IT Project and Portfolio Management Statewide Tool and Governance Rollout
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1 IT Project and Portfolio Management Statewide Tool and Governance Rollout Enterprise IT Management Initiatives Contact: Fonda Logston, Director, Program Management Office, (405) Office of Management and Enterprises Services Information Services Division (OMES ISD) State of Oklahoma OMES.OK.GOV Project Initiation: May 22, 2012 Project Completion: April 22, 2013
2 Executive Summary It is easier to manage resources if you first understand how those resources are utilized. As part of the Information Technology (IT) Consolidation effort, mandated by legislation in 2011, the Office of Management and Enterprise Services (OMES) found it difficult to get a comprehensive view of the projects and enhancements requested of IT staff. Additionally, with the consolidation of all IT staff under the state s chief information officer (CIO), it became critical to understand the resources needed to fulfill each agency s IT project and operational needs. Before Oklahoma s IT consolidation, individual agencies had the responsibility of managing their staff, budget and all IT needs. Numerous agencies had no project management methodologies or standards. Of 127 state agencies, only about 25 had IT staff that worked on projects and the maintenance of systems and software. Most agencies did not have a designated project manager. Even today, with approximately 50% of the IT consolidation complete, many IT staff members do not have access to a common IT infrastructure. In 2011, the ISD Project Management Office submitted a Request for Proposal (RFP) to solicit bids for the purchase and installation of a project and portfolio management (PPM) tool to track and manage all state IT projects. It was important that the system selected be configured to allow the tracking of enhancements and requests. This project kicked-off in May 2012 and went live with more than half of state agencies in August The remainder of state agencies completed the rollout by April For the first time in state history, Oklahoma had a complete view of all IT projects that included common methodology, templates, vocabulary and metrics. State agencies now had defined governance and oversight of processes for their projects and other IT needs. 2
3 Business Problem and Solution One of the challenges of the IT Consolidation was getting a clear view of the forecasted IT needs of the state. It was very difficult to measure the success of projects being delivered without defined project management standards and methodologies. The varying project metrics, definitions, processes and other indicators made it difficult to grasp the project portfolio s health at a glance. At the time, IT staff were doing very few or no reviews within their agencies and providing little to no data about their projects. Most agencies did not have IT governance processes or reviews in place. Also, staff was unable to forecast their agencies needs for the next fiscal year. To remedy these issues, the ISD Project Management Office developed a standard project management methodology, templates, metrics and training for all IT projects. The RFP was awarded to implement a PPM tool for all state IT projects and resources. The tool allowed for a central repository all project managers could access. The software as a service (SaaS) offering allowed all staff access, regardless of their access to the state IT consolidated infrastructure. All projects now have designated project managers. New project managers are trained in both the methodology and tool within their first 60 days of employment. In addition to project manager access, customers, technicians and executives can now view their projects and portfolios anytime anywhere. 3
4 Besides project management methodologies, a governance structure was put into place, and templates and training were designed to aid agencies in the development of their governance structures for the oversight of their IT portfolios. Significance and Benefits For the first time in state history, executives were able to get a comprehensive view of the more than 900 state IT projects. There is now consistency in the definition of a project, health of a project, and the required deliverables of a project. The PPM tool provides information at-a-glance which is important when there is a need to discuss or report on a project. 4
5 Monthly reviews are now conducted with each agency, and this has opened up lines of communication and understanding. Additionally, with the use of consistent metrics across all state agencies, taxpayers now can review state IT projects through a public website. One additional advantage of the PPM tool is the increased interest in information technology it has generated among state agency cabinet secretaries. The tool s reporting capabilities have provided these individuals with a broader and more comprehensive view of their agencies IT needs and spawned interest in opportunities for collaboration and efficiencies. For example, because of his enhanced understanding, the health and human services cabinet secretary now plays an active role in supporting joint IT projects across agencies. At the staff level, project managers can now support multiple agencies using one common tool and methodology which reduces training time and increases productivity. A standard cost benefit analysis (CBA) template has been implemented through a review and approval process. This new process has documented average annual IT cost savings of more than $4.5 million for projects already completed. Furthermore, another $4.5 million in annual cost savings is projected for projects still in progress. Without this consistent and documented process, this information would not be readily available. The implementing of a standard governance process has provided executive management and mid-level management insight into how their IT staff spends their time and resources, which has been a new concept for many state executives. Due to the project information that can now be provided, ISD has received broader support from executive management for the funding of IT projects and additional resources. There has also been increased understanding of the need to prioritize IT projects, as well as a greater appreciation for the volume of work handled by IT staff. 5
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