Governance is important to ensure projects meet their objectives and provide value. When using agile methods for project management, some governance challenges arise due to differences from traditional "waterfall" approaches. Agile utilizes iterative delivery, adaptive planning, self-organizing teams and value-driven prioritization versus fixed plans, timelines and documentation. An example project demonstrated how moving sponsorship to business owners, establishing governance boards including key stakeholders, engaging users, and incremental delivery based on priorities improved outcomes over a "big bang" implementation rejected by users. Behaviors like empowerment, collaboration, communication and removing blockers were emphasized.

1. Governance of Agile
Project Management
27 September 2017

2. Martin Samphire
Owner and MD – 3pmxl Ltd
Fellow APM
Member IoD
Chairman of APM Governance SIG
Sectors – Central Civil Government, Health, Police,
Defence, Rail, Energy, Financial Services,
Construction, Oil & Gas, Outsourcing, Water
msamphire@3pmxl.com
3pmxl
Governance of Agile P3

3. Directing Change
Update for 2018
Governance of Co-
owned Projects
2017
Sponsoring Change
Update for 2018
Free to APM members at www.apm.org.uk/memberdownloads
GovSIG Publications
Agile Governance
2016

4. 4
Agenda
 What is governance and why it is important
 Core principles of good governance
 Challenges to governance of Agile Initiatives
 Example project / case study
 Discussion

5. Why is Good Governance important?
 Key success factor for project outcomes
 Competitive advantage for businesses
 Provides for internal controls
 Externally, it reassures stakeholders that their money is
being invested well
 Good governance is increasingly demanded by
shareholders, government and regulators
 To comply with external regulations and legislation (e.g.
the UK Corporate Governance Code)
UK Code ….“comply or explain”

6. What does governance entail?
6
Owners
Organisational
Governance
BAU /
Operations
- Function
- Process
- People
Other
stakeholders
Market
Context and
Environment
Governance
of Projects
Projects
Temporary
organisation
Permanent
organisation
Organisational Governance of
Project Management
Independent
Assurance
Policy and
Process
(checkpoints)
Alignment,
Review And
Prioritisation
Of Project
Portfolio
Culture Of
Good
Governance
Development
&
Maintenance
of Capability
Reporting
and Actions
to control
Formal
Delegation
of Authority
through
key roles Programmes

7. Key Governance Roles
7
Board
Sub-committee
Board
Shareholders and Stakeholders
Sponsor
Sponsor
Sponsor
Sponsor
Programme /
Project
Managers
Programme /
Project
Managers
Programme /
Project
Managers
Programme /
Project Manager
Supported
by Project
Boards /
Steering
Committees
Strategy
Delivery
Independent
Reviewer(s)
Business
Change
Manager(s)
PMO

8. Directing Change Principles - 1
Ref Principle (enterprise wide) Accountable
E1 Differentiates between projects / change and bau Board
E2 Board overall responsible for governance Board
E3 Alignment between projects and business strategy Board
E4 Regular Board review of enterprise portfolio Board
E5 Projects are formally started and closed Board
E6 Roles for projects and change clearly defined Board
E7 Named, and accountable, Sponsor Board
E8 Authorisation bodies – appropriate competence, etc. Board
E9 Disciplined governance, ethics, cultures, policies, structured
methods and controls applied to all
Board
E10 Culture of improvement, frank and fast disclosure Board
E11 Independent assurance Board
E12 Business case – relevant data, measure for Sponsor Board
E13 Approved plan + authorisation points / gates Board
E14 Defined reporting processes Board
E15 Stakeholders engaged Board
E16 Lessons learned, shared and embedded Board
Extracted from draft Edition 3 of Directing Change

9. Governance of Agile P3M –
a ‘state of mind’
9

10. • Define target
• ‘Take aim’
• Launch
• Hope (target doesn’t move)
• Vision
• Start in broad direction
• Learn/ adapt to conditions
• Home in on target incrementally
Traditional Project
Management
Agile Project
Management
Hybrid
Governance approach needs to adapt

11. When to consider Agile
Waterfall Agile / IncrementalHybrid
• Time is of essence
• Unclear final objectives
• Unclear method to achieve
objectives (e.g. culture change)
• Research required
• Need feedback from use of
functionality to perfect product
• Delivering into a dynamic
environment
• Dynamic business requirements
• Close and intense teamworking
with stakeholders possible
• Team can derive their own
process
• Time is not crucial
• Minimum cost is crucial
• Objective clear and Method well
proven (e.g. building a house)
• Delivering into a static
environment
• Full and fixed business
requirements (over time)
• Full detail of solution needed
before moving to next step
(comprehensive documentation)
• Team members are
geographically and / or
organisationally diverse
• Requirement to follow a fixed
process
Project strategy decision

12. Challenges to the governance of Agile
12
Applying
appropriate
rules and
behaviour is
crucial

13. Governance View
Traditional Factors Agile
Tends to be top-down Leadership Tends to be bottom-up
Centralised Control De-centralised
Hierarchical Decision making Delegated and team based
Learnings captured at end.
Intolerance to mistakes
Learning Continuous improvement and learning.
Tolerance of mistakes
Outputs at each stage Focus during
project delivery
Incremental delivery of Outcomes and
prioritised Value / Benefits
Some staff part time alongside
other projects
Resourcing Dedicated staff in close knit teams
Directed Team operation Self-organising and collaborative.
Rigorous Engagement
Driven by standard business
meeting timetable
Business Control Driven by project need
Scope and functionality tends
to be fixed
Objectives Time and / or cost are fixed
Dealt within project deliverable
- change control
Major Changes to
outputs
Dealt with outside current release –
Assumed to be predictable End Outcome Evolving – range of outcomes allowed
Progress to T, C, Q Performance Delivery of prioritised benefits
Guided by agreed TOR Strategic Guidance Focussed by the vision

14. Example Project - Situation
New global approach to operations:
 Consistent standards across the world – big global customer
pressure
 Increased quality, traceability and the same ways of working
 Upskilling in a number of key areas
 Standard information system / tool – new development
Users rejected / poor adoption
 Big bang approach
 Didn’t recognise country working practices and roles
 Impacted rewards and cross border trading
 Sponsored by CIO
 Lack of user engagement
 Tool perceived as inferior to in-country systems
14

15. Example Project – Governance Solution
 Moved the programme sponsorship to the global business head
 Established ‘Business Architect /Owner’ role
 Developed a new target operating model (TOM) to be adopted
globally - gained agreement on cross border / intercompany issues
 Board agreement to being a strategic priority programme
 Incremental roll out of TOM (technology, people, process)
 Established roles for delivery – country and release based
 Time boxed delivery – by country and TOM release
 New robust governance bodies
 Country heads on Steering Board
 Programme Delivery Board – business owner chaired
 Engaged heavily with the business users - new behaviours at the
core – collaboration
 Comms and transparency - daily calls, ‘drum beat’ weekly
reporting, rapid escalation of issues
 Developed the tool with user engagement, incrementally
 Successful roll out and on-going collaboration
15

16. Example Project – Governance Solution
 Moved the programme sponsorship to the business head, from IT
 Established ‘Business Owner’
 Developed a new target operating model (TOM) to be adopted
globally - gained agreement on cross border / intercompany issues
 Board agreement to being a priority programme
 Incremental roll out of TOM (technology, people, process)
 Established roles for delivery – country and release based
 Time boxed delivery – by country and TOM release
 New robust governance bodies
 Country heads on Steering Board
 Programme Delivery Board – business owner chaired
 Engaged heavily with the business users - put new behaviours at
the core – collaboration
 Comms and transparency - daily calls, ‘drum beat’ weekly
reporting, rapid escalation of issues
 Developed the tool with user engagement, incrementally
 Successful roll out
16

17. Behaviour & Culture
 Board
Set the tone for good governance and collaboration
Support strongly, stay back, set clear objectives
Empower
 Project Sponsor / Product Owner
Vision and benefits
Engage, embrace, enjoy (and dedicate time as part of
team)
 Project Manager / Delivery Lead
Achievement of objectives not tasks
Delegate, collaborate, remove blockages
Build and empower the team

18. Directing Agile Change
Free download for
apm members from
www.apm.org.uk