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Program and PMO: Managing Successful Programs (MSP®) - Book Summary
Posted on Friday, December 19 @ 13:12:01 CST by webadmin

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These are summary notes from the 2011 Edition.

1.       Introduction

1.1.    Purpose of this guide – Represent proven best practices in Program Management

1.1.1.  MSP is based upon 3 core concepts              Principles              Governance Themes              Transformational Flow

1.2.    What is a Program? – A temporary, flexible organization created to coordinate, direct and oversee the implementation of related projects and activities in order to deliver outcomes and benefits related to the organization’s strategic objective.

1.3.    What is Program Management? – The action of carrying out the coordinated organization, direction and implementation of a dossier of projects and transformation activities to achieve outcomes and realize benefits of strategic importance to the business.

1.3.1.  Program Management aligns e key organization elements:              Corporate Strategy              Delivery mechanism for change              Business-as-usual environment

1.4.    Why use Program Management? – To help organization successfully manage complex change

1.5.    The Program Management Environment

1.6.    Types of Programs

1.6.1.  Vision-led

1.6.2.  Emergent

1.6.3.  Compliance

1.7.    Program Impact – Program Impact Matrix:

1.7.1.  Y Axis               Specification-led               Business Transformation               Political

1.7.2.  X Axis               High              Medium              Low

1.8.    When to use MSP?

1.8.1. See Y axis above, or any time there is high level of complexity or ambiguity

1.8.2.  A program is always planned and managed with an end in mind

1.9.    Best Management Practice Guidance – Lists other publications

1.10.Some MSP Terminology

1.10.1.    Corporate Strategy

1.10.2.    Corporate Policy

1.10.3.    Program Governance Strategies

1.10.4.    Program Plans

1.11.How to use this guide

2.       Program Management Principles

2.1.    Introduction – MSP provides a framework for understanding all programs

2.2.    7 Principles

1.       Remain Aligned to Corporate Strategy

2.       Leading Change

3.       Envisioning and communicating a better future

4.       Focusing on the benefits and threats to them

5.       Adding value

6.       Designing and delivering a coherent capability

7.       Learning from Experience

2.2.1.  Remain Aligned to Corporate Strategy              Program and Business Case must be both robust and flexible              Program Management is agile and adaptive

2.2.2.  Leading Change              Leadership must:                     Provide clear direction                     Gain trust                     Engage stakeholders                     Appoint the right people                     Live in uncertainty                     Solve problem and create novel solutions                     Support the transition until new methods are established              The capability that the program will deliver is defined in the Blueprint              Blueprint meets organizations needs              A program is a learning organization              Programs perform better when management assumes an attitude of being learners

3.       Governance Themes

3.1.    Program Organization

3.2.    Vision

3.3.    Leadership and Stakeholder Engagement

3.4.    Benefits Management

3.5.    Blueprint Design and Delivery

3.6.    Planning and Control

3.7.    The Business Case

3.8.    Risk and Issue Management

3.9.    Quality and Assurance Management

3.10.Program Mandate is the first stage of the Business Case

3.11.SRO – Senior Responsible Owner

3.12.BCM – Business Change Manager

3.13.Sponsoring Group

3.14.Program Board

4.       Program Organization

4.1.    Need:

4.1.1.  Roles

4.1.2.  Accountability and Responsibility

4.1.3.  Management and Reporting Structure

4.2.    Program Management is most effective when issues are debated freely and risks are elevated openly

4.3.    Program Board = SRO, Program Manager, BCM

4.4.    Principles for effective leadership

4.4.1.  Create vision of future, communicate and inspire

4.4.2.  Empower decision making

4.4.3.  Commitment and authority to:              Ensure correct resources are available              Influence and engage with stakeholders              Balance program priorities with business              Focus on realization of business benefits

4.4.4.  Skills and experience to actively manage:              Culture and people issues              Finances and conflicting resource demands              The coordination of the projects              Risk identification, elevation and management

4.5.    Sponsoring Group

4.5.1.  Investment decision

4.5.2.  Define direction of the business

4.5.3.  Ensure alignment of program with strategic objectives

4.5.4.  Responsibilities of Sponsoring Group              Provide organizational context of Program              Authorizing program mandate              Authorizing program definition              Participate in end of tranch reviews              Authorize funding              Resolve issues between programs              Authorize strategic direction              Authorize the progress              Lead by example to implement values           Provide commitment and endorsement           Appoint SRO           Authorize Vision Statement           Authorize delivery and sign off

4.6.    SRO

4.6.1.  Responsibilities of SRO               Create and communicate vision               Provide leadership and direction              Secure investment              Ensure program delivers capability, achieves outcome and realizes benefit              Establish governance              Ensure viable business case              Interface with stakeholders              Monitor strategic risks              Maintain alignment with organizational strategy           Assurance and Audit reviews           Ensure program is organized properly           Appoint, Chair and set priorities for program board

4.6.2.  Key attributes of a SRO              Have seniority for the responsibilities and accountabilities of the role              Be proactive and visible as the driving force behind the Program              Possess strong leadership and decision making skills

4.7.    Program Board – Established by the SRO

4.7.1.  Responsibilities of the program board              Define acceptable risk profile and threshold              Ensure program delivers within boundaries              Resolve conflicts between projects              Assure integrity of benefits profile and realization plan              Maintain focus on Blueprint              Provide assurance for operational stability and effectiveness through delivery cycle

4.7.2.  Membership of program board              SRO              Program Manager              BCM              Optional:                     Project Executives                     Representatives from corporate function (like Finance)                     Lead supplier

4.8.    Program Manager – Responsible for leading, managing, set up of the program, delivery of capability, realization of benefits, closure of program.  Business Change Manager – Responsible for benefits realization via their adoption.

4.8.1.  Responsibilities of the Program Manager              Day to day management              Agent on behalf of SRO              Plan, design, and monitor progress              Develop and implement governance framework              Coordinate projects and interdependencies              Manage Risks and Issues              Maintain integrity of Program              Manage budget              Facilitate appointment of individuals to teams           Ensure output of project meets program requirements           Facilitate development of Blueprint           Manage Blueprint – Ensure capabilities delivered align           Manage performance of program team           Maximize allocation of resources and skills           Manage suppliers           Manage communication with Stakeholders           Initiate intervention when gaps found           Report progress to SRO

4.8.2.  Key attributes of a Program Manager              Ability to work positively with individuals and groups                     Program Management Team                     Senior Managers                     Project Team Members                     Third Party Service Providers              Seniority to take on responsibilities required by the role              Strong leadership and management skills              Understanding of wider objectives of Program              Credibility within program and ability to influence              Good knowledge of techniques for planning, monitoring and controlling programs, including risk management              Good knowledge of project management approaches              Good knowledge of budgeting and resource allocation procedures              Ability to find innovative ways to solve or pre-empt problems

4.9.    Business Change Manager (BCM) – Responsible for realizing the benefit by embedding capability into business operations.  Requires intimate knowledge of and credibility in operational business

4.9.1.  Responsibilities of BCM              Primarily benefits focused              Represents business and SRO for:                     Defining the benefits                     Defining the future state of business area                     Assess progress towards realizing benefits                     Achieve measured improvement                     Monitor performance

4.9.2.  Key attributes of the BCM              Drawn from relevant business area              Ongoing operational responsibilities within the business area              Have the confidence of senior management

4.10.Business Change Team – Group that could be formed to help the BCM by guiding stakeholders through the change cycle.

4.11.Program Office

4.11.1.    Plays two roles:           Provide support and guidance to the projects and initiatives           Be the home for governance and control. Includes:                 Standards                 Approvals                 Financial monitoring                 Assurance                 Health Checks

4.12.Program Assurance – Assess certain aspect of program to generate confidence that program is on track

4.13.Additional Governance Roles

4.13.1.    Risk Manager

4.13.2.    Program Accountant

4.13.3.    Design Authority – Some specific SME area

4.13.4.    Benefits Realization Manager

4.13.5.    Procurement Expertise

4.13.6.    Communication Manager

4.13.7.    Resource Manager

4.14.Implementing and Managing the program organization

4.14.1.    There is no one exact organizational model that will fit all programs

4.15.Program Organization within Transformational Flow – Leadership style could vary over the life of a program:

4.15.1.    Identifying a Program           Best led by facilitating, guiding and offering suggestions

4.15.2.    Defining a Program           Style must drive the coordination and ensure best elements emerge from design           Organizational structure document is the output

4.15.3.    Managing the Tranches           Focus is on outcome and delivery           Instructive leadership style is best

4.15.4.    Delivering the Capability           Project Management Skills applied here           The SRO shouldn’t get too involved           BCM satisfied that completed work will deliver benefits

4.15.5.    Realizing the Benefits           Focus is on:                 Communications                 Preparing organization for change           Skills needed – Business Analyst, Planning, Training

4.15.6.    Closing a Program           Close the program and ensure benefits           Management Style:                 Get the job done                 Analyze results                 Deal with people issues

5.       Vision

5.1.    Introduction – A picture of a better future

5.2.    Characteristics of a Good Vision Statement

5.2.1.  Written as a future statement

5.2.2.  Understood by stakeholders – easy to communicate

5.2.3.  Written with broadest grouping of stakeholders as the audience

5.2.4.  Engages the heart as well as the head

5.2.5.  Sets out current reality as part of justification for change

5.2.6.  Matches degree of transformation change with boldness of vision conveyed

5.2.7.  Avoids target dates

5.2.8.  Described as desired future

5.2.9.  Verifiable, but without too many performance targets

5.2.10.    Flexible to remain relevant

5.2.11.    Provides context and direction for Blueprint

5.2.12.    Short and memorable, but relevant

5.3.    Developing and Maintaining the Vision Statement

5.3.1.  Developed by SRO and a select few

5.3.2.  Included in Program Brief

5.4.    Vision within the Transformational Flow

5.4.1.  Identifying a Program – Vision Statement drafted

5.4.2.  Defining a Program – Vision Statement refined

5.4.3.  Managing the Tranches – Act as a beacon.  Used to guide decision making.

5.4.4.  Delivering the Capability – Clear connection for each project initiated

5.4.5.  Realizing the Benefits – Contents of vision statement underpin communication and help motivate change

5.4.6.  Closing a Program – Test is to see if it has been achieved.  Some benefits may remain to be realized.

6.       Leadership and Stakeholder Engagement

6.1.    Introduction – The better the leader, the better the chances of success

6.2.    Nature of Stakeholder engagement and role of leadership - .  Must involve stakeholders

6.3.    Leadership

6.4.    Business Change Management

6.5.    Communications with the projects and other programs

6.6.    Steps involved in Stakeholder Engagement

6.6.1.  Identify Stakeholders – Who

6.6.2.  Create Stakeholder Profiles – Why and what

6.6.3.  Define stakeholder engagement strategy - How

6.6.4.  Planning the engagement – When.  Engagement is more active and embracing than communications.              Objectives of communications process                     Keep awareness and commitment high                     Ensure expectations do not drift out of line                     Explain what changes will be made and when                     Describe desired future              Core elements of successful communications                     Stakeholder identification and analysis                     Message clarity and consistency                     Effective system of message delivery                     Feedback collection system              Stakeholder profiles feed communication plan              Communication Plan should be designed to:                     Raise awareness                     Gain commitment                     Keep informed                     Promote key messages                     Make communications two way                     Understanding of outcome                     Promote outcomes              Communication Plan should answer:                     What are objectives of each communication                     What are the key messages                     Who are stakeholders                     What information will be communicated                     What reaction might stakeholders have                     What do we need to be sensitive of                     When will each communication be delivered                     How much and what detail                     What mechanism                 How will feedback be encouraged                 How will feedback be recorded and reviewed

6.6.5.  Engaging Stakeholders – To Do’s              Engage – Ask….then influence

6.6.6.  Measuring Effectiveness – Results

7.       Benefits Management

7.1.    Introduction – The heart of Program Management.

7.1.1.  Benefit – Measurable Improvement

7.1.2.  Dis-benefit – Measurable decline

7.2.    Alignment of Benefits with Corporate Objectives

7.2.1.  Path to Benefits Realization               Projects create Output               Output builds Capability               Capabilities enable Outcomes               Outcomes realize Benefits

7.2.2.  Programs deliver transformational change as opposed to incremental change

7.2.3.  Benefits management may continue beyond end of Program

7.3.    Benefits Categorization – Benefits should be categorized to ensure a balanced portfolio

o    Why Categorize?

§  Ensure the proper level of risk

§  Reporting and tracking

§  Identify overlaps

§  Track relationship between objectives and benefits

§  Help manage change to priorities

§  Create common set of terminology

§  Enable portfolio level view of benefits

o    Possible categories

§  Value

§  Financial Impact

§  Timeline

§  Level of Risk

7.3.1.  Value – The three E’s is a good starting point for defining benefits:              Economic Benefit              Effectiveness Benefit              Efficiency Benefit

7.3.2.  Financial Impact

7.3.3.  Corporate Objective

7.3.4.  Stakeholder Impact

7.3.5.  Timeline

7.3.6.  Level of Risk

7.4.    Benefits Management Cycle

7.4.1.  Identify Benefits              Use a benefits profile              Possibly consolidate into Benefits Register              Each benefit is assigned to someone

7.4.2.  Plan Benefits Realization              Benefits Attribution              Benefits Validation – should pass 4 critical validation tests                     Description – What is the benefit                     Observable outcomes – What will be the noticeable difference between pre and post program                     Attribution   Where will benefit arise?   Can this program claim benefit?   Is accountability and responsibility clear?                     Measurement – How and when will achievement be measured              Benefits Realization Plan – Should be developed along side Program Plan

7.4.3.  Deliver Benefits Realization – 3 Stages              Pre Transition – Establish KPI and Metrics              Transition – BCM – Monitors performance              Post Transition – Benefits reviews at the end of each tranch

7.4.4.  Benefits Reviews – Benefits should be quantifiable and measurable

8.       Blueprint Design and Delivery

8.1.    Introduction

8.1.1.  Vision statement gets expanded into Blueprint

8.1.2.  Blueprint is not concerned with how to get to the future state.  The how is dealt with when designing project dossier.  Project dossier – Different solutions and routes to get to future state

8.2.    Blueprint Design - Blueprint is model of future organization, its practices and processes and the information it requires and the technology that supports its operation. Blueprint provides Target Operating Model.

o    POTI model outlines what should be in Blueprint

§  Processes - business models, operational costs, performance levels

§  Organizational structure - roles, skills

§  Technology - buildings, systems, equipment

§  Information

8.2.1.  Future State – Blueprint shows intermediate future state.  Blueprint describes the elements of the future organization.  It is the combination of these elements that enable outcome.

8.2.2.  Current State and Gap Analysis

8.3.    Designing the Blueprint Delivery

8.3.1. Options analysis

8.3.2. Optimizing the approach

8.3.3. Step changes through tranches              A Tranch:                     Made up of one or more projects or activities                     Delivers a step change in capability for the organization                     Provides a control point at which program can be redirected or stopped                     Has it’s own Business Case                     The benefit of sequential tranches is the organization can learn from what it has achieved thus far                     More difficult when over-lapping

8.4.    Blueprint design and delivery within the transformational flow

8.4.1.  Identify a Program – Document “as is” state (Blueprint)

8.4.2.  Define a Program              After vision statement              Define “To Be” state (Blueprint)              Done in parallel with developing benefits and the projects

8.4.3.  Managing the Tranches – The Blueprint maintains direction and control

8.4.4.  Delivering the Capability               Provides bases for requirements for the projects              Basis for more details in the project briefs

8.4.5.  Realizing the Benefits – The blueprint provides the “as is” state.  This is the baseline to compare against.

8.4.6.  Closing a Program – Success will be measured on whether capability was delivered as defined in Blueprint.

9.       Planning and Control

9.1.    Introduction – Key to success of any transformation Program

9.2.    Program Plan – Key document.  Provides complete picture

9.2.1.  Resources

9.2.2.  Resource Management Strategy and plan

9.2.3.  Risk Management

9.2.4.  Project Dossier              Project Register includes                     Description                     Requirements and relationship to Blueprint                     Specific outputs required                     Time Constraints                     Dependencies                     Anticipated budget                     The contribution to program benefit              Project Briefs get built from Project Register entries

9.2.5.  Deadlines and Constraints

9.2.6.  Scheduling – The program treats each project as a black box.  Use Dependency Network.

9.2.7.  Priorities              Procurements              Resource Requirements              Early Benefits Realization

9.3.    Program Control

·              End of tranch review are control points

·               Program delivers benefit through outcome

·               Projects deliver output and capability

9.3.1.  Monitoring and Control Strategy              How will maintain governance              Project starts and stages controlled              Interdependencies managed

9.3.2.  Dependency Management              3 Types of dependencies                     Internal – How projects relate to each other                     Intra – Tied to another program or corporate portfolio                     External – Outside all programs.  Like: Legislation or strategic direction

9.3.3.  Starting Projects              Use Project Brief                     Includes          Objective          Scope          Outputs   

Note: You will find this book helpful:

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