Milestone 1 Review Define Phase Complete Cost Data Integrity Project September 5, 2007

Matt Evans | Introductory Information Processes related to the capturing and reporting of actual costs within the Project Management System (PMS). These costs are not considered reliable given the current processes in place. Need to rapidly mature these processes so that senior leadership and project managers can properly evaluate cost performance. All IT investments that are considered developmental must participate in using Earned Value Management and report the results in the Monthly Performance Reviews. These projects define the scope of this project; i.e. focus on the procedures these projects follow in capturing their costs. No – the project scope has not changed and is not expected to change. The Project Charter is fairly specific as to scope. What problem is this project trying to solve? What is the scope of this project? Has it changed since the Project Charter was issued?

Matt Evans | Critical to Quality There are five inputs that are critical to quality: Timesheets depend upon two critical inputs: Hours and Rates Expense Entries depend upon three critical inputs: Vendor Invoices, Employee Expenses and Procurement Credit Card entries. Each of these inputs can represent a CTQ, such as accurate base rates for timesheets or accounting for all hours each week for timesheets. Not yet, we have to sample the data to fully understand how high the error rate is. However, our discussions with System Administrators indicates that most projects are not fully compliant with entering all timesheets. This problem also exists with expense entries; i.e. not all vendor invoices are entered. So we suspect that the error rate is extremely high. What are some of the CTQ’s for this project? Do you have some idea on what our current performance or defect rate is?

Matt Evans | Project Deliverables Thought Process Map – Outline of critical questions that need to be answered and possible techniques for analyzing the problems. Stakeholder Analysis – How to engage each stakeholder so that this project is successful. SIPOC Diagram – Map the overall process and input streams Critical to Quality – Define what is critical to the quality of cost data Operating Definitions – A basic level of performance, what has to be measured, and the measurement results (to be determined in the next phase) The project team submitted all work products to the PMO Staff for review and approval. We also sought out guidance from the CIO Leadership Council members; especially those who are Six Sigma Black Belts since this project is following the DMAIC Six Sigma approach. What are some of the work products during this phase of the project? What quality control reviews were conducted to ensure work products were acceptable?

Matt Evans | Project Goals and Objectives Timesheet processing – making sure a control procedure is in place to make sure timesheets are getting processed. Vendor invoices – making sure all projects have a control procedure to properly capture vendor invoices. The current plans are to start implementing solutions in January / February Since training and SOP documents will have to be distributed, you probably will not notice improvements until mid year What are some of the process areas this project will improve? When can we expect to see these improvements implemented?

Matt Evans | Project Performance The project is on schedule overall, but is somewhat behind in the Define phase. This delay is due to collecting data to feed the next phase – analysis. Once we get a good sample of data, we can move quickly. The remaining phases are expected to be on schedule since the analysis is fairly straight forward and the solutions are fairly straight forward. The implementation and monitoring or control phases of the project can get passed over to the Project Management Office (PMO) once the project nears completion. We will setup the control plan and implementation plan and transition these over to the PMO. The project remains on budget and we do not expect to go over-budget at this time. We included an extra FTE (full time equivalent) for systems support. This may not be required after the analysis phase. Total costs incurred to date (as of August 31, 2007)..... $ 69,300 (13% spent) Project Budget $ 522,000 Remaining Budget $ 452,700 Is this project on schedule according to the project plan? Is this project on budget according to the project budget?

Matt Evans | Questions and Comments