Project, Program, Portfolio

Management (P3M™)
Framework

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]

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P3M Framework

Agenda

Problem Statement
Industry, Public Sector, and Inside the Organization

Definitions and Linkage

PM, PgM, PfM

P3M Framework
Definition and Objectives

P3M Implementation Methodology

Assess, Recommend, Promote, Implement, Operate

Contact Info
Email, Blog, Bio

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

Problem Statement
Industry and Public Sector

2006 STANDISH GROUP CHAOS 2010 UNITED STATES OFFICE

REPORT OF MANAGEMENT AND BUDGET
46% of application development M-10-25
projects are “challenged,” Too many Government IT
meaning they fail to deliver projects cost hundreds of
results on-time, within budget, millions of dollars more than
or in scope. they should, take years longer
than necessary to deploy, and
deliver technologies that are
2010 IT PROJECT SUCCESS
obsolete by the time they are
SURVEY
completed.
Traditional Projects: 47% are
successful, 36% are challenged,
and 17% are failures.

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

Problem Statement
Inside the organization

 Lack of standardized project management

processes across the organization
 Project Managers leverage various tools for
tracking projects
 No consistent way of deciding how to
allocate investment resources
 Project costs are tracked at various levels of
detail
 No consistent way of monitoring and
controlling project performance
Rob Buhrman, PMP, PgMP, CSM, ITIL
[email protected]
P3M Framework

Definitions
Project Management (PM) – The application of knowledge, skills, tools
and techniques to project activities to meet project requirements.
Projects are temporary and create a certain product, service, or result.
Consequently, project management has a defined time period and results
that can be determined successful or unsuccessful.
Program Management (PgM) – The centralized management of a group of
related projects to obtain benefits and control not available from
managing them individually. Key themes include Benefits Management,
Stakeholder Management, Financial Management, and Program
Governance
Portfolio Management (PfM) – The centralized management of one or
more portfolios, which includes identifying, prioritizing, authorizing,
managing and controlling programs, projects, or other related work, to
achieve specific business objectives. Key themes include Strategic
Alignment, Value Management, Risk Management, Resource Management,
and Performance Management.

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework
Portfolio, Program, Project Linkage

Portfolio Executing the

"right" projects

Executing
Programs projects "right"

Projects Projects Projects

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

P3M Framework Definition and Key Objectives

Project, Program, Portfolio Management (P3M) Framework – A set of policies,
processes, tools, and governance models designed to support organizations in
achieving strategic and tactical benefits from their investments in projects,
programs, and portfolios.

P3M Objectives
• Transparency – Line of sight into decisions, performance, and benefits
• Accountability – Ownership and decision-making thresholds defined and
governed
• Compliance – Comply with organizational and public sector policies, regulations,
and guidelines
• Cost Savings – Eliminate wasteful spending, out-of-control execution, re-
invention, and disconnected operations
• Funds Optimization – Obtain optimal benefits for amount budgeted and
expended
• Benefits Realization – Achieve the intended benefits as described in the business
case

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

P3M Framework Lifecycle

*PgM and PM lifecycles aligned with PMI

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

P3M Framework Implementation Methodology

Supports continuous Assess Leverages industry

improvement to meet best practices and
defined outcomes public sector guidelines

Are we
Are we
doing the
Operate getting the Recommend
right
benefits?
things?

Leverages best-in- Are we Are we

getting doing Achieves
class people, them done them the
well? right way? leadership and
process, and
stakeholder
technology
buy-in and
Implement Promote ownership

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Develop a comprehensive view of the current state

Implement Promote

Are we effectively communicating with

our stakeholders?

Do we have the right How well defined

resources on this Stakeholders are our processes?
effort? Are they Are they being used
trained/certified? effectively?

How are resources being Are we reducing

consumed? What are my Resources Process costs by
risks across the program? streamlining and
standardizing?

Are my projects on time, Performance Technology What systems and

on schedule, and within scope? applications can we use to
Are they achieving planned manage our
benefits? program/projects in a
Are we doing the right consistent, efficient manner?
things to be successful?
How can we improve?

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Leverage industry best practices and public sector guidelines

Implement Promote

Industry Best Practices

• Software Engineering Institute (SEI) / Capability Maturity Model Integrated (CMMI) – Is a model or collection
of “best practices” that organizations follow to dramatically improve the effectiveness, efficiency, and quality
of their product and service development work.
• Project Management Institute (PMI) – Serves practitioners and organizations with standards that describe
good practices, globally recognized credentials that certify project management expertise, and resources for
professional development, networking and community.
• IT Governance Institute – Helps enterprise leaders understand how effective governance can make IT
successful in supporting the enterprise's mission and goals.
• Knowledge Capital and Experience – Leverage external and internal experience assessing, implementing, and
operating PMOs providing best-in-class people, methodologies, and tools.

Public Sector Best Practices

• United Statement Office of Management and Budget (OMB) Direction - OMB requires agency investment
submissions to be justified by rigid cost/benefit analyses. It further requires that full life cycle costing be
used; full funding for costs must be appropriated in advance; cost, schedule, and performance goals be clearly
identified, achievable, and measured using Earned Value Management (EVM); and, that risks be identified.
Recent guidance requires large IT projects to be implemented in 90 to 120 day increments to achieve benefits
sooner and reduce the risk of schedule and cost overruns.
• United States Government Accountability Office (GAO) IT Investment Management (ITIM) - The ITIM
framework is a maturity model composed of five progressive stages of maturity that an agency can achieve in
its IT investment management capabilities. For each maturity stage, the ITIM describes a set of critical
processes that must be in place for the agency to achieve that stage.

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Define current and desired level of P3M maturity

Implement Promote

P3M Maturity Model

Predictive and Optimized

· Proven full life-cycle P3M framework is

Outcome
implemented, enforced, and integrated into
organizational culture
Level 5 · Predictive analytics used at all levels of
organization for transparency and accountability
· On-going program to institutionalize best
practices has been implemented

Measured and Managed

Output
· Formal and standardized P3M metrics collected
Level 4 to support the portfolio governance process
· Risks, outcomes, benefits, and business
strategy/mission value quantified and managed
Maturity

Defined/Standardized
· Policy, process, and methodology formally established
and communicated for projects, programs, and portfolios
Level 3 · Programs and projects defined with appropriate business
and technical objectives
· PMO chartered to support the framework

Input
Visible But Reactive
Level 2 · Management has gained and communicated an awareness of
the need for project management
· Organization is in the process of learning and repeating certain
techniques and methods from project-to-project as needed

Initial/Ad hoc
Level 1 · Aware of need for project structure and risks of poorly managed projects
· Use of project management techniques left to the individual

Adoption
Rob Buhrman, PMP, PgMP, CSM, ITIL
[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Develop an opportunity matrix and sequence plan

Implement Promote

Opportunity Objective Outcome/Benefit Timeframe

Provide Develop and implement standard report Consistent information and ability to Short term
consolidated templates and provide procedures for their rollup results from projects to
status and use programs to portfolios
financial Establish a reports repository for historical Ability to show trends which helps Short term
reporting reporting and tracking focus on future improvements
Implement an automated reports Less resource workload and easily Long term
portal/dashboard for all stakeholders to accessible by stakeholders
access and drill down on details
Improve the Develop procedures for developing a project Standardized project schedules which Short term
ability for schedule using WBS, dependencies, and can be assessed using critical path
projects to resources and require it for all projects methods and can be viewed across
deliver on projects to see resource leveling
schedule and issues
on budget Develop procedures and implement a an Best practice for preventing project Mid-term
while integrated baseline review of all new issues before the project begins
meeting projects to assess schedule, cost (estimates),
requirements technical, and resource risk
Implement an ANSI 748-b compliant earned Ability to monitor, control, and Long-term
value management system (EVMS) forecast scope, schedule, and cost
variance early in the project lifecycle
Rob Buhrman, PMP, PgMP, CSM, ITIL
[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Communicate the benefits of P3M to leadership and stakeholders

Implement Promote

Buy-in
[Sustained Usage of P3M
Framework]
Sustained
communications Participation
to leadership and
[ Leverage P3M Artifacts]
stakeholders
selling the value
of P3M Commitment
[Stated Desire for Improvement]

Awareness
[Recognition of the Problem]

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Perform market research and alternatives analysis

Implement Promote

Total 5-Year Investment Total 5-Year Investment

Total Year 5 Investment Total Year 5 Investment
Total Year 4 Investment Total Year 4 Investment
Total Year 3 Investment Total Year 3 Investment

Total Year 2 Investment Total Year 2 Investment

Total Year 1 Investment Total Year 1 Investment

$0 $500,000 $1,000,000 $1,500,000 $2,000,000 $0 $5,000,000 $10,000,000

Planview - Onsite PlanView - SaaS Sikich (Assistance PSA) - Onsite Sikich (Assistance PSA) - SaaS

Total 5-Year Investment Total 5-Year Investment

Total Year 5 Investment Total Year 5 Investment
Total Year 4 Investment Total Year 4 Investment
Total Year 3 Investment Total Year 3 Investment
Total Year 2 Investment Total Year 2 Investment

Total Year 1 Investment Total Year 1 Investment

$0 $2,000,000 $4,000,000 $6,000,000 $0 $400,000 $800,000 $1,200,000

Tenrox - Onsite Tenrox - SaaS Unanet - Onsite Unanet - SaaS

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Stand up organization structure and charter governance bodies

Implement Promote
Vision/
Mission
C-Suite/ Board of Directors/
Office of the Director Oversight Agency

Strategic
Line of Business/ Alignment
Executive Steering
Program Office Committee

Strategic Initiatives
Business
Alignment
Initiative Investment Review
Initiative Initiative Program Board
Management
Initiative Office (PMO)

Portfolio
Benefits
Alignment
Program/Project
Program/Projects Advisory Board

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Achieve small successes first, then increase complexity, risk, & benefits
Implement Promote

Program Management

Initiate Plan Execute, Monitor, and Control Closeout

Iterations
Successfully
- Charter Implementation Migrate to
the To-Be
- Market
Vision and
research
Realize Key
- Alternatives Maintain/
Requirements Design Build Test Deploy Benefits that
- Business case Operate
Achieve the
- Acquisition
Business
Strategy
Iterations

- Inventory projects, resources,

Transformation
skills
- Develop policies, standards, Define Develop UAT
Define Develop and
procedures, templates Application Test
Configuration Execute
- Analyze and plan for data clean Process/ Scenarios/
Values Training
up and conversion Workflow Scripts

Iterations

- Identify Stakeholders and

Communication and Change Management
Communications Plan
Execute Communication and Change Management
- Develop Comm and CM Plans

Iterations

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
 Assess
P3M Framework

P3M Framework Methodology

Operate Recommend

Support operations, stakeholders, and governance

Implement Promote

* Representative graphic from http://www.planview.com

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]
P3M Framework

Contact Information
Robert M. Buhrman, PMP, PgMP, CSM, ITIL
[email protected]
Mr. Buhrman has over 16 years experience in IT and management consulting in both the
commercial and public sector. He was most recently the program manager for a large business
management improvement program, helping to transform a $800 million fee-for-service
Federal program into a best-in-class service delivery organization. He has led several
implementations of performance and project management solutions providing key insights and
improvement to customers’ business. Mr. Buhrman also has experience supporting
organizations with their migration to modernized systems including PMO and acquisition
support tasks. In addition, he has experience performing assessments of project performance
including the areas of planning, quality, and process assessments.

Mr. Buhrman’s implementation experience spans the full systems development lifecycle,
including planning, requirements, design, development/configuration, testing, training,
deployment, sustainment, and project management activities in support of enterprise resource
planning (ERP), commercial off-the-shelf (COTS), and custom-built enterprise solutions. He also
recently led a project management team supporting Agile development.

Mr. Buhrman is one of a small number of Project Management Institute (PMI) certified Program
Management Professionals (PgMP)® worldwide. He also is a certified Project Management
Professional (PMP)® since 2005 and a certified ScrumMaster® since 2011.

Rob Buhrman, PMP, PgMP, CSM, ITIL

[email protected]