Aligning Project Outcomes with your Strategic Direction

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Aligning Project Outcomes with your Strategic
Direction A paper presented by Chris
Cartwright Perth August 2002
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Project Steering is all about Project Governance
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Project Business Perspective

• Scarce resources are steered into the most
  desirable business direction
• Projects are initiated and procured in a
  business-oriented manner
• Benefits for the customer as well as for the
  organization are considered
• A suitable Sponsor is appointed

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Project Organizational Perspective

• The project sponsor is responsible for
• Managing Strategically Important Project
  Interfaces
• Making Business Decisions about the Project
• Managing the Project's Business Opportunities
• Managing the Project Scope and Project
  Procurement
• Exercising Leadership and Acting as a Role Model

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Project Organizational Perspective

• The project sponsor is responsible for
• Managing Strategically Important Project
  Interfaces
• Making Business Decisions about the Project
• Managing the Project's Business Opportunities
• Managing the Project Scope and Project
  Procurement
• Exercising Leadership and Acting as a Role Model

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Project Organizational Perspective

• The project sponsor is responsible for
• Managing Strategically Important Project
  Interfaces
• Making Business Decisions about the Project
• Managing the Project's Business Opportunities
• Managing the Project Scope and Project
  Procurement
• Exercising Leadership and Acting as a Role Model

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Project Organizational Perspective

• The project sponsor is responsible for
• Managing Strategically Important Project
  Interfaces
• Making Business Decisions about the Project
• Managing the Project's Business Opportunities
• Managing the Project Scope and Project
  Procurement
• Exercising Leadership and Acting as a Role Model

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Project Organizational Perspective

• The project sponsor is responsible for
• Managing Strategically Important Project
  Interfaces
• Making Business Decisions about the Project
• Managing the Project's Business Opportunities
• Managing the Project Scope and Project
  Procurement
• Exercising Leadership and Acting as a Role Model

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• Project Management Function
• Sponsor ensures people are assigned roles in the
  project management function ie
• Person responsible for the first phase
• Project manager
• Other members of the project staff,
• These people are responsible for delivering
  results according to the agreements made with the
  project sponsor

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• Project Human Perspective
• Sponsors should
• Provide Leadership
• Make clear decisions
• Act as a Role Model
• Be the source of inspiration

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Risk and Product Lifecycle
Product Lifecycle
Project Lifecycle
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A simple governance gating model
Feasibility
Planning
Close
Execution
A Gate is a FORMAL Business Decision
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Make decisions when a change of state occurs
TG0 Change from Line to Project way of
working TG1 Change from high level/options to
detail TG2 Change from plan to
actual TG3 Change from uncertainty to
certainty TG4 Change from project issue to
organisation issue TG5 Close the project
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Possible Decisions

• Pass Gate and continue with re-confirmed goals
• Do not pass, go back and repeat X
• Do not pass, go to close and terminate project
• All decisions have equal weight/correctness

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Ability to change v Cost of Change
Cost of Change
TG3
Ability to Change

Project Life Cycle
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Example of a checklist for a tollgate meeting
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Thank you for your attention Questions?