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Project Management Principlesfor Shared ServiceImplementationsDan Rubenstein, DirectorChevo Consulting, LLC1

PMBOK based project management discipline will effectShared Service project successProject PlanDevelopmentIntegratedChangeControlProject ontrolStakeholderEngagement*2

My JourneyInsurance and reinsuranceB.S in AccountingCFO OfficesTechnical TrainingProductManagement andHelpdeskvSyracuse UniversityLawrence GroupMBA InformationSystemsProductDevelopmentEDS SystemsEngineering DevelopmentERPImplementationAmericanSecurity BankO&M SupportKPMGFinancialModernization ty of MarylandKPMG ConsultingBearingPointDeloitteFederal SharedService Focus3Chevo

Agenda Shared service historyShared service todayProject Management ChallengeFocus Areas ComplexityIntegration Management for a shared service projectsPMO OrganizationsAgileStakeholder management4

Governments has a history of usingFederal Shared Services1980’sPayroll SharedService1990’sDoD SharedFinancial Services2000’sFinancial SharedService CivilianExecutive BranchCurrent challenge surrounds making the financial systemsshared service model work for larger CFO Act agenciesThe Office of Financial Innovation and Transformation hasrecently issued the Federal Agency Migration EvaluationProcess5

Momentum increasingM-13-08 Improving Financial Systemsthrough Shared Services6

Value PropositionShared Service Efficiency Shared Service Providers offer systems to support commonly usedaccounting and administrative activities Mission requirements are still better managed and controlled by individualagencies and programsCurrent administrationpolicy is directingagencies to invest inshared technologies foradministrative systems.Agency’sAdminSystemsMissionSystemsUse of Shared Services7

PROJECT MANAGEMENTVALUE

Project work in a Typical Shared Service ImplementationProjectImplementation GovernanceDeliverable(config egratedProject TeamRequirementsand TestDataConversionManagementCoordinationPRISMWork StreamsPAYROLLOtherOperations

PMBOK competencies are relevant to these implementations Expect Shared Service providers to focus on the technology and operations– Effective program management is still an agency responsibility– Still a work in progress for finding who provides the Directive PMO for theimplementations Financial system are complex projects– Major systems with many touch points– Expect to encounter stakeholders with unique communications needs Mistakes cost money– Shared Services will not immunize Government from quality or costs issues– GAO recently reported that “IT projects too frequently incur cost overruns andschedule slippages, and result in duplicate systems while contributing little to missionrelated outcomes”.Project management, the application of knowledge, skills and techniques toexecute projects effectively and efficiently. It’s a strategic competency fororganizations, enabling them to tie project results to business goals

Focus - ComplexityPMBOK provides tools for Navigating Complexity (Navigating Complexity: APractice Guide” helps practitioners and organizations understand and addresscomplexity in projects) Complexity is not simple to define– Which is more complex a Boeing 747 or a Cucumber?– (Man can build a plane but have yet to assemble a vegetable) Shared Service Project Complexity is driven by– Traditional PMBOK Measures (size, technology, organizational complexity) Assessing the complexity of the effort (starter questions)– Will there be Variation in customer needs and demands driven by mission?– Will there bee a need for change in silo-oriented cultures?– Are the requirements fixed or a evolving?– What is known about the system interfaces?– What is known about conversion?11

Focus - Integration ManagementThe processes and activities needed to identify, define, combine, unify,and coordinate activities within the Project Management ProcessGroups.Unify, consolidate, articulate, and integrate actions crucial to projectcompletion, managing stakeholder expectations, and meetingrequirements.It Involves making tradeoffs among competing objectives and managinginterdependencies.OMB has challenged Agencies to unleash their problem solvers to makeshared services successful12

Key Artifacts for Integration ManagementCharter: Clearly defined roles and responsibilities for eachorganization, including skills and experience required to dothe jobProject Management Plan(PMP): Unambiguouslydescribe how the project management processes willwork ( e.g. schedule management, status reporting, andchange control)ScopeProject Scope: Include Product Scope to describe the requiredfeatures of the system what is not included and project scope iswith defining the work of the project. (e.g. How much workforcerelated changes are included) Develop projectcharterMonitor and controlproject workProject Integration Management Develop project management plan Perform Integrated change controlDirect and manageproject executionClose project orphase

TRIVIA BREAK

Project Management Trivia – Where was Henry GanttBorn?InventorOf Chartwith thesame nameGantt charts illustrate the start and finish dates of project activities also showthe dependencies (predecessors and successor tasks) relationships betweenactivities15

Gantt BirthplaceA.B.C.D.New YorkMarylandVirginiaWashington, DC16

Project Management Trivia – Born in Maryland!Henry LaurenceGantt, A.B., M.E.(May 20, 1861 –November 23,1919) born inCalvert County,Maryland17

Focus - Project Management OrganizationsAll types of PMO’s have a role in shared service implementationSupportive Supports Agency projects using a “center of excellence” approach whichprovides templates, guidance in navigating the agency SDLC, tooling,and best practices for project and program managers.Agency support PMO’s may have little influence on serviceprovider deliverables and low degree of control on the serviceprovider. (Service providers bring there own methods)Directive Directly manages the project. Controls and executes the project. Mayfind PMO at the SSP and the Agency.Challenges: Difficult to find PMO teams with Agency and Providerexperience to consistently plan and execute these projectsControlling Requires that projects comply with project management standards.Monitor compliance and establish reviews.May not have tailored processes for a financial shared serviceimplementation. (no project management road-map)

Focus - Role of Agile in ERP projects Agile project management provides techniques to usewhen directing and managing project execution– Use when it makes sense to break work up into manageablesegments– Iterative and IncrementalCorrectDeployIntegrated TestPlanningBuildingTesting

Focus - Leading Practices for Stakeholder Management for Shared ServiceRecognize your stakeholders. Internal and external stakeholders.External Stakeholders include Congress, Treasury FIT, OMB,employee unionsScale to the work required. Plan separate resources fortraining, change management and communicationactivitiesManage the relationship. It is more than establishing SLA’s, agenciesmust actively participate in the governancefor the solution Stakeholder ManagementIdentify Stakeholders – identifying Plan Stakeholder Management –everyone affected by the work or itsdeciding how you will engage withoutcomes.the stakeholders.Manage Stakeholder Engagement – Control Stakeholder Engagement –communicating with stakeholdersmonitoring the overall relationshipsand fostering appropriateand adjusting your strategies andstakeholder engagementplans as needed.

How will your organization do? Is the right PMO in place? Does it have people with the right experience? Are you keeping up with PMBOK?Predictable Results in UnpredictableTimes Stephen R. Covey“In the Tour de France, the race is won in the mountains. In the same way,whether in business, education, or government, the successfulorganization is the one that gets predictably good results in uncertaintimes”.The mountains in are the most unpredictable part of the race.

Q&A22

PMBOK based project management discipline will effect Shared Service project success. Project Plan Development Integrated Change Control Project Plan Execution Schedule Management Cost Management Plan Stakeholder Management* Manage Stakeholder Engagement * Control Stakeholder Engagement 2. My Journey. 3. Chevo v