1. Business Management Consultants Creating the Project-based Company An Executive Briefing with Dr. Tom Johns Ph.D, PE,PMP, MAPM 1st International Athens Conference on Project Management Best Practices Athens, July 1st, 2006

2. Business Management Consultants The Project-based Companies The Leading Edge in Management

3. Business Management Consultants The Project-based Company Trend toward Project-based way of working Projects The Company PM Project A B Customer Bus Dev Sales Ops MIS

4. Business Management Consultants What is a Project? Quality (Planned Results) Resource (Budget) Schedule (Time) An Enterprise Undertaken to Achieve Planned Results within a Time Limit and a Budgeted Resource An Enterprise Undertaken to Achieve Planned Results within a Time Limit and a Budgeted Resource

5. Business Management Consultants The Project-based Culture British Aerospace

6. Business Management Consultants  66% say employee morale improved  62% say management moral improved  80% say profit improved  81% say productivity improved  90% say product or service quality improved Published Benefits Of Project-based Management

7. Business Management Consultants  Boeing reduced lead time parts & matl 30%, design time 90%,  McDonald Douglas reduced scope changes by 68%,  Northrup reduced engineering changes by 45%, *US DOD reports 50% reduction in product lead time, Published Effects on Performance

8. Business Management Consultants “The difference between companies with ‘Mature’ Project Management Systems and poor ones is 13.5 points to your ROI” What is your Company’s Maturity? “ISO, TQM and Six Sigma Are all fine, but...” There is an unmistakable trend in the world today

9. Business Management Consultants *Business Roundtable reports difference of 13.5 ROI points in 2000 capital projects representing 300 B USD from various industries having good to poor project management systems and practices. Published Effects on Performance

10. Business Management Consultants The First Steps in Developing a Project Management Culture for Executive, Senior and Middle Managers  Write clear policy statement stating your support of Project Teams responsibility and authority,  Continually repeat the message that Project Teams are Empowered by you and demonstrate it.

11. Business Management Consultants  Passion without a system is as bad as a system without Passion 

12. Business Management Consultants Principles & Methods Teams as Building Blocks (People) Organizational Support A Complete Project-based Management System

13. Business Management Consultants The AIRBUS Project Management System AIRBUS

14. Business Management Consultants BMC’s Project Management Maturity Model An Organizational Development Tool Level 5 – Super Project-based Level 4 – Project-based Level 3 –Responsible Level 2 –Recognition Level 1 – Relaxed

15. Business Management Consultants The World Management Maturity is Low SOURCE: Project Management Maturity Benchmark, Center for Business Practices, Research based on assessments using industry standard Project Management Maturity Model (PMMM). A Strategic Opportunity

16. Business Management Consultants Teams as Building Blocks (People) Principles & Methods Organizational Support A Complete Project-based Management System

17. Business Management Consultants BMC’s Maturity-based Curriculum

18. Business Management Consultants AIRBUS UK Competencies Framework

19. Business Management Consultants Personal Values Personal Values Corporate Values Societal Values A Management System With Different Values

20. Business Management Consultants Relationships & Rules Time Environment Dimensions of Cultural Difference

21. Business Management Consultants Institutional Implications of Pervasion of Value Relativism  Power may be substituted for ideology  Expediency may replace ideological criteria  Decentralization of decision making may be made difficult  Policy becomes impossible - continuity & consistency are non-existent - decision makers become immobilized Ronald S. Paul Battelle Values

22. Business Management Consultants For an Project-based Company with Managed Risk Develop the Appropriate Project Management skills in everyone throughout the company and at all levels, Work through Cross Functional Project Teams, Conceive middle management as facilitators and coaches, Participated management, eliminate fear, Maintain few organizational layers, Maintain a client minded organization and and project-based accounting, Operational procedures support teams.

23. Business Management Consultants Thank you Questions?

24. Business Management Consultants Assessment Tools For Project Management Improvement with Dr. Tom Johns Ph.D, PE,PMP, MAPM 1st International Athens Conference on Project Management Best Practices Athens, July 1st, 2006

25. Business Management Consultants Principles & Methods Teams as Building Blocks Organizational Support

26. Business Management Consultants Client Requirements Organizing & Staffing Planning Directing & Leading Controlling Reporting Reprogramming 1 2 3 4 5 Knowledge Areas Mapped into behaviors Life Cycle Behaviors Project Life Cycles, Knowledge Areas and Planning Behaviors Knowledge Areas

27. Business Management Consultants Management Tools to Create Appropriate Management Behaviors Client Requirements Organising & Staffing Planning Directing & Leading Controlling Reporting Reprogramming 1 2 3 4 5

28. Business Management Consultants How are our Project Managers Doing? The Assessment Inventory Kit™ A Leading Edge Management Tool A Leading Edge Management Tool

29. Business Management Consultants How are our Project Managers Doing? (An example of the scoring) I. Planning 1. I reach a clear agreement with the project’s client concerning the overall project objectives 2. I appropriately involve key project staff members in project planning A B C D E Total   0 1 0 1 0 Percentage of Time You Agree A B C D E 90-100 75-89 50-74 25-49 0-24 Percentage of Time You Agree A B C D E 90-100 75-89 50-74 25-49 0-24 Scoring 5xA + 4xB + 3xC + 2xD + E = ? 5x0 + 4x1 + 3x0 + 2x1 + 0 = 6 Scoring 5xA + 4xB + 3xC + 2xD + E = ? 5x0 + 4x1 + 3x0 + 2x1 + 0 = 6

30. Business Management Consultants How Do our Project Managers Compare to Very Successful Project Managers? Inventory Score 0 20 40 60 80 100 242628303234363840 Inventory Score 0 20 40 60 80 100 242628303234363840 Inventory Score 0 20 40 60 80 100 242628303234363840 Inventory Score 0 20 40 60 80 100 242628303234363840 Inventory Score 0 20 40 60 80 100 242628303234363840 PlanningOrganizing & Staffing Directing & Leading Controlling Reporting % % % % % Find the Percentage of People Whose Scores are Less than Yours

31. Business Management Consultants Measuring Change in Project Manager’s Performance Best practice benchmark % % of International Companies demonstrating better PM Practice 32% 40% 6% 55% 45% 8%2% 0% 70% 29% Airbus UK November 2001

32. Business Management Consultants Improvement in Mean Scores Across AIRBUS Advanced Development Program Managers

33. Business Management Consultants Improvement in Consistency Across GSK Project Teams

34. Business Management Consultants Effects of Project Management Training on Assessment Inventory Scores Before & after line only managers were trained Dresser Industries New Product Development

35. Business Management Consultants Percentage of Companies in the Data Base Scoring Less Than Assessment Inventory Score Shown Planning After Line Managers Were Trained Before Line Managers Were Trained

36. Business Management Consultants Principles & Methods Teams as Building Blocks Organizational Support The BMC Project Management System

37. Business Management Consultants BMC’s Project Management Maturity Model An Organizational Development Tool Level 5 – Super Project-based Level 4 – Project-based Level 3 –Responsible Level 2 –Recognition Level 1 – Relaxed

38. Business Management Consultants BMC - PMMM PMI® - OPM3

39. Business Management Consultants BMC’s Project Management Maturity Model (Composition)

40. Business Management Consultants Measuring Maturity (Level and Variance) Projects Bus Dev Sales Ops MIS The Company PM Project A B Customer Mktg Sales Ops MIS Maturity Level Maturity Level Maturity Variance Maturity Variance

41. Business Management Consultants Principles & Methods Teams as Building Blocks Organizational Support

42. Business Management Consultants The Results of a Survey of Senior Managers from 41 Companies  How does Your Company Compare? 5 4 3 2 1

43. Business Management Consultants BMC’s Project Management Maturity Model An Organizational Development Tool Level 5 – Super Project-based Level 4 – Project-based Level 3 –Responsible Level 2 –Recognition Level 1 – Relaxed

44. Business Management Consultants Potential Impact of Performance from Increased Maturity PMMM report

45. Business Management Consultants Thank you Questions?

46. Business Management Consultants Come and Visit Business Management Consultants and the C entre of E xcellence for P roject M anagement http://www.bmc-online.com at