Improving PPM Using Objectives and Key Results

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Improve PPM Using Objectives & Key ResultsMargo Visitacion, Vice President and Principal Analyst

© 2017 Planview, Inc. | 3 | Confidential

• 45 minutes of presentation• 15 minutes of live Q & A

• Please enter questions into chat box• All lines are on mute• Webinar is being recorded• Slides and recording available – tomorrow!

Welcome!

4© 2017 FORRESTER. REPRODUCTION PROHIBITED.

Today’s Featured Presenter

› Margo Visitacion• Vice President and Principal

Analyst, Forrester Research

We work with business and technology leaders to develop customer-obsessed strategies that drive growth.



Agenda

› Companies struggle to articulate value

› OKRs add a dose of pragmatism to measurement

› Reinvent your management approach


Doing the right things at the right time is critical


70% consider BRM important

48% actively measure

Strategic budgeting – 30%

annual effort

54% strategic investment never

realized

49% say decisions made

based on qualitative data

30% seek to improve planning

Value Realization: An Ongoing Challenge


Current KPIs Lack Clarity

Good KPIs require data – and that takes hard work

Most KPIs focus on the wrong things

Wrong KPIs create noise

Companies too focused on moving forward to pause and realize value


Valuable, But Old-School


It’s Easy To Build The Wrong KPI

Faster time to market


Does This Really Demonstrate What We Need To Know?

Faster time to marketKPI

Schedule variance

#milestones missed

# of blocking issues

Metrics




Do we have bad project

management?

KPI

Schedule variance

Question

#milestones missed


Metrics





management?

KPI

Schedule variance

Question

#milestones missed


Metrics


We Need To Ask The Right Questions For The Right Focus


How many times do we miss delivery dates?

Do we have bad project management?

Goal

Questions


Direct Focus To Solve The Problem


How many times do we miss delivery dates?


management?

Goal

Schedule variance#Gates failed

Questions

%rework due to defects

%over allocated resources

#milestones missed


Metrics


Agenda





Today’s Business Climate Needs Insights To Be:


What Is An OKR?

Objectives & Key Results• Defines and tracks objectives and their outcomes• Brings focus to efforts to make measureable

contributions• Highly visible• Useful at the organization, team and individual

level• Powerful tool for continuous improvement


OKR Structure Creates Realistic Traceability


Relationship Between KPI And OKR

Annual

Quarterly


OKRs Provide Basis For Better KPI Definition


Using KPIs To Manage Portfolios

Objective:50% Portfolio -

Transformational

•Key Result: Transition mobile product platform to the cloud•Key Result: Successful marketing for each product update

How to’s

•Develop and implement backend transaction server on Azure

•Coordinated digital marketing and direct mail campaigns

KPIs

•Velocity•Cloud utilization

•Converted leads


Value, Capacity And Time To Realize

Strategic Portfolios

Value

CapacityTime-to-realize

• Value Delivered On Time

• Leads Converted

• Velocity• On Time

Delivery

• % Spend on Transformation


Agenda





Reinvent Your Management Approach

› Identify cross-functional key results. › Employing a big room planning session to identify objectives.

› Clarify prioritization of the “how-tos.” › Measure together in collaborative reviews. › Be consistent and visible.

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Margo [email protected]


The Innotas Approach

Resource Capacity & Demand Planning

Predictive Analytics & Planning

Dashboards & Reporting

Waterfall / Agile

ProjectsApps

Integration PlatformExisting Systems

Portfolio & Prioritization Top DownStrategic Focus on

“Why”

Bottom UpTactical Focus on “How”

Cloud PPM that improves value contribution by connecting planning & execution


Define Business Objective Fields• First step toward OKR – begin with the outcome in mind

• Score projects to drive toward objectives

• Allocate projects to support goals


• Requires data to set KPIs, requires data to measure KPIs

• Align metrics to objectives rather than project

Measure Objective Performance

© 2017 Planview, Inc. | 31 | Confidential 31© 2017 FORRESTER. REPRODUCTION PROHIBITED.

Realign the Portfolio

• Enable flexibility to ensure that projects that support goals

• Identify high value projects

• Plan for success

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Extend the Project Plan

• Include checkpoints to determine results being delivered

• 30, 90, 180 day increments• Build into OKR dashboard

• Show project contribution toward objective• Compare against original projections


Q & AContact the Innotas Team

• Phone: +1 866-692-7362• Email: [email protected]• @Innotas• Linkedin.com/company/

Innotas• Blog.Innotas.com• Innotas.com/resources

Contact Forrester• www.forrester.com• Email:

[email protected]• @forrester• LinkedIin.com/company/

forrester-research• Blogs.forrester.com

mailto:[email protected]

http://www.forrester.com/

mailto:[email protected]

Technology

Improving PPM Using Objectives and Key Results