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Organizational Project
Management (OPM),
With a focus on OPM3
PMINEO Chapter meeting
March 15, 2012
Presented by Bob Zoller, PMP
Email: RLZoller@gmail.com
See notes in “Notes Page” view

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Agenda
1. Introduction to OPM
2. OPM3 framework from PMI®
3. OPM3 assessment exercise
4. Maturity Assessment Process
5. Alternative frameworks
 CMMI, IVI IT-CMF, Kerzner KPM3
6. Summary of options
7. Benefits
8. References & More Information
9. Discussion
(Short questions during program, and discussion at the end)

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1. Introduction to OPM (not OPM3)
Gartner survey of 130 organizations:
“What is the top success criterion for your projects?”
Note that
alignment is
#1 at 29%.
Cost, budget,
scope (triple
constraint)
total to only
40%.
Reference (1) PMI standard presentation on OPM3

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1. Introduction to OPM.
OPM = Organizational Project Management:
OPM:The alignment and systematic
management of projects,
programs and portfolios to
achieve strategic organizational
goals
Reference (2) Ginger Levin general slides © Ginger Levin, 2011
Does your organization use OPM?
Or does the “squeaky wheel get
the grease” ?

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2. OPM3 framework from PMI®
PMI® recognized a need and created “Organizational
Project Management Maturity Model” (OPM3)
 2003 First Edition of OPM3 standard
 2008 Second Edition; alignment with other PMI®
standards
 OPM3 acceptance level has been low, is being
addressed:
 Newer versions of software are not buggy, as earlier ones were
 OPM3 standard being rewritten in more business-friendly terms
 PMI® is promoting OPM3 more heavily

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2. OPM3 framework from PMI®
Library of PMI® Global Standards
1. Foundational Standards
 Project Management (PMBOK®)
 Program Management
 Portfolio Management
 Organizational Project Management (OPM3)
2. Practice Standards and Frameworks
 (7) exist, including: Risk; Scheduling; WBS
3. Foundational Extensions
 (2) exist; PMBOK® for construction, government
See: http://www.pmi.org/PMBOK-Guide-and-Standards/Standards-Library-of-PMI-Global-Standards.aspx

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2. OPM3 framework from PMI®
OPM3 Best Practice concepts, 488 total:
(A) Domain processes x 4 improvement stages
 Project (42 processes) x 4 = 168 Best Practices
 Program (47 processes) x 4 = 188 Best Practices
 Portfolio (14 processes) x 4 = 56 Best Practices
(B) Organizational Enablers (76)
Total: 168 + 188 + 56 + 76 = 488 Best Practices

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2. OPM3 framework from PMI®
OPM3 Best Practice concepts, 488 total:
(A) Domain processes x 4 improvement stages
 Four Process Improvement Stages, SMCI:
 Standardize = Consistent, documented,
communicated
 Measure = Identify & measure: inputs,
characteristics, results
 Control = Control plan is developed and
implemented
 Improve = Identify problems, implement sustainable
improvements

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2. OPM3 framework from PMI®
OPM3 Best Practice concepts, 488 total:
(A) Domain processes x 4 improvement stages
 Example process: Develop Project Charter
 Standardized ?
 Measured ?
 Controlled ?
 Improve ?

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2. OPM3 framework from PMI® .
(B) OPM3 - Organizational Enablers
 Facilitate implementation and sustainability
 22 groups, with 76 total OE items. Examples:
 PMIS and Knowledge Management
 7365: Project Management Information System
 7375: Intellectual Capital Reuse
 5660: Manage Portfolio Value
 Resource Allocation
 5220: Provide Competent Organizational PM Resources
 1590: Record Project Resource Assignments

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3. OPM3 Assessment Exercise
Group exercise:
Review lists of OPM3 BestPractices…
See separate documents with Best Practices lists,
and with survey of PMINEO chapter meeting
attendees on PMBOK practice standardization.

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4. Maturity Assessment Process
OPM3 assessment options
 Self-assessment using online tools.
 Simpler tool (Yes/No questions) for roughly $1,000
 Benchmark against other companies
 Hire certified assessor
 Assessor uses more robust toolset
 Low end: $15-20K, 2-3 weeks total, single site
 Higher: multiple months, $100K, international scope
 Can limit scope (ex: Portfolio, or “Standardize”)

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4. Maturity Assessment Process.
Common steps, with OPM3 or most frameworks:
1) Obtain organizational commitment; hold a kickoff meeting
2) Review organizational documents (ex: policies)
3) Review sample program and project documents
4) Distribute questionnaires
5) Conduct interviews
6) Analyze results
7) Report results and recommendations for improvement
8) Determine when to reassess
Reference (3) Ginger Levin, “Maturity Models”

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5. Alternative Frameworks
5.1) CMMI = Capability Maturity Model Integration
5.2) IT-CMF from IVI (Innovation Value Institute)
5.3) Kerzner Project Management Maturity Model
Local notes:
Rockwell Automation has been considering OPM3 as a
standard
Progressive is considering a combination of OPM3
and IT-CMF from IVI

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5.1) CMMI
 CMMI = Capability Maturity Model Integration
 One of the best known maturity models
 CMMI replaced CMM (developed from 1987 - 1997)
 CMMI:
 A Process Improvement Approach
 Identify strengths and weaknesses
 Assessment leads to overall maturity ranking of 1, 2, 3, 4, or 5
 Plan process changes to address weaknesses
References: (4) CMMI site, (5) Wikipedia

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5.1) CMMI
 Most organizations start in CMMI at level 1 or 2
 Growth to level 3 (govmt contracts) can take a few years

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5.1) CMMI.
CMMI currently addresses three areas of interest:
1. Product and service Development (CMMI-DEV),
2. Service establishment, management, and delivery —
(CMMI-SVC)
3. Product and service acquisition — (CMMI-ACQ).
The CMMI model mostly deals with what processes should
be implemented, and not so much with how they can be
implemented.

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5.2) IT-CMF from IVI
IVI = Innovation Value Institute
 A global consortium of industry, government, non-profit,
and academic organizations, established in 2006
 Goal: define standard for managing IT for business value
 Includes Intel, Ernst & Young, Google, Microsoft, SAP
IT-CMF = IT Capability Maturity Framework
 An assessment framework for total IT business value
 Portfolio/Program/Project are components of total scope
Reference: (7) Managing IT for Business Value

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5.2) IT-CMF from IVI

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5.2) IT-CMF from IVI

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5.2) IT-CMF from IVI.
 Levels of membership exist, for education, assessment,
mentoring
 Full adoption journey covers 12-24 months, including
education, assessment, review, new practices
 Options include self-help with online tools, IVI staff,
consulting organizations

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5.3) Kerzner PM3
Perform self-assessment using an online tool:
 Each participant answers 183 multiple choice questions
 Generate a score for your organization & Project Managers
 Benchmark your scores against your industry and overall
 Create a list of actionable recommendations
Focus is on Project Management and PMBOK
List price is $95 per person, with volume discounts

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5.3) Kerzner PM3

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5.3) Kerzner PM3.
Level 1: common language.
“Definition of Scope Management is...”
Level 2: common processes.
“Our executives have demonstrated a willingness to change….“
Level 3: singular methodology.
“My company actively uses the following processes….”
Level 4: benchmarking.
“Benchmarking has found companies with tighter cost controls…“
Level 5: continuous improvement.
“Methodology improvements have pushed us closer to customers….“

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6. Summary of Options.
Option Notes
OPM3 • Scope: Portfolio/Program/Project management, for IT or other
• Uses Best Practices; does not provide summary score
CMMI • Scope: Development, Service, Acquisition processes
• Uses 5 levels of progressive maturity
• Summary level scores well-known (ex: “3” for govmt contracts)
IT-CMF
of IVI
• Scope: IT, overall, including projects and operations
• Addresses 32 process areas, in four groupings
• Note that IVI is seeking to collaborate with CMMI
KPM3 • Scope: Project Management and PMBOK
• Uses 5 generally progressive levels of maturity
• Can be done on self-help basis, at low cost, w optional consulting

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7. Benefits.
CMMI site has published results of projects
 Costs: Siemens reduced cost of quality from 45% to 30% in 3 years
 Schedule: GM improved percent of milestones met from 50% to
85%
 Productivity: Warner Robbins reduced effort to deliver test program
sets by 25%
 Quality: Siemens reduced defect density an average of 71% in 3
technical areas
 Customer Satisfaction: Northrup Grumman received 98% of
customer award fees
 ROI: Accenture experienced 5 to 1 ROI for quality activities
Reference: (4), CMMI site, page http://www.sei.cmu.edu/cmmi/why/benefits/. See published appraisal results.

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8. References & More Information
References
(1) OPM3 standard presentation slides from PMI
(2) Ginger Levin, certified OPM3 consultant; engagement slides
Gin;evin@AOL.com, http://www.linkedin.com/in/gingerlevin
(3) Ginger Levin, “Maturity Models” chapter for book by Dr. Rodney
Turner
(4) CMMI website (http://www.sei.cmu.edu/cmmi/)
(5) CMMI on Wikipedia (http://en.wikipedia.org/wiki/CMMI)
(6) “Managing IT for Business Value” the Boston Consulting Group, for
IVI and IT-CMF
(7) Claudia Baca, OPM3 committee, certified consultant
cmbaca@att.net , http://www.linkedin.com/pub/claudia-baca/5/105/455
(8) Kerzner PM3 from www.iil.com/kpm3
(9) “Capability Immaturity Model”, Schorsch, Nexus, 1996
(10) OPM3 standard from PMI 2nd Edition, 2008

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8. References & More Information.
More Information
a) PMI “Community of Practice” for OPM
Free membership; newsletters; webinars
See: http://opm.vc.pmi.org/
b) IVI, Innovation Value Institute
See: http://ivi.nuim.ie/
See also Boston Consulting Group at: http://www.bcg.com/
c) ESI International
Training, assessment, support, for Portfolio//ProgramProject Mgmt.
See: http://www.esi-intl.com/
d) OPM3 and other standards publications are available for on-line
viewing for PMI members, on PMI.org

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9. Discussion
1. Standing Ovation
2. Discussion

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