Using Your PMO to Drive Successful Organizational Change Management

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1 Using Your PMO to Drive Successful Organizational Change Management Joe Saliunas, Booz Allen Hamilton 11 November

2 Agenda Organizational change management overview Case studies PMBOK Guide processes important to organizational change management Best practices 2

3 Let s start with some definitions Change management Baseline change control Configuration management Organizational change management (OCM) 3

4 Project managers view of OCM and change management view of project management Project manager s view of OCM: Not explicitly defined as a PMBOK Guide Knowledge Area Has something to do with communications and training Not sure how to build this into the WBS and IMS OCM practitioner s view of project management: An essential enabler of organizational change management 4

5 Organizational Change Management The holistic process of leading an organization, and the people in it, through planned change building buy-in for that change, anchoring that change in business operations, and managing and measuring the change, so that the change is implemented and sustained and the desired benefits of the change are realized; ensuring that the people in an organization are ready, willing, and able to adopt changes Source: Booz Allen Hamilton 5

6 Examples of organizational change management models/frameworks John Kotter LaMarsh Prosci Anderson & Anderson Heath & Heath Virginia Satir 6

7 Examples of change management workstreams Lead and Build Buy-in Change Strategy Change Leadership Stakeholder Management Communication Integrate and Anchor Coordinate and Measure Human Capital Learning and Training Process and Infrastructure Project Management Performance Management Source: Booz Allen Hamilton 7

8 Three examples of PMO roles in implementing OCM All examples are based on implementing PMOs for U.S. federal government programs, from 2000 to the present PMO statement of work defined by contract All PMOs supported by integrated government/contractor teams Basis for best practices in presentation 8

9 Example 1 Large department organizational transformation Program scope: Transform and re-organize a 100,000- person federal organization PMO role: Manage and drive transformation PMO approach to OCM: OCM deliberately considered by PMO in overall program strategy Established Executive Steering Committee Client business staff in design and implementation teams Team charters and work plans for all teams OCM workstreams at agency level and embedded in implementation teams 9

10 Example 2 Small department technology transformation Program scope: Implement COTS technology to improve customer service and increase efficiency PMO role: Manage the transformation program, integrate multiple implementation vendors PMO approach to OCM: OCM deliberately considered by PMO in program planning Establish Executive Steering Committee Team charters and work plans for PMO/business/contractor teams OCM as separate team and workstream OCM activities in Integrated Master Schedule 10

11 Example 3 Large agency transformation Program scope: Multiple programs to transform agency to improve quality, efficiency, and customer satisfaction PMO role: Enterprise PMO, providing oversight of multiple programs PMO approach to OCM: OCM not primary role of PMO Executive and business owner sponsorship of all programs Implementation teams directly report to business sponsor organizations Develop Transition Plan template and require for all programs 11

12 PMBOK Guide Process Groups most important to successful OCM Knowledge Areas Project Integration Management Project Scope Management Initiating Process Group Develop Project Charter Planning Process Group Develop Project Management Plan Collect Requirements Define Scope Create WBS Executing Process Group Direct and Manage Project Execution Monitoring & Controlling Process Group Monitor and Control Project Verify Scope Closing Process Group Close Project or Phase Project Time Management Project Cost Management Project Quality Management Project Human Resource Management Develop Human Resources Plan Acquire Project Team Develop Project Team Manage Project Team Project Communications Management Project Risk Management Project Procurement Management Identify Stakeholders Plan Communications Distribute Information Manage Stakeholder Expectations Report Performance Source: From A Guide to the Project Management Body of Knowledge (PMBOK Guide) Fourth Edition, 2008, PMI 12

13 PMI Standard for Program Management processes most important to OCM Program Stakeholder Management Initiating Process Group Planning Process Group Plan Stakeholder Management Identify Program Stakeholders Executing Process Group Engage Program Stakeholders Monitoring & Controlling Process Group Manage Program Stakeholder Expectations Closing Process Group Program Governance Plan and Establish Program Governance Structure Approve Component Initiation Provide Governance Oversight Manage Program Benefits Approve Component Transition Monitor and Control Program Changes Source: From The Standard for Program Management Second Edition, 2008, PMI 13

14 PMBOK Guide Process Plan and Establish Program Governance Structure Provide Governance Oversight Governance: Best practices for OCM OCM Best Practices Identify natural business sponsors and key support organization executives and included in governance structure Include stakeholders with significant power Ensure business sponsor ownership of program plan and key decisions Manage Program Benefits Define benefits targets and use to drive program vision Monitor and Control Program Changes Approve Component Transition Ensure sponsors have ownership of significant changes Use governance structure to ensure future business owner is ready and willing to accept the new capability 14

15 Integration management: Best practices for OCM PMBOK Guide Process OCM Best Practices Develop Project Charter Explicitly address need for OCM in project charter (as appropriate) Ensure there is a sponsor for OCM Develop Project Management Plan Monitor and Control Project Work Define OCM as a process area in the Project Management Plan Require use of OCM process assets Measure success of OCM plan as part of overall project metrics Close Project of Phase Ensure and measure transition of project from project team to future business owner Obtain business owner acceptance of OCM approach Transfer ownership and celebrate success 15

16 Scope and schedule management: Best practices for OCM PMBOK Guide Process Collect Requirements OCM Best Practices Based on project scope and objectives, establish importance of OCM to success of project Define Scope Define OCM as an integral part of project scope and explicitly address in WBS and master schedule Use Team Charters and Work Plans for design and implementation teams Develop Schedule Plan work so that there are Quick Hits or Early Wins Design program roadmap and master schedule to reflect overall organizational change management strategy Verify Scope Measure performance in meeting OCM objectives 16

17 Human resources management: Best practices for OCM PMBOK Guide Process Develop Human Resource Plan Acquire Project Team Develop Project Team Manage Project Team OCM Best Practices Ensure there is an OCM SME on the project team Ensure current business owners are included as part of project team Provide senior management support to allow business owner staff with the needed expertise to participate as part of project team Provide logistics support for detailed staff Provide OCM training to project leaders and change agents Look for opportunities to transition project team members with strong ownership to the future business owner organization Team member performance measurement reward successful implementation 17

18 Communication management: Best practices for OCM PMBOK Guide Process Identify Stakeholders Plan Communication Distribute Information Manage Stakeholder Expectations Report Performance OCM Best Practices Identify sponsors and stakeholders Conduct stakeholder analysis Develop communications plan that address different stakeholder groups and addresses their interests Link communications plan to overall project plan (vision, design, development, deployment) Use multiple communication channels, tailored to audience Understand stakeholder expectations, help set realistic expectations, monitor performance in meeting expectations Include OCM metrics in performance reporting Communicate status and successes to stakeholders 18

19 Example of an organizational change management knowledge area Source: Booz Allen Hamilton PMO Playbook 19

20 Options for providing OCM expertise PMO Program management expertise OCM expertise Project A Project management and implementation expertise OCM expertise Project N Project management and implementation expertise OCM expertise OCM workstream OCM expertise 20

21 Contact Information Joe Saliunas Booz Allen Hamilton, Rockville, MD

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