Good for Business - Kelly Project Solutions
Transcription
Good for Business - Kelly Project Solutions
PM FEBRUARY 2012 VOLUME 26, NUMBER 2 NETWORK MAKING PROJECT MANAGEMENT INDISPENSABLE FOR BUSINESS RESULTS.® AFRICA’S AWAKENING GLOBAL PIPELINES: POLITICS, PEOPLE & POWER IS TECH STILL SEXIST? DON’T GET SACKED: 10 MISTAKES TO AVOID PROMOTE VS. RECRUIT: FINDING A NEW PROGRAM MANAGER Lead February 2012 | Volume 26, Number 2 30 Special report africa: High risk, High rewards Dickinson AgyapongBempa, PMP, Accra, Ghana The world’s second-most populous continent remains a largely untapped market. The potential windfall is huge—if project teams can manage the myriad obstacles. By Sarah Fister Gale Features FEBRUARY 2012 | VOLUME 26, NUMBER 2 for Business 40 Good Embedding project managers in business units ties strategic goals to execution. By Sandra A. Swanson Pushers & Process Police 46 Paper Negative stereotypes hurt your reputation, discourage team-building and undermine your authority. Here’s how to change that image and justify your value. By Kelley Hunsberger Is in the Air 50 Change Critical chain and a full kitting process provide a much-needed boost for a faltering aerospace company. By Peter Fretty Inside Job? 56 An Should your program managers come from your project manager ranks? Five experts discuss the pros and cons. By Denene Brox It On 62 Bring Nine tips to help organizations implement project management tools. By Michelle Bowles Jackson 40 46 56 50 NETwORk THE PROFESSIONAL MAGAZINE OF THE PROJECT MANAGEMENT INSTITUTE PMI Staff contrIbutIng edItorS Vice President, Brand Management Lesley Bakker; [email protected] Bud Baker, PhD, Wright State University Publisher Donn Greenberg; [email protected] Editor in Chief Dan Goldfischer; [email protected] Publications Production Supervisor Barbara Walsh; [email protected] Periodicals Associate Natasha Pollard; [email protected] Reader Feedback: [email protected] Bookstore: [email protected] advertISIng SaleS For advertising information, contact: J.T. 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Members can edit their demographics, including their addresses, by logging onto www.PMI.org and accessing “My PMI.” All readers can send change of address information to [email protected] or call PMI customer service at +1 610 356 4600 option 8. also February 2012 | VoLUMe 26, NUMBer 2 08 making project management indispensable For business results.® the pulse 8 14 Pipelines Face Tough Border Crossings Skeptical stakeholders make negotiation key 10 Snow Patrol A Chicago, Illinois, USA website project helps residents weather winter 11 On the Road to Better ROI Transportation projects face deeper scrutiny 12 China Targets Greener Growth A new plan looks to build on declining emissions 20 13 New Policy, New Promises? Multi-nation Durban pledge could boost sustainability 14 Retail Apps Target Mobile Shoppers “Pocket stores” pose development challenges 15 Fighting Crime With Numbers How algorithms can battle an age-old problem 16 One Disastrous Year 2011 was the costliest in history 28 66 17 For Business Intelligence, Short Is Sweet Success rates on BI projects are tied to time also in this issue voices 20 Peer to Peer Is Tech Sexist? Ashley Kotik Rice, CAPM, and Maja Ferle, PMP 24 From the Top Power Trip Antti Kämi, PMP, Wärtsilä, Vaasa, Finland 26 Project Perspectives Advice for Managing Multiple Projects 28 In the Trenches 10 Mistakes That Could Get You Fired By Sunil Kumar Ojha & Krishnaprasad Bannanje, PMP columnists 6 Feedback Are you a project driver or enabler? 18 Metrics How does your salary stack up? 65 Help Desk Google+ and project management By Peter Fretty 68 Marketplace Books on project management 71 Services Directory Project management resources 72 Closing Credit Building a space elevator 23 The Agile Project Manager Less Is More By Jesse Fewell, CST, PMP 25 Thinking Positive Bad Behavior By Alfonso Bucero, MSC, PMP, PMI Fellow, Contributing Editor 66 Career Q&A Prove Yourself By Lindsay Scott DOWNLOAD THE PM NETWORK APP and read the magazine on your iPad, iPhone or iPod Touch. FEEDBACK FACEBOOK Could the future of project management platforms be found in the cloud? //POLL// Before You Enroll What is the most important factor to consider when selecting a project management course? 6.3% Ron Young Jr., PMP, comments: Cloud computing increases the risk profile for today’s megaprojects. Rapid access to data and information is paramount for making key decisions, analytics and reporting. Relying on remote platforms (and potentially wireless networks if in a remote location) creates additional risks. It is best to maintain project controls systems locally with the project team. Cost 58.2% Instructor 30.4% Format (web-based vs. classroom) 5.1% What’s your take? Join the discussion at facebook.com/PMInstitute. Location VOICES ON PROJECT MANAGEMENT BLOG Are You a Project Driver or Enabler? asks Dmitri Ivanenko, PMP, in a blog post: A driver is someone who takes on the responsibility and accountability for the project deliverables. Enablers act as complements to the driver. Jeff Lee responds: I have found myself in both roles, but can honestly be classified as an enabler. Teams where I was the driver felt more like being in the military, telling everyone what to do. As an enabler, we are working together, and my excitement level with regards to the project is higher and experienced by the other team members. I am a team/people-oriented person, so the enabler role comes naturally. I believe a project succeeds or fails as a team, not because of one person. When project managers are enablers, they are more in touch with the team dynamics and human factors as well as the project requirements. I am not one to toot my own horn, but I can speak from the feedback I have received that teams tend to run more efficiently and are more motivated when the //POLL// Learning From the Past project manager is an enabler. Does your organization hold meetings to discuss lessons learned on projects? Neeraj Arora, PMP, responds: Never: 20% Most of the time: 23% About half the time: 11% Sometimes: 30% Always: 16% From the Voices on Project Management blog at PMI.org You might be successful only being a driver or an enabler if you are a consultant. But working in a company (especially with a matrix organization) where you have to work with the same people again for various projects is more challenging and requires you to play both together. Being the driver gets you attention from management, which leads to the next project. Being an enabler helps form a healthy relationship with people. CLARIFICATION: Search, The National Consortium for Justice Information and Statistics (“New Ground,” December 2011, page 44), is headquartered in Sacramento, California, USA. 6 PM NETWORK FEBRUARY 2012 WWW.PMI.ORG PMI’S CAREER CENTRAL GROUP ON LINKEDIN Is a Statement of Work Essential? Shailesh Kalmegh asks: Is there any legal risk or issue to executing a project without receiving a signed statement of work (SOW) but after receiving a purchase order? Mike Brown, PMP, responds: The only way this works out is if you have done 10 of these projects already for the same customer and everyone is already on the same page. Otherwise, watch out. The best thing you can do at this point is halt any work that is going on and get the SOW signed. Let the customer know that you can’t work on the project without a signed SOW. If the customer won’t sign the SOW or if problems come up, reject the purchase order, issue your customer a credit and start the sales process over. It may not make you the most popular person in your company, but it beats taking a huge loss on the project later. Do you agree? Weigh in at the PMI Career Central group on LinkedIn. thePul US$10 billion The cost of the Nord Stream Pipelines connecting Russia’s oil reserves to the European Union While many cross-border pipeline megaprojects stall out, Nord Stream forges ahead, set to connect Russian natural gas reserves to Europe by the end of the year. 55 billion cubic meters (72 billion cubic yards) The capacity of the pipeline when completed 2,673 kilometers (1,661 miles) The length of the proposed Keystone XL pipeline connecting Alberta, Canada to Texas, USA 8 PM NETWORK february 2012 WWW.PMI.ORG se PiPelines Face Tough Border crossings Image courtesy of Nord stream ag In the quest for energy security, countries are joining forces to launch massive pipeline projects— with mixed results. Project leaders must run a perilous gauntlet as they attempt to navigate intricate political landscapes, secure financing from a wide array of sources and address complex environmental issues. These barriers can prove to be too big to overcome, with cross-border pipeline megaprojects in North America and Europe stalling out. But at least one project has remained on track. After a mere 20 months of construction, the first part of the US$10 billion Nord Stream Pipelines project linking the vast natural gas reserves of Russia to the European Union (EU) energy markets opened in November 2011. The 1,224-kilometer (761-mile) line consists of two parallel pipes with the capacity to deliver 55 billion cubic meters (72 billion cubic yards) of gas per year once the second part is completed in late 2012. The pipeline was built by a global consortium of five companies known collectively as Nord Stream AG: OAO Gazprom, Wintershall Holding GmbH, E.ON Ruhrgas AG, N.V. Nederlandse Gasunie and GDF SUEZ. A salt truck stuck on Lake Shore Drive in Chicago, Illinois, USA during the blizzard of 2 February 2011 Snow Patrol After a blizzard all but paralyzed Chicago, Illinois, USA last February, the city launched a project to build a comprehensive new website to help denizens respond to the notoriously brutal winters. Chicagoshovels.org allows residents to track the city’s 300 snowplows, a transparency local government officials hope will head off perennial accusations that certain neighborhoods receive preferential treatment. “If that’s happening, you’ll see it,” city CTO John Tolva said in a press conference. The site will also direct shovel-wielding volunteers to areas that need clearing and alert residents to snowrelated parking bans—or, if that doesn’t work, to where their cars have been towed. There’s even an “adopt-asidewalk” option for the particularly altruistic. But the inherent unpredictability of weather has kept the site from getting much use. Through mid-January 2012, Chicago had seen less than 2 inches (5 centimeters) of the white stuff. 10 Although Russian gas giant Gazprom is the majority stakeholder, each company had clear incentive to push the project forward. “From a financial perspective, they all have a shared risk and shared equity in the outcome, and everyone is working toward the same goals,” says Andrew Neff, senior energy analyst for IHS Global Insight, in Moscow, Russia. The goal of the Nord Stream project was to increase the energy security of the targeted EU nations by developing alternative transportation routes for natural gas. Two gas crises—in 2006 and 2009—that cut off supplies to the EU for several days solidified the case. “These events reinforced the need for new pipeline routes,” he says. Yet like most cross-border pipeline projects, Nord Stream had its opponents. Ukraine, Latvia, Lithuania and Estonia, for example, all objected to the use of international waters for the pipeline construction and feared the project’s environmental impact. Nord Stream responded by investing €100 million in research and project planning to assess and minimize the project’s effects on the environment. The consortium also worked to secure government backing through a unilateral approach, bringing together leaders from EU nations to discuss project goals, confirm environmental impact studies and ultimately win buy-in. “By having meetings with all stakeholders, Nord Stream was able to build support for the project and undermine the voice of the opposition,” Mr. Neff says. With powerful industry and governmental backers in tow, Nord Stream delivered the project on schedule and on budget without using any taxpayer dollars. The consortium supported 30 percent of the investment, with commercial loans from a group of nearly 30 international banks covering the remaining project funding. Cracked Pipes Not all high-profile pipeline projects are faring as well as Nord Stream. Oil and gas company TransCanada has faced setback after setback in its attempt to build a 2,673-kilometer (1,661-mile) pipeline to deliver oil reserves from Alberta, Canada’s tar sands to Texas, USA. The Keystone XL project has angered environmentalists, who fear the devastating potential impact of such a lengthy pipeline. Part of the issue comes down to geography, according to a report in Toronto’s Globe and Mail. The proposed route goes right through the “boiling sands” of Nebraska, areas of sandy soil where the ground is so thin that “groundwater can bubble up through it to the surface.” And some of it was just bad timing: “Keystone XL was the first major pipeline to confront a country that had suddenly turned a sharp eye on the oil industry,” the newspaper reported. “Against that backdrop, Nebraska’s boiling sands transformed from an engineering challenge into a political and social challenge—one that TransCanada, and the industry in general, was ill-equipped to handle.” The project is currently in limbo as U.S. President Barack Obama considers permit approval. Stakeholders are posing a similar threat to the Nabucco pipeline project, a proposed natural gas pipeline from Turkey to Austria. Its intent is to lessen Europe’s dependency on Russian oil, but despite support from several EU nations and the United States as well as nearly a decade of planning, the project is floundering. Collaborating Across Countries Nord stream is a joint project involving five major companies: 9% 9% 15.5% 15.5% 51% Gdf suEZ N.V. Nederlandse Gasunie E.ON Ruhrgas aG Wintershall Holding GmbH OaO Gazprom PM NETWORK february 2012 WWW.PMI.ORG IMaGE cOuRTEsy Of WIKIPEdIa thePulse IMagE cOuRTEsy Of METROPOlITaN TRaNsPORTaTION cOMMIssION That stalemate is due in large part to excess cost and poor proof of concept. The estimated budget for the 3,300-kilometer (2,051-mile) pipeline has ballooned from €7.9 billion to €14 billion, and stakeholders continue to argue over its viability and potential ROI. Getting suppliers to commit has also been a struggle. “Nabucco’s consortium of stakeholders is all on the demand side,” Mr. Neff explains. “Their approach is, ‘We build the pipeline, A piece of excavating equipment known as a giant roadheader pokes through the plug separating the east and west sides of the Caldecott Tunnel, connecting Oakland and Contra Costa County, California, USA. Expansion of the tunnel is expected to be completed by early 2014. and you supply the gas,’ but the gas production side involves a whole different consortium all together.” The Nabucco project also lacks the industry support of Nord Stream, which impacts its political clout—and its ability to secure financing. “If Nabucco is as strategic to the European Commission as they claim, they should have funded it by now,” Traycho Traykov, Bulgaria’s economy, energy and tourism minister, told The Home of the world’s eighth-largest econWall Street Journal at the Atlantic Council’s Black omy, the state of California, USA pumped Sea Energy & Economic Forum in Istanbul, US$81 billion into transportation infrastrucTurkey in November 2011. “On one side, we ture projects from 2000 to 2010, according say it’s strategic, but we’re haggling about every to a report by the fiscal advisory Legislative single thing.” Analyst’s Office. In the meantime, Keystone, Nabucco and Now one state agency is taking a new other pipeline projects may want to follow the lead track to make sure those investments are of the Nord Stream team. paying off. “Nord Stream did its homework and recogNetwork with Responsible for allocating project funds your peers at nized the potential hurdles ahead of time,” Mr. to nine counties in the San Francisco Bay construction. Neff says. “By getting German and Russian coopArea, the Metropolitan Transportation Comvc.pmi.org eration, they were able to steamroll opposition mission (MTC) updates its 25-year investfrom the Baltic states, and once they got approval, ment program every four years, assessing they moved quickly to make the project happen.” project plans and scope against expected —Sarah Fister Gale budgets, risks and priorities. On the Road to Better ROI february 2012 PM NETWORK 11 thePulse This year, local agencies sent roughly 900 project suggestions totaling US$180 billion—much higher than the agency’s US$33 billion budget for discretionary investments. Deciding which ones will make the cut is “a massive undertaking,” says Lisa Klein, senior transportation planner at the MTC in Oakland, California. Over the past several plan updates, MTC has refined its approach to consider the benefits and costs of potential investments. In the past, projects were assessed on their projected benefits alone—for example, speedier commutes or increased accessibility—without much regard to the costeffectiveness of different initiatives. This time around, the agency is adopting a more complex analysis of its 180 projects budgeted over US$50 million. Under the new process, MTC has evaluated each of these larger projects in two ways: n the extent to which each supports the agency’s 10 strategic goals n the benefit-cost ratio, which is consistent with best economic practices and incorporates many of the adopted targets Each project is scored, and the ones at The amount the extremes get the most scrutiny. Those California, with the highest cost-benefit ratios and those USA spent that most strongly align with the agency’s on trans- overall strategy get top priority for funding. portation For example, a potential project to speed bus infrastructure lanes and give buses priority at traffic signals from 2000 would increase ridership, reduce operating to 2010 costs for the transit system and reduce parSource: A Ten-Year ticulate emissions by taking cars off the roads. Perspective: California Infrastructure Spending, “That’s a great example of an efficiency Legislative Analyst’s Office project that tends to be the most cost-effective type of project,” Ms. Klein says. The process hasn’t brought many major surprises, but it helps the agency gain buy-in from project sponsors. “The value is in the data,” she says. “It’s useful to put this information in front of decision-makers to create momentum behind the right projects.” Before, the most vocal sponsors typically held more sway; the new assessment process adds more quantifiable data to that conversation. “It’s a useful tool to start discussions about what a costeffective project ought to include,” Ms. Klein says. Agencies are now forced to more carefully consider costbenefit analysis and to more closely align their project goals with MTC’s overall strategy targets. “It makes it easier for all of us to see the business case for the projects we pursue,” she explains. —Sarah Fister Gale US$ 81 billion 12 PM NETWORK february 2012 WWW.PMI.ORG China Targets a Greener Growth One of the fastest-growing economies, China also ranks as the world’s largest contributor to carbon dioxide emissions. Looking to shed that dubious distinction, the country recently issued a comprehensive blueprint for cutting its carbon intensity by 16 to 17 percent by 2015. China’s intensity target acknowledges that while the country’s total energy use and carbon dioxide emissions will keep growing as its economy expands, the amounts used for producing each unit of GDP will shrink. Issued just before the U.N. Climate Change Conference held in Durban, South Africa last December, the plan is a continuation of China’s push to more eco-friendly growth. Between 2005 and 2010, the country lowered its energy intensity by 19.1 percent, according to a report released by the Climate Policy Initiative at Tsinghua University. China also slashed its greenhouse gas emissions by 1.5 billion tonnes between 2006 and 2010, the biggest decrease of any country in the period, according to a report by the Institute of Global LowCarbon Economy, the University of International Business and Eco- A solar water heater project in China nomics, and the Social Sciences Academic Press. “The carbon-emission reduction policy in China has been one of the strictest and most effectively implemented in the world,” the research team said in a press release. Yet meeting future climate goals will be difficult given China’s explosive economic expansion, particularly in the nation’s cities, says Yang Fuqiang, PhD, senior adviser on energy, environment and climate change at the Natural Resources Defense Council in Beijing, China. Urban migration is occurring so quickly that the equivalent of the entire population of the United States—about 312 million people—will move from rural to urban areas by 2030. “That’s a huge challenge to contend with,” he says. The Combo Approach China’s emissions reductions have been achieved largely through a combination of programs aimed at eliminating polluters while bolstering clean alternatives. The push has included projects to shut down several energy-inefficient thermal power plants, steel and cement factories, and coal mines. At the same time, the country launched 10 major projects to save energy by: n Updating coal-fueled industrial boilers n Improving the energy efficiency of its heating supply network Promoting green buildings Installing low-carbon public-lighting systems China has also invested heavily in renewable energy projects, increasing manufacturing capacity for solar and wind power. China’s progress owes much to the power of the government, Dr. Yang says. Many major energy companies are state-owned, which means the government can dictate project goals and expectations for emissions reductions. “China benefited from its political system to make these projects happen,” he says, noting that the government made trimming carbon emissions a priority of many capital investment projects. n n Percentage from 2005 base China Takes energy reduCTion seriously 90 80 70 60 2005 2006 2007 2008 2009 2010 2015 (estimated) New Policy, New Promises? China has plenty of company in launching ambitious projects to cut carbon emissions— and there could be more on the way. The United Nations Climate Change Conference, held in Durban, South Africa last December, brought together 194 countries and resulted in a new agreement, the Durban Platform for Enhanced Action. For European Union members and 37 other industrialized nations, the agreement extends the Kyoto Protocol, a 1997 treaty with aggressive emission-reduction initiatives. The rest of the Durban platform is a promise to negotiate a new climate deal by 2015, which will replace the Kyoto agreement in 2020. The Durban plan also ties large economies not obligated to the Kyoto Protocol—including the United States, India and China—to legally binding climate-change measures. In the meantime, the Durban agreement encourages governments to “adopt national-level policies that are ambitious, transparent, measurable and build the foundations for a future international framework.” It could provide an immediate boost to carbon capture and storage projects in the developing world by allowing project owners to issue and sell carbon credits for the emissions they capture and store. Source: Climate Connect Research februAry 2012 PM NETWORK 13 thePulse Join the discussion at sustainability. vc.pmi.org The Chinese government also mandated emissions cuts in local communities, Dr. Yang adds. “If city officials didn’t meet their goals, they would be required to step down or would not be promoted.” The new 16 to 17 percent national goal has been allocated among provincial governments, which will be held responsible if they fail to meet the targets, according to the blueprint. Moving forward, Dr. Yang predicts that China will focus more research and effort into creating sustainability mandates for new construction projects. But he thinks the biggest gains will come through the push to renewable energy, including a project currently underway to create large-scale distributed solar electric generators in 100 counties across the country. Over the next five years, the government has vowed to spend US$473.1 billion on clean energy investments. China reinforced its commitment at the Durban conference, agreeing along with more than 190 other countries to reduce carbon emissions. The agreement won’t take effect until 2020, however, and it hinges on five pre-conditions, including a review of the steps taken by wealthier countries to address the issue. For China, the conference was a powerful way to highlight its progress, while ratcheting up the pressure on its economic rivals—and itself. “China will meet its targets with these projects,” Dr. Yang says, “but there is always room to do more.” —Sarah Fister Gale Retail Apps Target Mobile Shoppers 73% The portion of companies around the world that planned to invest in mobile commerce last year Source: Econsultancy 14 Retailers want to reach consumers whenever and wherever they’re looking to buy. And these days, it’s not necessarily in stores or on websites, but rather on smartphones and tablets. Two-thirds of U.S. smartphone owners shop from their mobile devices, according to a December 2011 report from comScore Inc. And Juniper Research estimates the total global mobile retail market will reach US$15 billion this year. There’s one big problem. “Retailers haven’t mastered the mobile environment at all,” says Van Baker, vice president and research director at tech research company Gartner in San Jose, California, USA. Few apps have commerce capabilities, with development teams sticking to basics such as simple search capabilities and in-store promotions. Fully functional retail apps remain the outliers, but a few new projects are testing the boundaries of the mobile screen. Kid’s clothing retailer Tea launched an app that includes access to behind-the-scenes video and a virtual dressing room, along with the ability to share outfits on social networks. Also looking to better engage with mobile customers, pizza franchise Domino’s unveiled an app that lets users make a pizza onscreen and then place a real-life order. They can also follow their delivery with the app’s Pizza Tracker feature. And in November, retail giant Walmart unveiled two mobile options: A new iPad app lets users browse and purchase online as well as check product availability at a specific store, while a revamped iPhone app lets users add items to their shopping list by speaking into their phones, then calculates the total. PM NETWORK FEBRUARY 2012 WWW.PMI.ORG 41% of smartphone owners have made a purchase from their mobile phone: A Three-Click Attention Span The biggest difference between creating a retail app and a traditional website is that project teams must build an engaging user experience in a much simpler user environment. “Consumers want a complex app, but they only want to go three clicks deep,” Mr. Baker says. “That’s a constant struggle for project developers.” Retailers must also decide how many apps to build and on what platforms, the functionality of each, and how much time and money they’re willing to spend. “Retailers today want one set of code to run everywhere—on the website, the app and the tablet,” he explains. “But they’re just not there yet.” Done right, apps can deliver a huge payoff. Fashion retailer Anthropologie, for example, expects its new iPad app to account for 20 percent of sales within a year. It’s up to the project team to find that sweet spot where budgets, goals and functionality converge. “From a project management perspective, it’s important to define the project goals very early in the project,” says Luciana Guarnieri, cofounder of Revel Touch, a Los Altos, California, USA developer that built apps for Anthropologie and Tea. “That includes defining what you’re trying to achieve, what your customers’ expectations are and how you can leverage the device to benefit the brand.” And that goes beyond the shopping stage to include every aspect of customer interaction with the app. The answers to those questions shape the project outcome. “An app built to promote a deeper level of engagement with the brand will be different than one designed for ease of commerce,” she explains. These goals must also align with consumer demands, Mr. Baker adds. That means talking to consumers, watching how they interact with merchandise in store and online, and then figuring out how to translate that experience into a mobile environment. “The functionality has to be something the consumer wants or they won’t use it,” he says. Form Follows Function As with brick and mortar stores, apps have to find 11% toys and games 15% food and beverages 11% electronics 8% home goods 16% apparel 4% sporting goods 4% books 3% jewelry 17% travel reservations 8% other products Source: Chadwick Martin Bailey ways to stand out from the pack. “Retail apps are still a moving target, and there’s a lot of experimentation going on,” Mr. Baker says. “The challenge is to create something that’s fresh and will keep usage rates up so that it delivers value,” Mr. Baker says. He points to beauty retailer Sephora, which recently launched an iPad app that uses the front-facing camera as a “virtual mirror” so users can see their image side-by-side with a video on makeup tips. But Mr. Baker recommends teams do their experimenting early in the process to avoid any stakeholder messiness. End-users won’t care about those ultra-cool features if the app doesn’t work. “It’s better to create something that is simple and efficient but functions properly than something that is complicated but frustrating,” Ms. Guarnieri says. —Sarah Fister Gale Mobile coMMerce showed 86% yearoveryear growth froM 2010 to 2011 Source: Appcelerator and IDC Fighting Crime With Numbers Stymied by resource cuts, police are turning to data-analysis projects that could not only help crack a backlog of unsolved cases, but also change the way they battle crime. FebruAry 2012 PM NETWORK 15 thePulse CRIME LEVELS IN LONDON = High = Above average = Average ONE DISaStROuS YEaR 2011 was the costliest year in recorded history for natural disasters, according to global reinsurance firm Munich Re. From Australian floods in January to Tropical Storm Washi in midDecember, the total damage from these disasters added up to about US$380 billion. The March earthquake and subsequent tsunami that wreaked havoc on the coast of Japan cost an estimated US$210 billion alone, making it the most expensive natural disaster ever recorded. It was also the deadliest of the year, killing 15,840. Munich Re board member Torsten Jeworrek told USA Today that last year’s spate of disasters doesn’t signal a doomsday trend: “A sequence of severe natural catastrophes like last year’s is a very rare occurrence.” More good news: Although the financial toll was one for the record books, the number of fatalities caused by the disasters was below average. 16 The U.K. police force launched a £300,000 crimemapping site with detailed maps that provide a monthly snapshot of crime and antisocial behavior on every street across England and Wales. When the site went live last February, it attracted 18 million hits an hour, causing repeated crashes. It has since attracted more than 430 million hits, and police recently upgraded the project so users can see how their local officers are faring against those in other areas. Crime-mapping software also helps law-enforcement agencies see crime hotspots. The police department in Lorain, Ohio, USA is using software to move to “intelligence-led policing,” Sgt. Mike Failing told local newsCity of London, England crime map paper The Morning Journal. The department inputs data from community members into the program, he said, and “we sort through it and see what patterns are coming out of this.” Teams of mathematicians from two U.S. universities are taking it a step further, developing algorithms that can predict where crimes happen, as well as the likely perpetrators. And now they’re sharing the results of those projects with law-enforcement agencies. Police in Santa Cruz, California, USA wrapped up a six-month pilot project adapting earthquakeprediction technology to do predictive policing across the community. The goal, according to deputy police chief Steve Clark, is “to get smarter about the way we do the basic elements of police work.” The software targeted property crimes, including home burglaries, car break-ins and vehicle thefts. Project leader George Mohler, PhD, an assistant professor in the department of mathematics and computer science at Santa Clara University, Santa Clara, California, had hypothesized that such crimes tend to cluster and spread in a way similar to tremors after a large earthquake. Facing a diminished force due to budget cuts, the police department approached him about putting the theory to practice. As the first round of the project wraps up, the effect is already being felt: Five months in, the city has seen 20 percent fewer burglaries than in the six months prior to the project’s launch. Safety in Numbers Tapping into software could ease the pain of budget cuts seen in police departments around the world. “Technological programs like this can help equalize the gap there,” Santa Cruz police department spokesman Zach Friend told local newspaper Mercury News. Sometimes it takes some convincing, however. “There has to be a certain level of trust and dialogue. Police won’t just hand that data to anyone,” says Andrea Bertozzi, PhD, professor of mathematics at the University of California at Los Angeles (UCLA). Dr. Bertozzi and her team are currently working on a predictive algorithm to identify street gangs suspected in unsolved violent crimes. The team spent two years analyzing more than 1,000 gang crimes— about half of them unsolved—that occurred over a 10-year period in a Los Angeles area home to 30-some gangs and nearly 70 gang rivalries. To test the algorithm, the researchers created a set of simulated data that closely mimicked the crime patterns of the area’s gang network. They then omitted key information—the victim, the perpetrator or both—and tested how well the algorithm could calculate the missing data. PM NETWORK february 2012 WWW.PMI.ORG IMaGE cOuRTEsy Of METROPOlITaN POlIcE = Below average The Los Angeles Police Department helped guide the research, telling the project team it would like to know the top three most likely gangs that committed a given crime, Dr. Bertozzi says. That information was then used as a performance metric for the team’s analysis. “Our algorithm placed the correct gang rivalry within the top three most likely rivalries 80 percent of the time, which is significantly better than chance,” said Martin Short, PhD, an adjunct assistant professor of mathematics at UCLA and coauthor of the study, in a press release. “That narrows it down quite a bit, and that’s when we don’t know anything about the crime victim or perpetrator.” With those kind of data-driven projects, criminals may find their days are numbered. —Sarah Fister Gale For Business Intelligence, Short Is Sweet Business intelligence (BI) projects fuel fundamental business strategies—but their value often hinges on razor-thin delivery margins. The longer a BI project takes, the lower the reported benefits, according to a recent survey of 3,000 global IT professionals by Business Application Research Center in Wurzburg, Germany. “Of all the dimensions we considered, none had a bigger impact on project success than length of time,” says Barney Finucane, leading analyst and author of the report. “On longer projects, the risk is high that they will fail.” The annual survey ranks BI projects by a list of target benefits, including: n Reducing headcount n Cutting costs n Delivering better and faster data analysis n Improving data quality n Achieving higher customer satisfaction “It’s shocking how fast the business benefits fell on projects that lasted longer than six months,” Mr. Finucane says. “Projects that last one to three months have the highest number of benefits, and those that last three years or more have the lowest.” Not only did benefits decrease, but problems increased. The longest projects faced the most challenges, with the biggest obstacles coming from human, rather than technical, issues. Political conflict, administrative problems and lack of user buy-in topped the list. Poor due diligence and a lack of alignment between user needs and the tool selected also added complexity and risk to longer projects. “For bigger BI projects, the tool is often chosen because it’s bundled with other tools or because the company has a relationship with the vendor,” Mr. Finucane explains, “not because it’s the best tool to meet the needs of end-users.” He advises project teams to engage end-users in the selection and implementation process. Using their feedback to tweak the system makes it easier to secure support. “It’s not like an enterprise resource planning project where end-users have no choice,” Mr. Finucane says. “If they don’t like your BI tool, they’ll refuse to use it.” Longer projects are also subject to shifting IT planning processes or business goals, sometimes making the project obsolete before it’s even completed. To avoid going too far down the wrong path, Mr. Finucane suggests implementing shorter, incremental projects—even if that means tweaking the budget or schedule along the way. “It’s better to spend a little more time and money if it increases your odds of success.” —Sarah Fister Gale “It’s shocking how fast the business benefits fell on projects that lasted longer than six months.” —Barney Finucane, Business Application Research Center, Wurzburg, Germany Scoring the Benefits The Business application Resource center used a weighted scoring system to determine the Business Benefits Index of BI projects. The average score of BI projects of varying lengths is shown below. TIME sPENT lEss ThaN 1 MONTh 1 TO 3 MONThs 3 TO 6 MONThs 6 TO 12 MONThs 1 TO 2 yEaRs 2 TO lEss ThaN 3 yEaRs good score BusINEss BENEfITs INdEx avERagE 3 yEaRs OR MORE bad score 5.77 5.40 5.25 4.47 3.62 3.00 2.26 february 2012 PM NETWORK 17 [metrics] All figures are in U.S. dollars. THE LATEST STATISTICS, SURVEYS AND STUDIES HOW DOES YOUR SALARY STACK UP? Canada $98,517 United Kingdom $96,384 Germany $110,347 Japan $86,787 Switzerland $160,409 United States $105,000 United Arab Emirates $71,880 Saudi Arabia $63,997 Mexico $42,657 India $31,390 Nigeria $29,580 Colombia $49,269 Brazil $70,491 $92,000 THE MEDIAN ANNUALIZED SALARY OF PROJECT PROFESSIONALS AROUND THE WORLD The survey shows that certification, as well as geog- raphy, positively affected salaries. Project Management Professional (PMP)® credential holders in the U.S. earned an average of 16% more (approximately US$14,500) than their non-credentialed peers in 2011. 71% The portion of respondents who reported that their total compensation increased over the 12 months prior to completing the survey China $23,207 Australia $139,497 THE THREE GREATEST FACTORS THAT INFLUENCED SALARY: 1 2 3 Country of employment Number of years’ experience in a position or role Average size of projects managed (including budget and team size) Source: PMI Project Management Salary Survey—Seventh Edition. Results based on a survey of 30,823 project professionals from around the world conducted in June and July 2011. PMI members have complimentary access to the survey as a downloadable PDF, as well as an online Salary Survey query. 18 PM NETWORK FEBRUARY 2012 WWW.PMI.ORG EQUAL OPPORTUNITY? 33% female 67% male 67% male 33% female SAUDI ARABIA 37% female SOUTH KOREA 63% male The three with the biggest gender gap: UNITED ARAB EMIRATES MALAYSIA CANADA UNITED STATES The three countries with the smallest gender gap among project professionals: 99% male 6% female 94% male 1% female 94% male 6% female Source: PMI Project Management Salary Survey—Seventh Edition PICK AND CHOOSE $511 million The amount granted to 46 transportation projects in 33 states and Puerto Rico by the U.S. Department of Transportation (DOT) in December 2011 $14.3 billion The total amount requested by applicants The DOT said it gave priority to projects expected to create jobs and stimulate economic growth. OLDER AND GREENER 1.675 billion square feet (155.6 million square meters) The amount of existing U.S. commercial space that’s LEED (Leadership in Energy and Environmental Design) certified, exceeding for the first time the amount of LEEDcertified new construction Source: U.S. Green Building Council Source: U.S. Department of Transportation DATA HEADS TO INDIA $609.1 million Estimated data center colocation and hosting market in India in 2012 Source: Gartner, November 2011 $1.3 billion Estimated market by 2016 WHEN “SUPERTALL” ISN’T TALL ENOUGH 600 meters (1,969 feet) The standard for the new “megatall” building designation used by the Council on Tall Buildings and Urban Habitat. By 2020, at least eight such buildings are expected to be built. Voice Peer to Peer Is Tech sexIsT? Are women still a step behind their male counterparts and Maja Ferle, PMP, share some unpleasant experienc exists in the field. Ashley Kotik Rice, CAPM: If I had a dollar for every man who told me I shouldn’t be in IT because I’m a woman, I wouldn’t need to work anymore. Not only am I a woman, I’m 28, so I’ve got ageism and sexism working against me. Ashley Kotik Rice, CAPM, is manager of product delivery and release at WealthTouch, a consolidated portfolio reporting platform in Denver, Colorado, USA. Years in IT: 5 20 Maja Ferle, PMP: In my opinion, IT is not sexist. I’ve never felt that because I am female I might be treated differently from my predominantly male colleagues. With my strong technical background and dedication to my work, I always felt like I fit into any IT team as an equal member. Ms. Kotik Rice: When I first entered IT, I never even thought there would be an issue. I consider any female in IT who doesn’t get discriminated against at least once very fortunate. PM NETWORK februarY 2012 WWW.PMI.ORG Maja Ferle, PMP, is a Ljubljana, Slovenia-based project management practice leader at SAS, a business intelligence software maker. Years in IT: 27 when working in the IT world? Ashley Kotik Rice, CAPM, es and debate whether or not gender discrimination Ms. Ferle: I have loved working in IT ever since I started in my profession and I guess my passion shows in my day-to-day work because I feel like an equal member of the team, able to discuss tech topics in depth with my male counterparts. Ms. Kotik Rice: I disagree that dedication to work earns you respect. I work 70-hour weeks. I come in on weekends. I manage highly complex multimillion-dollar projects and need to meet deadlines. I work side-by-side with my male peers, but I always feel that I need to work much harder to prove that although I am a woman, I can play in this man’s world. Ms. Ferle: I cannot say I’ve never experienced sexism in the workplace. There was an occasion when I worked as a technical lead on a team, and my manager specifically instructed me that I shouldn’t assign tasks directly to my male team members because men don’t take commands from women. Rather, I should ask him to assign tasks to the team members. Since I was used to working with the team members from a previous project, we were tight and there was no need to go through my manager in order to communicate with them. I just chalked up my manager’s behavior as his personal bias, and I never associated the company or IT in general as sexist. february 2012 PM NETWORK 21 WoMen shouldn’t alloW theMselves to be boxed into a gender role... by discovering What their oWn unique strength is, they can use it as an advantage When coMPeting With Men in the WorkPlace. Ms. Kotik Rice: At one place, I am known as the Den Mother. I’ve also been called Techretary. It’s a running joke. If I don’t laugh, I’m not one of the guys. I know it’s my fault. I allow it to happen. I do it because I’m afraid that if I don’t, they will think I’m uncooperative and not a team player. They’ll chalk me up to a feminist who whines and moans about the injustice of my sex. But, there are times when I do stand my ground. One gentleman told me he didn’t take orders from a “girl.” I stopped, turned around, and walked into his cube. I responded with, “What did you say to me?” I was not laughing or smiling. He didn’t respond. “I don’t appreciate you speaking that way to me and would appreciate it if you’d stop. Do you understand?” No response—he was clearly embarrassed, and folks were peeping over their cubes curiously. “Look at me!” I said. He looked. “Do. You. Understand?” “Yes,” he whimpered. He never bothered me again. Ms. Ferle: I believe that in order to establish authority as a project manager there are many personal traits to be considered, such as excellent communication, mediation and negotiation skills, and the ability to motivate project team members and help them to overcome obstacles. None of those are directly related to a person’s gender. Ms. Kotik Rice: I agree, but I have found that there are male individuals who do not agree and put their sexist opinions and actions first before considering the many personal traits not related to gender. Ms. Ferle: I do believe that there are fewer women in IT management because women often don’t want executive positions (either consciously or subconsciously). But I have seen enough successful women in powerful positions in IT that I believe anyone can get there, regardless of gender, if they only want it. 22 PM NETWORK february 2012 WWW.PMI.ORG Ms. Kotik Rice: I agree—mostly. Anyone can get there. However, it is much more difficult for a woman than a man. In my career, I have seen two women in IT executive management. Female executives in IT don’t get by without having to do some work that requires a “woman’s touch.” They are asked to put together PowerPoint decks to make them “look pretty.” Women are taught: Don’t ask for more pay, don’t argue in a meeting, don’t disagree. If a woman does things that appear to be aggressive and uncomfortable, men and society in general tend to say that it’s not “ladylike.” Women don’t yell in a meeting; they don’t pound their fists. I’ve seen plenty of men do this because it is accepted and expected. Ms. Ferle: Women shouldn’t allow themselves to be boxed into a gender role. They should focus on getting their job done on a professional level. By discovering what their own unique strength is, they can use it as an advantage when competing with men in the workplace. Ms. Kotik Rice: Despite sexism existing today, I think there is hope that things will get better. I am noticing many older men in IT retiring, and with their exit, they take their old-fashioned sexist attitudes with them. Very rarely do I see young men emerging in the field take on these sexist attitudes and behaviors. Even five years ago, I was the only female on my team. Now, we’ve got four, three of whom are managers. I am hopeful there will come a day when all women will be earning a fair salary based on my experience, skill set and performance—not because of gender. For those like Ms. Ferle who haven’t really been discriminated against, I am very happy for them. The fact that there are women out there who don’t have to fight this battle is encouraging. PM Women in the it Workforce 29.9 percent The portion of U.S. computer and information systems managers who are women Source: U.S. Bureau of Labor Statistics’ 2011 Women in the Labor Force: A Databook 18 percent The portion of U.K. IT and telecom professionals who are women Source: e-skills UK’s Technology Insights 2011 THe AgIle Project Manager Less is More Want more successful projects? Do less work. by Jesse Fewell, CsT, PMP S Stop me if you’ve heard this one before: You’ve been handed a project charter, a detailed requirements document, an unrealistic plan—and a mandate to be successful. Then, as a dutiful project manager, you simply accept the unreasonable, and march forward to inevitable disaster. An agile approach calls for a different idea: replan. Find a new path that involves the shortest distance between today’s problem and tomorrow’s victory. First, deFine business success. Each project is funded to achieve a better future for your sponsor, so you need to know his or her vision. For example, a new payroll system might be developed to lower the cost of back-office operations. Or it may be that the organization plans to dominate a niche market with an innovative product. Agile frameworks emphasize project charters for good reason. They should have this desired future documented as a high-level scope statement, maybe with some measurable business capabilities. But the important part is to ignore the detailed requirements in the giant 3,000-page contract appendix. second, deFine your business constraints. Do not simply assume that scope, schedule, cost and quality are all fixed. Instead, ask what are the most important constraints to your sponsor. Because each case is different, you must have a discussion as to which constraints are fixed and which are flexible. Then you have more options. third, deliver the minimum necessary to meet the business goal within the business constraints. This is where you have to unlearn everything you’ve been taught. You’ve been told that project success is implementing all the detailed requirements with the best possible implementation, on time, on budget. But real success is not in the requirements, nor the implementation; it is achieving the high-level business goal within the business constraints. You are moving from a scope-driven project to a constraint-driven one. Agile practitioners call this “flipping the iron triangle upside-down.” Why do so? 1. Most of the requirements do not contribute to the desired future state: Studies reveal that more than half of all technology features are rarely or never used. That means sponsors are merely guessing which requirements will achieve more revenue, market share or customer satisfaction. Agile frameworks encourage sponsors to regularly reprioritize requirements. What if you were able to deliver the project with half the budget and schedule? 2. Most implementations are over-engineered. Recently, Research in Motion announced the BlackBerry 10 will not be released for another year; as a result, the company’s stock price fell almost 40 percent. Could it be that the project team created an unacceptable schedule in the quest for cutting-edge technology, when in fact it wasn’t really needed? You don’t have to gut a building’s entire internal structure to lower its carbon footprint. Agile finds the minimum solution possible to achieve a business goal. Challenge your project teams to propose the simplest solution. Prototype that solution, and then see if it meets the business objective. The most dramatic cause of project overruns is that we are doing more work than is absolutely necessary to achieve the high-level scope statement. We dig into the weeds and lose sight of the garden we’re trying to create. But you can be the exception. Do not simply accept the project plan handed to you. Facilitate true innovation: the most business results from the least amount of work. PM Jesse Fewell, CST, PMP, is the managing director for offshore agile projects at RippleRock India and founder of the PMI Agile Community of Practice. He can be reached at jesse.fewell@[email protected]. February 2012 PM NeTWORK 23 voices From the Top Antti KäMi, PMP, Wärtsilä, VAAsA, FinlAnd Power Trip P roject management was making a solid difference at Wärtsilä, a global provider of complete life cycle power solutions for the marine and energy markets. Looking to leverage those hard-earned best practices, Wärtsilä started a project management office (PMO). Since then, the company has developed and harmonized project management practices across the corporation and its branches in 70 countries. “Without good project management practices, Wärtsilä would not be as successful as it is today,” says Antti Kämi, PMP, vice president of project management in Wärtsilä’s power plants division and chair of the corporate PMO. Our biggest challenge is assessing and understanding all of the requirements necessary to manage the project, the stakeholder expectations and the risks. What is Wärtsilä’s approach to project management? Every project has at least four key gates, and at each gate a governance board makes sure certain requirements have been met before it can move forward. For example, in development projects, the first gateway requires a formal business case to support the project delivery. At the execution gate, the project plan is reviewed to ensure it meets customer and internal expectations. This project model helps us plan better projects, keep projects on track, and enables better communication and engagement with the customer about project progress and expected outcomes. What role does the PMO perform at your organization? Through the PMO, we arrange project management training for everyone working on projects. We are developing a web-based project planning and tracking tool, and we’re instituting formal project management processes for the whole organization. 24 PM NETWORK february 2012 WWW.PMI.ORG This year, we’re also focusing more on portfolio management practice to ensure that we’re choosing the best projects. Because resources are limited, we want to be sure our projects align with our strategic priorities. How do you ensure that alignment? We focus on stakeholder requirements as early as possible, and we do a lot of up-front planning and due diligence. We also have a process of classifying projects based on their complexity. The most complex ones are given greater project management resources, and the project team is brought in sooner—often during the sales process—to begin the transfer of knowledge and to educate the team about customer expectations. This is an important step for buy-in on these projects, as the client and the project team start building their relationship sooner. Can you share an example of a time when this approach has paid off? In November 2011, we were completing a fast-track power plant project in Timor-Leste that had to be able to generate electricity by the country’s independence day. Delivery of the combustion engine to the project site was on the critical path for the project, so as part of the preplanning, we identified several strategies to set up the power plant in the shortest amount of time once the engine arrived. As it turned out, the engine delivery was delayed. Thanks to our preplanning efforts, we were able to complete all other possible tasks at the project site, and the first unit started up just 10 days after the arrival of the engine. The team was then able to get the plant operational in time for the important independence day delivery date. PM THInkIng Positive Bad Behavior E One of the main sources of stress in a team is putting up with difficult people. Make sure you’re not part of the problem. by Alfonso bucero, Msc, PMP, PMI fellow, contrIbutIng edItor Every project manager must work with different types of people—and that often involves difficult personalities. I’ve dealt with many problematic people on projects over the years, as I’m sure you have, too. As human beings, we all have good and bad behaviors. When we feel appreciated by others, good behavior dominates. But in times of stress and conflict, bad behavior can dominate. I have found myself, as a project manager, moving from one extreme to the other, from a high to a low in a moment’s time. Once, while managing a project in Spain, I was so stressed out by the customer that during a meeting I threw a glass of water onto a table and broke it. I felt terrible. However, my team members helped me calm down, and after some quiet reflection and physical exercise, I recovered my positive attitude. Keeping a LeveL Head When we have high expectations of ourselves and fail to perform to them, we tend to be very hard on ourselves. Zachary Wong, PhD, author of Human Factors in Project Management: Concepts, Tools, and Techniques for Inspiring Teamwork and Motivation, found that people working on projects can behave at either the “upper” or “lower” level. Upper-level players promote cooperation and move the team forward, demonstrating a positive attitude, a problem-solving mindset, transparency and openness. They tend to be open-minded, tolerant, giving and collaborative. Lower-level players, on the other hand, are defensive, self-centered, insecure, fearful and negative. They’re poor listeners and are impatient. Believe it or not, they can be successful individuals who are often bright, enthusiastic and hardworking. However, they do not work well with others and usually are not able to communicate clearly. They often feel that they are right. Every time I manage a project, I observe how frequently these upper- and lowerlevel behaviors occur. People who spend their time in these lower levels can be difficult to work with. Their negative behaviors reduce productivity, teamwork and fluent communication. Difficult people consume a lot of a team’s time, resources, attention and energy, making everything a greater effort. WHat can you do WHen you face a difficuLt person? These are my best practices: n Do not join people on the lower level; it will only add to a negative environment. n Elevate your thinking and behaviors, and practice maintaining a positive attitude. n Understand that the common underlying element of difficult people is fear. By addressing their fear, you move toward a solution. n Do not get upset; it is not your problem. n Do not hate them; be empathetic. n Offer your help. Most people are not persistently difficult; they have difficult moments. We can influence others and keep them on the upper level by practicing three simple behaviors: giving recognition, showing respect and trust, and making others feel relevant. To avoid remaining mired in the lower level, we must either find the internal strength to take the upper path or receive help from others. If you need help, don’t be afraid to ask for it. PM Alfonso Bucero, MSc, PMP, PMI Fellow, is an independent consultant who manages projects in Europe and Asia. He is the author of today Is a good day: Attitudes for Achieving Project success. february 2012 PM nETWORk 25 voices Project Perspectives Advice for Managing Multiple Projects Michael Nadeau, PMP Charanjeet Singh Mark Cundiff Andrew Procca, PMP business analyst and project manager, Irwin Mortgage, Noblesville, Indiana, USA Create a project snapshot in Excel. Column A can be the list of projects; Column B can be the status of each; Column C can be estimated completion dates; Column D can be outstanding issues; Columns E through J can be earned value performance indicators, etc. Each tool is just a high-level template for a project manager to stay on top of multiple projects. Of course, one can modify it to organizational needs and processes. This technique helped me ensure that my projects were moving forward, and I could keep track of progress and understand which areas may need more attention based on performance indicators. project manager, Online Business Systems, Winnipeg, Manitoba, Canada Every project manager, knowingly or unknowingly, manages multiple projects. You might be managing a project big enough to be a program and hence running parallel workstreams within it, which is like managing multiple projects. In the past, I have used simple tools like an Excel sheet to maintain high-level information about each project in one place to give me an overall picture. Having a server-based scheduling/ project management tool is great, but you can manage multiple projects without that, too. Like other things in life, if the projects are not related to each other, then you just have to compartmentalize and switch the “context” of your thinking as you move from tasks of one project to the next. managing director, Nautilus Consulting LLC, Atlanta, Georgia, USA Just as in a single project, finding where resource elements overlap is key to synchronizing and combining multiple projects. In the event that the only common variable is you, I would question the purpose of combining schedules that are otherwise independent. Once you set up an independent schedule for each project, you can then proceed toward how the schedules should best be interfaced and managed. Also, the overall process is going to be influenced by the software chosen, as each has its own peculiarities with regard to combining projects. technical officer, National Research Council of Canada, Winnipeg, Manitoba, Canada information and shortMy rule of thumb is term plans (action three projects or major items) resulting from activities at a time. If low-level interactions, you try to focus on many things can get more, there is a tenlost in the heat of dency to be inefficient battle. as you incur “overhead” n All major decisions each time you transition from one task to should be noted and another. If I truly had organized—particularly more than three projscope changes. n Focus on only three ects active requiring significant attention, then I things a day, keeping would attempt to: a flexible slot available n Delegate as much for critical issues. If I find myself firefightdecision-making down ing all day, I’m not the project hierarchies being effective. Rotate as is practical. n Use a database to through the various projects this way. track meeting notes n and action items in Shed all non-projectaddition to project management-related management softtasks and responsibiliware. The most difties. Otherwise, some ficult work is dealing of your projects can with team members at stall. levels below the detail of the project plan. Without a method to track and manage the 26 PM NETWORK february 2012 WWW.PMI.ORG Patrick Beyer, PhD, PMP project manager, Morgridge Institute for Research, Oshkosh, Wisconsin, USA Get yourself a good project management software package. Microsoft Project and Primavera work well on building multiple projects into one portfolio with shared resources, cost tracking and milestone tracking. That helps, but it’s up to you to be organized, be able to monitor progress and manage change control. Break your tracking into one-day, three-day and seven-day packages so you can get an idea of what is happening today, three days from now and a week from now. Ask yourself, “What are the critical tasks for these periods, and are they on track?” Saadi Adra, PMIRMP, PMI-SP, PMP, PgMP, OPM3® Professional general manager, CMCS Lebanon, Beirut, Lebanon I think organizing multiple projects as a program is only viable if they are related in some sense, so as to share the same benefit. When there are three independent projects, for example, then you must budget your time. If there is no project management office, the key is to have three baselines next to each other on a document—especially the two-week look-ahead for each. Manage the longlead items first, as delay in these will be quite critical. Then identifying your priority for each half-day will be easy. Don’t do anything technical at all, as one technical activity can keep you from managing your projects for days, which is dangerous. You have to macromanage and delegate micro tasks to others. Manjunath Shetty Subbaiah, PMP project manager, UHS Hospitals, Johnson City, New York, USA I am managing the entire software development for a startup and a healthcare IT implementation project. The projects differ in scope, time and resources. I prioritize my time by focusing on what needs attention immediately. At the end of day, I feel a sense of accomplishment. Agile project implementation has been successful where the focus of deliverables is estimated in terms of hours and days, not weeks or months. The moment an estimate is made weeks out, I start to lose focus. I always strive to have a visibility of the next two weeks of deliverables. Otherwise, I will start to lose control. Caroline Herron partner, Caridon Business Solutions, Johannesburg, South Africa If your related projects share resources, align the individual schedules to resource calendars, ensuring that you have minimal resource conflicts. Also, critical path tracking and resource constraint management will help to make sure that you remain on track. Risk management is the most important factor when managing multiple tightly related projects. Dashboards provide key critical information at a glance when questions or issues arise. I found my administrators to be champions when provided with opportunities to shine. Give credit to all your resources who perform well. Good people skills will take you and your teams a long way toward success. Kiumars Mahmoodzadeh project manager, Tam Iran Khodro, Tehran, Iran Today, one of the costreduction methods implemented by companies is to use project managers for several projects at same time. I am managing three projects simultaneously. It’s not easy, takes more time than normal and is stressful—but it’s possible. If your projects are in the mining, energy, aerospace or military fields, these are large initiatives, and it is risky to manage several of them at the same time. One mistake can lead to disaster. My policy to manage multiple projects is to use one worker and several professional team coordinators for all of the projects. That gives me enough time to focus on significant items such as risks and customer communication. february 2012 PM NETWORK 27 voices In the Trenches 10 Mistakes That could Get You Fired A list of the biggest offenses a project manager can make on a software development project. by Sunil Kumar Ojha & Krishnaprasad Bannanje, PMP With heightened competitiveness and ever-increasing pressure to reduce time to market, the tolerance level for mistakes has significantly diminished. Sometimes even a small flub can cost you your job. Here are 10 practices likely to land you a career setback in software development project management. 1 “guesstimating.” A “guess estimate,” also referred to as a “gut feel,” is based on personal intuition and past experience. But even the most strongly held conviction could be faulty. An inaccurate estimate can leave a project team slogging day and night to meet a deadline. The project might finally be delivered on time—but with a huge effort overrun. If time is pressing, use the Delphi technique, which takes multiple views on estimation by various small to medium-sized enterprises and helps remove bias in estimates. Also, applying Delphi iteratively can improve accuracy. 2 ignoring process. “What is the point in creating a release checklist when you know what you are going to release?” you might ask. Or you rationalize, “Let’s be practical: Bugs are going to be there, whatever you do.” But process not only provides predictability, it helps in identifying key areas of improvement. It also offers a disciplined means to collect and report data. By looking at key metrics, a project manager can accurately measure an initiative’s current status and precisely predict future performance. 3 always saying “yes” to the customer. Many behaviors can cause a project to fail, but accepting whatever the client says is sure to spell project doom. Initially, a stakeholder might appreciate your flexibility—but that will be overshadowed later by the impact of possible schedule slippage and unmet objectives. This isn’t to say that you should always tell customers “no.” If you do that, they’ll feel their concerns are not being addressed. Before you commit to something, perform due diligence and analyze the pros and cons of your decision. 4 skipping code review. PM NETWORK february 2012 WWW.PMI.ORG 5 Bypassing unit testing. Like code review, unit testing often falls victim to cutting corners in project execution, especially when there’s a tight schedule. You might think, “This code was developed by experienced professionals; there won’t be any bugs.” But by testing individual modules, integration testing is simplified. Let’s say there are three components, each having three test cases (or conditions). In unit testing, that comes to nine test cases total. If you have to cover all these cases in the system testing stage, you need to have 3 x 3 x 3 = 27 test cases. Also, unit testing can catch defects early in the life cycle, leading to less rework and improved productivity. 6 Forgoing user FeedBack. Defects can result from a misunderstanding of requirements and a misinterpretation of stated requirements. Even if requirements are well-documented, they must be validated for correct understanding. Only by a visual walkthrough of a prototype can users spot the differences in what they expect and what’s being built. Feedback must be planned at various stages throughout a project to reduce risks. These feedback loops will help you spot gaps early and provide enough time for correction. 7 Don’t assume that testing will catch bugs or that defects are fixed faster when you know where code is breaking. You’ll only end up increasing the risk of schedule slippage as the inflow of defects rises during testing and the turnaround time for code fixes increases. Code review helps produce a stable, quality deliverable. Its focus is not only to catch code defects but also to look at critical dimen- 28 sions that may not get caught during testing, such as code optimization and requirement coverage. overlooking change. Change is inevitable, irrespective of the size of your project. Whether good or bad, it must be managed well to ensure the project continues without disruption. Every project must have EvEn thE biggEst ProjEct dEPEnds on thE succEss of thE sMallEst coMPonEnts. EvEry dEtail contains a sEEd that can MEan thE diffErEncE bEtwEEn succEss and failurE. a change control process, and every change request, however small, must go through it. The change’s impact should be documented, approved and presented to key stakeholders so that everyone understands its effect on quality, cost and schedule. For a large project, set up a change control board and have every change request pass through it. 8 9 Keeping problems to yourself. Quite often we face the dilemma of whether or not to deliver bad news to stakeholders. And too often we forget this truth: Clients have a vested interest in the success of the project. They have every right to know any development impacting the outcome of the initiative. sKipping configuration management. Team members commonly have two misconceptions about using configuration management to track and control software changes: It slows down work, or it’s a waste of time. So the first step in implementing an effective configuration process is to raise team members’ awareness about the disadvantages of eschewing a defined process. The second step is installing strict discipline to ensure that every team member adheres to what the plan delineates. You must also schedule regular audits to validate that things are under control and to coordinate the code merge process. 10 leaving the details to developers. This is always a topic of debate for project managers: Should they just focus on pure project management activities such as reporting, cost and issue tracking, or should they also dive into ground-level review and design? There is no correct answer. Even the biggest project depends on the success of the smallest components. Every detail contains a seed that can mean the difference between success and failure. On relatively inexperienced teams, project managers must be involved in the details for key activities. This will help them have better control of the effort as well as provide true status of the project to stakeholders. PM Sunil Kumar Ojha is a Melbourne, Australiabased portfolio delivery manager for operational support systems fulfillment at Infosys, a consulting and IT firm. Krishnaprasad Bannanje, PMP, is the head of client engagement and business development for the embedded mobility solution group for North America and Europe at Neusoft, a software development and IT services company in Dalian, China. february 2012 PM NETWORK 29 30 PM NETWORK february 2012 WWW.PMI.ORG fric special report: AfricA The world’s second-mosT populous conTinenT remains a largely unTapped markeT. The poTenTial windfall is huge—if projecT Teams can manage The myriad obsTacles. HigH risk, HigH reward by saRah fisT ER galE / illu sTRaTiON by NEil WEbb february 2012 PM NETWORK 31 Investors lookIng for projects wIth strong value proposItIons wIll fInd tremendous opportunItIes In afrIca. — Gwendolyn Appel, DAI, Washington, D.C., USA 32 PM NETWORK february 2012 WWW.PMI.ORG he business world has long eyed Africa, but many companies have also been put off by the poor infrastructure and massive poverty. Now, backed by vast natural resources and a surging youth population, the continent is on the verge of living up to its great economic potential. The International Monetary Fund forecasts that Sub-Saharan Africa’s GDP will jump 5.8 percent in 2012. And standouts such as South Africa and Nigeria are drawing the attention— and capital—of organizations launching projects in everything from IT to construction. Yet project management success in Africa requires conquering a host of obstacles. Political upheaval in North Africa, for example, is expected to slow GDP growth in the region to below 1 percent in 2011, down from 4.7 percent in 2010, according to the African Development Bank. Across the continent’s 53 countries, infrastructure needs are massive and frequently prohibitive. In Sub-Saharan Africa alone, the total financing required for infrastructure development is an estimated US$93 billion a year, according to World Bank. China now dominates that market, funding twothirds of all new infrastructure development in Africa in the last five years. But limited local talent and personal safety issues can derail projects if these challenges are not carefully factored into every project and riskmanagement plan. “Investors coming into Africa will be well-advised to understand the nature of the environmental factors that rule in these countries and develop effective strategies for dealing with such factors,” warns Deji West, finance director at Afren Nigeria, an oil and gas exploration and production company in Lagos, Nigeria. “To underestimate some of the complexities resulting from these factors would be to undermine project success significantly.” The obstacles shouldn’t dissuade companies from the abundant opportunities Africa offers, says Gwendolyn Appel, director of project management at DAI, a global development firm in Washington, D.C., USA. “If you are avoiding Africa, even Sub-Saharan Africa, you are missing out,” says Ms. Appel, who oversees the home office operational support team for several projects in Somalia, Nairobi and Liberia. “Investors looking for projects with strong value propositions will find tremendous opportunities in Africa.” Infrastructure Issues show need for change During the 2010 FIFA World Cup, South Africa showed off a dazzling infrastructure overhaul that included new rail lines and roadways, huge stadiums, and an upgraded airport. However, much of the continent remains woefully lacking in even the most basic infrastructure. Solving the massive deficiency in Africa will require an evolution in the way projects are selected, planned and managed, says Dickinson AgyapongBempa, PMP, an Accra, Ghana-based project management consultant. “Many PorTrAITs oF DIckInson AgyAPong-BEmPA By nyAnI QuArmynE infrastructure projects in Africa either fail altogether or are completed but do not meet their objectives,” he says. The reasons? He cites: n Lack of proper risk assessment n Poor stakeholder engagement, especially with local communities n Deteriorating infrastructure n Poor reporting and communication It’s also common for projects to be abandoned midway through due to funding losses or disagreements among builders and financiers. Many countries are littered with half-built roads to nowhere, says Mr. West, president of the PMI Lagos, Nigeria Chapter. A June 2011 report by the Nigerian government revealed that there are more than NGN7 trillion worth of unfinished or abandoned projects in the country. Not only do these false starts and bad investments waste precious infrastructure funds, they also make it more difficult to get new projects off the ground, says Mr. Agyapong-Bempa, president of the PMI Ghana Potential Chapter. “Those failures impact the funding we will receive in the future because there’s not a lot of confidence in the way any projects will be managed.” Such waste could be eliminated if business owners, government leaders and contractors invest in developing project management skills and processes, Mr. West says. But such a transformation may be a long time coming. “The unwillingness to embrace project management as a standard in government suggests that the vision for Nigeria to be one of the 20 best economies by the year 2020 remains unattainable,” he argues. Escape Plans Working in Africa can be dangerous for foreigners. Project leaders must develop education plans, provide secure working and living arrangements, and develop evacuation strategies. For example, when Egypt’s government was overthrown early last year, several companies were forced to pull projects and staff out of the country to avoid getting caught in the unrest. It may be possible to continue the project, leaving day-to-day project tasks in the hands of local employees. Those who remain can safeguard data, act as a signatory on the project’s account to maintain cash flow and otherwise keep an eye on things so that the project doesn’t come to a complete halt. A project team security plan should include the following: An escape route from the project site to the nearest airport or open border, including alternative routes in case roads are closed Yet the situation may also serve as an incredible opportunity to showcase the value of project management to local governments and businesses. “If we had the right project management competency—especially in risk management, communication, project planning and benefits realization—we could derive much more value from our investments,” Mr. Agyapong-Bempa says. Such results could have a cascading impact by proving that African countries are a safe—and lucrative—place to invest project funds, he adds. “Stakeholders won’t continue to give us money for projects unless they see processes in place to ensure effective delivery.” Money Troubles: Cash and Carry The scramble to secure project funding is hardly unique to Africa, but managing the actual cash flow can be a logistical nightmare. Because some African countries have unstable banking systems, placing a large amount of money for several months in a local bank account is inadvisable, particularly with dramatic currency fluctuations, Ms. Appel says. Local organizations sometimes split assets among several banking institutions and/or use large international banks, she adds. At the same time, project leaders need enough cash to pay for materials and contractors to avoid delays. “The key is to have enough cash to operate, without having so much that the bank decides to keep it. You could incur Enough cash on site to facilitate a fast exit for all foreign employees A strategy for dealing with confidential data at the project site and a contingency plan if those files are lost Blackout Periods Consistent, reliable access to electricity is an infrastructure weak spot in Africa—and a constant challenge for project teams. More than 30 African countries face regular power outages. Only 24 percent of Sub-Saharan nations have consistent electricity coverage, according to the African Development Bank. High energy costs have contributed to lowering productivity rates at African companies by as much as 40 percent, the United Nations estimates. Some project teams bring in dieseloperated power generators, says Jens Schleuniger, Africa portfolio manager at VCH, an asset management firm in Frankfurt, Germany. This can cost two to three times more than relying on coal or hydropower, but it eliminates the risk of power outages. 34 PM NETWORK february 2012 WWW.PMI.ORG substantial risk if the money is lost in an unstable situation,” Ms. Appel explains. Project managers must be able to predict cash-flow needs several months in advance, then update those projections frequently to define the funds needed for any one-to-four-week span. As part of that planning process, they should also factor the time it takes to bring money into the country. When DAI works in an African nation with an unreliable or unknown banking system, project managers sometimes minimize the risk by looking to neighboring countries with more stable financial environments. When the company launched a project in Somalia, for example, the team initially set up a bank account and project office in neighboring Nairobi, Kenya until it found an acceptable banking solution in the country. Working with an international banking firm, the team wires funds weekly to members on the ground while maintaining a secure distance. “It gave us a relatively close base of operations and allowed us to start working on the ground very quickly,” says Steven O’Connor, DAI’s director of communications. Think Global, hire local Whether they’re building a highway or creating a high-speed Internet network, companies need project talent—and there Africa is sorely lacking. Although North African countries such as Morocco and Egypt have carved out niches as IT outsourcing hubs, project management skills are in short supply. Much of the continent suffers from brain drain, with many of its most promising people pursuing opportunities in other parts of the world. Africa also faces high unemployment rates, particularly among its younger and best-educated workers, according to the International Labour Organization. Twothirds of Sub-Saharan Africa’s population is under 25, yet this group only represents one-third of the workforce, according to The World Bank. In some countries, such as South Africa, Tunisia and Morocco, youth unemployment rates are three times higher than those of their older counterparts. With such high unemployment rates, foreign organizations that import their own workers on projects in Africa may find themselves stoking tensions. Dickinson Agyapong-Bempa, PMP, on site at a project involving the laying of fiber optic telecommunications cables in the city of Accra, Ghana. “When foreign firms run projects in these communities using all foreign workers, it creates strained relationships with the local community,” Ms. Appel says. That can lead to red tape, permit delays and, in some cases, safety issues. For example, over the last three years, more than 140 foreign nationals have been kidnapped in Nigeria, reports the U.S. Department of State Bureau of Consular Affairs. Foreign project owners in Africa are far more likely to succeed if they hire local talent, according to Ms. Appel. Not only does it help build better community relationships, hiring local workers is far less expensive than bringing in foreign workers. And the workforce is improving: The education and skill level of African workers is steadily increasing, and the sheer size of the available labor pool is substantial. Hiring people familiar with the local customs also increases the chance that community leaders will embrace a project. And project managers can then tap into local networks for information and resources. february 2012 PM NETWORK 35 South Africa’s highspeed Gautrain cut travel time between Pretoria and Johannesburg from two hours to 38 minutes when it began service in August 2011. Project ManageMent’s new Frontier How can we make project management take off in africa? asks Tony Van Krieken, PMP, in the PMI International Development Community of Practice. Oren Whyche-Shaw, PMP, responds: Make greater use of local implementing agencies. Contractors should develop capacity for project management office (PMO) functions. However, few governments are in a position to insist on the PMO function in multilateral development bank (MDB) grants and contracts, unfortunately. Second, most people negotiating the funding don’t have the knowledge of project management nor sufficient appreciation for the value add of the PMO function. And in truth, MDBs aren’t aware or convinced of that value, either. Once MDBs (or bilateral banks) start raising the bar, hiring certified Project Management Professional (PMP)® certification holders in their own shops, and having them write project implementation units and international contracts into funding agreements, then by example, local private consultants and contractors will go for the certification to stay competitive. What do you think can be done to improve project management in Africa? Weigh in at id.vc.pmi.org. 36 PM NETWORK february 2012 WWW.PMI.ORG “It’s always better to try and build capacity in the country, and only bring in expatriates when a skill or expertise can’t be found,” advises Mohamed Noureldin, independent construction consultant and former associate director at Davis Langdon, Maadi, Egypt. On the Mall of Egypt project, he hired Egyptian contractors for all of the excavation, with foreigners and locals overseeing project management and construction. “By using a blend of local and international experts, you can guarantee the quality of the product and the project reporting that you require,” he says. Companies adopting a hybrid approach must be prepared for communication issues, though, Mr. Agyapong-Bempa warns. He worked with vendors in Ghana who brought in foreign laborers who couldn’t communicate with local team leaders, causing delays and daily frustrations. To eliminate this risk, Vodafone assesses the skills and language of all vendor teams as part of contract negotiations. “On a high-value project, you need to be able to communicate with everyone on the team,” he says. the Fine Line Between giFt-giving and BriBery Companies implementing projects in Africa must learn to manage the fine line between a gift and a bribe. “In our culture, when you want to do a project in a community, it is customary to engage the chiefs and elders of the community. In doing so, you may show your respect by bringing gifts to the chief,” Mr. Agyapong-Bempa says. “But this does not align with PMI practices,” such as the PMI Code of Ethics and Professional Conduct. In fact, such gift-giving can be seen as a bribe, which is considered unethical— and is often illegal. “You have to be very clear in your project plans about what acceptable practices are,” Ms. Appel explains. “Bribes can take many forms in these countries, and if you are not careful, you can end up violating the U.S. Foreign Corrupt Practices Act, which can include time in jail.” One way to avoid even the perception of bribery is by requiring sealed bids and using committees to choose contractors. DAI has learned, though, the practice often requires educating local workers. “In strong family communities, it’s not uncommon for people to say, ‘My cousin can do this, so what would we have to do to compete?’” she says. Project owners must strike a balance between showing community leaders respect and hewing to international codes of conduct. Vodafone, for one, outsources this responsibility. When the company needs to acquire a mobile site in a region with such a custom, it partners with a local vendor, who manages the permit (and gift-giving) process on its behalf. PM special report: africa [Case studies ] dAunting chAllenges Three case studies illustrate the obstacles that project teams in Africa face. But they also show that with the right approach to the continent’s unique risks, these projects can deliver real rewards. A Mall Rises as a Regime Falls The 160,800square-meter (1.7-million-square-foot) structure will rank as the country’s largest horizontal mall, complete with an indoor ski slope. A As one of Africa’s more stable and mature economies, Egypt was long considered a relatively low-risk environment for projects. Or at least it was until the 2011 revolution turned the country upsidedown. Project leaders were suddenly confronted with violent riots throughout the capital of Cairo and other Egyptian cities, followed by the overthrow of longtime president Hosni Mubarak. Before the uprising, Mohamed Noureldin was leading development of the EGP4.4 billion Mall of Egypt project in Cairo. Once complete, the 160,800-square-meter (1.7-million-square-foot) structure will rank as the country’s largest horizontal mall, complete with an indoor ski slope. The project team considered many risks during the planning phase, including fluctuation in the price of concrete reinforcement steel and possible changes in regulations. But it didn’t factor in the political climate: “An Egyptian revolution was not in our risk registry,” says Mr. Noureldin, former associate director for Davis Langdon, a global construction consultancy in Maadi, Egypt. At the time of the revolution, the excavation had been completed and construction had just begun. Work was stopped until June, two months after the riots were over, though many project activities continued, including contract development and bidding. The developer, Majid Al Futtaim Holding, has since rebaselined the project to be completed in 2014. “Unstable governments are one of the constant challenges that project owners in Africa face,” Mr. Noureldin says. “You’ve got to brainstorm the eventualities and monitor the political and economic environment regularly to be sure you are prepared.” Although teams can’t predict every revolution, they can take the time to identify the major risks and likelihood of their occurrence. “Explosive inflation, political coups and sudden, dramatic changes in the price of raw materials are some of the risks that project teams have to be prepared for,” he says. Steel price fluctuations, for example, was a predicted risk on the project that the team mitigated by buying the material early to avoid a possible future price increase. n february 2012 PM NETWORK 37 Connecting a Continent L to Europe in a country not designated a hub, Looking to help wipe out the continent’s digital deficit, the project scope can be reduced France Telecom’s Orange partnered with about 20 orgawithout seriously impacting the nizations, including African telecom and development Dakar, Senegal project. The problematic nation companies and governmental agencies, to launch a project could then be connected later aimed at bringing Internet connectivity to nearly two dozen Abidjan, Côte d’Ivoire on, when conditions improve. African nations. Teams are installing a 17,000-kilometer Santana, São Tomé and Príncipe This type of contingency plan is (10,563-mile) undersea broadband cable linking France and particularly important on the ACE project Portugal to 21 countries along the west coast of Africa, because many of these countries may face political from Mauritania to South Africa. instability, piracy or worker safety issues. Scheduled to be completed the second half of the year, the While Orange is overseeing the undersea cable US$700 million Africa Coast to Europe (ACE) Submarine Cable side of the project, each Consortium project will provide costeffective, reliable access to global Teams are installing a 17,000-kilometer nation is responsible for building the coastal facilities necessary to telecom networks for the first time (10,563-mile) undersea broadband Cape Town, South Africa bring the cables onshore. to half of the ACE countries, and cable linking France and Portugal to = Hub When the plan was initially cable diversity to the others. drawn up, Côte d’Ivoire was But getting the cable laid and deemed one of the most stable connected requires keeping everyalong the west coast of Africa, countries involved—hence its selection as a hub. one in sync. from Mauritania to South Africa. But in November 2010, a hotly contested presiden“The biggest issue is coordinatial election spurred a civil war that lasted until April 2011. tion,” says Cynthia Perret, project manager for submarine All this unrest occurred in the midst of construction, threatening to systems deployment at Orange in Paris, France. “We have so derail the project, Ms. Perret says. “A branch connection only affects many partners and stakeholders, and everyone has tasks to that country, but a core connection affects the whole system.” perform.” The team devised an alternative solution to bypass the Côte d’Ivoire The cable network begins in France and ends in South connection, but it would add significant cost and delays. Before the conAfrica, with core hubs in Senegal, Côte d’Ivoire, São Tomé and tingency plan had to be enacted, though, the nation stabilized. Power and Príncipe, and South Africa; other nations will branch off the water were restored, and Ms. Perret feels confident Orange can complete main line. This way, if a situation arises during construction that leg of the project. that prevents the team from making an onshore connection But even with a happy ending, the Côte d’Ivoire experience serves as a powerful case study for any company launching projects in the region. “On international projects of this scope in Africa, the problems you anticipate tend not to be the problems that occur,” Ms. Perret says. The best way to handle such dramatic interludes is to be flexible, stay in close contact with stakeholders and constantly manage the risk registry, she says. In this case, stakeholders in Côte d’Ivoire alerted the project team early on about the need for an alternative plan and kept their French partners abreast of the situation so they could make decisions in real time. “If we didn’t have good communication and a solid project plan, this wouldn’t have worked,” Ms. Perret says. n 21 countries 38 PM NETWORK february 2012 WWW.PMI.ORG Special report: africa [Case studies ] Battling Violence and Funding Gaps for the Greater Good photoS courteSy oF DaviDShepherD.org L Last October, Sport Beattie and his team spent 41 hours in a race across Zambia as part of a rescue effort to save an orphaned elephant whose mother had been killed by poachers. Heavily armed poachers ambushed the project team, and two rangers were murdered in the ensuing battle. In the end, the 6-month-old emaciated elephant was rescued and driven back across the country to the safety of a staging post in the capital of Lusaka. It will remain there until it has regained its strength and is able to be relocated to the elephant orphanage in Kafue National Park. Although such a harrowing event is unimaginable for most project managers, it’s all too typical for Mr. Beattie, CEO of Game Rangers International, a nongovernmental conservation organization. And he contends the financial obstacles can be equally daunting. “Access to the necessary levels of funding and support is the greatest challenge to making any conservation project a success story,” he says. Along with the rescue missions, the organization completed a project to construct a care-and-release facility in Kafue National Park, where orphans are rehabilitated in preparation for joining the local wild elephant population. The team is now in the planning stages to build a nursery facility and education center on the outskirts of Lusaka, set to be completed this year. The need for the orphanage project is clear, as the country’s elephant population shows a staggering decline— one-tenth of its size 50 years ago. But inconsistent funding governs many of the organization’s project management decisions, from the size and timeline for new facilities to the number of elephants they can rescue. It also means that Mr. Beattie and his team must constantly parse their time between caring for the animals, supporting anti-poaching efforts, increasing awareness among local communities and raising funds. “Project management of something like an elephant orphanage project is very threedimensional,” he says. “One must always remain cognizant of the impact each and every decision will have on the project, the overall conservation effort and the local communities. It can be quite a balancing act.” The team has learned the value of flexibility, even for mundane project tasks such as transporting milk powder to the remote bush camp. “Throw a broken-down Land Rover in the middle of the bush, and suddenly some quick decisions need to be made,” Mr. Beattie says. Patience and a willingness to adapt are key ingredients to successful project management in Africa’s remote locales. “Keeping the problem in perspective and maintaining a sense of enjoyment for what you are doing are crucial to your long-term survival as a project manager in this kind of environment,” Mr. Beattie says. “We survive by focusing on the day-to-day challenges and remaining completely adaptable to the situation in front of us.” n 250,000 The number of elephants in Zambia in the early 1960s 25,000 The current number of elephants Kavalamanja, one of the rescued elephant orphans Source: David Shepherd Wildlife Foundation photo © rhoDa-lee aMor february 2012 PM NETWORK 39 EmbEdding projEct managErs in businEss units tiEs stratEgic goals to ExEcution. Good for Business by SaNdRa a. SWaNSON :: PhOTO by jIMMy WIllIaMS 40 PM NETWORK february 2012 WWW.PMI.ORG Robert Kelly, PMP, Red Hat, Carolina, februaryRaleigh, 2012 PMNorth NETWORK 41 USA The old silos are breaking down. Career Path: Business Skills Required It’s not enough to just know the tools and techniques of project management, says J. LeRoy Ward, PMP, PgMP, executive vice president of global learning and development, corporate marketing and consulting at ESI International, a project management training and consulting firm in New York, New York, USA. “These days people hiring managers and business executives want them to have a full understanding of the business they’re working in.” His company partners with organizations that, as a general rule, only assign the role of a project manager to those who have a technical or business background, or who are already in the business unit. “Organizations definitely prefer to have a project manager who knows the business from the ground up,” he says. 42 PM NETWORK february 2012 WWW.PMI.ORG Many organizations are implementing new, less rigid business structures that emphasize collaboration across departments. To that end, project managers working within business units can help provide a big-picture view of the organization—one that sheds light on resource allocation, aids portfolio planning and detects risks. Any disconnect between an organization’s project management staff and its business units causes major problems, says Dave Pratt, PMP, managing partner for DHP Project Services, a project management consultancy in Yelm, Washington, USA. Mr. Pratt stepped in to help a state agency with a US$15 million project that had derailed after six months. It stalled, he says, because the project manager worked for the IT department—even though the initiative supported the agency’s primary revenue-generating business operations. “The project manager did not know who the business sponsor was for the project; the vendor hired to deliver the system didn’t deliver; and the users had been left out of the loop,” explains Mr. Pratt, who also serves as an adjunct professor for South Puget Sound Community College’s project management program. It was a highly technical project, but Mr. Pratt found answers not through the IT department but from the business unit. He says he “prowled the halls of the agency” one day, looking for the project sponsor. “Once I found him, educated him and introduced him to the project manager, the project immediately gained traction,” he says. “A couple of the project’s objectives were deferred until another phase could be started, but the majority of the functionality was brought online,” Mr. Pratt explains. 360-Degree View Having project managers as core members of the business unit has significant benefits—not the least of which comes in portfolio planning, says Robert Kelly, PMP, project manager of global lead management at Red Hat, an open-source software maker in Raleigh, North Carolina, USA. When he worked at the computer manufacturer Lenovo, he was an embedded project manager in the service, sales and marketing department. “The project managers on our team partnered with the product managers to optimize, create and implement new service offerings in our project portfolio,” says Mr. Kelly, also a managing partner at Kelly Project Solutions, a project management consultancy. Product managers are often the ones who analyze the competition, review market trends, and validate their organization’s current capability to provide a roadmap of new services or products to help achieve revenue targets, Mr. Kelly says. “Traditionally this is done in somewhat of a bubble, with little or no input on the viability of the proposed plan from other functions in the organization.” As a result, executives unknowingly sign off on a plan riddled with resource, budget and capabilities conflicts. “And the organization spends the next year trying to move mountains to hit the numbers,” he says. But when project managers are core members of the business unit, the portfolio more accurately reflects the organization. Because project managers work closely with all of the functions in an organization, they often know of systems limitations or other initiatives that could affect the proposed roadmap, Mr. Kelly says. In addition, project managers are often cognizant of similar efforts or vendors’ capabilities, allowing them to combine or more efficiently leverage existing resources. When project managers work across functions, they know the workload undertaken by various departments, including IT, legal and marketing, for instance. “Let’s say a business wants to The First Line of Defense When organizations have a project manager who understands risk management from a business or technical perspective, he or she can help identify and qualify risks to develop a response strategy as well as monitor the risks over time. “It’s amazing how lax organizations are in risk management,” says J. LeRoy Ward, PMP, PgMP, ESI International, New York, New York, USA. “As projects get going and there are so many things to do, they are not diligent enough in their risk management reviews as project milestones occur.” A thorough lessons-learned session at the end of a project will focus on how well the risk management process was conducted during project execution, Mr. Ward suggests. Unmitigated risks can have a ripple effect on an organization’s project portfolio, warns Robert Kelly, PMP, Red Hat, Raleigh, North Carolina, USA. He worked on a project to develop a stand-alone service offering, which was not a core aspect of the organization’s business. The plan included rolling out the service in about 75 countries, but a member of the finance team pointed out that there would be an enormous tax burden for the business in certain parts of the world. “We eventually identified which countries the organization could sell stand-alone service in while not putting the rest of the business at risk,” Mr. Kelly says. “If I was not a part of the business unit, then I would have delivered the service and moved on. However, I was a project manager in the business unit and knew this would have an effect on the entire portfolio.” Delays in project launches, deteriorating vendor relationships and uncovered systems limitations all have an effect on the assumptions and dependency of other projects within an organization. Mr. Kelly uses a bare-bones risk matrix that includes: Risk Item: A description of the risk. Probability: Assign a number from 1 to 100 (with 100 representing the greatest probability). Impact: Assign a number from 1 to 100 (with 100 representing the greatest impact). Priority: Add the numbers for Probability and Impact, then divide by 2. The risks with the highest numbers need to be addressed immediately. Preventative Action: What can be done now? Owner: Who is responsible for the preventative action? Contingent/Response Action: If the event is realized, what is the plan? Owner: Who is responsible for the contingent/response action? february 2012 PM NETWORK 43 Case Study: Prioritization Worksheet Embedded project managers improve the prioritization process, attests Kristen Carney, product manager at Vertive, an online coupon company in Austin, Texas, USA. “When project managers are embedded in business units, companies can launch better products faster.” That includes a more informed approach to making decisions about what gets cut from a project to accommodate demanding schedules. This skill was put to the test when Ms. Carney and her team led a project that required a rapid turnaround. Instead of a typical seven-day turnaround, the company wanted to launch a new website in four days, in time to announce it at an industry conference. Her team, which consisted of two developers and a designer, spent two hours asking questions such as, “What are the top three problems our new site will solve?” and “What are the top three features our site will use to solve those problems?” The process helped uncover features the team wanted for the site but ultimately had to postpone due to their technical difficulty. The site launched on time, Ms. Carney says, because the up-front planning resulted in highly targeted prioritization of the site “wish list.” “Because I knew ahead of time what features would be technically difficult, what were the three most important features and our four-day project goals from the CEO, it was easy to say, ‘Cut improvements to email sign-up so that we can spend more time working on improvements to the display of coupons,’” she says. develop a product that requires new terms and conditions to be created in two dozen countries, and will require that the call centers provide support for their customers,” Mr. Kelly says. “The project manager will be able to work with these groups to understand their contributions, the sequence and timing of these activities, and how that fits into the rest of roadmap.” Additionally, the project manager might know that the legal team is writing terms and conditions for a similar product, or that IT is developing a new functionality for a current product that would work on this project. “Legal is concerned with legal, and IT is concerned with IT,” Mr. Kelly says. “It is the project manager who can provide 360-degree vision of the business goals, market trends and strategic objectives with the tactical efforts of the development teams to both the business and functional managers.” No ChoiCe iN the Matter iN the software ProduCt develoPMeNt iNdustry, aNd iN My orgaNizatioN iN PartiCular, ProjeCt MaNagers are aN iNtegral Part of the busiNess uNits. — Tathagat Varma, PMP, Yahoo!, Bengaluru, India 44 PM NETWORK february 2012 WWW.PMI.ORG Some organizations would never even consider not placing project managers in business units. “In the software product development industry, and in my organization in particular, project managers are an integral part of the business units,” says Tathagat Varma, PMP, senior director of strategic programs and business operations for Yahoo!’s research and development center in Bengaluru, India. “Yesterday’s bloated monolithic organizations were too territorial and inefficient. Ultimately, they became self-serving and slow to respond to changes, let alone proactively manage them.” The solution? Project managers need to manage interdependencies across multiple reporting structures and align all parts to the overall strategic objectives of the business unit, he says. By embedding project managers in business units, an organization can maximize its portfolio’s ROI and navigate complexity. PM PaperP &Proces Negative stereotypes hurt your reputation, discourage team-building and und [stereotype] You’re obsessed w There is no denying that reports are an important part of a project manager’s job description. Between project plans, Gantt charts, financial run-downs, change requests and status updates, the documentation often piles up. “Paperwork and reports in a project are like blood in the human body,” says Nashaat Younis, PMP, a Riyadh, Saudi Arabia-based area project manager at Thales Group, a company specializing in IT systems and security. “Being obsessed with reports is like being obsessed about having a healthy circulatory system in your body.” But project managers may spend so much time compiling, trafficking or presenting these reports that team members and other colleagues start to believe it’s the only role they fill. What internal stakeholders might not realize, however, is that project managers aren’t fans of spending a vast majority of their time on paperwork, either. “I don’t think that project managers are obsessed with paperwork,” says Dimitris Antoniadis, PhD, operations and Pushers by KEllEy HuNsbERgER + illusTRaTiONs by lEON MusscHE s Police ermine your authority. Here’s how to change that image and justify your value. ith reports. compliance manager at Carillion, a construction company in Worcester Park, Greater London, England. “On the contrary, most of the project managers I’ve worked with complain about the heavy levels of company reporting and do not understand the reasons for most of the reports.” Upper management often fuels this stereotype, he adds. “Companies try to reinvent the wheel by rejigging standard reports to such an extent that in the end, they become very cumbersome to produce and easily understand.” Resolution: First, work with your organization to see if it’s possible to minimize the volume of project documentation and manage filtering the information. “There are a handful of reports that are of value,” Dr. Antoniadis says. “The rest unnecessarily repeat information.” Then, clearly communicate to team members the important role the basic reports have in the project. “Paperwork and reports ensure proper controlling and monitoring of the project in addition to future lessons learned, and the most important thing— proper funding,” Mr. Younis says. There are a handful of reports that are of value. The rest unnecessarily repeat information. —Dimitris antoniadis, PhD, carillion, Worcester Park, greater london, England february 2012 PM NETWORK 47 Stereotypical Stakeholders Project managers aren’t the only ones whose reputations sometimes precede them. Stakeholders have acquired some negative stereotypes of their own. Below are two of the most difficult types of stakeholders project managers can find themselves teamed with—and tips for surviving the experience. Maintainer of the Status Quo: Working with a client or key executive who is not open to new ways of thinking or doing things can be especially problematic. “The reason is simple: Projects are dynamic,” says Ethan Huang, EA (Electronic Arts), Shanghai, China. “Teams should be deciding the best way to accomplish the project goals, and that’s an experimental, empirical learning process.” Creating this kind of open environment is a top-down effect. For it to work, stakeholders need to be as open to new ideas as project teams are willing to present them. Ice King or Queen: These stakeholders don’t consider the social factors—such as personality and relationships—that play a role in projects and building a strong team. Stakeholders with this mentality feel they are removed from the project team and therefore don’t need to make that human connection. Instead, they should be embracing it, insists Dimitris Antoniadis, PhD, Carillion, Worcester Park, Greater London, England. Project professionals can break down that “them and us” barrier by inviting the stakeholder to team-building exercises and other project events. In addition, keep in close contact with the individual on a one-on-one basis. “By understanding this behavior very early, try to become the ‘buffer’ between the stakeholder and the team,” he says. 48 PM NETWORK february 2012 WWW.PMI.ORG [stereotype] You’re a control freak. “Some project managers face the stereotype that they’re not only telling people what to do, but also telling them what not to do. And that they’ll use their authorization to punish anyone who doesn’t follow orders,” says Ethan Huang, project manager at EA (Electronic Arts), an online game developer in Shanghai, China. That’s a common misconception of any professional with “manager” in his or her title, he adds. Resolution: Project managers who are a bit controlling should consider a change in attitude. Instead of operating as autocratic leaders who exert absolute power over their teams, project managers can adopt a “servant leader” mentality and encourage respect, Mr. Huang suggests. “Teams are people with feelings, passions and emotions—not ‘resources,’ like 90 percent of project managers call them. You need to trust they’re willing to commit and will try their best to meet their commitment. You need to respect the individuals and understand that they’re usually more junior than you, and thus need your coaching and support badly. Transfer your responsibility from making decisions for the team to coaching them so that they can make their own decisions.” Part of being a servant leader means removing obstacles the team might face. “In Scrum, we have the ceremony of daily stand-up meetings, 15 minutes to discuss what’s going on, what’s next and what might be a roadblock,” he says. “And whenever there is something blocking the team from moving forward, the leader needs to jump in and get the issue sorted out.” As servant leaders, project managers should also work to protect team members. For example, if leadership complains that the team isn’t working overtime like others in the organization, you must ask yourself, “Are you going to transfer the pressure directly to your team and ask them to work more, or are you going to invite executives into a meeting, tell them what’s going on in your team, how hard everybody is working and how great they are?” Mr. Huang asks. “You have to stop leadership from impacting the team morale.” [stereotype] You do everything by the book. Have you ever found yourself saying something along the lines of “Projects cannot deviate from the plan”? Traditional project managers spend a lot of time and effort on a well-detailed project plan—and following it exactly often seems to be the best way to achieve success. In addition, a project manager may be nervous about straying from an organization’s methodologies for fear of being reprimanded. “It is usually lack of training and trust that pushes this stereotype, as well as internal pressures,” Dr. Antoniadis says. “The flexibility of the project manager is dependent upon the room for maneuvering he or she is allowed by senior management.” Resolution: Project managers need to open themselves up to new ideas. “Because we have to deal with different people in every project we undertake, we need to consider if the way we do things is appropriate for the teams and the stakeholders we are working with or for,” Dr. Antoniadis says. These new ways of working may come from a number of sources: books, journals, talking to other project managers or attending project management events. “It should go without saying that project managers should be talking to the project team continuously, exchanging ideas and considering all facts,” he says. And don’t just rely upon more experienced project professionals to discuss tech advances and new ideas, Dr. Antoniadis adds. Young project managers can offer a fresh, open way of thinking that contributes considerably to innovation. “We should be challenging new recruits more about what they see around them and how they would do it differently,” he says. “Then we can implement the good ideas together.” A word of caution, however: “New ideas usually mean ‘change,’ and that needs to be managed,” Dr. Antoniadis warns. “Resistance to change could be from both sides, top-down as well as bottomup, and therefore having a good plan and an ally—someone who is open to suggestions—on both sides is very helpful.” PM Change at the Organizational Level Organizations can do their part to put to rest any misconceptions about their project managers. “Education and training in general will enable lateral thinking,” says Dimitris Antoniadis, PhD, Carillion, Worcester Park, Greater London, England. “Individuals should always be looking for opportunities to improve and broaden their knowledge, and companies ought to be supportive.” Personal development plans, for example, help to identify and honestly address weaknesses, and propose training and education in needed areas. Organizations must also ensure that all parties involved in a project—sponsors in particular—are willing to accept new ideas and changes. One way to go about this: Have a project management office (PMO), with senior management’s full support, audit the various project management approaches used. The review will highlight, without bias, what processes work and which do not, Dr. Antoniadis says. february 2012 PM NETWORK 49 Chang CritiCal Chain and a full kitting proCess provide a muCh-needed boost for a faltering aerospaCe Company. 50 PM NETWORK february 2012 WWW.PMI.ORG ge is in the air by Peter Fretty february 2012 PM NETWORK 51 F For mankind, flight has always been the direct result of phenomenal engineering—starting with the Wright brothers’ successful foray at Kitty Hawk, North Carolina, USA, back in 1903. The industry has grown to become highly competitive with a comprehensive supply chain of technology-advanced firms jockeying to capture market share. The complexity of aircraft has also intensified to the point that most planes today have millions of parts and require numerous companies to produce. Considering the need for continual innovation and collaboration, many successful organizations heavily depend on their engineering teams to guide their forward propulsion. So when the engineering department at Spirit AeroSystems, a company that manufactures airplane parts, regularly struggled to meet its project commitments, the management team at the propulsion structures and systems business segment altered its processes and procedures. “Any missed commitment erodes our credibility with customers. Even more important is the internal cost for late engineering, which can force high overtime rates, supplier expediting fees, rework and potential quality issues,” says Steve Pryor, engineering director of propulsion structures and systems at Spirit in Wichita, Kansas, USA. “We needed to change the way we performed managing product engineering. We came to a point where we needed to make a drastic change. We had implemented various project management initiatives to help improve performance, but these did not provide the change we needed.” In fact, since 1996, the tier-one aerospace component contractor had tried a number of approaches to correct its deficiencies, including lean, knowledge-based engineering, cycle-time and cost reduction teams, 5S and FIFO (first in, first out) work cells. “These were all improvement ideas yielding nominal results. It was not until we took a critical chain project management approach that we have been able to enjoy significant advances,” says Joseph Zenisek, critical chain project manager at Spirit. “We now look at critical chain project management as a true game-changer for us.” 52 PM NETWORK february 2012 WWW.PMI.ORG Links to the Critical Chain PiPelining: This technique to limit the number of active projects is a key element of critical chain. Concentrating resources on fewer projects at one time allows teams to focus and reduces multi-tasking. This not only allows projects to be executed faster but creates capacity to undertake more initiatives. effective Buffering: Typically, a project is planned to be completed 25 percent faster while being protected by a buffer that absorbs individual task variation. Buffer ManageMent: Uniform task priorities are implemented across all departments and levels of management. The focus is on having the right number of resources focused on the right tasks at the right time. Tasks are prioritized based on how they consume the overall project buffer. full Kitting: The approach requires having all the pieces in place prior to moving a project work package forward. This step helps significantly reduce the number of second actions to complete a single stage. “ Although we had a kitting process in place for manufacturing, our new approach is more stringent in that everything needs to be in place before a work package is fully staffed and actively worked. This full kitting system is now being applied to engineering. — Joseph Zenisek photos courtesy of spirit Aerosystems from left, steve pryor and Joseph Zenisek, spirit Aerosystems, Wichita, Kansas, usA The organization implemented two key strategies: 1. Manage resources more effectively according to buffer consumption. Providing projects with buffers helps avoid any padding during the estimation process and can allow for faster execution because work does not expand to fill the time available. 2. Have a resource pool of highly qualified engineers who can provide short-term support as dictated by the buffer consumption. The goal of the critical chain process was to reduce work in progress and create and manage a project buffer to ensure better program visibility and resource management. The new approach also included a comprehensive kitting process for each work package, split into high-level groups such as structural systems. The completion of the full kit is an integration point so that the work package can be fully staffed and actively worked. “Although we had a kitting process in place for manufacturing, our new approach is more stringent. Everything needs to be in place before a work package is fully staffed and actively worked. This full kitting system is now being applied to engineering,” Mr. Zenisek explains. For instance, if the manufacturing project team performs assembly with missing pieces, it eventually has to disassemble some things to fit in the late arrivals. Within engineering, using the full kit process makes sure that data, such as loads, temperatures, pressures and interfaces, are in place so that project teams can complete analysis and design without interruption, rather than allowing information to trickle in and prompt costly changes. february 2012 PM NETWORK 53 Putting the Process to the test An opportunity to prove the mettle of this new approach arose during a project to manufacture pylons for a regional jet customer, one of the first initiatives to incorporate critical chain processes. The first key deliverable was a pylon assembly needed to perform a fan blade-off test. During this test, an engine’s fan blade is rigged to fail to see if it remains contained and to ensure that the engine and pylon attachments do not fail. Comprised of a handful of systems and more than 300 parts (not including fasteners), this task once took 17 months from initiation to delivery, according to Mr. Zenisek. “However, using our project management-focused critical chain approach, we were able to cut three months off of the time allotment,” he says. “This was an 18 percent reduction in cycle time.” That time savings “meant we had figured out how to plan and manage resources far better than ever before,” Mr. Pryor says. When projects involve so many partners—including the original equipment manufacturer, engine supplier and certification agency—any one component or piece of information that runs late can cause delays. This often creates a situation where rush requirements become a necessity downstream. “Critical chain implementation played a key role in enabling value stream customers to fabricate, procure the parts and build the tooling—without paying for overtime or rush expenses—while still meeting the customer-defined deliverable,” he adds. Because teams often complete projects faster, cost can be reduced as throughput increases. But more importantly, it reflects on the organization’s reliability, Mr. Zenisek explains. “We accomplished what we said we could do. We satisfied the customer.” the Whole Kit and caboodle A number of measurable changes in man-hours, resource investments and product costs become apparent when comparing the project to past initiatives. But the overall culture is the most noticeable change at Spirit, Mr. Zenisek says. “The difference is especially noticeable when considering our implementation of an unwavering full kitting step,” he explains. “Before, people would be Uniting Divisions As part of Spirit’s new approach to project management, most programs have integrated product teams with 10 to 15 members. They are now aware of their group’s critical role in supporting the engineering schedule on a project and can see task priorities, which lets them know what needs to happen first. “We have a similar relationship with assembly,” says Joseph Zenisek, critical chain project manager. “We get a pulse of a program by looking at the value stream,” the materials and information required to bring a product or service to a stakeholder. For one customer, the team quickly understood the health of its pylon program by the status of the work package full kit and the rate it was being filled, he says. “Such interconnectivity among organizations can only help improve the relationships among functions going forward,” Mr. Zenisek asserts. 54 PM NETWORK february 2012 WWW.PMI.ORG Critical Chain Reactions May 2010 Critical chain test pylon project begins. October 2010 First drawing released. March 2011 Systems test hardware delivered. April 2011 Last drawing released. July 2011 First key deliverable, a test pylon for a fan blade-off test. August 2011 through 2012 Advanced test and flight test pylon deliveries. yelling for resources. But now they understand the importance of having full kits before they move forward and of staying focused on fewer work packages. We have become adept at addressing near-term deliverables and then moving on to the next item of importance to develop a more systematic approach. Completion has taken on a new meaning at Spirit.” At the same time, the overall sense of urgency has also increased. “The propulsion structures and systems department has seen the escalation of issues,” Mr. Pryor says. “As problems arise, we are more active in communicating. When you are focusing on fewer work packages, you can more quickly address and focus on the deliverable. Issues no longer percolate.” Mr. Zenisek attributes the change in culture to Spirit’s operational structure enabled by the critical chain approach. “We have a steering team that incorporates senior leadership, such as program managers, chief engineers and the general manager’s leadership team, so that they remain actively engaged in our very visible approach to continuously improve and manage our programs,” he says. Teams use software that reveals such items as the percent of the critical chain that has been completed and how much of the buffer has been consumed. This creates an atmosphere where it’s possible to identify and address causes of extensive use of safety buffers, allowing the organization to manage the impact of variation and uncertainty around projects—before problems creep up and impact completion times, Mr. Zenisek adds. In embracing the critical chain project management philosophy, the engineering team had leadership backing, including an endorsement from the vice president/general manager and CTO. However, even with executive support, transformational projects always run into resistance, Mr. Pryor attests. “We had to really build upon the strengths of the culture change as supported by the philosophy. We focused on getting leadership and the lead engineers engaged so that there was an acceptance of the changes associated with our new processes,” he says. “We see this as a journey of constant learning and continual improvement. There is not an endpoint or destination. We are constantly addressing areas of concern to perfect our approach.” Spirit plans to apply critical chain techniques to new programs for its other customers. “The division has gone from being a stress on the organization to being able to support program commitments to a point that it is a best practice within our business segment,” Mr. Pryor says. PM 1 2 3 4 5 6 7 Full Kitting Process Identify full kit items. Review with in-house experts. Customer review. Execute full kit within timelines. Full kit manager accepts full kit, including resources. Full kit review by management. Work package released based on work in progress control. Spirit AeroSystems attributes critical chain project management to a 50% reduction in employee overtime and an 18% reduction in project cycle time for the pylon assembly process. february 2012 PM NETWORK 55 An InsId Job? de Should your program managerS come from your project manager rankS? five expertS diScuSS the proS and conS. by Denene brox It’s time to name a new program manager. Do you find a candidate among your project management ranks or look outside your organization? Not every project manager will make an effective program manager—and not all of them even want to go down that career path. Learning to identify those who can trade the tactical work of managing projects for the strategic mindset essential for successful program management will save you the costly mistake of appointing the wrong person. We asked five professionals how to find those project managers within your ranks with the skills, experience and potential to shine as program managers. The panel also has advice about what to look for in outside hires. What are the benefits of promoting a project manager at your organization to a program manager role? Eric S. Norman, PMP, PgMP: One of the main benefits is the person typically knows the ins and outs of the organization—the political atmosphere and the technology environment, and is aware of how to work effectively within them. Hemanshu Joshi: The internally recruited program manager knows the organization’s influencers and followers and can quickly tread his or her way through the labyrinth, our panel hemanshu joshi, project manager, Dubai, United Arab Emirates 58 erik lukac, operations manager at Cleverlance Enterprise Solutions, a software developer in Bratislava, Slovakia PM NETWORK february 2012 WWW.PMI.ORG eric s. norman, pmp, pgmp, program director and senior principal at SRA International Inc., an IT and strategy consultancy in Atlanta, Georgia, USA pieter oosthuizen, phD, pmp, executive vice president of operations and COO at Thurston Companies, a construction and management firm in Washington, D.C., USA john l. Warren, vice president of strategic business solutions and executive director of the Stanford advanced project management center of excellence for strategy execution at IPS Learning, a project management training firm in San Mateo, California, USA because a rapport is already established. This helps when a program must be launched without delay. With a hire from within, internal stakeholders are confident the individual will perform the task efficiently and deliver results. The stakeholders’ confidence reduces the urge to constantly monitor the program manager’s performance, which might be the case when a program manager is hired from outside the organization. What are the potential pitfalls? Mr. Joshi: Those already established relationships might not always be positive. If the project manager doesn’t have a good rapport with the team, his or her promotion to program manager would hamper the program more than facilitate it. In many cases, the person concerned has been with the organization for a long time, and the organization’s environment affects his or her mindset. Such people might not be able to think creatively; they think within the boundaries of the thought process they were groomed in. Their confined thinking will harm programs if they are not trained, groomed or exposed to new challenges, technologies or practices. Erik Lukac: It could be a drawback if the organization does not have clearly defined processes in place for all areas of program management and is relying exclusively on project management techniques for the management of complex programs. Or if the senior project manager has no experience in managing inter-project dependencies, it would be better to hire an external program manager with the requisite experience. What’s a good Way to judge if an internal project manager is ready for a program management role? Mr. Joshi: I recommend that the project manager have been responsible for delivering multiple large projects that have diverse team sizes, cultures, timelines and technologies. The project manager in question should begin the transition under the supervision of mentors, but gradually he or she should be allowed to work independently, supported by teams. This initial incubation period will help stakeholders evaluate the new program manager’s performance and decide whether or not the person is ready to continue in the position of program manager. John L. Warren: Look at your messiest, most challenging projects and find the project managers or technical leads who excelled in working through the challenges to successful conclusions. You want to find people who keep their cool in a crisis. Mr. Norman: A good indicator is if a project manager has demonstrated competence at producing consistent results at the individual level and is able to interact with leaders at all levels of an organization—including senior executives and board members. Effective communication with all levels of an organization is an important element of a program manager’s role. Recruiting From Within plus: The candidate has an inside knowledge and understanding of the inner workings of the organization—helping to speed up the process. minus: The person could be locked into a limiting mindset about the organization’s culture. plus: Promoting from within may motivate other employees who see that the organization rewards performance. minus: The candidate may have a tendency to approach program management as a very large project. Look For: Project managers who think big-picture and keep the broader program and goals in mind while working on their individual projects. n Candidates with solid records of achievement over the course of their careers. n Those who know how to effectively delegate tasks and don’t get mired in minutiae. n What’s the best Way to groom these candidates? Mr. Norman: Find opportunities for them to take part in larger, strategically important initiatives. Also, clarify the project manager’s vision as to where the program is going, and ensure that the person is aware of the connectivity between the program’s february 2012 PM NETWORK 59 components as well as the program’s importance and alignment with the organization’s strategic objectives. For example, public health programs include a variety of diverse projects. The individual project managers may not be fully aware of the relationships of their efforts to the larger programs. Project managers leading a marketing or datacollection project in one area may not know the details of the overall effort. How a project manager seeks out, learns about and participates within the larger context demonstrates his or her desire and underlying capability for transition to the role of program manager. What are some signals that a project manager Would not be a good fit for a program manager position? recruit your next program manager internally “internal promotions can prove to be a win-win for both the employee and the organization.” head to pmi’s career central to read more. Pieter Oosthuizen, PhD, PMP: Some individuals have a natural “feel” for managing projects and will always excel. However, not all good project managers have the ability to manage at a higher level. Those who are willing to step up and succeed outside traditional boundaries are your best program manager candidates. Project managers won’t make good program managers if they get bogged down in details, are unable to resolve conflicts and have poor people skills. A project manager will focus on the specific project—its scope, goals, resources and completion—while a program manager has to focus on several projects in the same program, all related to achieving a greater goal. Harmonizing several projects is much more difficult than managing an individual project. Take the global fight against AIDS. A project manager in an African country is totally focused on achieving that country’s set goals, whereas a program manager working for the World Health Organization has to manage limited resources for 30 countries and still ensure the overall goals are achieved. A red flag in this scenario is if your project manager spends an inordinate amount of time on one aspect, such as providing AIDS medicine to the last vial, rather than on achieving overall patient-treatment goals. Yes, it is good to manage the details—but not at the expense of the larger program’s success. do you have any success stories of grooming internal project managers into program managers? Mr. Lukac: Yes, two, at my previous job as project management office director at the IT company PosAm. At the time of appointment, each was a senior project 60 PM NETWORK february 2012 WWW.PMI.ORG a program manager has to focus on several projects in the same program, all related to achieving a greater goal. harmonizing several projects is much more difficult than managing an individual project. —Pieter Oosthuizen, PhD, PMP, Thurston Companies, Washington, D.C., USA manager with extensive knowledge of project management techniques and long-term experience in complex-project management. Both had also obtained external certification at the senior project manager level. A further plus: They had worked for the company for a long time and had risen through its ranks, from the developer and analyst level to middle management. They had to extend their knowledge by dealing with various situations related to the management of inter-project dependencies, enterprise-wide allocation of resources, process optimization and change management at the organizational level. They also had long-term experience in communicating with internal stakeholders at the executive level. After approximately one year, they were fully adapted to the program manager role. Mr. Norman: I actually came from the project management ranks. My natural inclination was to gravitate toward program management. I successfully made a smooth transition because I was attracted by and interested in making contributions at the organizational level, looking at the bigger picture and working more closely with senior leadership. What should you look for in outside hires? hoW can you assess their skills? Mr. Warren: For large, complex programs that are new to an organization, an inside candidate with the requisite skills and experience may not exist. If you’re going outside, find a program manager who has actually led and shouldered responsibility for similar types of programs. Do not rely only on a résumé. Talk directly to the sponsors of those programs—people who saw the candidate in action—and determine exactly how much authority he or she had. Ask candidates to walk through a typical week on a large program they led, describing what they did and where they focused their time. Mr. Norman: I ask about a particular individual’s understanding of the difference between project and program management. The answer is often very illuminating. Many project managers perceive programs simply as very large projects. This is not the case. Program management requires a number of skills and competencies that are not necessary at the project level. Most importantly, program managers must be aware of how projects and programs operate and perform together within an organization. What is the most important thing to look for When recruiting for a program manager position—Whether you’re hiring from Within or not? Dr. Oosthuizen: You can only go so far in screening candidates. The presence of real experience with a solid track record remains the best metric to find a good program manager. I believe that everyone establishes themselves for the rest of their careers after about 10 years. Achievements, or the lack thereof, indicate how the person will perform in the future. A good project manager will very quickly build a solid record of achievement, and that is a good starting point in selecting program manager candidates. pm february 2012 PM NETWORK 61 9 Bring It On by MIchEllE bOWlEs JacKsON Nine tips to help organizations implement project management tools. change isn’t always welcome—a fact project professionals know all too well. Even though automated project management tools are intended to make teams more efficient and effective, introducing them within an organization can cause a big shakeup. Executives might see the tool as yet another big-ticket item, while team members might see it as an additional task to eat up their valuable time. These factors are amplified when the tool is implemented in an organization with low project management capabilities. Whether the tool being deployed is a ticket-tracking system, enterprise resource management software program, wiki or mobile app, software decision-makers need to keep these nine considerations in mind. 62 PM NETWORK february 2012 WWW.PMI.ORG 1 Don’t use the tool to increase your organization’s project management abilities. In less projectized organizations, there’s a tendency to purchase a tool and assume it will immediately lead to project management success. “It will not,” asserts Elizabeth Larson, PMP, CEO of Watermark Learning, a project management and business process training and coaching firm in Minneapolis, Minnesota, USA. “Often, these organizations struggle to get projects under control after they go down the path of a tool.” Organizations that gain a solid understanding of project management principles before implementing any automated tool tend to have better longer-term project success rates, she says. 2 realize that process comes first, tools second. Oftentimes, organizations may mistakenly expect automated project management tools to make up for a lack of processes, says Joseph A. Sopko, PMP, OPM3® Professional, Princeton, New Jersey, USA-based senior project management consultant at Siemens Corporate Research, the innovation division of the engineering conglomerate. “If you don’t have standardized and defined processes, the tool is not likely to be used to its full capabilities and deliver the intended benefits.” Organizations should first identify the areas where the tool will apply—project control, planning, scheduling or resource management, for instance—and define processes for those areas. “If you have low maturity, look at the processes recommended by A Guide to the Project Management Body of Knowledge (PMBOK® Guide) or other standards associated with the tool being implemented,” Mr. Sopko advises. 3 Have a clear, specific goal in mind when selecting a tool. From wikis to mobile apps, and from software to cloud-based solutions, there is no shortage of automated tools that can help organizations improve their project management prowess. But the tool must answer a very specific business need. “Tools are not a replacement for improving organizational project management maturity,” Mr. Sopko says. “Higher-maturity organizations tend to gain the most potential benefits from project management tools and information systems.” For instance, after implementing resource management processes within project teams, an organization might want to gain a more efficient way to identify and manage resources. Only then can it determine which tools would be most effective at achieving those goals, he explains. The objective must also be defined in a way that makes the effectiveness of the tool measurable, Ms. Larson adds. Improved reporting capabilities, for example, can be quantified. 4 understand the difference between “capabilities” and “benefits.” A tool can provide all the capabilities under the sun— The person in charge of purchasing and implementing the tool must be able to explain— and then measure—the benefits they are trying to realize with a tool. —Joseph A. Sopko, PMP, OPM3® Professional, Siemens Corporate Research, Princeton, New Jersey, USA but stakeholder groups are more likely to buy in when they see the benefits. The person in charge of purchasing and implementing the tool must be able to explain—and then measure—the benefits they are trying to realize with a tool, Mr. Sopko says. It’s a similar situation as when an organization implements a new IT system. “The new system goes live on time, it provides all the capabilities it was supposed to per the specs, and it was delivered on cost,” he says. “But then you ask the organization, ‘Did you ever get the benefits the system was meant to deliver?’ And they say, ‘No.’ The same thing happens with project management tools.” 5 Speak the language of the executive suite to gain buy-in. The expectations of executive stakeholders must be translated into specific numbers or results, says Panayotis Agrapidis, CEO of Organization Strategic Systems, a portfolio, program and project management consultancy in Athens, Greece. For example, if a portfolio manager wants to gain executive buy-in for a new tool with advanced reporting capabilities, he or she should present hard numbers: n The actual time it currently takes to pull a specific report n The estimated time it would take to pull the same report with the new tool n The estimated report accuracy achieved as a result of the new tool You don’t want just any metrics; you want the data that matters most to senior management. It’s not enough to simply provide schedule or cost variance, Mr. Sopko says. You have to communicate the value of time to the organization. “For instance, if you deliver a project one week earlier or later, what does that mean in terms of increasing or decreasing value to the organization?” he explains. february 2012 PM NETWORK 63 6 Get the team comfortable with the tool. Team members can be hesitant to introduce a new process into their workflow—even if the solution is intended to help make their work lives easier. To further complicate things, they might not clearly communicate any concerns. “Teams that are not used to working with project management concepts might be terrified of a new tool because they think their work will be micromanaged,” Ms. Larson says. “They may react adversely and view it as added bureaucracy and imply that learning a new tool gets in the way of getting the job done.” Address user concerns and build trust by helping team members understand why the tool is being introduced. “If you are asking them to track their time through an automated tool, show that you’re doing it to benefit the team rather than to judge personal performance. For example, tracking the actual status of the project might help gain additional resources for the project team,” she says. 7 Consider interoperability issues. Regardless of the type of automated solution chosen, organizations must assess the potential impact on existing tools, Mr. Agrapidis says. When selecting software, organizations must ensure that it’s capable of exchanging data and interacting with previously installed software and databases. Similarly, any mobile app chosen should provide complete interoperability with installed applications, as well as support both iPhone and Android devices, he says. Teams that are not used to working with project management concepts might be terrified of a new tool because they think their work will be micromanaged. —Elizabeth Larson, PMP, Watermark Learning, Minneapolis, Minnesota, USA 8 Support team members as they get up to speed with the tool. Training team members on the new solution is especially crucial in non-projectized organizations, Ms. Larson says. “Some team members might not understand the concept of the tool and might fear looking foolish if they don’t know how to use it,” she says. “Have someone sit down with the team members to train them on how to use the tool and then provide coaching. You need a supportive environment to gain buy-in.” 9 Treat the tool implementation as a project. Regardless of the type of tool being introduced, the deployment should be planned in the same way as any other internal project, Mr. Sopko says. Adopt a step-by-step approach and set specific targets over short periods of time, Mr. Agrapidis suggests. “Anyone implementing an enterprise project management system, for example, should provide a plan and a schedule for how to get the system up and running. There should also be a program through which the tool delivers benefits and sustained organizational improvement,” Mr. Sopko says. PM 64 PM NETWORK february 2012 WWW.PMI.ORG HelpDesk APPEARANCE OF ANY PRODUCT OR MANUFACTURER IN PM NETWORK DOES NOT CONSTITUTE AN ENDORSEMENT. The New Social Media Contender Google+ enters the fray—and offers a new way to communicate on projects. by Peter Fretty When the number of subscribers for can secondarily facilitate team communica- are more likely to have higher success rates,” Google+ reached 18 million last July, one tions,” says Tres Roeder, PMP, president of Mr. Roeder says. “If organizations want month after it was introduced, the chatter Roeder Consulting, Cleveland, Ohio, USA. well-communicating teams, they need to intensified around whether or not the new “Given the reality that project management understand and embrace the tool capable of offering will be the demise of Facebook. is more about people and communication facilitating this level of interaction.” While that doesn’t seem likely, Google’s than arbitrary tasks and timelines in a soft- social media platform is piquing interest in ware tool, perhaps a social media platform Not So Sticky yet niche environments—and it’s showing great is a better place to start for one’s central Acceptance will undoubtedly be the biggest promise in getting project managers to re- project management software.” barrier to Google+’s widespread adoption, The project failure rate has been highly asserts William L. Weaver, PhD, associate publicized—63 percent of software initiatives, professor in the department of integrated that can secondarily assist with proj- according to The Standish Group’s Chaos science, business and technology at La Salle ect management—whereas traditional Manifesto 2011. Much of that is due to poor University, Philadelphia, Pennsylvania, USA. project management software tools, such communication, Mr. Roeder says, so it may be “Although somewhat raw and still under as Primavera and Microsoft Project, are time for forward-looking project managers to development, the technology and capabili- primarily project management tools that take a fundamentally different approach. ties should not serve as a stumbling block,” think how they use communication tools. “Google+ is primarily a social network Yet for Google+ to realize its potential 625,000 The average number of new users who sign up for Google+ every day he says. “Instead, the challenge seems to within this realm, project leaders need to be both political and cultural. It can be a help stakeholders understand the impor- struggle to get people to abandon what they tance of interpersonal communication. already know or appreciate. However, as the “Research repeatedly shows that orga- next generation continues to enter into the nizations who train more than their peers workforce, the difficulty in embracing Google around leadership and interpersonal skills will rapidly fade.” PM Key CoMPonents of GooGle+ Circles: One of the main differentiators of the Google+ social networking platform, circles allow users to group contacts according to an established relationship. They’re a great way to share relevant content with the right people. Adding a user to a circle is as easy as checking a box and then dragging and dropping. Users can appear in as many circles as you want. On a project, you could have circles for stakeholders, end-users and team members, for instance. This same principle could apply at the program and portfolio level as well. Hangouts: As the video component of Google+, hangouts allow users to bring together up to nine individuals for meetings, whether planned or impromptu. With mobile capabilities, project managers can easily address issues with dispersed team members in a virtual face-to-face manner, no matter where they are. App integration: Users have the option to share information with everyone in an organization, even those they haven’t added to a circle. For example, app users can join hangouts and benefit from added features, including screen sharing and integration with Google Docs. Pages: Much like a user profile, pages serve as a means of hosting content and interacting with others. They could serve as a means of keeping the public apprised of a project’s status. Stakeholders, including end-users, can also use the page to ask questions and offer comment. Once Google activates private pages, they could serve as an internal portal or repository. february 2012 PM NETWORK 65 Career Q&A Prove Yourself These tips will help you show off your competence and presentation skills during an interview. Q: by Lindsay scott I have an interview coming up for a project manager position, and I’ve been informed that it will be competency-based. How can I prepare? A: Competency-based interviews are intended to find out your project management skill level. The questions are “situational,” rather than directly relating to your career history. They’re also specifically chosen so the interviewer can ask the same ones to all the interviewees and compare each response. To prepare, you need to understand what the key competencies are for the role. If these aren’t listed in the job description, refresh your memory by reviewing a competency framework for project management. When preparing for the interview, think about how you demonstrate your abilities, skills, personality, style and approach in each of the key areas. Let’s take two competencies as examples—one that covers technical project management and one that covers behavioral aspects. Question 1: Describe the steps you take when starting to plan a project for the first time. Your Response: Choose a project that had a particularly challenging or complex planning phase. Begin with a brief overview of the project you have chosen, then describe your actions. For example, you might say, “In a previous project, I was responsible for delivering X, and the planning phase started with A, B and C.” The answer should focus on definition, scope, schedule, planning and best practices. You should also clearly convey the favorable outcomes of your actions. Question 2: Can you describe a time when you had to manage team conflict? Your Response: State the situation at the beginning of your answer: “I was leading a team of 20 software developers, and there was a personality clash between two members of the team.” Your answer should continue with the specifics of the actions you took to resolve this conflict and then conclude with the positive outcome. 66 PM NeTWOrK february 2012 WWW.PMI.OrG Tell interviewers what you want them to hear: that you have the experience required to deal with the various challenging situations that arise when managing projects. Q: I’m at the second stage for an interview for a project management post and I’ve been asked to give a presentation. What hints and tips can you give me? A: Giving a presentation during the interview process is becoming increasingly common for project management positions. It is an ideal opportunity for the interviewers to test many aspects of interviewees, including their understanding of subject matter, time management skills, presentation style, communication skills and confidence levels. You will normally receive a brief for the presentation a few days before the interview. Some organizations, however, like to provide Tell inTerviewers whaT you wanT Them To hear: ThaT you have The experience required To deal wiTh The various challenging siTuaTions ThaT arise when managing projecTs. the brief upon your arrival, with instructions to create a presentation within a set timeframe—usually a tight one. Popular presentation briefs for project management tend to fall into two categories: 1. Scenario-based: You are expected to present what your actions would be in a given situation. 2. Document-based: You are expected to analyze and summarize information. With each brief, there will be specific questions posed that you will need to respond to. The key to any successful presentation is structure, time and confidence. Set the scene; do not assume the audience understands what the project is. Cover what was actually done and your part in it, and the outcome and benefits. If you are using PowerPoint or other presentation software, don’t use too many slides. About one slide per three minutes is adequate. Always have an introductory slide that clearly states your name, the title of the presentation and its objectives. The next slide should be a bulleted list of contents that you should briefly summarize. The remaining slides should not be too busy with detail. Instead, keep them bulleted and to the point. Use the slides as a prompt. Handouts can be a good way to leave your mark with the audience; distribute them at the end of the presentation. Don’t just provide a printout of the presentation, though. Because time constraints likely mean you’ll only get to discuss the topic at a high level, include more detail on these sheets. Poor time management is to blame for many unsuccessful presentations. Practice to make sure you’re timing things carefully. Practicing can also boost your confidence level. Once you feel comfortable with the presentation, brainstorm potential follow-up questions you may be asked. Remember, there is often no right or wrong answer to how you choose to interpret the presentation brief—within reason, of course. Instead, it is all about your delivery. PM Lindsay Scott is the director of program and project management recruitment at Arras People in London, England. Send career questions to [email protected]. Send the Right MeSSage Have you found a PM Network® article that resonates with your organization’s strategy? Would you like to share an article with your staff? Can you build your business by sending a related article to your customers? To order a reprint, contact the Project Management Institute at [email protected]. february 2012 PM NETWORK 67 pmiMarketplace HOW TO ORDER Online: Marketplace.PMI.org | Telephone: 1-866-276-4PMI (U.S. and Canada) or +1-770-280-4129 (international) | Email: [email protected] Phone ordering hours now extended until 8:00 p.m. U.S. Eastern Time (GMT -5) Project Management Institute Practice Standard for Earned Value Management—Second Edition Now in a new edition, this standard augments the earned value information in A Guide to the Project Management Body of Knowledge (PMBOK® Guide)—Fourth Edition. It addresses the use of earned value management (EVM) for medium-sized and smaller projects while still being relevant for larger ones. It provides detailed explanations of the basic elements and processes of EVM, and demonstrates how to scale EVM to fit varying project sizes and situations. The standard also provides indepth coverage of more complex EVM subjects. It is filled with graphical examples that allow readers to establish and execute EVM on projects in almost any environment. Project Management Institute, 2011, ISBN: 9781935589358, paperback, 135 pages, $44.75 Member, $55.95 Nonmember Serghei Floricel, PhD, John L. Michela, PhD, and Mark George with Line Bonneau, PhD Refining the Knowledge Production Plan: Knowledge Representations in Innovation Projects Standing apart from other researchers, the authors of this report hold the view that knowledge exists not abstractly in the brain but concretely in the form of external representations, ranging from sketches or email texts to high-resolution images and prototypes. Qualitative research includes the results from interviews with managers in 18 different projects in a variety of business sectors; quantitative research includes results from an online questionnaire that drew 151 responses. This report is rich with information that might serve as a foundation for further investigation or for analysis and development of knowledge representations in practical contexts. Project Management Institute, 2011, ISBN: 9781935589389, paperback, 197 pages, $23.95 Member, $29.95 Nonmember 68 PM NETWORK fEbruary 2012 WWW.PMI.ORG Jim Highsmith Tom Kendrick, PMP Agile Project Management: Creating Innovative Products— Second Edition 101 Project Management Problems and How to Solve Them: Practical Advice for Handling Real-World Project Challenges Written for project leaders, managers and executives at all levels, this book integrates the best project management, product management and software development practices into an overall framework designed to support highly improved speed and mobility. The many topics added in this new edition include incorporating agile values, scaling agile projects, release planning, portfolio governance and enhancing organizational agility. Project and business leaders will especially appreciate the new coverage of promoting agility through performance measurements based on value, quality and constraints. This comprehensive collection explores a wide range of project problems and offers field-proven fixes, practical answers to urgent questions and simple strategies for navigating around obstacles. How-to solutions help readers keep a project on track despite unavoidable interruptions, prevent unreliable outside collaborators from jeopardizing the entire project, manage project teams that have little or no project management experience, make up for lost time without cutting corners, and succeed in the face of threatened budget cuts. Plan-ahead strategies and onthe-fly solutions make this a valuable project adviser and on-the-job troubleshooter. Addison-Wesley Professional, 2009, ISBN: 9780321658395, paperback, 432 pages, $47.50 Member, $49.99 Nonmember AMACOM Books, 2010, ISBN: 9780814415573, paperback, 260 pages, $18.95 Member, $19.95 Nonmember Featured Books Marketplace.pMI.org Monique Aubry, PhD, MPM, Ralf Müller, DBA, MBA, PMP, and Johannes Glückler, PhD Governance and Communities of PMOs M ore and more, large organizations are deploying project management offices (PMOs), not as single entities with broad organizational responsibilities, but as concurrent, multiple entities with individual mandates, functions and characteristics. To date, research efforts have focused almost exclusively on single PMOs. Governance and Communities of PMOs breaks this mold with a report of international research conducted by the authors, who hail from three different countries. The report also provides a new and highly relevant multi-disciplinary approach by integrating the foundations of project management with social geography and innovation, allowing a more revealing analysis. Practitioners and academics alike can read this report, confident that there is something in it for each group. The report’s literature review and conceptual framework is no mere listing of what has been said before. Instead, it’s a comprehensive survey and discussion of the theory surrounding the matter of multiple PMOs. Readers will immediately see the authors’ orientation toward knowledge management as a principal outcome of PMO implementation. To this end, the authors suggest three paradigms for PMOs: islands, networks and communities. They further describe three roles for PMOs in a network—controlling, serving Project Management Institute, 2012, ISBN: 9781935589488, paperback, 106 pages and partnering—each with a different influence on governance and knowledge sharing. The communities of practice is the newest and most revolutionary of the February ITeM OF THe MONTH three paradigms. Readers will see the opportunities it offers and the hurdles it faces aT PMI MarKeTPLaCe During the month of February, purchase this title in current management contexts. from Marketplace.PMI.org at the PMI member price of The report augments theory with four international case studies from the $19.15 (regularly $23.95). Nonmember price $23.95 telecommunications, healthcare, financial and pharmaceutical industries. Each is (regularly $29.95) analyzed in terms of: n context n project governance n PMO formal structure n governance of multiple PMOs n relationships between PMOs n learning mechanisms Graphics illuminate theoretical concepts and summarize case study data in ways that simplify matters that otherwise might be too esoteric or complex. The authors codify their research into a discussion of PMO roles in networks. The conversation culminates with an interesting and revealing “bagel metaphor” that discloses the shortcomings of centrally implemented PMOs. All research is a step on the never-ending path to better understanding. This report is one such step, but one with additional practical value: PMOs are not just a means of corporate compliance and control. They can also be powerful contributors to organizational learning, improvement and success. february 2012 PM NETWORK 69 ServiceS Directory Take advanTage of PM Network’s Pass-along value! Have you found an article in PM Network® you’d like to use as a presentation tool? Would you like to distribute a project management article as part of a newsletter? Contact the Project Management Institute (PMI) for information on reprinting articles ([email protected]) and permission to distribute them ([email protected]). aDvertiSer Directory To receive free information about products or services advertised or listed in this issue, please contact advertisers via their web address below. page advertiser 45 Acumen 71 American Graduate University 71 Bellevue University 71 PM Educate C2 PM Study UrL page advertiser 70,C3 Project Management Institute www.agu.edu 2,7 Project Management Training Institute www.bellevue.edu C4 RMC Project Management www.pmeducate.com 71 University of Management and Technology www.projectacumen.com www.PMstudy.com UrL www.pmi.org www.4PMTI.com www.rmcproject.com www.umtweb.edu “This is no longer science fiction. image courtesy of pcb.com.au We came out of [a space infrastructure] workshop saying, ‘We may very well be able to do this.’” —David Smitherman, technical manager of future space projects, NASA, Washington, D.c., USA closing Credit PRojEcT: Space elevator SPEcificATioNS: 35,786 kilometers (22,236 miles) into space MoTivATioN: NASA will award US$2 million to the team that creates a strong enough cable 72 PM NETWoRK february 2012 WWW.PMi.oRG Rocket power could face competition as the only means to access outer space. Scientists are working on a project to create a space elevator that would act as a cheaper mass transportation system for moving people, payloads and power between Earth and space stations. The current project blueprint involves a tram that climbs a cable 35,786 kilometers (22,236 miles) into space. The cable is balanced by a counterweight in orbit—perhaps an asteroid moved into place for that purpose—and held taught by inertia, much like a guitar string. Plans call for a base tower at the equator about 50 kilometers (31 miles) high, making it vulnerable to high winds. The cable has proved tricky: The project team determined that carbon nanotubes are likely the best bet, but they’re difficult to weave into a tether. NASA (the U.S. National Aeronautics and Space Administration) has promised a US$2 million prize to motivate teams, but so far none have hit the target strength for the cable.