Friday, November 11, 2016
2016 Project Management Institute's Thought Leadership - Benefits Realization Management
Thank you to all veterans and active duty personnel for their service. Each of you has played a large part to the safety of our country!
The Project Management Institute (PMI) recently published the new leadership series. One of the reports is Connecting business strategy and project management - Benefits realization management (BRM). While reading the report, I was reminded of taking baby steps. The report confirmed how important benefits realizatin management is to implementing strategy.
The report outlined three factors that contribute to the success of BRM.These are "managing the portfolio of projects, creating dedicated space for dialogue, and establishing the right conditions for success". Each requires a culture shift to effectively manage the organization's strategy.
Managing the portfolio of projects' objectives is to manage projects to the strategy. The project success is good but it must provide value to the portfolio which in turn should drive toward the strategy.
Creating dedicated space for dialogue is fancy speak for the C-suite needs to be engaged. Without support and sponsorship from the C-suite the portfolio will lose traction. The C-suite needs to communicate with the business owners working as sponsors. The sponsors help to translate the strategic objectives into projects.
Finally, establishing the right conditions for success is about changing the culture. Active sponsorship, project managers with the correct skills, and most importantly encouraging actively delivering bad news. All these conditions drive the re-mapping of projects to drive the value of the portfolio.
While I agree with all these premises, the report does not address programs. This is a major oversight as programs are integral to a portfolio. The program helps to drive a strategy or part of a strategy more efficiently than driving each project separately.
By not addressing programs, PMI appears to have forgotten the value of programs. This is worrisome as it delivers the wrong message.
Stay tuned for a synopsis and opinion of the other reports within the Thought Leadership Series.