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“Back to the Future”
                             Recent Findings


                              Mary McKinlay
                             September 2011




Mary McKinlay Projects Ltd
Who Am I?

    Board Member APM
    Board Member ICCPM
    Winner of IPMA Otto Ziegelmeier Award for Project
     Excellence 2010
    Adjunct at SKEMA (ESC Lille)
    30+ Years in Aerospace and Defence Business
    Degree in Systems Engineering
    “Problem” Project work
    Practitioner and Engineer!


Mary McKinlay Projects Ltd
Agenda

    Themes Of Complexity
    A Little History
    What Are The Problems That We Face
     Now?
    Moving Forward




Mary McKinlay Projects Ltd
What do we mean by Complexity?

      Not just large or complicated
      Great uncertainty
      Cannot be decomposed into discrete units
      Many stakeholders




Mary McKinlay Projects Ltd                        4
Complex or Complicated ?


       Complex – “composed of many interconnecting
        parts
       Complicated – “composed of many elaborate
        interconnecting parts”
      Nature of the relationships between the parts
       Complex Systems – elements interact and
        produce outcomes that are nonlinear and
        unpredictable



Mary McKinlay Projects Ltd                            5
Complex Projects
    ..are characterised by uncertainty, non-linearity and
     recursiveness, best viewed as dynamic and evolving
     systems.

    So why do we pretend they are predictable, definable
     and fixed – and why do we use linear lifecycle models
     to manage them???




Mary McKinlay Projects Ltd
Elements of Complexity

      Uncertainty
          •   Number of Stakeholders
          •   Influence of Stakeholders
          •   Technology Changes
          •   Duration of Projects
          •   Length of Supply Chains
      “Wicked” Problems
          • Interconnectivity
      Need for flexibility
      Need to be able to track effectively


Mary McKinlay Projects Ltd                    7
HMS Victory

    July 1759, Mr Edward Allen, Master Shipwright of Chatham
     Dockyard received a letter from the Principal Officers and
     Commissioners of the Admiralty directing him:

       "To make preparation and to prepare costing for a First-Rate
       Ship of 100 guns, to be built and fitted for sea at Chatham".

    Design: Thomas Slade, Senior Surveyor of the Navy
    Keel Laid July 1759
    May 1763 Floated out of Dock




Mary McKinlay Projects Ltd
Project Features

    Internal to the Navy
    Long Lead Time Items – timber from Royal forest
    Stakeholders – internal , although Public and Sailors were
     considered in choice of name
    WHAT HAPPENED NEXT…
    Shortage of Manpower
    Need for ship had decreased and she was laid up after
     ballasting for 13 years.
    March 1771, urgent repairs sinking in dry dock
    Completion ordered 1776
    Finally entered service June 1778



Mary McKinlay Projects Ltd
HMS Warrior

      Builder: Thames Ironworks & Shipbuilding Co. Ltd.
      Laid Down: May 25, 1859
      Launched: December 29, 1860
      Commissioned: August 1, 1861
      Decommissioned: May 31, 1883




Mary McKinlay Projects Ltd
Project Distinguishing Features

    Warrior was a composite sail/steam armoured frigate.
     Built with an iron hull and steam engines turning a
     large propeller
    Conceived by Admiral Sir Baldwin Wake-Walker and
     designed by Isaac Watts
    Admiralty was client to external companies
    Urgency in build – to retain naval supremacy
     (Threatened by the French construction of “La Gloire”)




Mary McKinlay Projects Ltd
Supermarine Spitfire

    1934 RAF announced search for new fighter.
    Vickers Aviation offered Spitfire as a solution
    Had been developed from Reginald Mitchell’s design
     for Racing Seaplane (Schneider Trophy) adding new
     Rolls Royce engine
    1936 first order for 310 aircraft. By 1939 4000 ordered
    Other manufacturers involved, other versions
     developed for range of purposes




Mary McKinlay Projects Ltd
Project Features

      Initial Risks taken by Industry
      Full scale production enabled by private subscriber
      Several Companies involved
      Mass production
      “Commoditisation”
      Public Awareness




Mary McKinlay Projects Ltd
Changes over the Years

    Increasing Costs
    New Partnerships
    Increasing number of Stakeholders
         • More Public and Press Involvement
    Changes in Technology
         • More specialisation
         • Immaturity

    GREATER UNCERTAINTY


Mary McKinlay Projects Ltd
First Order Project
                       Management

   Tools, Techniques
   Focus on the magic triangle



                      It’s not working!

Mary McKinlay Projects Ltd                15
Just a Thought!



                      “Insanity is doing the
                      same thing over and over
                      again and expecting
                      different results.”
                                    Albert Einstein




Mary McKinlay Projects Ltd                            16
Consequences


 “In spite of all the investment aimed at improving project
 management, there has been no appreciable improvement in the last
 five years when compared to the previous five years.”
                                       United States Government Accountability Office, March 2006




 “A review of Major Projects over the last 20+ years reveals there has
 been little change in project success and they are generally late and
 over cost.”

                                             United Kingdom National Audit Office, November 2006



Mary McKinlay Projects Ltd                                                       17
Some More Ideas

       Improved Project Results – not always visible!
       Are Projects becoming more complex?
       Projects are more open to outside influences -
        media, stakeholders, technology changes,
        dynamic nature of complex projects
       Need for a whole systems approach – links
        between Systems Thinking and PM




Mary McKinlay Projects Ltd                               18
Second Order Project
                   Management
     Focus on “People Skills”
     New techniques, increased flexibility




Mary McKinlay Projects Ltd                    19
Changes Needed?

      Appropriate Contracting Models
      Outcome Management
      Adhocratic Leadership
      Systems Thinking
      Experiential Learning
      Better Understanding Of Behaviour
      Need For Flexibility
      Decision Making With Minimal Evidence
      Need To Be Able To Track Effectively
      New Approach to Risk and Opportunity Management


Mary McKinlay Projects Ltd
Systemic Failures
 “Despite great efforts by dedicated professionals, you
  have nonetheless failed to deliver integrated war
  fighting capability to our Battle Groups”
                            Admiral Paul Reason, C-in-C Atlantic Fleet, 1998
   -on having to abandon a trial involving the co-operation of two US Navy Carrier groups after only two days.




Mary McKinlay Projects Ltd                                                                                        21
Systems Thinking – Pathway to
                 Needed Paradigm Shifts?
 What assumptions have we made? How might they be
  incorrect? Are they even reasonable … really?
 What are some plausible alternative causes for the outcomes
  we are observing?
 What are we doing to contribute to behaviour we don’t want?
 Do our objectives actually serve our purposes or goals?
 What factors do we believe are important to our success?
  Are they really?
 Are we assuming that we should know things we cannot
  possibly know at this time?

Mary McKinlay Projects Ltd
Non Linear Projects – London 2012
            How much can                          What priority to
                the UK                           we give to legacy
             Government                               uses of
           afford to spend?                       infrastructure?
                              Where is the
                              bar set for a
                              “successful”
                                 games
                                                What level of
                                               terrorist threat
                                               do we have to
             What is the                      defend against?
            impact of UK
            economics on
          labour market??



Mary McKinlay Projects Ltd                                        23
Impact of Maturity on Risk
                                                                  Project Lifecycle



                   Identify Develop Assess Down       Detail Prepare Proposal Deploy      Produce       Agree         Freeze               Validate,               Certify, Build   Support
                                                                                                                                Produce               Prove         & Produce                     Decommissioning
                                                                                                                                           Build &
                   Options Option     Each   Select Remaining        Accepted              System       System Engineering Manufacturing Clear for Operational                      Product and
                                                             Proposal         Technology                                                                           Operational                     Procedures
                           Definition Option Options Options                             Specification Specification Definition Definition Operation Capability     Clearance        Service
                                                                                                                                            Trials
                      INNOVATION                     SELECTION                       SPECIFICATION               REFINE/DEFINE             VALIDATION             PRODUCTION SUPPORT DISPOSAL


                                                                                                                                         System of Systems
                         Weapon System


                         Sub- System 1
                                                                                                                                                                                            Integrated System

                         Sub System 2

                                                                                                                                                                                    System
                         Sub System 3
                                                                                                                                                                              Sub-System
                                                                                                                                                        Component


                                                                            Project Risk


                                                                       Assessed risk
Mary McKinlay Projects Ltd
Risk Chains - Interconnectivity
           Across Product Breakdown Structure




Mary McKinlay Projects Ltd
The Next Steps for Project
                      Management
    Focus on Complexity
    Need to develop intuition and learning from other’s
     success




Mary McKinlay Projects Ltd                                 26
Models to help

    Remington and Pollack (Tools for Complex Projects)
         • 4 types of complexity
         • Structural, Technical, Temporal and Directional
    Maylor
         • MODEST




Mary McKinlay Projects Ltd                                   27
MODeST – Maylor et al. 2008



Mary McKinlay Projects Ltd                         28
What’s Needed?

    A Disciplined Academically Sound Approach
    Focus on People – Not Tasks, Processes, or Things
    Critical Thinking Skills
    Assumption Challenging as a Way of Life
    Dialogue and Diversity – and Increased Conflict
    A Focus on Creating the Right Environment, Not
     Preoccupation with Creating the ‘Right’ Solution
    Multiple Paradigms, Multiple Methodologies, and the
     Creativity to Employ Them Effectively


Mary McKinlay Projects Ltd                            29
ICCPM

         International Centre for Complex Project
                        Management
     Learning
          • EMBA at QUT
          • Other Courses Worldwide
     Research
          • Directions
          • Funding
     White Papers
          • “The Conspiracy of Optimism”
          • Competency Development
     www.iccpm.com
Mary McKinlay Projects Ltd                          30
Further Reading

   Systems Thinking – Creative Holism for Managers –
     Professor Michael Jackson




Mary McKinlay Projects Ltd                             31
Closing Thought

   “There is nothing more powerful
     on earth than an idea whose
     time has come” - Victor Hugo
    And for Project Management that
                time is now


Mary McKinlay Projects Ltd                     32
Next Time…

                               BLOODHOUND SSC
                             World Land Speed Record
                               1000 miles per hour
                             South African Desert 2013




Mary McKinlay Projects Ltd

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Управление проектами: управление комплексными проектами

  • 1. “Back to the Future” Recent Findings Mary McKinlay September 2011 Mary McKinlay Projects Ltd
  • 2. Who Am I?  Board Member APM  Board Member ICCPM  Winner of IPMA Otto Ziegelmeier Award for Project Excellence 2010  Adjunct at SKEMA (ESC Lille)  30+ Years in Aerospace and Defence Business  Degree in Systems Engineering  “Problem” Project work  Practitioner and Engineer! Mary McKinlay Projects Ltd
  • 3. Agenda  Themes Of Complexity  A Little History  What Are The Problems That We Face Now?  Moving Forward Mary McKinlay Projects Ltd
  • 4. What do we mean by Complexity?  Not just large or complicated  Great uncertainty  Cannot be decomposed into discrete units  Many stakeholders Mary McKinlay Projects Ltd 4
  • 5. Complex or Complicated ?  Complex – “composed of many interconnecting parts  Complicated – “composed of many elaborate interconnecting parts” Nature of the relationships between the parts  Complex Systems – elements interact and produce outcomes that are nonlinear and unpredictable Mary McKinlay Projects Ltd 5
  • 6. Complex Projects  ..are characterised by uncertainty, non-linearity and recursiveness, best viewed as dynamic and evolving systems.  So why do we pretend they are predictable, definable and fixed – and why do we use linear lifecycle models to manage them??? Mary McKinlay Projects Ltd
  • 7. Elements of Complexity  Uncertainty • Number of Stakeholders • Influence of Stakeholders • Technology Changes • Duration of Projects • Length of Supply Chains  “Wicked” Problems • Interconnectivity  Need for flexibility  Need to be able to track effectively Mary McKinlay Projects Ltd 7
  • 8. HMS Victory  July 1759, Mr Edward Allen, Master Shipwright of Chatham Dockyard received a letter from the Principal Officers and Commissioners of the Admiralty directing him: "To make preparation and to prepare costing for a First-Rate Ship of 100 guns, to be built and fitted for sea at Chatham".  Design: Thomas Slade, Senior Surveyor of the Navy  Keel Laid July 1759  May 1763 Floated out of Dock Mary McKinlay Projects Ltd
  • 9. Project Features  Internal to the Navy  Long Lead Time Items – timber from Royal forest  Stakeholders – internal , although Public and Sailors were considered in choice of name  WHAT HAPPENED NEXT…  Shortage of Manpower  Need for ship had decreased and she was laid up after ballasting for 13 years.  March 1771, urgent repairs sinking in dry dock  Completion ordered 1776  Finally entered service June 1778 Mary McKinlay Projects Ltd
  • 10. HMS Warrior  Builder: Thames Ironworks & Shipbuilding Co. Ltd.  Laid Down: May 25, 1859  Launched: December 29, 1860  Commissioned: August 1, 1861  Decommissioned: May 31, 1883 Mary McKinlay Projects Ltd
  • 11. Project Distinguishing Features  Warrior was a composite sail/steam armoured frigate. Built with an iron hull and steam engines turning a large propeller  Conceived by Admiral Sir Baldwin Wake-Walker and designed by Isaac Watts  Admiralty was client to external companies  Urgency in build – to retain naval supremacy (Threatened by the French construction of “La Gloire”) Mary McKinlay Projects Ltd
  • 12. Supermarine Spitfire  1934 RAF announced search for new fighter.  Vickers Aviation offered Spitfire as a solution  Had been developed from Reginald Mitchell’s design for Racing Seaplane (Schneider Trophy) adding new Rolls Royce engine  1936 first order for 310 aircraft. By 1939 4000 ordered  Other manufacturers involved, other versions developed for range of purposes Mary McKinlay Projects Ltd
  • 13. Project Features  Initial Risks taken by Industry  Full scale production enabled by private subscriber  Several Companies involved  Mass production  “Commoditisation”  Public Awareness Mary McKinlay Projects Ltd
  • 14. Changes over the Years  Increasing Costs  New Partnerships  Increasing number of Stakeholders • More Public and Press Involvement  Changes in Technology • More specialisation • Immaturity  GREATER UNCERTAINTY Mary McKinlay Projects Ltd
  • 15. First Order Project Management Tools, Techniques Focus on the magic triangle It’s not working! Mary McKinlay Projects Ltd 15
  • 16. Just a Thought! “Insanity is doing the same thing over and over again and expecting different results.” Albert Einstein Mary McKinlay Projects Ltd 16
  • 17. Consequences “In spite of all the investment aimed at improving project management, there has been no appreciable improvement in the last five years when compared to the previous five years.” United States Government Accountability Office, March 2006 “A review of Major Projects over the last 20+ years reveals there has been little change in project success and they are generally late and over cost.” United Kingdom National Audit Office, November 2006 Mary McKinlay Projects Ltd 17
  • 18. Some More Ideas  Improved Project Results – not always visible!  Are Projects becoming more complex?  Projects are more open to outside influences - media, stakeholders, technology changes, dynamic nature of complex projects  Need for a whole systems approach – links between Systems Thinking and PM Mary McKinlay Projects Ltd 18
  • 19. Second Order Project Management  Focus on “People Skills”  New techniques, increased flexibility Mary McKinlay Projects Ltd 19
  • 20. Changes Needed?  Appropriate Contracting Models  Outcome Management  Adhocratic Leadership  Systems Thinking  Experiential Learning  Better Understanding Of Behaviour  Need For Flexibility  Decision Making With Minimal Evidence  Need To Be Able To Track Effectively  New Approach to Risk and Opportunity Management Mary McKinlay Projects Ltd
  • 21. Systemic Failures  “Despite great efforts by dedicated professionals, you have nonetheless failed to deliver integrated war fighting capability to our Battle Groups”  Admiral Paul Reason, C-in-C Atlantic Fleet, 1998  -on having to abandon a trial involving the co-operation of two US Navy Carrier groups after only two days. Mary McKinlay Projects Ltd 21
  • 22. Systems Thinking – Pathway to Needed Paradigm Shifts?  What assumptions have we made? How might they be incorrect? Are they even reasonable … really?  What are some plausible alternative causes for the outcomes we are observing?  What are we doing to contribute to behaviour we don’t want?  Do our objectives actually serve our purposes or goals?  What factors do we believe are important to our success? Are they really?  Are we assuming that we should know things we cannot possibly know at this time? Mary McKinlay Projects Ltd
  • 23. Non Linear Projects – London 2012 How much can What priority to the UK we give to legacy Government uses of afford to spend? infrastructure? Where is the bar set for a “successful” games What level of terrorist threat do we have to What is the defend against? impact of UK economics on labour market?? Mary McKinlay Projects Ltd 23
  • 24. Impact of Maturity on Risk Project Lifecycle Identify Develop Assess Down Detail Prepare Proposal Deploy Produce Agree Freeze Validate, Certify, Build Support Produce Prove & Produce Decommissioning Build & Options Option Each Select Remaining Accepted System System Engineering Manufacturing Clear for Operational Product and Proposal Technology Operational Procedures Definition Option Options Options Specification Specification Definition Definition Operation Capability Clearance Service Trials INNOVATION SELECTION SPECIFICATION REFINE/DEFINE VALIDATION PRODUCTION SUPPORT DISPOSAL System of Systems Weapon System Sub- System 1 Integrated System Sub System 2 System Sub System 3 Sub-System Component Project Risk Assessed risk Mary McKinlay Projects Ltd
  • 25. Risk Chains - Interconnectivity Across Product Breakdown Structure Mary McKinlay Projects Ltd
  • 26. The Next Steps for Project Management  Focus on Complexity  Need to develop intuition and learning from other’s success Mary McKinlay Projects Ltd 26
  • 27. Models to help  Remington and Pollack (Tools for Complex Projects) • 4 types of complexity • Structural, Technical, Temporal and Directional  Maylor • MODEST Mary McKinlay Projects Ltd 27
  • 28. MODeST – Maylor et al. 2008 Mary McKinlay Projects Ltd 28
  • 29. What’s Needed?  A Disciplined Academically Sound Approach  Focus on People – Not Tasks, Processes, or Things  Critical Thinking Skills  Assumption Challenging as a Way of Life  Dialogue and Diversity – and Increased Conflict  A Focus on Creating the Right Environment, Not Preoccupation with Creating the ‘Right’ Solution  Multiple Paradigms, Multiple Methodologies, and the Creativity to Employ Them Effectively Mary McKinlay Projects Ltd 29
  • 30. ICCPM International Centre for Complex Project Management  Learning • EMBA at QUT • Other Courses Worldwide  Research • Directions • Funding  White Papers • “The Conspiracy of Optimism” • Competency Development  www.iccpm.com Mary McKinlay Projects Ltd 30
  • 31. Further Reading Systems Thinking – Creative Holism for Managers – Professor Michael Jackson Mary McKinlay Projects Ltd 31
  • 32. Closing Thought “There is nothing more powerful on earth than an idea whose time has come” - Victor Hugo And for Project Management that time is now Mary McKinlay Projects Ltd 32
  • 33. Next Time… BLOODHOUND SSC World Land Speed Record 1000 miles per hour South African Desert 2013 Mary McKinlay Projects Ltd

Editor's Notes

  1. I would like to talk more about complexity, looking at some older defence projects and examining how they compare with recent instancesI'll re-cap some of my story from last time so that people understand what I am talking about.