1. Strategic Management System A Case Study Gloria Trope, PMP- Sr. Management Advisor (gTrope@wsscwater.com) Mazhar Mansoor, PMP- Sr. Management Advisor mMansoo@wsscwater.com)

2. Introduction This is a case-study of how a water utility revised its strategic management process utilizing key project and portfolio management principles. The new system integrates planning, budgeting, performance management and project management. 2

3. Washington Suburban Sanitary Commission (WSSC) Established in 1918, WSSC is the eighth largest water and wastewater utility in the United States. WSSC serves about 1.8 million people in an approximately 1,000-square-mile (2,600 km2) area in Montgomery and Prince George’s counties. It owns and manages about 10,000 miles of water and sewer mains 3

4. 4 Focus on planning Basic performance management system Centralized strategic system Limited upfront planning No alignment with budget process Limited alignment between “Action Items” and strategic priorities No Project Charter

5. 5 Develop and implement a strategic management system Focus on execution utilizing project management practices Time for upfront planning Alignment with budget process Portfolio-based planning Project Charter for each strategic project Focus on benefits /program evaluation

6. New Strategy Pyramid Vision What we want to be Mission Why we exist Core Values What we believe in Strategic Priorities What our game plan will be Objectives and Measures (Performance Management) What must we achieve and how do we know if we are achieving it Strategic Initiatives (Planning, Budgeting & Implementation) What we need to do (and how we fund it) Personal Goals (Performance Management Program – PMP) What I need to do as an individual StrategyFormulation StrategyEvaluation StrategyImplementation

7. WSSC Strategic Management System Customer Outcomes

8. Key Outcomes of New System 8 An effective corporate governance model A portfolio-based planning process Projects and programs that support strategic priorities Focused, quantifiable outcomes Aligned individual and organizational goals Tools for managing programs and projects

9. New System - Process View Vision Mission Core Values Strategic Priorities Vision Mission Core Values Strategic Priorities Requested and Suggested Projects Recommended Projects Funded Projects Planning Closing Execution Performance Management (KSMS) Performance Management (KSMS) Portfolio Decision Criteria Budget Decision Criteria Strategy Formulation Strategy Implementation Strategy Evaluation

10. Strategic Management System - Old Process Team and Offices New and Reinstated Forms Budget Office Budget Summary/ Final New and Reinstated Forms GMO Team and Offices Greensheets SSMO Final Greensheets and Pinksheet Portfolio Teams Portfolio Recommendations Portfolio Recommendations SSMO Portfolio Recommendations Memo

11. Strategic Management System – New Process 11 Team and Offices Annual Workplan SSMO (GMO Initial Review) SSMO (GMO Initial Review) Budget Package (Annual Workplan) Budget Package (Annual Workplan) Portfolio Teams GMO Budget Office Ideas and Suggestions Portfolio Recommendations Annual Workplan

12. 12 Initiation Annual Workplans (Draft) Budget/ Workplan Meetings with the GM AugJulyJuneAprilMarchFebJanMay Fiscal Year Kickoff Budget Planning Portfolio Meetings Sep Finalize Workplans Update KSMs Prepare Budget Requests Finalize Workplans Update KSMs Prepare Budget Requests Budget Submission Update Workplans Oct Portfolio Debrief

13. 13 Planning DecNovAprilMarchFebJanMayJun Goal-setting for employees Update plans as needed Submit budget reallocation requests as needed Update plans as needed Submit budget reallocation requests as needed Debrief Refine scope and create project schedule Complete workforce planning Conduct resource planning session Complete risk planning Refine scope and create project schedule Complete workforce planning Conduct resource planning session Complete risk planning

14. 14 Execution DecOctSepNovAprilMarchFebJanMayJunJulAug Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance

15. 15 Monitoring & Controlling DecOctSepNovAprilMarchFebJanMayJunJulAug July Develop project closing report Archive project documentation Submit final Workplans Develop project closing report Archive project documentation Submit final Workplans Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance Measuring the ongoing project activities Monitoring the project variables (budget, issues, risks) Progress reports Measuring the ongoing project activities Monitoring the project variables (budget, issues, risks) Progress reports

16. 16 Closing DecOctSepNovAprilMarchFebJanMayJunJulAug July Develop project closing report Archive project documentation Submit final Workplans Develop project closing report Archive project documentation Submit final Workplans Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance Support and monitor key projects as needed (SSMO) Direct and manage project execution (project teams) Develop new system, process or product (project teams) Monitor and report performance

17. 17 Tools and Templates Annual Workplan Project Charter Project Status Report Project Management Plan Annual Workplan Project Charter Project Status Report Project Management Plan

18. Lessons Learned Keep it simple – phase-in Seek leadership support early Obtain cross-functional involvement Seek participation from various levels in the organization Show the …WIFM Build on what exists Communicate often 18

19. Questions? ? 19 Gloria Trope, PMP Sr. Management Advisor (gTrope@wsscwater.com) Mazhar Mansoor, PMP Sr. Management Advisor (mMansoo@wsscwater.com)