The document provides an overview of OPM3 (Organizational Project Management Maturity Model), which is a standard developed by PMI to help organizations improve project management and align projects with organizational strategy. It discusses key concepts in OPM3 including organizational maturity, best practices, and a five-step process for implementing OPM3. The presentation includes an example of conducting a self-assessment using the OPM3 tool to evaluate an organization's project management maturity.

1. 06/08/09 OPM3 - An insider's Overview Organizational Strategy Successful Projects OPM3 - An insider’s Overview PMI Region 5 Leadership Conference 2006, North Carolina Presented by: Saji Madapat, CPIM CSSMBB PMP OPM3 & OPM3SE Team Member PMI Component Mentor, Asia

2. AGENDA INTRODUCTION Why OPM3? What is in OPM3 for my organization? What OPM3 Is Not? Not Just Another Model The Evolution OPM3 Foundation 06/08/09 OPM3 - An insider's Overview CONCEPTS Organizational Project Management Organizational Maturity Progression of Maturity in OPM3 Bridge from Strategy to Projects – OPM3 PROCESS TO IMPLEMENT OPM3 STANDARD Knowledge, Assessment, improvement OPM3 Components Categorization of Best Practices & Capabilities SAM – Self Assessment Model OPM3 in my organization – OPM3 Cycle SAM Case study OPM3 CD-ROM Tool

3. Present Scenario Annual IT application development statistics: $250 Billion on 175,000 Projects 31% will be cancelled 53% will cost 189% of original estimates. only 52% of required features and functions. Time overruns 82% $55 Billion dollars total project waste 06/08/09 OPM3 - An insider's Overview Source: The Standish Group CHAOS Report 2003

4. PMI conducted 5 Global studies: involving 30,000+ practitioners including C level executives In their business environment: desired project results were seldom achieved project evaluation often not linked to business value despite selection criteria, & processes in place to align projects to strategy, projects still failed Why OPM3? 06/08/09 OPM3 - An insider's Overview

5. Why OPM3? Significant findings: only 25% achieved well-balanced project portfolios. 75% do not believe their organizations are delivering the projects necessary to achieve organizational strategies! 06/08/09 OPM3 - An insider's Overview

6. 06/08/09 OPM3 - An insider's Overview Organizational Strategy Successful Projects OPM3 Most Organizations have a Strategy Planning Process OPM3 Bridges the gap between Organizational Strategy & Successful Projects The PMBOK ® Guide enables you to successfully accomplish projects

7. Why OPM3? “ The corporation as we know it, which is now 120 years old, Is not likely to Survive the next 25 years. Legally & Financially, Yes, But not Structurally & Economically.” -Peter Drucker, Business 2.0, August 2002 06/08/09 OPM3 - An insider's Overview

8. Bridges - organizational strategy and projects. Credibility and visibility of PM profession . Understand organizational project management maturity . Analyze maturity of different parts of the organization Focus on specific areas of the organization that need improvement 06/08/09 OPM3 - An insider's Overview What is in OPM3 for my organization?

9. Educate senior management on organizational maturity Align operations with business strategy Policies and process standards - operations are consistent with strategic objectives Applicability – Any organization Understand current Project, Program & Portfolio management Capabilities What is in OPM3 for my organization? 06/08/09 OPM3 - An insider's Overview

10. OPM3 is not … Not a quick fix Not a tool for developing an individual’s project management capability Not a duplicate or variation of other models. 06/08/09 OPM3 - An insider's Overview

11. 06/08/09 OPM3 - An insider's Overview SEI SW-CMM Capability Maturity Model SM for Software SEI SE-CMM Capability Maturity Model for Systems Engineering SEI P-CMM People Capability Maturity Model SEI CMM-I Integrated Capability Maturity Model US Federal Aviation Administration Integrated Capability Maturity Model Microframe’s Model Balanced Scorecard Integrated Project Systems’ model ESI International's ProjectFRAMEWORK SPICE Trillium EFQM Excellence Malcolm Baldrige Quality Award IBM Progress Maturity Model Project Management Maturity Model, by Knapp & Moore Pty Ltd. Hartman's SMART model “ Barron Maturity Model” (Ortho Clinical Diagnostics) V-Model AACE International’s Certification Program ICB - IPMA Competency Baseline PRINCE APM BoK Review Not Just Another Model

12. The Evolution 1983: Ethics, Standards and Accreditation (ESA) 1987: PMBOK ® Standards 1996, 2000 PMBOK ® Guides 2002: Project Manager Competency Development Framework (PMCD) 2003: OPM3 2006: The Standard for Portfolio Management & The Standard for Program Management 06/08/09 OPM3 - An insider's Overview Projects Organization People

13. OPM3 Foundation 06/08/09 OPM3 - An insider's Overview Global , virtual effort Over 800 + diverse PM volunteers From virtually any industry & size 27 contemporary maturity models Half a Decade of Development No Maturity model this experience . Foundation on PMBOK® Guide

14. OPM vs. PM PM to Project activities to meet project requirements (PMBOK). OPM to organizational and project activities to achieve the aims of an organization through projects. 06/08/09 OPM3 - An insider's Overview OPM - project, program & portfolio management to enact organizational strategies through projects. Both are application of knowledge, skills, tools, and techniques OPM - strategic. Projects - tactical

15. OPM3 The degree to which an organization practices Organizational Project Management. A maturity model helps: to facilitate assessment to identify deficiencies identify improvement paths 06/08/09 OPM3 - An insider's Overview

16. 06/08/09 OPM3 - An insider's Overview Progression of Maturity in OPM3 Maturity: Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), Fig 1.2 Process Improvement Project, Program and Portfolio Management

17. 06/08/09 OPM3 - An insider's Overview Knowledge drives Assessment, which, in turn, drives Improvement Organizational project management, its maturity, relevant best practices and how to use the Model Methods for evaluating best practices and capabilities Sequence for developing capabilities aggregating to best practices Source: Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), Fig ES-2

18. 06/08/09 OPM3 - An insider's Overview OPM3 Components Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 3-2

19. An optimal way to achieve a stated goal or objective. 586 Best Practices The ability to deliver projects successfully, consistently, and predictably to implement organizational strategies. 06/08/09 OPM3 - An insider's Overview

20. Competency to execute Best Practices. The incremental steps to increased maturity For achievement of a Best Practice Demonstrated by its outcomes. Best Practice is made up - on an average of 3-4 Capabilities 1800-2400 Capabilities within OPM3 . 06/08/09 OPM3 - An insider's Overview

21. Tangible or intangible result of a Capability. Capabilities May have multiple outcomes KPI Measure of the degree of existence of outcome associated with a capability. Direct measurement or an expert assessment. 06/08/09 OPM3 - An insider's Overview

22. 06/08/09 OPM3 - An insider's Overview Example Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 3-2 Best Practice: Establish Internal Project Management Communities Capability (1 of 4): Facilitate Project Management Activities Outcome: Local Initiatives – Organization develops pockets of consensus around areas of special interest KPI: Community addresses local issues.

23. 06/08/09 OPM3 - An insider's Overview Dependency may involve a series of Capabilities. Dependency can exist between Best Practices. Sometimes there is joint dependency among Best Practices’ Capabilities. Dependencies Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 3-4

24. Categorization Of Best Practices & Capabilities OPM3 Standards are mapped to two factors: Domain - PPP Stages of Process Improvement – SMCC Capabilities are also mapped to project management groups – IPECC 06/08/09 OPM3 - An insider's Overview Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), Fig 1.2

25. Three Management Domains 06/08/09 OPM3 - An insider's Overview Projects and Programs are all part of an Organization’s Project Portfolio

26. How the process in the Domains support & interact with each other 06/08/09 OPM3 - An insider's Overview

27. 06/08/09 OPM3 - An insider's Overview Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), Fig 4.2 Categorization - IPECC Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes

28. 06/08/09 OPM3 - An insider's Overview Categorization - PPP Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003),

29. 06/08/09 OPM3 - An insider's Overview Categorization - SMCI Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 4-4

30. How can I apply OPM3 in my organization – OPM3 Cycle 06/08/09 OPM3 - An insider's Overview Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 6-1

31. OPM3 Steps 06/08/09 OPM3 - An insider's Overview Use the Standard to obtain a basic understanding of OPM3 , its components and operation High-Level : Use self-assessment tool to identify existing and needed Best Practices, and obtain results Comprehensive : Identify existing Capabilities to determine maturity at a detailed level and consider planning for improvements Option : Exit process if satisfied with results; reassess periodically to monitor effects of change Use Assessment results and organization’s priorities to determine scope and sequence of improvement efforts Execute planned organizational development activities to advance on the maturity continuum Recommended : Return to Step 2, reassess maturity to detect changes caused by recent events Option : Return to Step 3 to work on other Best Practices identified in original assessment Project Management Institute , OPM3 Knowledge Foundation (Newtown Square: The Project Management Institute, 2003), FIG 6-1

32. If you're not confused, you're not paying attention. TOM PETERS 06/08/09 OPM3 - An insider's Overview

33. Saji Madapat, CPIM CIERP PMP Global Business System Analyst (ERP & BI), Buckman Laboratories International Inc. Currently serving second term as Vice President, Finance in PMI Memphis Chapter Board which won the “Chapter of the Year” & “President of the Year” award. Graduating in October 2004 from PMI’s prestigious Leadership Institute. Judge for the PMI 2004 Project of the Year (POY) Award. Has presented and published over half a dozen papers through PMI and other premier organizations. Privilege to be a team member in PMI’s strategic initiative on “Organizational Project Management Maturity Model (OPM3)”. Involved in various prestigious projects of PMI like Project Portfolio Management. Case study Contributor to upcoming book on “ERP Cases studies” by ICFAI Books. In a nutshell, a Finance professional with expertise in all major functionalities and technical areas of BaaN ERP & Business Intelligence Systems (Hyperion Enterprise & Essbase). Currently providing implementation and support for BaaN ERP Finance & Hyperion (Enterprise & Essbase) Global Financial Consolidation for Buckman companies in over twenty countries. Extensive experience includes Project Feasibility studies, Appraisals, Industry Analysis, Company analysis, Strategic Financial Reporting and other aspects of Project Management. Qualified with BS in Production Engineering, MBA in Finance and certifications from PMI, CIBRES and APICS. Represented and worked with reputable consulting firms including Bearing Point (KPMG), Ernst & Young, Arthur Anderson, BaaN (Vanenburg) Business System and CroweChizek on various prestigious ERP & BI projects in the USA. Beyond project management, have been extensively involved in most of the functional areas of business, including strategic management, management consulting, and other socio-cultural aspects as part of my work and academic experience. 06/08/09 OPM3 - An insider's Overview

34. SAM Case study OPM3 CD-ROM Tool 06/08/09 OPM3 - An insider's Overview

35. 06/08/09 OPM3 - An insider's Overview Example Assessment

36. 06/08/09 OPM3 - An insider's Overview Assessment Tool Open the OPM3 self assessment tool Complete the questionnaire

37. 06/08/09 OPM3 - An insider's Overview Assessment Results Overview Maturity: Process Improvement Project, Program and Portfolio Management

38. 06/08/09 OPM3 - An insider's Overview Assessment Results PPP Maturity in terms of Project, Program, and Portfolio

39. 06/08/09 OPM3 - An insider's Overview Assessment Results SMCI Maturity in terms of Process Improvement Stage

40. 06/08/09 OPM3 - An insider's Overview Assessment Results PPP/SMCI Maturity in terms of Project, Program, Portfolio and Process Improvement Stage

41. 06/08/09 OPM3 - An insider's Overview Assessment Results Continuum Maturity continuum Best practices that have been implemented Best practices that may increase maturity

42. 06/08/09 OPM3 - An insider's Overview Example Improvement

43. Search Best Practices by: All Best Practices Yes Results No Results 06/08/09 OPM3 - An insider's Overview

44. 06/08/09 OPM3 - An insider's Overview Improvement -Filter the Results Filter Best Practices by: Best Practice ID or PPP/SMCI or PPP or SMCI to enter the Improvement Directory.

45. 06/08/09 OPM3 - An insider's Overview Improvement Filtered Results BP sorted by previously selected filter.

46. 06/08/09 OPM3 - An insider's Overview Executive Improvement : Track Outcomes Filtered results by Best Practice and its aggregating Capabilities to track the execution of improvement project.

47. If you're not confused, you're not paying attention. TOM PETERS 06/08/09 OPM3 - An insider's Overview

48. Saji Madapat, CPIM CSSMBB PMP Global Business System Analyst (ERP & BI), Buckman Laboratories International Inc. One among 18 finalist for 2006 PMI Board Director-at-Large. PMI’s (Project Management Institute) ambassador (Mentor) to Asia. Graduate of world class executive global leadership program from PMI’s Leadership Institute. Techno-functional and Project Portfolio responsibility for the Global Business System (ERP & BI) of a “Most Admired Knowledge Enterprise” in over 20 countries. Associated with leading consulting firms including Bearing Point (KPMG), Ernst & Young (Cap Gemini), Arthur Anderson, BaaN (Vanenburg) Business System and CroweChizek on various leading ERP & Business Performance Management projects in USA. Professional experience with project feasibility studies, appraisals, industry analysis, company analysis and strategic financial planning. Served three terms as VP, Finance & nominated for President (2006) of the award winning Project Management Institute (PMI) Memphis TN Chapter. Authored and presented 24 papers including at PMI’s Global Leadership Conferences. Active member of PMI committees and global activities including judging PMI's 2004 & 2005 Project of the Year (POY) Award applications, mentoring initiative and contributing to PMI’s strategic initiative on OPM3 (Organizational Project Management Maturity Model), PPMS (Program Portfolio Management Standards) and PMC (Project Manager Competency). 06/08/09 OPM3 - An insider's Overview

49. OPM3 Vs. OPM3 ProductSuit 06/08/09 OPM3 - An insider's Overview ® ®

50. 06/08/09 OPM3 - An insider's Overview OPM3 ProductSuit