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PROGRAMMEMANAGEMENTCONSULTING
INTEGRATED PROJECT
CONTROLS SOLUTIONS
Andrew Hill
Project Controls Expo
31st October 2012
PROGRAMMEMANAGEMENTCONSULTING
Who are LogiKal Projects?
•  Consulting organisation
•  Formed in 2002
•  Focus on great Project / Programme
Control Solutions
•  Deltek Services partner for EMEA from
March 2011
PROGRAMMEMANAGEMENTCONSULTING
What makes a great solution?
S
People
Systems
/ Tools
Processes
Culture
PROGRAMMEMANAGEMENTCONSULTING
A few basic (but demonstrable)
assertions:
•  Projects are key to success for many organisations
•  Project failure causes major damage to organisations
–  Financial
–  Reputational
•  Projects are more likely to succeed if:
–  They follow good processes
–  Their performance is closely monitored to make
early interventions when needed
•  Project Controls is an enabler to that
•  Therefore a well implemented Project Controls
capability adds great value to organisations
dependent on project delivery
PROGRAMMEMANAGEMENTCONSULTING
The Value of a Great Solution
Virtuous Circle
Better
Performance
Team
Motivation
Enterprise
Value
PROGRAMMEMANAGEMENTCONSULTING
WHAT IS THE REALITY
SURVEY?
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
PROGRAMMEMANAGEMENTCONSULTING
“For the programme I work on EVM has just
started to be used but it's level of use is not that
high only the very basic level of reporting is
undertaken i.e only BCWS, BCWP & ACWP are
reported. I was very surprised to find out that the
organisation did not use EVM to manage / get
an idea of how the programmes are performing
I think it is a very powerful tool to assist
Managers / Project / Programme Managers and
Directors manage their Projects.”
PROGRAMMEMANAGEMENTCONSULTING
“I work with a wide range of organisations that are
clients of the construction industry. A recurrent
theme in discussions about EVM is the resistance
amongst their contractors to making objective
assessments of progress using techniques like EVM.
This is partly because the commercial managers
and QSs that dominate the administration of sub-
contracts usually see progress measurement as a
contractual matter rather than as a practical
management issue. But it is largely due to the lack
of expertise amongst contractors - they just don't
know how to do it.”
PROGRAMMEMANAGEMENTCONSULTING
“EV is an issue in several organizations I do work
with. However, it's understood by a handful of
people and not seen as a general concept for
all parts of the organization. Understanding the
benefits seems to be the biggest challenge.
5/30/2012”
PROGRAMMEMANAGEMENTCONSULTING
“EVM has a recognised presence within my
Company, although the inputs (complex
processes and 'workarounds' to enter data into
systems to support this) create outputs that are
then difficult to analyse. Consistency across
varied delivery programmes and portfolios
continues to be a challenge. Baseline
Management / Change Management needs to
be better understood and utilised across the
business. Objective progress measurement using
key quantities needs to be better understood.”
PROGRAMMEMANAGEMENTCONSULTING
“EVM is used specifically at project level but
this is far from universal. The strategic drivers
for EVM at business level are not understood.
Mechanics of EVM is probably understood but
the analysis of the output is lacking.”
PROGRAMMEMANAGEMENTCONSULTING
“The organisation I am consulting to is quite keen
on doing things right, but don't really understand
EVM and therefore too readily play around with
the inputs (usually via the programme) which then
affect the outputs. The systems are available, they
are simply not enforced which then means they
are not used or at least not consistently. Clients
want EVM in place, but don't take the time to test
that it reflects reality.”
PROGRAMMEMANAGEMENTCONSULTING
“We rely heavily on Tier 1 contractors who
constantly play games To ensure commercial
leverage. They also are very clever at not
providing what the contract requires.”
PROGRAMMEMANAGEMENTCONSULTING
BUT……………..
•  Many organisations who to whom this is important
fail to achieve high levels of solution maturity
Yet it is there for
the taking!
PROGRAMMEMANAGEMENTCONSULTING
What gets in the way?
Some Examples!
PROGRAMMEMANAGEMENTCONSULTING
Example one:
Enthusiastic lip service
Scenario
•  Senior management want to
improve control environment
•  Enthusiasm for using dashboard /
EV measures at senior level
•  Fail to invest in the level of
capability change needed at
operating level
•  Solution is not mature and
suboptimal in value
Underlying causes
•  Lack of investment funds
•  Don’t understand requirements
•  Organisations culture reluctant to
accept the change.
PROGRAMMEMANAGEMENTCONSULTING
•  Develop and understand maturity model
•  Target level of maturity and timescale
•  Create a solution model
•  Test the solution model
•  Roll out plan
•  Focus on change agenda / communication
•  Execute
•  Assure
•  Review outcomes and develop
Possible response
Enthusiastic lip service
PROGRAMMEMANAGEMENTCONSULTING
Example two:
Disconnected Function
Scenario
•  Enthusiastic team in the
organisation pushing project
controls agenda
•  Struggling to get recognition and
support
•  Function lacks authority in the
organisation
Underlying causes
•  Competing management priorities
•  Lack of understanding / differing
views on value of controls
•  Turf wars with related functions
•  Communication
PROGRAMMEMANAGEMENTCONSULTING
Disconnected function
Possible response
•  Build the case with senior management
–  Courting a senior sponsor
–  Workshops – building air time
•  Reference visits
•  Building the business case
–  Value proposition
–  Cost / benefit
•  Planning – sticks in the ground
–  Maturity planning
–  Assurance model on project gateways / process
adherence
PROGRAMMEMANAGEMENTCONSULTING
Example three:
Process Zoo
Scenario
•  Immature process set
•  Standard processes not clear or
not followed
•  Everybody does it their way
•  Poor disciplines observed
Underlying causes
•  Too many cooks – everyone has
their way of doing it
•  Poor process integration
•  Processes too academic and
impractical
•  Failure to train and embed
•  Low consequence for non
adherence
PROGRAMMEMANAGEMENTCONSULTING
Process Zoo
Possible response
•  Recognise the problem
•  Develop and test the key processes
•  Trial them in live operation
•  Roll out:
–  Train
–  Make them easy to access
–  Communicate
•  Increase non-compliance consequence
•  Back up with targeted assurance regime
•  Continuously improve process maturity
PROGRAMMEMANAGEMENTCONSULTING
Example four
All you need is love Excel
Scenario
•  Simplistic tools created
rapidly
•  Data handling is unreliable
•  Poor integration with key
management systems
•  Demotivated team
•  Weak control
Underlying causes
•  Rush to do things quickly
•  Familiarity with the software
•  Implementation cost
PROGRAMMEMANAGEMENTCONSULTING
All you need is Excel
Possible response
•  Engage the argument for proper
investment in quality tools
•  Ensure there is a proper solution
design
•  Understand design requirements
•  Evaluate potential tools to support that
design
•  Prove the usefulness of the tools
•  Roll out the solution
PROGRAMMEMANAGEMENTCONSULTING
Where help may be needed
Analyse
solution
requirements
Install / train
Software
Analyse
Maturity /
Action Planning
Develop /
Improve
Processes
Develop
Solutions
Develop
People
Capability
Solution
Implementation
Process
Assurance
Integration
Support
PROGRAMMEMANAGEMENTCONSULTING
If you would like to talk please call

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Project Controls Expo 31st October 2012 - INTEGRATED PROJECT CONTROLS SOLUTIONS By Andrew Hill

  • 2. PROGRAMMEMANAGEMENTCONSULTING Who are LogiKal Projects? •  Consulting organisation •  Formed in 2002 •  Focus on great Project / Programme Control Solutions •  Deltek Services partner for EMEA from March 2011
  • 3. PROGRAMMEMANAGEMENTCONSULTING What makes a great solution? S People Systems / Tools Processes Culture
  • 4. PROGRAMMEMANAGEMENTCONSULTING A few basic (but demonstrable) assertions: •  Projects are key to success for many organisations •  Project failure causes major damage to organisations –  Financial –  Reputational •  Projects are more likely to succeed if: –  They follow good processes –  Their performance is closely monitored to make early interventions when needed •  Project Controls is an enabler to that •  Therefore a well implemented Project Controls capability adds great value to organisations dependent on project delivery
  • 5. PROGRAMMEMANAGEMENTCONSULTING The Value of a Great Solution Virtuous Circle Better Performance Team Motivation Enterprise Value
  • 13. PROGRAMMEMANAGEMENTCONSULTING “For the programme I work on EVM has just started to be used but it's level of use is not that high only the very basic level of reporting is undertaken i.e only BCWS, BCWP & ACWP are reported. I was very surprised to find out that the organisation did not use EVM to manage / get an idea of how the programmes are performing I think it is a very powerful tool to assist Managers / Project / Programme Managers and Directors manage their Projects.”
  • 14. PROGRAMMEMANAGEMENTCONSULTING “I work with a wide range of organisations that are clients of the construction industry. A recurrent theme in discussions about EVM is the resistance amongst their contractors to making objective assessments of progress using techniques like EVM. This is partly because the commercial managers and QSs that dominate the administration of sub- contracts usually see progress measurement as a contractual matter rather than as a practical management issue. But it is largely due to the lack of expertise amongst contractors - they just don't know how to do it.”
  • 15. PROGRAMMEMANAGEMENTCONSULTING “EV is an issue in several organizations I do work with. However, it's understood by a handful of people and not seen as a general concept for all parts of the organization. Understanding the benefits seems to be the biggest challenge. 5/30/2012”
  • 16. PROGRAMMEMANAGEMENTCONSULTING “EVM has a recognised presence within my Company, although the inputs (complex processes and 'workarounds' to enter data into systems to support this) create outputs that are then difficult to analyse. Consistency across varied delivery programmes and portfolios continues to be a challenge. Baseline Management / Change Management needs to be better understood and utilised across the business. Objective progress measurement using key quantities needs to be better understood.”
  • 17. PROGRAMMEMANAGEMENTCONSULTING “EVM is used specifically at project level but this is far from universal. The strategic drivers for EVM at business level are not understood. Mechanics of EVM is probably understood but the analysis of the output is lacking.”
  • 18. PROGRAMMEMANAGEMENTCONSULTING “The organisation I am consulting to is quite keen on doing things right, but don't really understand EVM and therefore too readily play around with the inputs (usually via the programme) which then affect the outputs. The systems are available, they are simply not enforced which then means they are not used or at least not consistently. Clients want EVM in place, but don't take the time to test that it reflects reality.”
  • 19. PROGRAMMEMANAGEMENTCONSULTING “We rely heavily on Tier 1 contractors who constantly play games To ensure commercial leverage. They also are very clever at not providing what the contract requires.”
  • 20. PROGRAMMEMANAGEMENTCONSULTING BUT…………….. •  Many organisations who to whom this is important fail to achieve high levels of solution maturity Yet it is there for the taking!
  • 22. PROGRAMMEMANAGEMENTCONSULTING Example one: Enthusiastic lip service Scenario •  Senior management want to improve control environment •  Enthusiasm for using dashboard / EV measures at senior level •  Fail to invest in the level of capability change needed at operating level •  Solution is not mature and suboptimal in value Underlying causes •  Lack of investment funds •  Don’t understand requirements •  Organisations culture reluctant to accept the change.
  • 23. PROGRAMMEMANAGEMENTCONSULTING •  Develop and understand maturity model •  Target level of maturity and timescale •  Create a solution model •  Test the solution model •  Roll out plan •  Focus on change agenda / communication •  Execute •  Assure •  Review outcomes and develop Possible response Enthusiastic lip service
  • 24. PROGRAMMEMANAGEMENTCONSULTING Example two: Disconnected Function Scenario •  Enthusiastic team in the organisation pushing project controls agenda •  Struggling to get recognition and support •  Function lacks authority in the organisation Underlying causes •  Competing management priorities •  Lack of understanding / differing views on value of controls •  Turf wars with related functions •  Communication
  • 25. PROGRAMMEMANAGEMENTCONSULTING Disconnected function Possible response •  Build the case with senior management –  Courting a senior sponsor –  Workshops – building air time •  Reference visits •  Building the business case –  Value proposition –  Cost / benefit •  Planning – sticks in the ground –  Maturity planning –  Assurance model on project gateways / process adherence
  • 26. PROGRAMMEMANAGEMENTCONSULTING Example three: Process Zoo Scenario •  Immature process set •  Standard processes not clear or not followed •  Everybody does it their way •  Poor disciplines observed Underlying causes •  Too many cooks – everyone has their way of doing it •  Poor process integration •  Processes too academic and impractical •  Failure to train and embed •  Low consequence for non adherence
  • 27. PROGRAMMEMANAGEMENTCONSULTING Process Zoo Possible response •  Recognise the problem •  Develop and test the key processes •  Trial them in live operation •  Roll out: –  Train –  Make them easy to access –  Communicate •  Increase non-compliance consequence •  Back up with targeted assurance regime •  Continuously improve process maturity
  • 28. PROGRAMMEMANAGEMENTCONSULTING Example four All you need is love Excel Scenario •  Simplistic tools created rapidly •  Data handling is unreliable •  Poor integration with key management systems •  Demotivated team •  Weak control Underlying causes •  Rush to do things quickly •  Familiarity with the software •  Implementation cost
  • 29. PROGRAMMEMANAGEMENTCONSULTING All you need is Excel Possible response •  Engage the argument for proper investment in quality tools •  Ensure there is a proper solution design •  Understand design requirements •  Evaluate potential tools to support that design •  Prove the usefulness of the tools •  Roll out the solution
  • 30. PROGRAMMEMANAGEMENTCONSULTING Where help may be needed Analyse solution requirements Install / train Software Analyse Maturity / Action Planning Develop / Improve Processes Develop Solutions Develop People Capability Solution Implementation Process Assurance Integration Support
  • 31. PROGRAMMEMANAGEMENTCONSULTING If you would like to talk please call