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Driving PPM Adoption Through Effective Change Management

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PowerSteering Software
PowerSteering Software

It's not surprising that an effective change management approach is an important predictor of long-term PPM & PMO success. Yet too many organizations shortchange the process, underestimate cultural resistance and settle for PPM software that is unable to support their business goals. View this excerpt of a live webinar by Jay Hoskins, PowerSteering Business PPM Consultant, and David Boghossian, Founder of PowerSteering Software, as they walk through how to achieve sustained change, ensure executive support and avoid internal politics that can impede success. David and Jay address these issues head on and share practical solutions that they've employed at dozens of global organizations including: -Achieving change management goals more rapidly -Gaining support from executive management, functional and project teams -Overcoming adoption challenges with a phased implementation plan -Choosing software that supports business users and adapts to changing needs

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Driving PPM Adoption Through Effective Change Management Presenters:  David Boghossian, Founder, PowerSteering Software  Jay Hoskins, PowerSteering Business PPM Consultant Welcome! Thank you for joining us.
Business PPM Customers Corporate PMO New Product Development Process Improvement IT Governance
Agenda  Introduction – Why Change Mgmt Matters  Driving Adoption  Ensuring Alignment  Measuring and Sustaining Performance  Key Takeaways ©2011, PowerSteering Software, Inc. All Rights Reserved. 3
The Case for Change Management “80% of enterprises will fail to achieve the true value of ongoing portfolio management, due primarily to approaches that failed to factor organizational needs, values, culture and capabilities into the discipline's roll out and evolution.” “Cultural and organizational barriers are typically the primary challenges in PPM adoption…For companies to succeed, user buy in and consistent adoption are key, which demands process and behavioral change.” “(PPM) implementations are not for the faint of heart — the changes an organization incurs by introducing new processes and tools can easily go awry if it doesn’t fully commit to the implementation.” ©2011, PowerSteering Software, Inc. All Rights Reserved. 4
PPM Change Management Issues  Adoption – Easy to use and simple • Crawl, Walk, Run – Use easy, effective, and proven processes first • Enterprise systems that follow adoption principles are enablers  Alignment – Business driven • If these two roles are not aligned it is a recipe for PPM failure: PPM Deployment Manager… Business Leader… Implement PMI standards, Be on time, To measurably improve business Report Status outcomes that are aligned to our strategy and goals  Performance – Measure your results • Top performers only have 10% unplanned work • Top performers regularly meet revenue and savings targets ©2011, PowerSteering Software, Inc. All Rights Reserved. 5
Why Adoption is so Hard Your priorities are not mine… Project- Project Manager “Don’t bother me with status, I have a project to run!” Centric Team Member “I never know what to do next. And my priorities constantly change.” Program Manager “My roadmap is a shambles!” Resource Manager “I have to make major adjustments every month to the resource plan.” Executive Sponsors / “You’re asking me to approve projects with no clear Approvers business case or priority.” Portfolio Managers / “I keep asking for updates, but never see any results.” Business Unit Managers PMO “No one communicates the status to us.” Results- CIO / Executive “I don’t know when to expect revenue and payback from Centric Management my new product launch and you’re asking for money?” 6
Avoid Complexity ©2011, PowerSteering Software, Inc. All Rights Reserved. 7
What It Means for PPM Tool Selection Which would you rather drive everyday?  Cheap and easy to get started  Costly & complex to deploy  Versatile  Limited capability  Extensive training and maintenance  Cost effective  Doesn’t scale  Requires an army to support  Easy to operate & maintain  Quickly outgrown  Overkill for most situations  “Just Right” for daily users ©2011, PowerSteering Software, Inc. All Rights Reserved. 8
Phased Deployment for PPM Success CRAWL WALK RUN Demand capture (Project More sophisticated Detailed project cost Requests) prioritization estimation Simple Prioritization More sophisticated Project scheduling and Project Governance financials and measurement detailed task Simple budget, cost and More portfolios and management benefit tracking dashboards, with more Time capture Report Wizard/Visual sophisticated measures Full-blown Resource Portal reporting More detailed financial Management A few standard dashboards tracking Automated interfaces for and portfolios Capacity Management detailed cost tracking 50% 30% 20% ©2010, PowerSteering Software, Inc. All Rights Reserved. 9
The Result: Increased Speed to Value Speed-to-Value Theory Differential Effectiveness The Adoption Gap Reality Crawl Walk Run Project Portfolio Management Maturity Capability Levels Project Portfolio Management Maturity Levels
Agenda  Introduction – Why Change Mgmt Matters  Driving Adoption  Ensuring Alignment  Measuring and Sustaining Performance  Key Takeaways ©2011, PowerSteering Software, Inc. All Rights Reserved. 11
The “Visibility” Effect  You can’t improve what you don’t measure  With proper alignment and performance measurement processes, you’ll automatically improve just from the “Visibility” effect ©2011, PowerSteering Software, Inc. All Rights Reserved. 12
Performance Measurement  Benchmark capabilities  Tie projects to strategic objectives to demonstrate business value  Measure demand to optimize portfolio value  Balance Spending  Track Benefits Realization ©2011, PowerSteering Software, Inc. All Rights Reserved. 13
Benchmark Your Capabilities Several key portfolio management capabilities were missing and will significantly improve value delivery and productivity when deployed. These are organized across four capability categories: Capability Graph Governance - No major gaps. Optimize Demand: – Prioritization – Selection – Roadmap – Resource Capacity Execute: – Deliverable Management – Project Health Analyze: – Benefits Realization – Quality of Execution – Roadmap As-Is ©2011, PowerSteering Software, Inc. All Rights Reserved. 14
Tie Execution to Strategy 15
Balance Spending 16
Establish Targets, Track Results ©2011, PowerSteering Software, Inc. All Rights Reserved. 17
Track Benefits Realization 18
Takeaways  Change management is a process not an event.  Drive adoption by focusing on value and ease of use.  Understand “What’s in it for me” for each role; use this to inform your deployment plan and gain buy-in.  Select a PPM tool that supports business user adoption, value realization and ROI – easily and cost effectively.  Establish PMO business goals that drive process and performance metrics  Benchmark and measure results. Communicate them often to every role. 19 ©2011, PowerSteering Software, Inc. All Rights Reserved.
Want More? To continue the discussion… Join the Business-Driven PPM Group View the full presentation. Jay Hoskins jhoskins@psteering.com David Boghossian dboghossian@psteering.com ©2011, PowerSteering Software, Inc. All Rights Reserved. 20

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Driving PPM Adoption Through Effective Change Management

  • 1. Driving PPM Adoption Through Effective Change Management Presenters:  David Boghossian, Founder, PowerSteering Software  Jay Hoskins, PowerSteering Business PPM Consultant Welcome! Thank you for joining us.
  • 2. Business PPM Customers Corporate PMO New Product Development Process Improvement IT Governance
  • 3. Agenda  Introduction – Why Change Mgmt Matters  Driving Adoption  Ensuring Alignment  Measuring and Sustaining Performance  Key Takeaways ©2011, PowerSteering Software, Inc. All Rights Reserved. 3
  • 4. The Case for Change Management “80% of enterprises will fail to achieve the true value of ongoing portfolio management, due primarily to approaches that failed to factor organizational needs, values, culture and capabilities into the discipline's roll out and evolution.” “Cultural and organizational barriers are typically the primary challenges in PPM adoption…For companies to succeed, user buy in and consistent adoption are key, which demands process and behavioral change.” “(PPM) implementations are not for the faint of heart — the changes an organization incurs by introducing new processes and tools can easily go awry if it doesn’t fully commit to the implementation.” ©2011, PowerSteering Software, Inc. All Rights Reserved. 4
  • 5. PPM Change Management Issues  Adoption – Easy to use and simple • Crawl, Walk, Run – Use easy, effective, and proven processes first • Enterprise systems that follow adoption principles are enablers  Alignment – Business driven • If these two roles are not aligned it is a recipe for PPM failure: PPM Deployment Manager… Business Leader… Implement PMI standards, Be on time, To measurably improve business Report Status outcomes that are aligned to our strategy and goals  Performance – Measure your results • Top performers only have 10% unplanned work • Top performers regularly meet revenue and savings targets ©2011, PowerSteering Software, Inc. All Rights Reserved. 5
  • 6. Why Adoption is so Hard Your priorities are not mine… Project- Project Manager “Don’t bother me with status, I have a project to run!” Centric Team Member “I never know what to do next. And my priorities constantly change.” Program Manager “My roadmap is a shambles!” Resource Manager “I have to make major adjustments every month to the resource plan.” Executive Sponsors / “You’re asking me to approve projects with no clear Approvers business case or priority.” Portfolio Managers / “I keep asking for updates, but never see any results.” Business Unit Managers PMO “No one communicates the status to us.” Results- CIO / Executive “I don’t know when to expect revenue and payback from Centric Management my new product launch and you’re asking for money?” 6
  • 7. Avoid Complexity ©2011, PowerSteering Software, Inc. All Rights Reserved. 7
  • 8. What It Means for PPM Tool Selection Which would you rather drive everyday?  Cheap and easy to get started  Costly & complex to deploy  Versatile  Limited capability  Extensive training and maintenance  Cost effective  Doesn’t scale  Requires an army to support  Easy to operate & maintain  Quickly outgrown  Overkill for most situations  “Just Right” for daily users ©2011, PowerSteering Software, Inc. All Rights Reserved. 8
  • 9. Phased Deployment for PPM Success CRAWL WALK RUN Demand capture (Project More sophisticated Detailed project cost Requests) prioritization estimation Simple Prioritization More sophisticated Project scheduling and Project Governance financials and measurement detailed task Simple budget, cost and More portfolios and management benefit tracking dashboards, with more Time capture Report Wizard/Visual sophisticated measures Full-blown Resource Portal reporting More detailed financial Management A few standard dashboards tracking Automated interfaces for and portfolios Capacity Management detailed cost tracking 50% 30% 20% ©2010, PowerSteering Software, Inc. All Rights Reserved. 9
  • 10. The Result: Increased Speed to Value Speed-to-Value Theory Differential Effectiveness The Adoption Gap Reality Crawl Walk Run Project Portfolio Management Maturity Capability Levels Project Portfolio Management Maturity Levels
  • 11. Agenda  Introduction – Why Change Mgmt Matters  Driving Adoption  Ensuring Alignment  Measuring and Sustaining Performance  Key Takeaways ©2011, PowerSteering Software, Inc. All Rights Reserved. 11
  • 12. The “Visibility” Effect  You can’t improve what you don’t measure  With proper alignment and performance measurement processes, you’ll automatically improve just from the “Visibility” effect ©2011, PowerSteering Software, Inc. All Rights Reserved. 12
  • 13. Performance Measurement  Benchmark capabilities  Tie projects to strategic objectives to demonstrate business value  Measure demand to optimize portfolio value  Balance Spending  Track Benefits Realization ©2011, PowerSteering Software, Inc. All Rights Reserved. 13
  • 14. Benchmark Your Capabilities Several key portfolio management capabilities were missing and will significantly improve value delivery and productivity when deployed. These are organized across four capability categories: Capability Graph Governance - No major gaps. Optimize Demand: – Prioritization – Selection – Roadmap – Resource Capacity Execute: – Deliverable Management – Project Health Analyze: – Benefits Realization – Quality of Execution – Roadmap As-Is ©2011, PowerSteering Software, Inc. All Rights Reserved. 14
  • 15. Tie Execution to Strategy 15
  • 17. Establish Targets, Track Results ©2011, PowerSteering Software, Inc. All Rights Reserved. 17
  • 19. Takeaways  Change management is a process not an event.  Drive adoption by focusing on value and ease of use.  Understand “What’s in it for me” for each role; use this to inform your deployment plan and gain buy-in.  Select a PPM tool that supports business user adoption, value realization and ROI – easily and cost effectively.  Establish PMO business goals that drive process and performance metrics  Benchmark and measure results. Communicate them often to every role. 19 ©2011, PowerSteering Software, Inc. All Rights Reserved.
  • 20. Want More? To continue the discussion… Join the Business-Driven PPM Group View the full presentation. Jay Hoskins jhoskins@psteering.com David Boghossian dboghossian@psteering.com ©2011, PowerSteering Software, Inc. All Rights Reserved. 20

Editor's Notes

  1. Having a PMO with PMI goals and targets is like having the CFO focused on CPA capabilities. That will make you an efficient accountant, but it will not make you a successful business.
  2. Its impossible to put all these roles in a room and agree on an EPPM deployment strategy.The smart deployment manager will develop a communication plan that is targeted to the roles and provides results and value through the leanest process possible.