Using the Project Management Maturity Model

Strategic Planning for Project Management

Harold Kerzner

• Editore: Wiley
• Anno: 2019
• ISBN:
  9781119530800
• Edizione: 3
• Argomento: Technology & Engineering
• Categoria: Industrial Engineering

The industry validated Project Management Maturity Model developed by Dr. Harold Kerzner—updated and expanded

Using the Project Management Maturity Model offers assessment tools for organizations of all sizes to evaluate their progress in effectively integrating project management along the maturity curve. This Third Edition includes maturity metrics, examples of Project Management Maturity Model (PMMM) reports, a new chapter on the characteristics of effective PMMM, assessment questions that align with the PMBOK ® Guide—Sixth Edition, all-new illustrations that define advanced levels of maturity, assessment tools for organizations using traditional PM methods, and detailed guidance for organizations using Agile and Scrum.

Using the Project Management Maturity Model: Strategic Planning for Project Management, Third Edition is broken down into three major parts. The first part discusses the principles of strategic planning and how it relates to project management, the definition of project management maturity, and the need for customization. The second part details the Project Management Maturity Model (PMMM), which provides organizations with general guidance on how to perform strategic planning for project management. The third part of the book looks at some relatively new concepts in project management such as how assessments can be made to measure the firm's growth using PM 2.0 and PM 3.0.

• Features customizable maturity model assessment tools for organizations of all sizes
• Includes assessment questions updated to line up with PMBOK® Guide—6th Edition
• Offers detailed guidance on applying the maturity model for Agile and Scrum
• Includes PowerPoint decks to aid in teaching the maturity model

Using the Project Management Maturity Model: Strategic Planning for Project Management, Third Edition is an ideal book for senior level and middle level corporate managers, project and team managers, engineers, project team members, and business consultants. It also benefits both business and engineering students in courses on advanced project management.

CHAPTER 1
The Need for Strategic Planning for Project Management

Introduction

For more than 50 years, American companies have been using the principles of project management to get work accomplished. Yet, for more than 40 of these years, very few attempts were made to recognize project management as a core competency for the company. There were three reasons for this resistance to project management. First, project management was initially viewed as simply a scheduling tool for the workers. Second, since this scheduling tool was thought to belong at the worker level, executives saw no reason to look more closely at project management, and thus failed to recognize the true benefits it could bring. Third, executives were fearful that project management, if viewed as a core competency, would require them to decentralize authority, to delegate decision-making to the project managers, and thus to diminish the executives’ power and authority base.

Misconceptions

As the twenty-first century approached, project management began to mature in virtually all types of organizations, including those firms that were project-driven, those that were non–project-driven, and hybrids. Knowledge concerning the benefits project management offered now permeated all levels of management. Project management came to be recognized as a process that would increase shareholder value.

This new knowledge regarding the benefits of project management allowed us to dispel the illusions and misconceptions that we had believed in for over 40 years. These misconceptions or past views are detailed next, together with current views.

Cost of Project Management

• Misconception: Project management will require more people and increase our overhead costs.
• Present view: Project management allows us to lower our cost of operations by accomplishing more work in less time and with fewer resources, without any sacrifice in quality or value.

Profitability

• Misconception: Profitability may decrease.
• Present view: Profitability will increase.

Scope Changes

• Misconception: Project management will increase the number of scope changes on projects, perhaps due to the project manager’s desire for extreme creativity.
• Present view: Project management provides us with better control of scope changes. Good project managers try to avoid unnecessary scope changes.

Organizational Performance

• Misconception: Because of multiple-boss reporting, project management will create organizational instability and increase the potential for conflicts.
• Present view: Project management makes the organization more efficient and effective through better application of organizational behavior principles.

Customer Contact

• Misconception: Project management is really “eyewash” for the customer’s benefit.
• Present view: Project management allows us to develop a closer working relationship with our customers. This can lead to increased business opportunities.

Problems

• Misconception: Project management will end up creating more problems than usual.
• Present view: Project management provides us with a structured process for effectively solving problems.

Applicability

• Misconception: Project management is applicable only to large, long-term projects such as in the aerospace, defense, and construction industries.
• Present view: Virtually all projects in all industries can benefit from the principles of project management.

Quality

• Misconception: Project management will increase the potential for quality problems.
• Present view: Project management will increase the quality and value of our products and services.

Power/Authority

• Misconception: Multiple-boss reporting will increase problems related to power and authority.
• Present view: Project management will reduce power/authority problems.

Focus

• Misconception: Project management focuses on suboptimization by looking at the project only.
• Present view: Project management allows us to make better decisions for the best interest of the company.

Project’s End Result

• Misconception: Project management delivers products to a customer.
• Present view: Project management delivers business solutions to a customer.

Competitiveness

• Misconception: The cost of project management may make us noncompetitive.
• Present view: Project management will increase our business (and even enhance our reputation).

Project Management Becomes a Strategic Competency

As senior management became more knowledgeable about project management, the misconceptions subsided and appreciation and understanding of how project management could benefit the organization grew. Today’s view of project management includes the following:

• Project managers should no longer consider themselves as simply managing a project. Instead, they should see themselves as managing part of a business.
• Project managers are now expected to make both project- and business-related decisions, whereas previously most business-related decisions were made by the project sponsor or governance committee.
• Project managers are now managing both strategic as well as tactical projects. Previously, strategic activities were assigned to line managers rather than project managers.
• Project management is now seen as the delivery system for achieving strategic business objectives.
• Project management produces deliverables and outcomes that can be converted into business benefits and business value.
• Companies that wish to prepare for the future perform a study every year or two to determine which four or five career-path positions are an absolute necessity for the company to survive. Project management often makes the list and is now regarded as a strategic competency rather than just another career-path position.
• As a strategic competency, project managers are expected to have a better understanding than their predecessors had concerning the business itself and strategic planning.

General Strategic Planning

Strategic planning is the process of formulating and implementing decisions about an organization’s future direction. This is shown in Figure 1.1. It is vital to every organization’s survival because it is the process by which the organization adapts to its ever-changing environment and achieves its strategic objectives. The process is applicable to all management leve...

Indice dei contenuti

• Cover
• Title Page
• Copyright
• Preface
• Introduction
• CHAPTER 1 The Need for Strategic Planning for Project Management
• CHAPTER 2 The Need to Plan for Project Management Maturity
• CHAPTER 3 Customizing the PMMM
• CHAPTER 4 An Introduction to the Project Management Maturity Model (PMMM)
• CHAPTER 5 Level 1: Common Language
• CHAPTER 6 Level 2: Common Processes
• CHAPTER 7 Level 3: Singular Methodology
• CHAPTER 8 Level 4: Benchmarking
• CHAPTER 9 Level 5: Continuous Improvement
• CHAPTER 10 Sustainable Competitive Advantage
• CHAPTER 11 Advanced Project Management Maturity Assessments
• CHAPTER 12 How to Conduct a Project Management Maturity Assessment1
• CHAPTER 13 Using the PMMM to Extract Best Practices
• CHAPTER 14 Case Studies
• Appendix The Kerzner Project Management Maturity Model
• Index
• End User License Agreement