Project Management - A Benefit Realisation Approach

Foreword

Preface

Contents

About the Authors

Projects: A Conceptual Framework

1 What Roles Do Projects Serve in Business?

1.1 The Nature of Projects

1.1.1 The Strategic Triggers for Projects

1.1.2 Implementing Strategy Through Projects

1.2 Trends in Today’s Project Environments

1.3 Current Challenges for Business in Project Management

1.4 Issues with Current Project Management Methodologies

2 A Theoretical Framework for Projects

2.1 Projects as a Class of Process

2.2 The Input-Process-Output (IPO) Model

2.3 Project Outputs

2.3.1 Forms of Outputs

2.3.2 The Concept of an Operand

2.4 Project Outcomes

2.4.1 Outputs Versus Outcomes

2.4.2 Key Categories of Outcomes

2.4.3 Benefits and Outcomes

2.4.4 The 2NY Map for Target Outcome Definition

2.4.5 Baselining

2.4.6 Naming Target Outcomes

2.5 The Input-Transform-Outcome (ITO) Model

2.5.1 The Anatomy of the ITO Model

2.5.2 Accountability in the ITO Model

2.5.3 The Nature of Utilisation

2.5.4 The Impact of Projects on Operational Processes

3 The Structure of a Project

3.1 Project Global Phases

3.1.1 Project Initiation

3.1.2 Project Planning

3.1.3 Project Execution

3.1.4 Outcomes Realisation

3.1.5 Global Phases and Accountabilities

3.1.6 Staged Projects

3.2 The Elements of Project Management

3.3 The Layers of Work in a Project

3.3.1 Above- and Below-the-Line Work

3.3.2 A Project’s Baseline Documents

4 Project and Programme Governance

4.1 Project Governance

4.1.1 Overview of Project Governance

4.1.2 Principles of Project Governance

4.1.3 Project Governance and the Funder

4.1.4 The Involvement of Key Players in a Project

4.1.5 The Structure of the Project Governance Model

4.1.6 Designing a Project Governance Model

4.1.7 Project Governance in an Organisational Context

4.1.8 Project Governance Resourcing Issues

4.1.9 Projects and Contractors

4.1.10 Project Governance and Above-the-Line Resourcing

4.1.11 The Operation of the Project Governance Model

4.1.12 Managing the Project Governance Model

4.1.13 Project Governance and Professional Development

4.1.14 The Project Management Office (PMO)

4.2 Programme Governance

4.2.1 The Conditions Under Which Projects Should Be Coordinated

4.2.2 Alternative Models for Coordinated Projects

5 Stakeholder Management

5.1 Project Stakeholders

5.1.1 The Nature of a Stakeholding

5.1.2 Spontaneous Versus Commissioned Stakeholders

5.1.3 Three Critical Characteristics of Spontaneous Stakeholders

5.2 The Stakeholder Management Process

5.2.1 Stakeholder Identification

5.2.2 Stakeholder Analysis

5.2.3 Stakeholder Engagement Programme Formulation

5.2.4 Deriving a Stakeholder Communications Strategy from the Stakeholder Register

5.2.5 Engagement Programme Implementation

5.2.6 Stakeholder Engagement Monitoring and Control

5.3 Stakeholder Management Tools

5.3.1 The Stakeholder Register

5.3.2 The Stakeholder Report

6 Risk and Issues Management

6.1 Risk Versus Issues

6.2 The Nature of Risk

6.2.1 Risk and Uncertainty

6.2.2 Downside Versus Upside Risk

6.2.3 The Event-Impact Model of Risk

6.3 The Risk Management Process

6.3.1 Managing Threats

6.3.2 The Risk Control Process

6.4 Risk Management Tools

6.4.1 The Risk Register

6.4.2 The Risk Report

6.5 Issues and Their Management

6.5.1 The Nature of Issues

6.5.2 Above-the-Line Versus Below-the-Line Issues

6.5.3 The Issues Management Process

6.5.4 Issues Management Tools

7 Project Attractiveness

7.1 Project Worth

7.1.1 The Analysis of Project-Related Costs

7.1.2 Project Worth: Incommensurate Units of Measurement

7.1.3 Accommodating Both Monetary and Non-monetary Worth Values

7.1.4 Evaluating a Project’s Worth and Return

7.2 Project Riskiness

7.2.1 The Statistical Distribution of a Threat’s Damage

7.2.2 The Uncertainty of Damage from a Project Threat

7.2.3 Calculating a Project’s Riskiness

7.3 The Project Attractiveness Map

7.3.1 The Dimensions of the Project Attractiveness Map

7.3.2 Calculating the Expected Return of a Project

7.3.3 The Effect of Risk Mitigation on Project Attractiveness

7.4 A Project Portfolio

7.4.1 The Project Portfolio Selection Problem

7.4.2 Strategy Implementation Through Project Portfolio Selection

8 Project Success

8.1 The Three-Layered Model of Project Success

8.2 Judging Success

8.2.1 The Nature of a Success Test

8.2.2 Absolute Versus Trade-Off Tests of Success

8.2.3 Assessment

8.2.4 The Project Investment Paradox

8.2.5 Regression Testing

8.2.6 Which Version of the Performance Evaluation Parameters Should Be Used in Regression Testing?

8.3 Project Management Success

8.3.1 The “Iron Triangle”

8.3.2 The “Steel Tetrahedron”

8.3.3 Judging Project Management Success

8.3.4 Project Management Success Rates in Practice

8.4 Project Ownership Success

8.4.1 Judging Project Ownership Success

8.4.2 Using the Project Attractiveness Map in the Test of Project Ownership Success

8.4.3 Project Ownership Success Rates in Practice

8.5 Project Investment Success

8.5.1 Judging Project Investment Success

8.5.2 Using the Project Attractiveness Map in the Test of Project Investment Success

8.5.3 Qualifying Judgements About Investment Success

8.6 Comparing the Three Tests of Success

8.6.1 Variables Used in the Different Tests

8.6.2 Valid Combinations of Judgements About Project Success

8.7 Critical Success Processes (CSP)

8.7.1 Critical Success Factors (CSF)

8.7.2 The Need for an Alternative Critical Approach

8.7.3 The Critical Success Processes (CSP) Model

8.8 Tests of Success as Special Case of the Three-Layered Model

Leading a Project

9 Initiating a Project

9.1 Overview of Initiation

9.1.1 Initiation in Outline

9.1.2 Key Players in Initiation

9.1.3 Key Issues in Initiation

9.1.4 The Relationship Between Initiation and Planning

9.2 Project Identification

9.3 Project Definition

9.3.1 A Project Is Scoped at Two Levels

9.3.2 Overview of the Definition Activity

9.3.3 Setting the Scope of a Project

9.3.4 Defining Target Outcomes

9.3.5 The Project Scoping Toolset

9.3.6 Defining Committed Outputs

9.3.7 Setting Boundaries for Project Scope

9.3.8 Target Outcome Baselining

9.4 Project Analysis

9.4.1 Overview of Analysis

9.4.2 Estimating the Duration of Project Execution

9.4.3 Estimating the Cost of Project Execution

9.4.4 The Project Budget and Cashflow Planning

9.4.5 Assembling and Maintaining the Registers During Initiation

9.4.6 Assembling a Project Communications Strategy

9.4.7 Assembling a Project Governance Model

9.5 Assembling the Business Case

9.5.1 Overview

9.5.2 Packaging the Business Case

9.5.3 A Template for a Business Case

9.5.4 The Structure of the Business Case

9.5.5 The Impact of Planning on the Business Case

9.5.6 Appraising the Business Case

10 Planning a Project

10.1 Overview of Planning

10.1.1 Planning in Outline

10.1.2 The Role of the Project Plan

10.1.3 Key Players in Planning

10.1.4 Key Issues in Planning

10.2 Analysing the Work Involved in Execution

10.2.1 The Work Breakdown Structure (WBS)

10.2.2 Hierarchical Decomposition

10.2.3 Developing a WBS for the Homestead Restoration Project

10.3 Developing a Schedule

10.3.1 The Gantt Chart

10.3.2 Deriving Estimates for Durations

10.3.3 The Schedule of Milestones

10.3.4 Identifying and Managing Time Infeasibility

10.4 Resource Planning

10.4.1 Overview

10.4.2 The Pattern of Planned Expenditure During Project Execution

10.4.3 The Relationship Between a Project’s Cost and Its Duration

10.5 Project Resourcing

10.5.1 Internal Resource Deployment Plan

10.5.2 External Resource Acquisition Plan

10.5.3 Costing and Budgeting for the Project

10.5.4 Identifying and Managing Cost Infeasibility

10.6 Packaging and Approving the Project Plan

10.6.1 A Template for a Project Plan

10.6.2 Gauging the Quality of the Project Plan

11 Executing a Project

11.1 Overview of Execution

11.2 The Project Execution Management Cycle

11.2.1 Project Environment Surveillance (PES)

11.2.2 Project Execution Control (PEC)

11.2.3 Project Baseline Revision

11.3 The Project Governance Model

11.3.1 The Project Manager

11.3.2 The Project Owner

11.3.3 The Steering Committee

11.3.4 Reference Groups, Advisers and Counsellors

11.4 The Forums for Project Execution Management

11.4.1 A Stylised Reporting Package

11.4.2 A Stylised Agenda

11.5 Outputs Closeout

12 Realising Outcomes from Projects

12.1 The Context for Outcomes Realisation

12.1.1 An Overview of Outcomes Realisation

12.1.2 The Duration of Outcomes Realisation

12.1.3 Roles and Responsibilities During Outcomes Realisation

12.2 Facilitating Outcomes Realisation

12.2.1 The Downstream Process Improvement Cycle

12.2.2 The Role of IUMs in the Process Improvement Cycle

12.2.3 Closing the Project

12.3 Outcomes Closeout

12.3.1 The Closeout Process

12.3.2 Project Performance Areas

12.3.3 Preparing for a Closeout Workshop

12.3.4 The Closeout Report

Appendix A An Integrated Glossary of Project Management Terms and Definitions

Appendix B Project Governance: Role Definitions

B.1 Steering Committee

B.2 Project Owner

B.3 Project Manager

B.4 Project Administrator

B.5 Project Control Group

B.6 Project Team

B.7 Reference Groups and Advisers

B.8 Project Assurance Counsellors

B.9 Probity Counsellor

Appendix C Questions for Future Research

C.1 Research Questions on Project Success

C.2 Research Questions on Project Outcomes

C.3 Research Questions on Operations Management

C.4 Research Questions on Project Governance

C.5 Research Questions on Project Scoping

C.6 Research Questions on Project Planning

C.7 Research Questions on Risk

Appendix D Reference List

Index