4th December 2002Resource Management - Is it worth it? © Catalystix Resource Management Is it worth it? Ian Simpson

2 4th December 2002Resource Management - Is it worth it? © Catalystix Objectives 1.Review where Resource Management fits in Project Management 2.To discuss the key issue areas 3.To determine whether Resource Management is worth addressing

3 4th December 2002Resource Management - Is it worth it? © Catalystix Aims 1.To have the right resources working on the right projects 2.To achieve the optimal utilization of IT/business resources 3.To achieve the best productivity levels To gain the benefits organisations need from their projects

4 4th December 2002Resource Management - Is it worth it? © Catalystix Two Aspects of Project Data Invoicing Staff Management Recruitment Financial Accounts Corporate Assets Timesheets Planning Estimating Progress Reporting Projects Process Management Resource Management

5 4th December 2002Resource Management - Is it worth it? © Catalystix Is Resource Management a Problem? Budgets are tight IT is more than ever a set of specific expert areas 44% of IT departments do not measure utilization* 29% do no Portfolio Management * (balancing resources and managing contention across projects) What are your issues? * Gartner/Dataquest 2002

6 4th December 2002Resource Management - Is it worth it? © Catalystix Issues with Resources Management 1.Defining Roles and Related Activities 2.Aligning People and Projects 3.Unplanned reassignments due to slippage/changes 4.Staff Development

7 4th December 2002Resource Management - Is it worth it? © Catalystix Defining Roles and Related activities Problems: –Mistrust between Expert-areas and project team –Expert-areas setting up own walls –Plans do not match Expert-areas expectations –Unclear job descriptions/role definitions Database Administrators Technical Architects Testing Team Network Services Security Operations End User Reps Core Project Team Expert-areas Developers

8 4th December 2002Resource Management - Is it worth it? © Catalystix Defining Roles and Related activities Planning Analysis Design Test Build Implement Network Services Operations Testing Team Security Database Administrators Technical Architects Expert-areas Analysts PMs Web Designers Communities of Practice Interest areas CoPs define: Roles Skills WBS for their involvement Benefits: Process Management can show 30% improvements* Reduction of conflict/misunderstandings Faster planning Improved estimating * Gartner

9 4th December 2002Resource Management - Is it worth it? © Catalystix Aligning People and Projects Problems: –‘Hoarding’ –New technology –Skills register –Career management –HR Department overlaps Place Resources Review with PM Time Measured in Hours Ranked list of options Project Managers Or Staffing Department Bid for skills Resource Need Identified by PM Flow should be: Resource/Skills Database (Including External Resources)

10 4th December 2002Resource Management - Is it worth it? © Catalystix Aligning People and Projects Staff Allocations Staff Availability/ Requirements Project Plan Database Updated plan Portfolio Management Resource Management HR and Learning Resources: Skills, Certifications, Application experience, Career Interests, Charge Rates, Utilization rate… Plans: All current and planned projects Portfolio: Compare plans to current resource profile Benefits –Improved utilisation –Reduced staff turnover/less recruitment costs –Effective use of external consultants –Projects waste less time –Projects start earlier

11 4th December 2002Resource Management - Is it worth it? © Catalystix Reassignments due to Slippage/Changes Problems – Members of expert-areas are working on multiple projects and slippage caused large ripple – Ripple effect impacts rest of Portfolio – Extra/replacement resources need time to get to speed

12 4th December 2002Resource Management - Is it worth it? © Catalystix Reassignments due to Slippage/Changes Benefits – Early warning allows preplanning and increased utilisation – Reduced wasted time – Encourages ‘what if’ considerations Staff Allocations Re-Plan Project Manager Scheduler Staff Availability Actuals Time Recording Project Plan Database Updated plan Portfolio Management Resource Management Project Team Database: Allows impact of slippage to be seen across projects

13 4th December 2002Resource Management - Is it worth it? © Catalystix Staff Development Benefits – Reduced staff turnover – Savings in recruitment – Motivated staff Personal plans Scheduler Actuals Time Recording Project Plan Database Resource Management Employee Balanced Scorecard Project Utilisation 70% Personal Development 10% Asset Development 10% Departmental Development 10%

14 4th December 2002Resource Management - Is it worth it? © Catalystix Challenges Strategic resource management requires strategic project plans Skills/Resource data collection and updating Plans that reflect real resource needs Updating of plans to show slippage early

15 4th December 2002Resource Management - Is it worth it? © Catalystix Implementation Challenges Consider all aspects –Managerial KPIs for managers Matrix management aspects –Operational Resource Manager Process for working with Resource Manager –Cultural Training of staff Change to shared resources –Technical Integration with current tools

16 4th December 2002Resource Management - Is it worth it? © Catalystix Is it worth it? For development dept. of 100 people at £50,000 per year Process Management = £250,000 pa Projects finish 5% earlier = £250,000 pa (+ benefits) Reduced staff turnover costs = £100,000 pa

17 4th December 2002Resource Management - Is it worth it? © Catalystix Trends in Tool Support Invoicing Staff Management Recruitment Financial Accounts Corporate Assets Timesheets Planning Estimating Progress Reporting Projects Process Management Resource Management PSA/SPO Tools make it easier and more accurate Integration needed Best of breed v Total integration

18 4th December 2002Resource Management - Is it worth it? © Catalystix Core project management in centre surrounded by PMO and PSA/SPO functionality Personal plans Staff Allocations Project Team Risks, Issues, Changes, Defects, Status Reporting etc. Re-Plan Project Manager Templates, Components etc. Budgets, Forecasts, Invoicing/ Charge back Financial Systems Knowledge Management Plan Scheduler Staff Availability Actuals Time Recording Project Plan Database Updated plan Asset Management System Dashboard Basic PMO Functionality Full PMO Functionality Integration with company systems Portfolio Management Process /Method Repository Resource Management Generic model of PM processes/toolset

19 4th December 2002Resource Management - Is it worth it? © Catalystix Summary Resource Management has many touch-points with Project Management Effective Project Management helps Resource Management and vice versa New tools make it easier Tools are not the full answer Measure your areas for improvement

20 4th December 2002Resource Management - Is it worth it? © Catalystix