Project Oversight Management - Ethier

1 1 Project Oversight FUNDAMENTALSD erek RiphagenCMA Alberta Accountability SummitMay 20092 WHAT ARE SOME OF YOUR CHALLENGES?3 WHY PROJECTS ARE SUCCESSFULzUser InvolvementzExecutive SupportProject SponsorshipzProject ManagerProject Fundamentals & Leadership15%34%51%FailedSuccessfulChall enged When a Project fails, it s rarely technical. Jim JohnsonThe Standish Group4zSetting the Project StructurezVetting the PlanzMonitoring and ControllingAGENDA5 Project LIFECYCLES trategyPlanning & BudgetsProject LifecycleProduction LifecycleRetirementImplementClosePlanExe cuteInitiateProjectPhases:SETTING THE Project STRUCTURE6 GOVERNANCEzProject Oversight is about good governancezGood governance sets the stage for a successful project7 SOME KEY DIFFERENCES ..zProject environment It is a change of the status quo Time limited (defined start and end dates) It has a budget Typically has dedicated skilled resources (proven ability) Distinct phases and deliverables Specific outcome tied to a commitment Task focuszLine environment Long-term support of company strategy Employee development & growth Doing as much as can be done within a given budget year Service-minded Directional focus Operational in nature8 FUNCTIONAL SUPPORT Contracts Training Human Resources Project Office Architecture Group OtherPROJECT STEERING COMMITTEEPROJECT SPONSORPROJECT MANAGERA Typical Project Organization StructureTHIRD PARTIES Vendor Regulator CustomerSubject Matter Expert(s) (SME)

2 TECHNICAL LEADERBUSINESS LEADERPROJECT SPONSORPROJECT SPONSORP roject OversightProject Team9 Organizational Structure ComparisonSTEERING COMMITTEETECHNICAL LEADERBUSINESS LEADERPROJECT SPONSORPROJECT MANAGERCEO / CHAIRMANCOMPANY ORGANIZATIONBOARDPRESIDENT or COOVPVPPROJECT ORGANIZATION10zExecutionzScope, Schedule & BudgetzProject governancezBusiness outcomeszBusiness valueEffectiveWorking RelationshipSponsorProject ManagerRoles and Responsibilities11 RELATIONSHIPzRemember that as a Sponsor, your Project Manager must be your best allyzTake time to build the relationshipzMake sure the Project manager is in tune with your needszEnsure you have the necessary confidence in your Project manager12zThe Sponsor is usually the senior person from the company s business area for whom the solution is being implemented and will most likely be the major recipient or beneficiary of the derived business benefitsSPONSOR ROLE13 SPONSOR RESPONSIBILITIESzSets the visionzChairs the Steering CommitteezSelects Steering Committee memberszAppoints the Project managerzApproves Project budget and planzMonitors Project executionzDeals with escalated issues and changes to the planzChampions the Project in the organizationzProvides Project governance14 CommittedEmpoweredBusiness FocusedConsistentDemandingVisionaryMine SweeperDecisiveCommunicatorCredibleA Good Sponsor Is.

3 15zMembers of the SC, assist the Sponsor with his/her dutieszStakeholders are usually present or at least adequately represented on the SCzThe SC provides Project governanceSTEERING COMMITTEE ROLE16 STEERING COMMITTEE RESPONSIBILITIESzMembers of the SC, through the Sponsor, provide high level business and technical guidance, direction and advice to the Project Manager so as to ensure the Project delivers the maximum overall benefit to the company17zProject size, reach and impactzRiskzKnowledgezAuthoritySTEERING COMMITTEE CONSIDERATIONS18zThe PM is responsible for planning, leading, organizing, directing, monitoring and controlling the Project execution along with delivering a quality result on time and within budget according to the parameters set out in the Project plan and any subsequent approved changes to the scope, schedule and budgetzThe PM reports to the SponsorPROJECT MANAGER ROLE19 Project MANAGER RESPONSIBILITIESzDevelops the Project frameworkzDevelops the work planzDetermines resources, schedule and budgetzObtains approval for the baseline planzManages and controls the Project executionzProvides regular progress updates20 Project MANAGERRESPONSIBILITIESzDevelop Risk Management PlanzDefine Key DeliverableszDetermine ApproachzDocument Change Mgmt ProcesszIdentify ConstraintszDocument Issue Resolution ProcesszDetermine Space.

4 Other RequirementszDetermine Order of TaskszDefine ScopezEstablish Project ReportingzPut on Calendar w/ MilestoneszDetermine Hardware/ Software RequirementszDetermine Best EstimatezDetermine ObjectiveszEstablish Project StandardszAssign Tasks to ResourceszDetermine Personnel Resource RequirementszSpecify Activities and TaskszIdentify StakeholdersApprove & Baseline PlanDevelop Project ControlsPrepare BudgetDevelop a ScheduleResource RequirementsDevelop Work PlanProject FrameworkPlan a Project21 Project MANAGER SKILLSzProject Management competencieszLeadership zCommunicationzTrack record22 Project MANAGER SKILLSP roject Management competencieszPlanningzEstimatingzOrganiz ingzDelegatingzDecisivezJudgmentzInterpe rsonalzToolszTrack recordzBusiness savvyProfessional designation?23 Project MANAGER SKILLSL eadership skills/styleszCollaborativezDemandingzFa irzConsistentzSituationalzTeamworkzHones tLearning experience?

5 24 Project MANAGER SKILLSE xcellent and mature communicationzVerbalzWrittenzPresentatio nzConcisezClarityzUnambiguouszAccurate, honest and completezAudience sensitive25 Project MANAGER SKILLST rack recordzPrevious experience on similar projectszSuccess and failuresSubject matter expertise?26 Project MANAGER ATTRIBUTESzInitiativezMotivationzPerseve rance27 INITIATE PHASE ESSENTIAL QUESTIONSE stablish the relative prioritiesScopeScheduleCost28 INITIATE PHASE ESSENTIAL QUESTIONSP roject ReviewszSet upzProgresszLessonszUse themzPlan for them29 INITIATE PHASE ESSENTIAL QUESTIONSzIs the vision clear?zIs my organization structure correct?zAre the roles defined?zAre the responsibilities clear for each role?zDo I have the right Project manager for the Project ?zDo I have the right skills and knowledge represented on the steering committee?zAre the lines of communication between roles clear and understood by everyone?

6 ZAre there any conflicts of interest?zDo I have confidence in the Project manager?zDo I trust the Project manager?zHave I delegated the right authority to the Project manager?zDoes the delegated authority align with the Project manager s responsibilities?zIs the budget and timeframe reasonable?zDo I understand what success looks like?zIs the Project positioned for success?zWill I fulfill my role expectations and responsibilities towards the Project for the duration of the Project ?zShould I instruct the Project manager to plan for a Project review?30 VETTING THE PLAN31 StrategyPlanning & BudgetsProject LifecycleProduction LifecycleRetirementImplementClosePlanExe cuteInitiateProjectPhases:VETTING THE Project PLAN32 VETTING THE PLANTIPS:zAsk lots of questionszGet answers from the Project Manager that make you feel comfortableThings to watch THE PLANzVision Who? Why?

7 (Decisions, Focus, Commitment) Unambiguous?zScope (Specific, Measurable, Agreed, Realistic, Time-boxed) Include, exclude, dependencies, completeness? Is Scope controllable? Will we know we are done?Watch for Miracles 34 VETTING THE PLANzObjectives Explicit, Measurable, What you need?zDeliverables Measurable, ComfortzSlack time or float What is it? Why have it? How much? 35 VETTING THE PLANzContingency What is it? How much?zApproach Alternatives consideredzDecision points and Exposure How much time How much moneyzEstimates Who was involved Understand how estimates were arrived at Optimistic or pessimistic or reasonable Task durationzDependencies36 VETTING THE PLANzResources Leveling Loading AvailabilityIs it a good thing that the Project manager is doing as well as managing?37 VETTING THE PLANzSuccess Define for both Project and CompanyWhy do you need to define success?

8 38 VETTING THE PLANRISKSASSUMPTIONSCONSTRAINTS39 VETTING THE PLANzRisk probabilities are ranked (H, M, L)zRisk impacts are ranked (H, M, L)zMitigation plans must exist for all H, HHIGHLOWI mpactHIGHLOWP robability40 VETTING THE PLANzChallenge the Project manager and pay attention to the response you get If uncomfortable with the response, probe further or take action until your concerns abate41 MONITORING & CONTROLLING42 StrategyPlanning & BudgetsProject LifecycleProduction LifecycleRetirementImplementClosePlanExe cuteInitiateProjectPhases:MONITORING & CONTROLLING43 MONITORING& CONTROLLINGzProject Baseline Schedule Budget ScopezChange Management processScopeScheduleCost44 No Surprises What is meant by this?MONITORING& CONTROLLING45It s all about trends and variancesMONITORING& CONTROLLING46 MONITORING& CONTROLLING47 MONITORING& CONTROLLINGTempEngineOil PressureSpeedTransmissionWindshieldBatte ryFuelRPM48 MONITORING& CONTROLLINGF uelllllllllllSpeedRPMLHOil PressureDCBattery Engine49 MONITORING& CONTROLLINGTimeCumulative $Cumulative Budget Cumulative Cost Project Financial SummaryPlanActual50 MONITORING& CONTROLLINGAS OF: 23 July 20 XXWEEK ENDINGOct2 9162330131017246132027^^^^^^^^^^^^Analys isOnline ScreensTest & ImplementReportsTest & DocumentProject Mgmt.

9 &Supervision51 MONITORING& CONTROLLINGM ilestone ScheduleMilestonePlanned DateRevised DateActual DateUser Requirementssign-offMarch 20 March 25 March 27 April 4 Plan Approved bySteering CommitteeApril 12 April 12 Detailed DesignSign-offMay CONTROLLINGMONTHLY PROGRESS REPORTP roject ManagerMonthProject Name All Green flags One Yellow flag Three or more Yellow flags that are likely the forerunners of other soon-to-surface Project issues One or more Red Flags Three or more Yellow overall Project has resource levels, skills and knowledge to meet the Project plan. Skills unavailable. Resolution in progress. Inadequate resources. Resolution identified. Skills are unavailable. Inadequate resources to meet the Resources Project has resource levels, skills and knowledge to meet the Project plan. Key resources are not meeting commitments of time or content deliverables.

10 Some skills and knowledge is unavailable to the Project . Key resources are unavailable. Key skills/knowledge is unavailable to the Resources No issues affecting cost and schedule. Issues exist. Resolution identified. Issues may impact cost and schedule. Issues impacting one or more of cost, schedule, complexity and qualityTechnical Spending within +/-10% of approved cash flow. Project cost within 10% budget tolerance. Spending to date within +/-15% of approved cash flow. Forecast Project cost exceeds +10% budget tolerance but not greater than +15% of the budget. Spending to date has deviated more than 15% from the approved cash flow. Forecast Project cost is >15% over Defined and stable. Some scope changes. Complexity unchanged. Can be absorbed within current schedule and budget. Complexity is increasing. Changes will not fit within the current schedule and budget.