Presentation

Report
© Mill Beck Consulting 2014
MEASURING THE VALUE
BEHIND YOUR PPM
SYSTEM
Build, Measure & Deliver
1
Speakers
2
Mark Woodward
Director
Mill Beck Consulting
Rebecca Leadbitter
Sales Director
Sciforma
Agenda
3


Introduction
The Business Case
 Building
the business case
 Delivery considerations
 Measuring the results

PPM Capability for end-users
© Mill Beck Consulting 2014
Sciforma
4




1980 : USA / PSN
1986 : Europe
2003 : PSNext
2013 : Sciforma 6.0

150 employees / 30M$
500 000 users worldwide
1000 customers

Publisher, consultancy, training, support


© Mill Beck Consulting 2014
Sciforma functional scope
5
6
Building the Business Case
© Mill Beck Consulting 2014
Business Case
7
“A business case is a contract between the
sponsors of an initiative and the organisation
– give us these resources and we will deliver
these benefits.”

Explicit attention to benefits
 Define
 Achieve
 Prove
© Mill Beck Consulting 2014
Efficiency gains

Reduced time in capturing information
 Timesheets
 Status
 Risks,



issues, etc.
Less time reconciling conflicting
documents
Ease of generating reports
Consistency across reporting
© Mill Beck Consulting 2014
Operational Reasons

Drive a project culture change

Free up PM/PMO time for added value

Distributed locations

Large or growing portfolios
© Mill Beck Consulting 2014
Strategic Support



Projects and programmes deliver strategic
change
Absorb large amounts of capital and
resource
Ability to view and analyse status and
performance of initiatives is critical
© Mill Beck Consulting 2014
Benefits
11
Must make sense to the decision
makers and be measurable
Strategic
managers
• Will be looking for guaranteed
delivery
Delivery
managers
• Will be looking for control and
visibility
Finance and
governance
• Cost control
• Visibility, early warnings
12
Delivery Considerations
© Mill Beck Consulting 2014
It’s a Change Initiative

Are you targeting
 Outputs?
 Behaviours?
 Values?


New policies?
Need for organisational structure
changes? New job/role descriptions?
Don’t forget to include time and
effort for communication, training
14
Measure the benefits
© Mill Beck Consulting 2014
Get the measure of measures
15





Units
How is it
measured?
Baselines
Targets and
tolerances
When to start,
when to stop
Transition
Performance
18
16
14
12
10
8
6
4
2
0
Oct
Nov
Dec
Jan
Honeymoon
© Mill Beck Consulting 2014
Feb
Mar
Apr
Jun
Jul
Aug
Ramp-up
Intermediate targets
Possible Measures
16
Efficiency
Operational
Strategic
Time reporting
Immediacy of reports
Improved project
delivery
Data entry
Frequency of projects
in amber/red
No. of benefits
successfully realised
Report generation
Recovery time for
troubled projects
Value of benefits
realised
Projects going over
budget/time
© Mill Beck Consulting 2014
17
PPM Capability for end users
© Mill Beck Consulting 2014
Strategic
managers
• Will be looking for guaranteed
delivery
18
Live project health across the
portfolio
 Are projects aligned with
company strategy?
 Quick identification of pinch
points
 Ability to stop the wrong
projects

Portfolio Manager
Project health check
19
Where are the pinch points?
20
Delivery
managers
• Will be looking for control and
visibility
21
Ease of generating portfolio
reports.
 Ease of project assurance
activities.
 Consistent project processes.

PMO
Portfolio shift
22
Delivery
managers
• Will be looking for control and
visibility
23
Time / Financial impacts
PMO
Project
initialisation
Align the
2 systems
projects
= 400
hours= 6400 hours
Time impact : 1
2 person
people xx 42 hours
hours ×× 100
16 weeks
x 100
projects
Financial impact : £350 daily rate x 400 hrs + 6400 hrs/7.5 hrs per day = £317 333
Delivery
managers
• Will be looking for control and
visibility
24
Ability to provide timely status
reports
 Is project on target (time, cost,
effort)?
 Real time project progress
 Real time consolidated budget
reports

Project Manager
Real time project financials
25
Delivery
managers
• Will be looking for control and
visibility
26
Project Manager
Time / Financial impacts
Preparing
Time Entry the status report
Time
person
x 2 xhours
x 16 weeks
× 100 projects
= 3200 hours
Time impact
impact :: 1
300
people
15 minutes
× 48 weeks
= 3600 hours
Financial
Financial impact
impact :: £350
£350 daily
daily rate
rate xx 3200
3600 hrs/7.5
hrs/7.5 hrs
hrs per
per day
day =
= £149,333
£168,000
Delivery
managers
• Will be looking for control and
visibility
27
Control over supply & demand
 Quickly identify teams under and
over capacity allowing quick
decision making
Resource Manager

Identify under / over capacity
28
Delivery
managers
• Will be looking for control and
visibility
29
Time / Financial impacts
Resource Manager
Schedule Synchronisation
Time impact : 2 people x 30 minutes × 16 weeks x 100 projects = 1600 hours
Financial impact : £350 daily rate x 1600 hrs/7.5 hrs per day = £74,666
Finance &
governance
• Cost control
• Visibility, early warnings
30



Cost Control
Earned Value Management
Aggregation of all project costs
Workflow to enforce decision gates
Earned Value reporting
31
Enforce decision gates
32
33
Conclusion
© Mill Beck Consulting 2014
Any Questions?
34
Mark Woodward
Mill Beck Consulting Limited
Rebecca Leadbitter
Sciforma
+44 (0)7788 414553
+44 (0)203 147 4723
[email protected]
www.millbeckconsulting.co.uk
[email protected]
www.sciforma.co.uk
© Mill Beck Consulting 2014

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