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STRATEGIC PROJECT
MANAGEMENT
STRATEGIC PROJECT MANAGEMENT
What is Strategic Project Management?
• SPM is the process of managing complex projects by
combining business strategy and project management
techniques in order to implement the business strategy and to
deliver organizational breakthroughs.
• It is about discovering possibilities for adding value to the
organization.
• 2 approaches of Project Management: Conventional and Strategic.
• Conventional Project Management focuses on finding solution within given
constraints (emphasize on project administration)
• Strategic Project Management focuses on adding value to organization
and maximizing ROI (emphasize on business synergy)
Organizational Breakthrough: What we can do to make our organization better?
Synergy: Extraordinary value-added energy or force created by the working
together (teamwork) of various part.
STRATEGIC PROJECT MANAGEMENT
What is the difference?
Conventional PM Strategic PM
Outcome Crafting for value addition to the
organization in the dynamic
marketplace
Duration (fixed deadline,
schedule)
Timing the completion of
product/service development for
maximum cash flow
Cost (Budget) Investing to develop competitive
advantage
Competitive Advantage is determined by corporate
capabilities and their unique combination created
STRATEGIC PROJECT MANAGEMENT
Differences (cont)
• Entrepreneurial management is fundamentally different from
corporate management that is focused on delivering the
annual operating plan. Strategic Project Manager need to
consider your project and your project outcome lifecycle in a
wider context of the overall organizational strategy. You
should act as an entrepreneur and deal with a dynamic
business system. You should be able to manage for broader
economic and financial gain for the project and project
outcome lifecycle, thereby contributing increased shareholder
value to your company.
To be business focused
Lifting organization’s goodwill
STRATEGIC PROJECT MANAGEMENT
• To achieve that goal, a strategic project manager would
required to have a broader understanding of the whole
business and the way your project supports the overall
strategy and fits into the dynamics of the business
systems. You should also be prepared to fine-tune the
project budget and the project as a whole in response to
market changes and competitor actions in order to react
timely to arising problems and emerging
opportunities.
STRATEGIC PROJECT MANAGEMENT
Example:
• When defining scope of work for a project when a customer
relocating an office from overseas, we can also foresee they
need more than just LAN infrastructure to be ready. They
would probably need to be engaged in getting new WAN links,
wireless solutions for mobile users, set up contact center by
implementing voice solutions or maybe internal call routing to
office in overseas, etc. We should not limit ourselves to only
deliver LAN switches, cabling and consider work done. What
we can do is to speak to the personnel and redefine the
scope. If we have been awarded small portion we may issue a
Variation Order (VO) derived from the project. If the scope is
broad we may split the project into phases.
STRATEGIC PROJECT MANAGEMENT
What results should it produce?
• By investing to develop competitive advantage, we are able to
provide value added service that our competitor don’t. We will
become the preferred choice of vendor/partner coming up if there is
a need of change arises. (outcome)
• As we quickly identified the emerging need, adapt and react, we
could shorten the project timeline by running parallel. (duration)
• Besides projects which are of a corporate development and external
nature, there are frequently internal projects which are aimed at
reaping major organizational changed. One of an example of a
business project is the trend of offshoring by bringing the profit with
the idea on saving the overhead cost. (cost/budget)

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Strategic Project Management

  • 2. STRATEGIC PROJECT MANAGEMENT What is Strategic Project Management? • SPM is the process of managing complex projects by combining business strategy and project management techniques in order to implement the business strategy and to deliver organizational breakthroughs. • It is about discovering possibilities for adding value to the organization. • 2 approaches of Project Management: Conventional and Strategic. • Conventional Project Management focuses on finding solution within given constraints (emphasize on project administration) • Strategic Project Management focuses on adding value to organization and maximizing ROI (emphasize on business synergy) Organizational Breakthrough: What we can do to make our organization better? Synergy: Extraordinary value-added energy or force created by the working together (teamwork) of various part.
  • 3. STRATEGIC PROJECT MANAGEMENT What is the difference? Conventional PM Strategic PM Outcome Crafting for value addition to the organization in the dynamic marketplace Duration (fixed deadline, schedule) Timing the completion of product/service development for maximum cash flow Cost (Budget) Investing to develop competitive advantage Competitive Advantage is determined by corporate capabilities and their unique combination created
  • 4. STRATEGIC PROJECT MANAGEMENT Differences (cont) • Entrepreneurial management is fundamentally different from corporate management that is focused on delivering the annual operating plan. Strategic Project Manager need to consider your project and your project outcome lifecycle in a wider context of the overall organizational strategy. You should act as an entrepreneur and deal with a dynamic business system. You should be able to manage for broader economic and financial gain for the project and project outcome lifecycle, thereby contributing increased shareholder value to your company. To be business focused Lifting organization’s goodwill
  • 5. STRATEGIC PROJECT MANAGEMENT • To achieve that goal, a strategic project manager would required to have a broader understanding of the whole business and the way your project supports the overall strategy and fits into the dynamics of the business systems. You should also be prepared to fine-tune the project budget and the project as a whole in response to market changes and competitor actions in order to react timely to arising problems and emerging opportunities.
  • 6. STRATEGIC PROJECT MANAGEMENT Example: • When defining scope of work for a project when a customer relocating an office from overseas, we can also foresee they need more than just LAN infrastructure to be ready. They would probably need to be engaged in getting new WAN links, wireless solutions for mobile users, set up contact center by implementing voice solutions or maybe internal call routing to office in overseas, etc. We should not limit ourselves to only deliver LAN switches, cabling and consider work done. What we can do is to speak to the personnel and redefine the scope. If we have been awarded small portion we may issue a Variation Order (VO) derived from the project. If the scope is broad we may split the project into phases.
  • 7. STRATEGIC PROJECT MANAGEMENT What results should it produce? • By investing to develop competitive advantage, we are able to provide value added service that our competitor don’t. We will become the preferred choice of vendor/partner coming up if there is a need of change arises. (outcome) • As we quickly identified the emerging need, adapt and react, we could shorten the project timeline by running parallel. (duration) • Besides projects which are of a corporate development and external nature, there are frequently internal projects which are aimed at reaping major organizational changed. One of an example of a business project is the trend of offshoring by bringing the profit with the idea on saving the overhead cost. (cost/budget)