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The Agile PMO Value-driven Agile Project Management Office PMI Maine, 17 th September 2015 Michael Nir President Sapir Consulting US The Agile PMO – great results NOW

Michael Nir The Agile PMO keynote

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Page 1: Michael Nir   The Agile PMO keynote

The Agile PMO Value-driven

Agile Project Management Office

PMI Maine, 17th September 2015

Michael Nir President Sapir Consulting US

The Agile PMO – great results NOW

Page 2: Michael Nir   The Agile PMO keynote

Michael Nir

• President @ Sapir Consulting US LLC

• M.Sc. Engineering, PMP®, SAFe™ accredited

• Author of 11 bestseller business books

• Global clients - telecoms, hi-tech, software

development, R&D environments and petrochemical

& infrastructure

• Integrating the hard and soft parts of Business,

Development and more

[email protected]

The Agile PMO – great results NOW

Page 3: Michael Nir   The Agile PMO keynote

Starting with the end in mind

• It is all about value – and no, documents don’t

provide it;

• A Lean method for selection and prioritization;

• PMO focus on strategic resources, Agile provides

the local empirical leadership;

• PMO perception – leading the change;

The Agile PMO – great results NOW

Page 4: Michael Nir   The Agile PMO keynote

It just doesn’t

Work

The Agile PMO – great results NOW

Page 5: Michael Nir   The Agile PMO keynote

Do you Realize Value from your PMO?

• How many of you manage a PMO or have a PMO

in the organization

• Have you seen failures?

• What are the challenges?

• Yes we have a PMO in the organization and…

TRICKY QUESTIONS

The Agile PMO – great results NOW

Page 6: Michael Nir   The Agile PMO keynote

Truly – PMOs don’t Deliver RESEARCH

Gartner 2012

ESI 2013

The Agile PMO – great results NOW

Page 7: Michael Nir   The Agile PMO keynote

Truly – PMOs don’t Deliver -2 STATE OF PMOs 2015

The Agile PMO – great results NOW

>> The PMO Challenge: 72 percent of respondents

claimed the PMO had been challenged by senior

management. The top two were

• lack of perceived value (44%);

• lack of project/program maturity in the

organization (41%)

Page 8: Michael Nir   The Agile PMO keynote

50% Failures

The Agile PMO – great results NOW

Page 9: Michael Nir   The Agile PMO keynote

How did we get here? THE STORY OF PETE

The Agile PMO – great results NOW

Page 10: Michael Nir   The Agile PMO keynote

The PMO Evolution

Build me a PMO worthy

of Maine-tech!

Yes Master

THE STORY OF PETE

The Agile PMO – great results NOW

Page 11: Michael Nir   The Agile PMO keynote

The First Steps…

What to do? Maybe some

research? Analysis of Current

state? Interviews?

I know…

THE STORY OF PETE

The Agile PMO – great results NOW

Page 12: Michael Nir   The Agile PMO keynote

I need a Home

The Gap Analysis – Stakeholders

Worthy PMO Strategic

Alignment

No Tools

No Tools

Training Training

No Tools No Process

LEAD EXPECTATIONS

The Agile PMO – great results NOW

Page 13: Michael Nir   The Agile PMO keynote

The Gap Analysis – Executives

Worthy PMO Strategic

Alignment

I need Reports! Better Control! A methodology

NOW

LEAD EXPECTATIONS

The Agile PMO – great results NOW

Page 14: Michael Nir   The Agile PMO keynote

PMOs Lose Focus – Waste Money

I need a Staff

Pay me a Lot! I can help

Maybe Select Tools

Training Need

Assessment?

Support the PMs

New Reports

and Templates

PMBOK? PLC

The Agile PMO – great results NOW

Page 15: Michael Nir   The Agile PMO keynote

Discuss with the person next

What Would

You Do?

The Agile PMO – great results NOW

Page 16: Michael Nir   The Agile PMO keynote

The Typical next steps PMO FAILURES

• The tactical PMO

• The process PMO

• The chocking PMO

• The tools PMO

50% The Agile PMO – great results NOW

Page 17: Michael Nir   The Agile PMO keynote

Escaping from Process Alcatraz PROCESS PMO

• ‘The bureaucracy is

expanding to meet the

needs of the expanding

bureaucracy’ (O. Wilde.)

The Agile PMO – great results NOW

Page 18: Michael Nir   The Agile PMO keynote

Focusing on Tools not on Value TOOLS TOOLS TOOLS

Starting with tools -

Eternalizes the wrong

WOW

The Agile PMO – great results NOW

Page 19: Michael Nir   The Agile PMO keynote

We can do

Better!

The Agile PMO – great results NOW

Page 20: Michael Nir   The Agile PMO keynote

The Agile PMO

The Agile PMO – great results NOW

A centralized portfolio management entity that enables faster delivery of products. It has various roles and responsibilities based on the organization structure, the Agile maturity and the specific industry.

Page 21: Michael Nir   The Agile PMO keynote

Agile PMO Value Enablement

The Agile PMO – great results NOW

The Agile PMO

Selection and prioritization

Chose the valuable projects

Resource allocation

Control/limit the mix

Effective, streamlined

delivery

reduce waste

Agile Leadership

Page 22: Michael Nir   The Agile PMO keynote

The Agile PMO – great results NOW

The Agile PMO

Selection and prioritization

Chose the valuable projects

Resource allocation

Control/limit the mix

Effective, streamlined

delivery

reduce waste

Agile Leadership

Agile PMO Value Enablement

Page 23: Michael Nir   The Agile PMO keynote

Toyota Defined 7 Wastes

The Agile PMO – great results NOW

Page 24: Michael Nir   The Agile PMO keynote

Waste in Project Management

Manufacturing Project Management

Transport Redundant or unnecessary interfaces

Inventory Missing features or gold-plated features

Motion Task switching

Waiting Waiting time

Over Production Sloppy requirements

Over Processing Project bureaucracy

Defects 2nd or more iterations and revisions

Page 25: Michael Nir   The Agile PMO keynote

Reduce Waste – Process and Project

The Agile PMO – great results NOW

Page 26: Michael Nir   The Agile PMO keynote

PMO is best positioned to

remove waste of project and process

The Agile PMO – great results NOW

Page 27: Michael Nir   The Agile PMO keynote

Remove

Document Waste

The Agile PMO – great results NOW

Page 28: Michael Nir   The Agile PMO keynote

Remove

Project Scope Waste

The Agile PMO – great results NOW

Page 29: Michael Nir   The Agile PMO keynote

How Much???

The Agile PMO – great results NOW

Adding Value by Doing Less The 25/25 Rule: Achieving More by Doing Less Boaz Ronen Tel Aviv University Faculty of Management Thomas G . Lechler Stevens Institute of Technology Edward A . Stohr Stevens Institute of Technology

Agile PMO

Page 30: Michael Nir   The Agile PMO keynote

Application: Kanban the Waterfall BEST PRACTICE EXPERIENCE

• Cancel projects

• Prioritize projects

• Limit projects in queue

• Limit projects in process

The Agile PMO – great results NOW

Page 31: Michael Nir   The Agile PMO keynote

Remember:

when Everything

is Important

Nothing is

The Agile PMO – great results NOW

Page 32: Michael Nir   The Agile PMO keynote

Write yourself a note

The Agile PMO – great results NOW

Page 33: Michael Nir   The Agile PMO keynote

The Agile PMO – great results NOW

The Agile PMO

Selection and prioritization

Chose the valuable projects

Resource allocation

Control/limit the mix

effective, streamlined

delivery

reduce waste

Agile Leadership

Agile PMO Value Enablement

Page 34: Michael Nir   The Agile PMO keynote

SAFe™ - Scaled Agile

The Agile PMO – great results NOW

Page 35: Michael Nir   The Agile PMO keynote

SAFe® Selection and Prioritization – Kanban Approach

The Agile PMO – great results NOW

Agile PMO

Page 36: Michael Nir   The Agile PMO keynote

PMO is best positioned to

Kanban the Selection and Prioritization

The Agile PMO – great results NOW

Page 37: Michael Nir   The Agile PMO keynote

Create Kanban

Buckets for selection

The Agile PMO – great results NOW

Page 38: Michael Nir   The Agile PMO keynote

Write yourself a note

The Agile PMO – great results NOW

Page 39: Michael Nir   The Agile PMO keynote

The Agile PMO – great results NOW

The Agile PMO

Selection and prioritization

Chose the valuable projects

Resource allocation

Control/limit the mix

effective, streamlined

delivery

reduce waste

Agile Leadership

Agile PMO Value Enablement

Page 40: Michael Nir   The Agile PMO keynote

Traditional PMO - Top down – MRP, computer aided, global solution

Scope constrained

Local – Heuristics, Lean process JIT, Kanban.

Time and budget constrained

Two Prime Approaches: Global and Local to semi-optimize

The Agile PMO – great results NOW

Page 41: Michael Nir   The Agile PMO keynote

Kanban, Conwip and Critical chain

The Agile PMO – great results NOW

Page 42: Michael Nir   The Agile PMO keynote

The Agile PMO – great results NOW

Project profits (x1,000,000 $)

Project/

#Resource

Yellow Orange Mint Green Lilac Purple Crimson Red

0 (7) (14) (9) (11) (5) (43) (5) (19)

1-3 (4) (8) (3) (5) 0 (25) (1) (14)

4 (1) (4) 0 (1) 0 (10) 0 (12)

5 2 (1) 0 0 5 (7) 1 (10)

6 7 4 0 2 0 (5) 1 (9)

7 4 5 3 3 0 (3) 1 (8)

8-9 9 6 6 4 0 (2) 2 (8)

10 6 11 7 7 0 0 3 (4)

11 4 7 8 9 3 1 4 0

12 2 5 13 10 6 1 3 0

13-14 0 2 8 11 7 5 5 4

15 0 0 4 14 14 7 6 6

16-17 0 0 2 4 7 9 16 4

18+ 0 (3) 0 0 (3) (3) (5) (4)

Agile PMO

Page 43: Michael Nir   The Agile PMO keynote

PMO is best Positioned to link

Governance

to

Agility The Agile PMO – great results NOW

Page 44: Michael Nir   The Agile PMO keynote

Use resource Allocation that

actually WORKS

The Agile PMO – great results NOW

Page 45: Michael Nir   The Agile PMO keynote

Write yourself a note

The Agile PMO – great results NOW

Page 46: Michael Nir   The Agile PMO keynote

The Agile PMO – great results NOW

The Agile PMO

Selection and prioritization

Chose the valuable projects

Resource allocation

Control/limit the mix

effective, streamlined

delivery

reduce waste

Agile Leadership

Agile PMO Value Enablement

Page 47: Michael Nir   The Agile PMO keynote

Agile Leadership

Is primarily about:

• Collaboration

• Empowerment

• Self management

• Servant leadership

The Agile PMO – great results NOW

Page 48: Michael Nir   The Agile PMO keynote

Agile Leadership

The Agile PMO – great results NOW

Page 49: Michael Nir   The Agile PMO keynote

We’re not the Bad Guys HUG AGILE PMO - A PARADIGM SHIFT

http://www.pmhut.com/agile-pmo-a-new-hope

• Perhaps the MOST difficult transformation required by the PMO!

• From emphasis on management to leadership

Page 50: Michael Nir   The Agile PMO keynote

We must CHANGE! PMO Command and Control is

obsolete

The Agile PMO – great results NOW

Page 51: Michael Nir   The Agile PMO keynote

50% The Agile PMO – great results NOW

Page 52: Michael Nir   The Agile PMO keynote

This just in: Problem we want to solve by this training:

we have noticed that senior stakeholders in our organization are sometimes hard to convince in a need and value of proper

project/program governance and overall role of PMO in delivering business value.

The Agile PMO – great results NOW

Page 53: Michael Nir   The Agile PMO keynote

The Agile PMO

The Agile PMO – great results NOW

A centralized portfolio management entity that enables faster delivery of products. It has various roles and responsibilities based on the organization structure, the Agile maturity and the specific industry.

Page 54: Michael Nir   The Agile PMO keynote

Write yourself a note

The Agile PMO – great results NOW

Page 55: Michael Nir   The Agile PMO keynote

How to Inspire the Change?

• KPI – document reduction

• KPI – project cancel

• KPI – faster delivery

• KPI – selection Kanban

• KPI – project satisfaction

• KPI – impediment removal

The Agile PMO – great results NOW

Page 56: Michael Nir   The Agile PMO keynote

Thank You

Increase your Return from Projects!

The Agile PMO – great results NOW

Coming Next : http://sapir-cs.com/michael-nir/