Indian companies

Economy - bankruptcy (1991) to boom

Global Reach of Projects – USA as India’s strategic partner "India is a global leader, as well as a good friend. ... My trip will remind everybody about the strengthening of an important strategic partnership. We'll work together in practical ways to promote a hopeful future for citizens in both our nations." -President George W. Bush, February 22, 2006

Perspective: The Economist Source: http://www.economist.com/surveys/displaystory.cfm?story_id=E1_SRSRDRS

USA – India’s Strategic Partner in Projects Source: Business Week

Huge Untapped Potential Nearly 15,000 Projects from various sectors and 400 Billion USD Investments as of December 2005 (Note: excludes defense and Software Projects) Source: Projects Today In Oct-Dec 04, Of 646 projects monitored, 258 got delayed, time over-run up to 21 years, the cost over-run ~ 40.42%. - The stat. and program implementation ministry

Infrastructure Investment – Rejuvenation India is shaking its Champaign bottle for over 50 years and let us make sure that we position ourselves correctly to celebrate - not on the path of that cork. - Tom Friedman

India’s Transformation – the TEAM India Perspective TEAM India with PMI BOD, CEO & Key Executives At the India Strategy Planning Session (Bangkok 2006)

PMI Chapters in India Potential for chapters in most cities in India Almost ZERO to over 11,111 PMP’s in short time Pearl City Chapter North India Chapter Chennai Chapter Bangalore Chapter Trivandrum Chapter Mumbai Chapter Pune Chapter

Tip of the Iceberg - Growth Potential for PMI ~250 million new workers (15mil/yr) between 2003 & 2020 ~380 universities and 1,500 research institutions World’s 2nd highest pool of skilled workforce Source: Deutsche Bank Research – India Special, May 19, 2005 " Thinking should become your capital asset, no matter whatever ups and downs you come across in your life ." - Dr A.P.J. Abdul Kalam, President of India

~250 million new workers (15mil/yr) between 2003 & 2020

~380 universities and 1,500 research institutions

World’s 2nd highest pool of skilled workforce

Dilapidated infrastructure, Vast Slums, Poor Governance … 47% of Indian children under five are malnourished. About 40 million children are not in school. About half of the world's hungry live in India. 25% of population lives on less than a $1/day. Largest HIV population in the world. (Sources: UNDP, Unicef, World Food Program; Edward Luce) Govt.& Governance is a not rosy -Rural Education, Electricity, Infrastructure Not everything is Roses in India…. vs. a booming Entrepreneurial PVT. Sector MTNL land lines Vs. cell phone technology.

Dilapidated infrastructure, Vast Slums, Poor Governance …

47% of Indian children under five are malnourished.

About 40 million children are not in school.

About half of the world's hungry live in India.

25% of population lives on less than a $1/day.

Largest HIV population in the world.

(Sources: UNDP, Unicef, World Food Program; Edward Luce)

Govt.& Governance is a not rosy

-Rural Education, Electricity, Infrastructure

vs. a booming Entrepreneurial PVT. Sector

MTNL land lines Vs. cell phone technology.

Leveraging PMI . . . to Transform India GOAL FOR INDIA By 2020, India joins the ranks of most developed Nations Strategic Maps Academia, Industry, Government INDIA TRANSFORMED Projects Projects Projects CHANGE AGENT PMI VISION Organizations worldwide will embrace, value, and utilize project management and attribute their success to it

TEAM India’s vision - Adaptation of VISION 2020 of Dr. A P J Abdul Kalam Winner Of 2006 PMI Community Advancement Through Project Management

Building bridges In addition to PMIWDC we are also collaborating with several chapters, SIG’s, Regions and like-minded organizations around the world. TEAM India with Father of PMI ( James Snyder ) on PMI Educational Foundation Collaboration

Corporate Social Responsibility in India - PMI Network June 08 Cover Page article

Breaking Cultural Barriers the PMBOK ® way - INDO-US Perspective "We must become the change we want to see." -Bapuji (Mahatma Gandhi)

Theme “ Virtually all projects are planned and implemented in a social, economic, and environmental context……. The project team should consider the project in its cultural, social, international, political, and physical environmental contexts.” - PMBOK® Guide, 3 rd Edition (Section 1.5.3)

“ Virtually all projects are planned and implemented in a social, economic, and environmental context…….

The project team should consider the project in its cultural, social, international, political, and physical environmental contexts.”

- PMBOK® Guide, 3 rd Edition (Section 1.5.3)

Breaking Cultural Barriers – the PMBOK ® way Project Scope Management Project Integration Management Human Resources Management Project Communication Management Project Time Management Project Cost Management Project Risk Management Project Quality & Procurement Management

Project Scope Management

Project Integration Management

Human Resources Management

Project Communication Management

Project Time Management

Project Cost Management

Project Risk Management

Project Quality & Procurement Management

Project Scope Management - Global Reach of Projects Scope change - single location to global Why Multi Location? Because we can… & We have to… Business needs & organizational change Technology allows it Avoids resource relocation, travel Employee needs Solving complex problems Savings: A way of earnings

Scope change - single location to global

Why Multi Location? Because we can… & We have to…

Business needs & organizational change

Technology allows it

Avoids resource relocation, travel

Employee needs

Solving complex problems

Savings: A way of earnings

Global Scope Challenges Fear of the unknown Different models Internal people issues Remote resources Different cultures Various contract types How and what to manage How and what to measure The single largest barrier - challenge of managing internal organizational change.

Fear of the unknown

Different models

Internal people issues

Remote resources

Different cultures

Various contract types

How and what to manage

How and what to measure

India – Strategic Location RISK-AVERSE RISK ACCEPTING DATA-ORIENTED DIALOG-ORIENTED United States Germany France Mexico Jamaica India Japan China UAE Analyze Discuss (extent depends on risk attitude)

Project Integration Management – Cultural Diversity Perspective High- and Low-Context Cultures Source: “How Cultures Collide.” Psychology Today, July 1976

Individual Direct Egalitarian Task Data Risk Tolerant = U.S. Average Dimensions of Cultural Difference = Indian Average Group Indirect Hierarchical Relationship Dialogue Risk Averse

Project Human Resource Management Induction tools Local labor laws Prepare for & accept diversity in race, religion, region and accent Formulate background check processes Formal training for onsite managers

Induction tools

Local labor laws

Prepare for & accept diversity in race, religion, region and accent

Formulate background check processes

Formal training for onsite managers

Diversity - an Advantage Source: International Business, A Managerial Perspective, 1998

Project Communication Management Communication Plan Global communication solution Track, report & plan for outages Time zones “ Lost in Translation” Use simple terms and words Speak slowly and clearly When in doubt, ASK Use “backtranslation”

Communication Plan

Global communication solution

Track, report & plan for outages

Time zones

“ Lost in Translation”

Use simple terms and words

Speak slowly and clearly

When in doubt, ASK

Use “backtranslation”

Cultural Paradigms to Communication Silence indicates approval or dissent? Sssh!! Nodding indicates agreement or confusion? Eye contact: Some cultures don’t make eye contact either out of shyness or out of respect Bowing indicates respect or servility?

Silence indicates approval or dissent?

Eye contact: Some cultures don’t make eye contact either out of shyness or out of respect

Project Time Management Identify various locations (India - GMT+5) Identify & use - specific date/time format Maintain list of holidays & work hours Daylight saving time into account Time difference can be an advantage Scheduling: Different working hours Time based scheduling Team assignments & Workgroups functions Source: http://www.timeanddate.com/worldclock/”

Identify various locations (India - GMT+5)

Identify & use - specific date/time format

Maintain list of holidays & work hours

Daylight saving time into account

Time difference can be an advantage

Scheduling:

Different working hours

Time based scheduling

Team assignments &

Workgroups functions

Balance: PM Time Allocation Integration & Scope Resources, Duration, & Cost Quality & Risk HR & Communication India USA Integration & Scope Resources, Duration, & Cost Quality & Risk HR & Communication

Project Cost Management Base currency Conversion tools / applications Location specific Tax / Duty structure Account for handling currency fluctuation Shift based on change in cost advantage Consider cost of communication link

Base currency

Conversion tools / applications

Location specific Tax / Duty structure

Account for handling currency fluctuation

Shift based on change in cost advantage

Consider cost of communication link

risk-averse risk-happy data-oriented dialog-oriented United States Germany France Mexico Jamaica India Japan China UAE Estimating Project Time and Costs

Project Risk Management Political uncertainty (wars / strikes) Environmental (flood / weather) Email / network / data link outages Cost - currency Fluctuations Information security Resources - skills, qualification Specifications – Metric vs. English Business Continuity & Disaster Recovery

Political uncertainty (wars / strikes)

Environmental (flood / weather)

Email / network / data link outages

Cost - currency Fluctuations

Information security

Resources - skills, qualification

Specifications – Metric vs. English

Business Continuity & Disaster Recovery

Project Quality Management & Procurement Management Partner with like-minded ISO 9000, SEI-CMM, Six Sigma etc. Good in repeatable process Specify in your scope / quality Plan Engineering / process standards Tolerances & acceptance criteria Utilize knowledge management portals Transition, induction and reverse knowledge Transfer

Partner with like-minded

ISO 9000, SEI-CMM, Six Sigma etc.

Good in repeatable process

Specify in your scope / quality Plan

Engineering / process standards

Tolerances & acceptance criteria

Utilize knowledge management portals

Transition, induction and reverse knowledge Transfer

Summary India is the fastest growing* country of PMI– still tip of the iceberg in its potential PMI’s vision is the catalyst for achieving India’s 2020 Vision USA is India’s strategic partner Not thinking of globalization of the projects is not an option Not breaking cultural barriers is also not an option PMIWDC – TEAM India CtoC relationship is just the beginning *Based on 2003-2005 PMP & Membership Growth

India is the fastest growing* country of PMI– still tip of the iceberg in its potential

PMI’s vision is the catalyst for achieving India’s 2020 Vision

USA is India’s strategic partner

Not thinking of globalization of the projects is not an option

Not breaking cultural barriers is also not an option

PMIWDC – TEAM India CtoC relationship is just the beginning

Acknowledgment The following group and individuals have played key roles in making today’s PM Tools possible: Mike O’Brochta, PMP, Chairman, Chapter to Chapter Program, PMIWDC Paul Mahata, Ph.D., India Lead, Chapter to Chapter Program, PMIWDC Chris Fristad, PMP, Past President of PMIWDC, and Speaker to India Andrew Anderson, Past President of PMIWDC, Initiator of India Speaker Exchange Program Ron Taylor, PMP, President of PMIWDC, for showing strong leadership TEAM INDIA leadership of 7 chapters & its Chairman, Mr. Vijay

The following group and individuals have played key roles in making today’s PM Tools possible:

Mike O’Brochta, PMP, Chairman, Chapter to Chapter Program, PMIWDC

Paul Mahata, Ph.D., India Lead, Chapter to Chapter Program, PMIWDC

Chris Fristad, PMP, Past President of PMIWDC, and Speaker to India

Andrew Anderson, Past President of PMIWDC, Initiator of India Speaker Exchange Program

Ron Taylor, PMP, President of PMIWDC, for showing strong leadership

TEAM INDIA leadership of 7 chapters & its Chairman, Mr. Vijay

: Saji Madapat MBA, CSSMBB, PMP PMI Component Mentor, Asia (Region 9) [email_address]

Back up slides

Back up slides

Some Statistics of Current India 472 Work Force (in Million) 1577 Roads Km. (in '000) 98 Telephone Lines (Land/Mobile) (in Million) 60% Literacy % of Population 63 Life Expectancy (in Years) 75 Exports US $ (in Billion) 85 Imports US $ (in Billion) 600 GDP Per Capita US$/Yr 1.07 Population (in Billion) 645 GDP USD $ (in Billion) 3288 Land Area Sq. Km. (in '000) Value Parameters

Cultural Differences Individual Differences, Culture, and Business Behavior

Multi Location Projects: USA vs. India

Nearly 15,000 Projects from various sectors and 400 Billion USD Investments as of December 2005 (Note: excludes defense and Software Projects) Source: Projects Today Source: Projects Today - 2005 NASSCOM Projection $60 Billion by 2010 Industry-wise Number of Projects Most of this revenue will be generated from Projects execution Source: NASSCOM Strategic Review 2005

SWOT Analysis in the India Context Strengths Weakness Exponential growth of PMI Membership & Certification Reputation and Acceptance of PMI Availability of World Class Standards PMI Chapters/Components at Prominent Cities in India “ C” level and other key decision makers are part of Indian PMI chapters Gyan Lahari & PMiCon Events Adoption of PMBOK in IT Industry Government advocacy on Certified Project Managers Many Indian Members participation in OPM3, OPM3SE, PPMS, PMCD, PMBOK update editions World’s second highest pool of skilled workforce in India – a best environment for PMI Need for strategic thinking/Governance structure from PMI for India Not much awareness on PM Standards in Government and Non IT Industry PMI Membership and PMP Certification fees is not affordable in India No statistical evidence of facts on situation of Project Management in India Need for cultural awareness from PMI No PMI Leadership investments in India - like Leadership Masters class graduates from India Threats Opportunities Heavy Attrition of Members due to non affordable PMI Membership fees No correlation between PMP certification and results No focus on Indianization of PM Standards might cause low acceptance of PMI standards (e.g. Government) India is the happening place and is the outsourcing hub Billions of Investments for Infrastructure, Construction, Automotive and Defense & Government projects Government focus on Professional Project Management Practices IPMA Members Interest to migrate to PMP PMI Components Potential in Tier 2 Cities Center for Leadership Excellence, India – Initiatives PMI APAC Global Congress, 2009 PMI Education grants for programs like SLCB Over 125 Fortune 500 firms now have R&D bases in India

Exponential growth of PMI Membership & Certification

Reputation and Acceptance of PMI

Availability of World Class Standards

PMI Chapters/Components at Prominent Cities in India

“ C” level and other key decision makers are part of Indian PMI chapters

Gyan Lahari & PMiCon Events

Adoption of PMBOK in IT Industry

Government advocacy on Certified Project Managers

Many Indian Members participation in OPM3, OPM3SE, PPMS, PMCD, PMBOK update editions

World’s second highest pool of skilled workforce in India – a best environment for PMI

Need for strategic thinking/Governance structure from PMI for India

Not much awareness on PM Standards in Government and Non IT Industry

PMI Membership and PMP Certification fees is not affordable in India

No statistical evidence of facts on situation of Project Management in India

Need for cultural awareness from PMI

No PMI Leadership investments in India - like Leadership Masters class graduates from India

Heavy Attrition of Members due to non affordable PMI Membership fees

No correlation between PMP certification and results

No focus on Indianization of PM Standards might cause low acceptance of PMI standards (e.g. Government)

India is the happening place and is the outsourcing hub

Billions of Investments for Infrastructure, Construction, Automotive and Defense & Government projects

Government focus on Professional Project Management Practices

IPMA Members Interest to migrate to PMP

PMI Components Potential in Tier 2 Cities

Center for Leadership Excellence, India – Initiatives

PMI APAC Global Congress, 2009

PMI Education grants for programs like SLCB

Over 125 Fortune 500 firms now have R&D bases in India

Projects Investments in INDIA Industry-wise % of Project Investments Industry-wise Project Investments in Billion Dollars Source: Projects Today - 2005 Source: Projects Today - 2005

NASSCOM Projection $60 Billion by 2010 Most of this revenue will be generated from Projects execution Source: NASSCOM Strategic Review 2005