Project Management Institute Great Lakes Chapter2011 Spring Symposium

Advisicon’s Tim Cermak PresentsNew Decade – Same IssuesWhy are we not executing on our strategy? A Project Business User’s Discussion for Prioritizing Resources for Strategic Performance

Tim Cermak, PMPSenior Vice PresidentAdvisicon, Inc

Best Western Sterling Inn Banquet & Conference CenterApril 27, 2011

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About The SpeakerTim Cermak, PMP

Advisicon Inc., Senior Vice PresidentPMI Scheduling Community of PracticeCommunity Contributor

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Takeaways from this Presentation

Understand That It Is Not Just About Strategy

Technology AdvantagesKnowledge Sharing The Socialization Impact to the Business

Innovate: Recognize That Some Organizations Are Closing the GAP Between Strategy and Execution

Adapt: Learn About The Relationships Between Strategic Planning and Performance Management

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It is Not Just About Strategy!

Demand Mgmt

Portfolio Prioritization

Portfolio Optimization

Advanced Analytics

Capacity Planning

Portfolio Selection: Make Informed Decisions

If asked to cut budgets by 15% would you use a scalpel or a hatchet?

Successful portfolio selection requires a handshake between Value Optimization and Resource

Utilization

What Does PPM Demand?

PMO

Everyone

Achieves

More

Together

For successful Project Completion

Collaboration

Business ChallengesMaking money

Saving money; improving efficiency

Bringing products to market faster

Supporting compliance

Maximizing return on portfolio investment

Staying on track, on budget, in scope

Communicating status and reporting

Quickly responding and adapting

What's important to you?

Business NeedsGain visibility into projects and operational activities

Objectively prioritize, optimize, and select project portfolios that best align with business strategy and maximize business value

Proactively and reactively manage resources

Control and measure project and portfolio financial performance

Improve communication, information sharing, collaboration

Identify, mitigate, and communicate issues and risks

Invest in scalable, connectible, and extensible platforms

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What Is Project Portfolio Management?

The continuous process of identifying, selecting and managing a portfolio of projects in alignment with key performance metrics and strategic business objectives.

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“A Vision Without Execution is Hallucination. Action Without a Vision is Random Activity”

Thomas Edison,Inventor.Tirrell Whitley, Liquid Soul Media.

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Leverage Technology

Collecting Information from Various Sources

Surveys Team Discussion

Enterprise SearchInteractive search experienceRelevancePeople searchConnectivityScale and platform flexibility

Communities Collaborative contentSocial feedback and organizationUser profilesMySitesPeople connections

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10 Principal DisciplinesThat Enable Strategic Execution

Business Intelligence / ReportingPortfolio ManagementDemand ManagementForecastingDeliverables Based Work Mgmt.Team CollaborationSchedule Development / Mgmt.Common Operating PlatformCommon Knowledge BaseCompetency Based TrainingCompensation for Performance

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Can We Extract Innovation from PPM?

Video

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Enterprise vs. Organizational Unit

The Enterprise Portfolio Management Council

James Pennypacker and San Retna, editors

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Business Process Maturity Levels

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Enabling Successful Change

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Movement Along the “Commitment Curve”

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Productivity During a Transition Period

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Scalability Leveraging Technology and Innovation

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Relationships between Strategic Planning and

Performance Management

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The Language of Strategy 2 Execution

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Failing to plan is planning to fail!

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The 5 BridgesThat Enable People to Traverse the Execution gap.

1. Employee Involvement in Decision Making2. The Ability to Manage Change3. Alignment Between Leader Actions and Company Values and

Priorities4. Company-Wide Coordination and Cooperation.5. A Structure That Supports Execution

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Organizations That Are Closing the Gap Between Strategy and Execution

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… Some That Are Not

OnPoint Consulting’s 2010 Execution Gap Maker Round-Up…

1. BP (need I say more?)2. Nokia3. Federal Drug Administration4. Federal Agriculture Department5. Johnson & Johnson6. Toyota

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… and Two That Did

1. Netflix

2. Barnes & Noble

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Organizations Closing the GapPersonal Experience

ChevronAlignment Between Company Priorities and Leader Strategy Multi-Billion Dollar Portfolios Supporting Key Business PrioritiesMature Project Initiation Methodology (CPDEP)

CiscoA Structure That Supports ExecutionCustomer CollaborationOver 5,000 PPM Users Advance Services

Varian Medical SystemsA Structure That Supports ExecutionEmployee Involvement in Decision Making

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Ten GoDo’sTo Help Drive Strategic Business Transformation

1. Build a Culture of Performance Management to Deliver Results

2. Ensure the Leaders and Workers Have the Skills to be Successful

3. Ensure That the Leaders Gain Others’ Commitment and Support

4. Ensure People Accountable and Committed to Success5. Improve Team Collaboration and Develop Leaders Who Can

Effectively Lead / Manage 6. Improve Collaboration Across Organizational Boundaries 7. Increase Commitment from Leaders for a Change Centric

Culture8. Utilize Performance Management as a Strategic Business Tool 9. Enhance Morale and Productivity to Increase Retention10. Identify and Accelerate the Development of Future Leaders

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Some Final Parting Thoughts …

Strategy and Execution are tied together. They cannot be separated.If an organization can’t execute, nothing else matters:

not the most solid, well thought-out strategynot the most innovative business modelnot even technology that could transform an industry

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More Practitioner ResourcesMicrosoft Project Server 2010 – White Papers

http://download.microsoft.com/download/3/1/E/31EBD219-06BC-4323-A6A3-7A7B1A98B229/Project%20Server%202010-Portfolio%20Strategy.pdf

Product information and trial download Main product sitewww.microsoft.com/project/2010/

Interactive content – Videos/Sessions/Webcastswww.microsoft.com/showcase/en/US/channels/microsoftproject/www.microsoft.com/events/series/epm.aspx

Advisicon Bloghttp://www.advisiconblog.com

Microsoft Project Team Blog http://blogs.msdn.com/project/

© 2011 Advisicon Inc. Because Advisicon must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Advisicon, and Advisicon cannot guarantee the accuracy of any information provided after the date of this presentation. Advisicon MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Thank You

Tim CermakTim.cermak@advisicon.com