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Program governance structure setup & Management

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By Saurabh Sardesai June 2014. Program governance structure setup & Management. Objectives. Establish a Program/Project governance structure within the organization and ensure stakeholder participation - PowerPoint PPT Presentation

Text of Program governance structure setup & Management

Program governance structure setup & ManaGeMenT

Program governance structure

setup & ManagementBy Saurabh Sardesai

June 2014Objectives Establish a Program/Project governance structure within the organization and ensure stakeholder participationDefine the program roles, decision making hierarchy, program execution strategies and best practicesDescribe the protocol for proper flow of relevant information to allstakeholdersEstablish a project/program review, issue management & change mgmt mechanismMechanism to identify program compliance and communications to all stakeholdersEvaluate various models of program governance and investigate their suitability for adaption Translate business strategy into actual program execution via a proper governance framework

Governance definedGovernance, for a program or a project, is a combination of individuals filling executive and management roles, program oversight functions organized into structures, and policies that define management principles and decision making.

This combination is focused upon providing direction and oversight, which guide the achievement of the needed business outcome from the execution of the program effort, and providing data and feedback, which measure the ongoing contribution by the program to needed results within the overall business strategy and direction.

Need/BackgroundThe organization was facing a huge problem of managing diverse projects across geographies without having a formal program structure in placeSenior management was finding it increasingly difficult to have an oversight on project execution in absence of proper governance structure and formal feedback channelsThere was a clear disconnect between project execution and business mission or strategyThere was no overarching body like a Steering committee to provide oversight to projectsA need was felt to aggregate all multiple projects data in a central place and use the information to better manage the defined outcomes

StakeholdersBoard of Directors and C level executivesProject sponsors and funding partnersInternal and external clients of the organizationBusiness units within the organizationVendor partners of the organizationProject managers and delivery managers/headsDevelopment teams, architects and testersSupport staff, line managers and consultantsProduct control and management teams Other relevant project stakeholdersPlan of actionInitiate consultations with relevant stakeholders to get their opinion & feedbackEstablish a Program Steering Committee as the overarching body for program/project executionEstablish a Program Management Office (PMO)Establish a Program Organization model and Project Organization modelDefine and set up roles for Program Director, Program Managers, PMO managers and PMO support staffImplement mechanisms to provide guidance and direction regarding policies, governance principles, and decision or authority specifications.Establish a communications network and protocol for effective program and project communication to internal and external stakeholders of the organizationSteering committee modelsConsensus Model: Executive-level sponsors who must reach consensus on issues, changes, and adjustments in order to proceed Consultative Model: Executives and senior managers who are stakeholders for some aspect of the defined outcomes. Their role is to understand issues and needed changes, provide advice and assessment of potential impact, and make needed adjustments within their own responsibility areaAdvisory Model: Representatives for the major business segments who are responsible for outcomes, or portions of outcomes, within the business strategy and direction. Their role is to monitor program progress, understand issues raised and adjustments made, assess potential impact within their own business segments, and carry back information about committee decisions to their respective business segmentsFor our initiative we recommend the Advisory model as the organization is large and has many interdependent businesses that routinely interact with each otherRecommended model Program Management Office (PMO)The Program Management Office (PMO) provides support along administrative, financial, process, and staff dimensions associated with successful program execution.The PMO also provides review and tracking of financial expenditures, generation of required reports and financial documents, and ensures compliance with policies and practices.The PMO provides & administers policies, procedures, & practices that provide an operational framework for program members

Sample Program model

Sample PMO structure

Sample Project structure within a PMO

Benefits of recommended modelIncreases the long term potential of the program and individual projectsContinuous linkage to enterprise business strategy and directionClear and well-understood decision-making authorityEffective oversight of & insight into program progress and directionExecutive control over program evolution and outcomesCentral storage and management of all project data

Measuring Program successDelivering the program to the client on time and within the dates specified in the agreement, taking into account any amendments or approved change requestsAchieving the financial objectives set forth in the business case, taking into account any amendments or change controlsMeeting all expectations related to quality and fulfilment of program requirementsAdhering to an established program methodology measured by a joint governance boardAchieving overall client satisfaction and repeat business

r13PMO Tools of engagementOverview and statement of purposeCommunication planIntegrated program scheduleProgram quality planProgram risk management planProgram issue management planProgram change managementProgram monitoring and control management

Elements of good program governanceA compellingbusiness case, stating the objects of the project and specifying the in-scope and out-of-scope aspectsA mechanism to assess the compliance of the completed project to its original objectivesIdentifying all stakeholders with an interest in the projectA defined method of communication to each stakeholderA set ofbusiness-levelrequirementsas agreed by all stakeholdersAn agreedspecificationfor the project deliverablesThe appointment of aproject managerClear assignment of project roles andresponsibilitiesElements of good program governance.contd.A current, publishedproject planthat spans all project stages from project initiation through development to the transition to operations.A system of accurate upward status- and progress-reporting includingtime records.A central document repository for the projectA centrally-heldglossaryof project termsA process for themanagementand resolution of issues that arise during the projectA process for the recording and communication ofrisksidentified during the projectA standard forquality reviewof the key governance documents and of the projectdeliverables

Program Communications PlanSets up approved methods of communicationEstablishes standard communication procedureFrequency and type of updates provided to the program/project stakeholdersProvides consistency in information flowRemoves misinterpretations and doubtsWhat information to be sent to whom & whenEnsures Executive program engagementHelps keep everyone on the same page

Communication Plan elementsDocumented communication paths for information sharing, including tools (VOIP, email, video/Web conferencing, etc.) will be used throughout the program & for projectsProgram and project contact lists based Roles and responsibilities matrix for all stakeholdersA program organization chart to identify high-level organization, reporting, escalation and accountability for the program.Approval and escalation procedures for decision makingRecurring Communication Matrix to ensure timely and effective communicationProgram event management plan that ensures the right event occurrence reporting about issues, risks, milestones etcIntegrated Program ScheduleKey program tasksKey program and/or project milestonesDuration of the program and projects in itDependencies related to the programAssigned responsibilities within the programKey deliverables of the program & scheduleProgram tracking and control mechanismActual v/s Expected program metricsMeasurement and analysis of any deviationsProgram Quality Plan

The quality plan defines the expectations of quality that will be delivered by the program. The plan addresses the overall approach that will be adopted by the program and associated projects to ensure that quality is delivered according to stakeholder expectations. The quality plan also defines quantitative measures that are used to validate quality prior to moving through a quality gate and eventually prior to implementation.

Program Risk Management PlanThe risk management plan is used to define the tolerance for risk throughout the program life cycle as well as the methods for identifying, recording and addressing risk throughout the program. The early and frequent identification of risk in a program is essential to meeting cost, schedule and quality expectations.Steering committee and program manager to meet on a monthly basis, or as defined in the communication plan, to review the identified risks, examine each associated action plan and define updates that need to be initiated.Additionally, the team communicates any newly identified risks that may impact the program as they surface.

Sample program risk distribution chartProgram Mgr v/s Project Mgr

As Table above shows, the program manager and project manager roles are quite different from one another. Whereas project managers typically focus on delivering a specific component, program manage

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