Executive Overview
Does Your Organization
Support, Ignore or Obstruct
Project Management?
John Censor
PCI GLOBAL INC
®
Computer Simulation Training
© 2004 PCI Global Inc. All rights reserved
Executive Overview
This presentation is an overview of initial
findings from a 1.5 year on-going study
conducted by PCI Global, an international
Project
Management
training
and
consulting company;
Charter Global PMI R.E.P.
Projects in Today's Marketplace

Projects do not appear or exist in isolation.

They are developed in an organization by a
perceived need from senior management that a
change in process or product is required.

Planning,
resourcing,
implementing
and
controlling these projects cause changes in that
organization.
Projects in Today's Marketplace (continued)

The projects in turn, are impacted and changed
by that organization.

In some organizations the pattern of these
decisions and choices is consistent and known;
in others they vary and may come to light months
later

The net effect is that every organization, whether
they intend to or not - supports, ignores or
obstructs projects.
Projects Today

WHAT ABOUT YOUR ORGANIZATION ?
Who was involved?

The study was conducted with 100 practicing
team members and project leaders from several
of PCI’s Fortune 500 clients.

Plus another 82 People from Company “L”.

The findings raise serious questions about the
way organizations manage projects and

The clarity of internal communications around
those projects.
Previous Studies have focused on:

How many projects complete, abort or finish.

Individual project managers actions and attributes
needed to achieve success.

Multiple studies of the “#1 Reason for Project
Failures”
Astonishing New Results

No previous study has focused on the
impact of the organization and its senior
management on project management
effectiveness.

These findings were NOT predictable.
Our findings suggest…

The greatest impact or predictor of project success is
whether senior management – knowingly or
unknowingly – supports, ignores or actually
obstructs project progress.

The study also reports on project manager’s
complaints and recommendations to improve overall
performance.

Concludes with project manager recommendations
to improve overall performance
The Study

The study consists of fourteen questions rating
all aspects of a participating company’s
corporate project effectiveness.

We cannot report all 14 today !
The Study

The study is embedded in an advanced course,
‘Bottom Line Project Leadership’, that asks all
participants to fill in the form.

Based on a computer simulation of a complex,
technology
project.
Models
activities,
resources, costs. Compresses 6 months of
project life cycle into 3 real time days.

Because Over 90% of participants fill out
survey and answer truthfully.

For this reason, we believe the results are
much more credible; and the findings more
significant.
Here’s how we will work…

I will present a question

You can guess the answer

Then I present the actual results
Here comes the 1st question…
Taking Our Organization’s
Project Management Pulse
1. My role in project management is
currently as a:
a.
b.
c.
d.
e.
Project Team Member
Project Manager
Project Sponsor
Line Manager working with a project team
Other
The Study Response
My role in project management is
currently as a:
40% a. Project Team Member
41% b. Project Manager
c. Project Sponsor
3%
Taking Our Organization’s
Project Management Pulse
2. In our organization, a project manager
obtains resources by:
a. Using senior management and/or sponsor support
to get the appropriate people
b. Taking whatever people are offered
c. Fighting for the best people
d. Negotiating with Line Managers for the best people
The Study Response
In our organization, a project manager
obtains resources by:
L= 38%
33%
46%
6%
a. Using senior management and/or sponsor
support to get the appropriate people
15%
d. Negotiating with Line Managers for the best L= 44%
people
b. Taking whatever people are offered
c. Fighting for the best people
L= 13%
L= 4%
Taking Our Organization’s
Project Management Pulse
3. In our organization, the authority of the
project manager comes from:
a.
b.
c.
d.
The immediate supervisor of the Project Manager
Within himself/herself
The Project Sponsor and/or senior management
Documented job description
The Study Response
In our organization, the authority of the
project manager comes from:
a. Immediate supervisor
42% b. Within himself/herself
47% c. The Project sponsor and/or senior management
4% d. Documented job description
Taking Our Organization’s
Project Management Pulse
4. After the project is launched, our
project sponsors:
a.
b.
c.
d.
Micromanage
Become practically invisible
Are involved only when a crisis occurs
Are actively involved throughout the duration
of the project
The Study Response
After the project is launched, our
project sponsors:
3% a. Micromanage
24% b. Become practically invisible
c. Are involved only when a crisis occurs
44%
25%
L=6%
L=11%
L=33%
d. Are actively involved throughout the duration L=50%
of the project
Taking Our Organization’s
Project Management Pulse
5. How effective is the Project Management Office
in your Organization?
a.
b.
c.
d.
e.
Little or no impact on improving project performance
Moderate impact on improving project performance
Good impact on improving project performance
Very effective impact on improving project performance
Not applicable (no project management office
currently exists)
The Study Response
How effective is the Project Management
Office in your Organization?
16% b. Moderate impact on improving project
25%
9%
43%
performance
c. Good impact on improving project
L=25%
performance
d. Very effective impact on improving project
performance
e. Not applicable (no project management
L=67%
office currently exists)
Taking Our Organization’s
Project Management Pulse
6. In the culture of our company, the person
most likely held accountable for the final
results/outcomes of the project
management effort are:
a.
b.
c.
d.
e.
Project Team Members
Project Manager
Line Managers involved
Project Sponsor
Everyone involved
The Study Response
In the culture of our company, the person
most likely held accountable for the final
results/outcomes of the project
management effort are:
a.
Team Members
73% b. Project Manager
c. Line Managers involved
3%
d. Project Sponsor
6%
e. Everyone involved
L= 10%
L= 49%
L= 9%
L= 1%
L= 31%
Taking Our Organization’s
Project Management Pulse
7. Employees who are assigned to a project team
(either full-time or part-time) have a performance
evaluation conducted by:
a.
b.
c.
d.
Their Line Manager only
Their Project Manager only
Both the Project and Line managers
Both the Project and Line Manager, together with
a review by the Project Sponsor
The Study Response
Employees who are assigned to a project
team (either full-time or part-time) have a
performance evaluation conducted by:
52%
8%
30%
8%
L= 40%
a. Their Line Manager only
b. Their Project Manager only
c. Both the Project and Line Managers
d. Both the Project and Line Manager,
L= 0
L= 47%
L= 13%
together with a review by the Project Sponsor
Taking Our Organization’s
Project Management Pulse
8. What skills do you think are most important for
project managers in our organization:
a.
b.
c.
d.
e.
Technical knowledge
Risk management
Cost management
Soft (HR) skills
Overall business knowledge
The Study Response
What skills do you think are most important
for project managers in our organization:
16%
12%
5%
34%
33%
a. Technical knowledge
L= 4%
b. Risk management
L= 22%
c. Cost management
L= 13%
d. Soft (HR) skills
L= 52%
e. Overall business knowledge
L= 9%
Taking Our Organization’s
Project Management Pulse
9. What % of your projects come in on time?
a.
b.
c.
d.
e.
f.
0% to 10%
11% to 20%
21% to 30%
31% to 40%
41% to 50%
51& to 60%
g.
h.
i.
j.
k.
61% to 70%
71% to 80%
81% to 90%
91% to 100%
Have no knowledge
The Study Response
What % of your projects come in on time?
a. 0% to 10% L= 20%
g. 61% to 70%
b.
11% to 20%
h. 71% to 80%
c.
d.
e.
f.
21% to 30%
31% to 40%
41% to 50%
51& to 60%
L= 7%
i. 81% to 90% L= 20%
j. 91% to 100% L= 20%
k. Have no knowledge L=33%
Every other % came in with single digits
The highest was (k) at 44%, (h) was 14%
Taking Our Organization’s
Project Management Pulse
10. What % of your projects come in on budget?
a.
b.
c.
d.
e.
f.
0% to 10%
11% to 20%
21% to 30%
31% to 40%
41% to 50%
51& to 60%
g.
h.
i.
j.
k.
61% to 70%
71% to 80%
81% to 90%
91% to 100%
Have no knowledge
The Study Response
What % of your projects come in on budget?
a.
b.
c.
d.
e.
f.
0% to 10% L=20%
11% to 20%
21% to 30%
31% to 40%
41% to 50%
51& to 60%
g. 61% to 70% L= 7%
h. 71% to 80%
i. 81% to 90% L= 13%
j. 91% to 100% L= 26%
k. Have no knowledge L= 33%
Every % came in with single digits
The highest was (k) at 64%
Taking Our Organization’s
Project Management Pulse
11. What % of your projects meet
requirements/specifications?
a.
b.
c.
d.
e.
f.
0% to 10%
11% to 20%
21% to 30%
31% to 40%
41% to 50%
51& to 60%
g.
h.
i.
j.
k.
61% to 70%
71% to 80%
81% to 90%
91% to 100%
Have no knowledge
The Study Response
What % of your projects meet
requirements/specifications?
a.
b.
c.
d.
e.
f.
0% to 10%
11% to 20%
21% to 30%
31% to 40%
41% to 50%
51& to 60%
g. 61% to 70%
h. 71% to 80%
i. 81% to 90%
j. 91% to 100%
k. Have no knowledge
Again every % came in with single digits
The highest was (k) at 64%
L= 9%
L= 9%
L= 36%
L= 45%
Taking Our Organization’s
Project Management Pulse
12. My current evaluation of the overall success
(including implementation) of project
management in our organization is
(scale of 1-10 - please circle a number)
Poor
1
Moderate
2
3
4
Good
5
6
7
Excellent
8
9
10
The Study Response
My current evaluation of the overall success
(including implementation) of project
management in our organization is
(scale of 1-10 - please circle a number)
1 vote (1-2)
54% (3-5)
44% (6-8)
0
(9-10)
Complaints – Top 5

“Ballpark” estimates are being turned into firm
targets (29%)

Team members are consistently pulled off current
projects (21%)

Project team is made up of ‘whoever “ is available
(20%)

Insufficient team and human resource skills

No project prioritization (14%)
Recommendations

Greater support by senior management

Better balance of resources across projects

Better scope definition; Get requirements

More ‘buy-in’ from part-time team-mates

Train Sponsors

Standardized Methodology

Stop Scope Creep etc., etc., etc.
So, does your Senior Management
and Corporate Culture Support,
Obstruct or Ignore Project Work?
Conclusion:
Senior managers do not realize
the impact of each of their
decisions on project results.
Conclusion:
There is lack of communication
between senior management and
project sponsors on one-side, and
project
managers
and
their
teammates on the other.
Conclusion:

Senior management may not understand the
wasted dollars and consequential team
burnout results from these decisions; plus
added risks.

If one project costs $100 million dollars and
fails, the company (with an assumed pre-tax
profit of 10%) must earn an additional one
billion dollars – just to return the loss to
shareholders.
Conclusion:
Clearly, every organization in
some way obstructs or ignores
projects; even when they believe
they are supporting them.
But, they don’t…
Strange Side Effects

Responses to requests to add the survey
after these initial studies.
A Happy Outcome

One client – Aerospace /Defense

Company ‘L’
Next Steps…
Need Help

Need more organizations to survey

Is your organization a good candidate to study ?

Need to schedule 100 people for the exact same
class – exact same Pulse Survey

Contact me for help to explain this unique study
concept

What your organization will get out of it

PCI has hard copy in article form or as a ‘White
Paper’ for distribution and study.

Going to put this presentation on Chapter website
WHAT YOUR ORGANIZATION WILL
GET OUT OF THIS

Clear comparison with normative data

Detailed, up to date company-specific information
about what is working – what is not

Worst case: 100 well trained Project Team Leaders

Best Case: Eye opening results
Management to start change process

Concrete specific recommendations from the Project
Managers in the trenches
for
Senior
www.pciglobal.com
®
Computer Simulation Training
John Censor
PCI GLOBAL
411 Hackensack Ave
Hackensack, NJ 07601
jzcensor@pciglobal.com
201.489.9200
Thank you!