Ingo Kusch, PMP
Systems Manager, GBS Innovation
Email: kusch.i@pg.com
Phone: +(49) 6173-30-5327
Global Project Management
The Web Order Management
Development Project at P&G
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Making Everyday Life a Little Better
Throughout Your Day
P&G History
P&G’s 22 Billion-Dollar Brands
Procter & Gamble
•
•
•
•
More than 300 brands
140000+ employees
Operations in 80+ countries
Revenue: >$61 billion
Procter & Gamble
• Very diverse business environment:
from Pharmaceuticals to pet food, from
cosmetics to coffee, from paper to
potato chips
• Many different ways of doing business
according to local rules and habits
Company
founded
Brand ads
American Safety Razor
Company founded (Gillette)
Radio ads
TV ads
0800 hotlines
2002
Wella
Gillette
1997
1992
1987
1982
Iams
Oral B (G)
CoverGirl
1977
1972
1967
1962
1957
Foamy shaving cream
Clairol
Richardson Vicks
Pampers
Crest
Tide
30
1952
1947
1942
40
Folgers
Braun (G)
1.office
outside
US
1937
1932
1927
1922
1917
1912
1907
Gillette razor
Ivory
20
1902
1897
1892
1887
1882
1877
1872
1867
1862
1857
1852
1847
1842
1837
Revenue
P&G History
70
60
50
10
0
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Global Business Services
• P&G‘s service organization providing shared
services to all business entities of P&G
around the world, some examples:
– Employee Services (payroll, retirement, benefits,
etc)
– Supply Chain Services (ERP systems,
manufacturing systems, total order management)
– Business Information Services
– Financial System Services ....
Global Business Services
• About 5500+ employees globally
• A number of services are outsources to
strategic suppliers like HP, IBM, Jones Lang
Lasalle
• GBS is managing the delivery of those
services for the rest of the company
• Shared Service Organization of the Year
• Filippo Pasarini, CIO – Shared Service
Leader of the year, 2005
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Web Order Management
Starting point June 2002:
• Old application server platform lost vendor
support (Web application based on C++)
• Application was used in 22 countries
• New business requirements and user groups
should be added to the system (Sales people
entering orders, more security, more flexibility,
new processes, ...)
Web Order Management
Web Order Management
• No off-the-shelf tools available to meet
diverse business needs
• Need to integrate with multiple backend
systems (2 mainframe based, different
SAP systems, 1 AS400 system)
• Pressing business need to add specific
features for specific markets
• Target date for first markets: Aug 2003
Web Order Management
• Diverse user base:
– P&G Customer service (make it complex)
– P&G Sales (make it complex but stay simple)
– Retail customers (make it very simple & secure)
• Very difficult to find balance between
requirements
• Difficult to address backend system driven
requirements
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Project integration managment
• Project manager coordinates all efforts
between design, construction, service
management and deployment teams
• Orchastration of all teams crucial for
project success
Project integration managment
• Clear split of responsibilities among all teams:
– Design: deliver low level functional requirements
and test those
– Construction: create the code to deliver
requirements
– Service Management: maintain development &
production environments
– Deployment teams: communication with local
markets and gathering of local requirements.
Scope management
• Project scope is owned by project
board: all major scope changes need to
be approved
• Minor scope changes are negotiated
between project manager, design team,
deployment team and key stakeholders
in the countries
Lessons learned: Scope management
• Stick to initial scope wherever possible:
opening the door to new requirements
will kill your schedule
• BUT, be flexible when needed: ignoring
complaints can hurt more than flexibility
– but make sure you can deliver your
promises
Lessons learned: Scope management
• The beauty of „customer funding“: new
features do not need to come for free
– A price-tag helps to keep the business
focused
– Some must-do‘s turn into nice-to-haves
once your specify the development costs
Time management
• Program schedule (2 years out) was defined
by business objective:
– Elimination of WOM classic done by July 2004
• 22 Markets staged in quarterly roll-out waves:
– 3-4 markets per wave
– 2 major application releases per year
– 2-3 additional maintenance releases inbetween
Time management
• The Release schedule was created in a
decentralized manner:
– Designers estimate the time for each module and
schedule the modules they own
– Construction creates hand-over and coding plan
(1d design = 2d coding  finalized estimates
during hand-over)
• Project manager keeps track of everything
and collects status updates during team
meetings
• Each release must fit into the overall plan
Lessons learned: Time management
• The first 90% of coding take 10% of the
time...
– The remaining 10% kill your schedule
• Make sure you really understand the
issues during code development:
– remote programmers require more
communication
• It never hurts to understand the code!
Lessons learned: Time management
• Importance of slack time: plan to be
ready with coding at least 2 weeks
ahead of QA – otherwise you won‘t be
ready on time
• Firm dead-lines help to keep focussed:
the more flexibility you have the less
likely you are going to make it according
to plan
Cost management
• WOM started off as internal project:
– Most costs are people related and known
upfront
– Very small amount of variable costs
– Scope increases managed by Customer
Funding wherever required
Cost management
• Limited budget: no way to design and code
the application in Germany
• Develop business logic in „high-cost location“
• First approach: high cost contractor in
Germany with developing resources in Sri
Lanka
– Did not work out well:
• Single interface to remote resources in Sri Lanka – lack
of integration between programmers and designers
• Quality of code was not so good and estimates could not
be validated
Cost management
Design
Service Mgt
Construction
Quality management
• Designer owns end-to-end responsibilty
for „his/her“ modules:
– Develop comprehensive low level design
– Ensure clear hand-over to construction
(incl. detailed test plan!)
– Validate functionality when construction is
done: test all business cases that are
required from that module
Quality management
• Peer reviews of designs among design
team
• Design review prior to handover to
construction involving: design, DBA,
service management & construction
lead
• Mandatory SQL review with DBA prior
to construction handover
Quality management
• Staged development environment:
– Coding on „Sandbox“
– Code validation by design in „Test“
– Code validation by key users in „QA“
– No migration to PROD without QA test
signoff from all key users in all markets
• Service management controls all code
migrations from TEST on upwards
Human resource management
• The project got caught up in major IT
outsourcing deal between P&G and HP
– 60% into the project, the majority of the
team was transferred from P&G to HP
– New processes had to be established in
the midth of the project
– The team had to settle down in the new
environment
– Focus 100% on project deliverables first!
Human resource management
• Very diverse design team colocated in
Germany:
– Nationalities: Japanese, Chinese, German,
US, Italian, Indian
• Even more diverse combined team:
– Companies: P&G, HP, CyberJ
– Nationalities: see above + Phillipines, Sri
Lanka, UK, Canada, Belgium
Communication management
• Weekly coordination calls with extended
team
• Weekly service management calls
• Bi-weekly problem management calls
• Bi-monthly board meetings
• Whenever needed: design reviews,
handovers, go/no go calls, ...
Lessons learned: Communications
management
• People can be very different:
– Some tell you straight ahead what they think
– Others say everything is OK and complain to your
boss behind your back
– Asians will never say „no“: even the slightest sign
of hesitation should raise a red flag!
– Italy is the most difficult customer in Europe
– Sometimes its best to pull the plug early on
• Communication, communication,
communication!
Lessons learned: Communications
management
• Europe is in a very good position:
– Minus 6 hours from EST
– Plus 6 hours ahead of Asia
– The best meeting time is usually around
lunchtime CET
– We have at least 4 hours overlap with both
timezones during typical office hours!
Risk management
• No structured approach in place:
– Risks were highlighted, but no good tracking and
follow through
– No regular RM meetings
• Hard to justify work required to be prepared
for major risks:
– Online vs. Offline capabilities
– High costs of preparing fallback solution were
prohibitive
Lessons learned: Documentation
Obvious for IT company, but less obvious for
non-IT companies:
• Define solid standards upfront – or designer
will add personal flavor into software design
(use CMMI methodology)
• Stick to ITIL for Service and Change Mgt
• Expertise never hurts – programmers are
good in coding but seldom strong in SQL and
business processes
Lessons learned: Documentation
• Be very specific with your business
requirements:
– Off-shore programmers are good, but:
• They often lack business experience and fail to
understand the „big picture“
• People change more frequently
• Any uncertainty in your design will turn
into a problem later on
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Project results
• WOM was rolled out to all 22 countries
in line with initial road map:
– Small delays in some places, but overall
goals were reached
• All major features were delivered as
agreed upfront:
– Some countries weren‘t as happy as we
hoped, but noone refused the tool!
(WOM today)
Design
Service Mgt
Construction
Project results
• Product ownership was completely moved to
Manila:
– After 1st rollout phase a new service team was
built up in Manila (account management partially
done in the US)
– Product ownership was transferred after main
rollout
– Colocation of Design, Construction and Service is
big benefit
– Excellent people down there!
WOM today
•
•
•
•
35 markets
Market share of >70% in some countries
Business critical application
Enabled quick integration of new
business (Gillette, Wella)
Agenda
•
•
•
•
About Procter & Gamble
Global Business Services (GBS)
The Project: Web Order Management
Project management approaches &
lessons learned
• Project Results
• Questions & Answers
Ingo Kusch, PMP
Systems Manager, GBS Innovation
Email: kusch.i@pg.com
Phone: +(49) 6173-30-5327
Thanks for your time!
Any questions?