1. Optimizing IT Department Project Portfolio Management
(Concurrency Corporation)

2. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 2

3. Background
The IT Department within your organization currently faces a number of challenges related to its project portfolio management processes:
Lack of governance controls in project management leads to misallocation of resources
Lack of resource utilization knowledge across projects leads to resource surpluses or deficits for ongoing projects
Lack of visibility into status of projects in the portfolio, which impacts future project pipeline planning
Laborious process to update project status, resource utilization, and resource requirements
Long project status reporting process taking 10 days of cycle time per month, leading to out-of-date reports when finalized
Inability to accurately measure risk and return of projects
The net result of these challenges is reduced project profitability 3

4. Engagement Participants
Participant Name
Department
Role
(name)
(department)
(title) 4

5. Executive Summary
Concurrency proposes expanding upon your current Office System deployment to incorporate an optimized Project Portfolio Management system
Implementing the proposed Project Portfolio Management Solution will provide you with:
Better analysis of risk/reward of current and future portfolios, allowing IT directors to optimize the value of their projects
More accurate and timely project performance reports resulting in better project planning and capacity planning decisions
Near real-time project status updates enable management to quickly reallocate resources across the entire project portfolio
90% decrease in labor required to prepare project status reports
Reduce overall project reporting cycle time by 80%
Expected one-time solution cost of $156,000
Anticipated annual benefit of $375,000 5

6. Executive Summary 6

7. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 7

8. Current State Process Analysis
Project Portfolio Optimization Process Analysis Summary
Process Phase Description
Stakeholder groups request new project
Project Managers (PMs) collect work and workflow requirements
PMs review project requests and SOWs with Directors and CIO monthly
Directors and CIO decide which projects to pursue using non-structured assessments of risk vs. value to business
PMs prepare detailed execution plan
PMs and Directors manually assess resource demand vs. availability and ID gaps
PMs and Directors finalize resource allocation
Project Team manually updates project status throughout project
PMs prepare reports
Directors and CIOs periodically assess portfolio, reallocate resources, and cancel failing projects
Key Stakeholders
Project Stakeholders
Project Managers
Director
CIO
Directors
Project Team
High-Level Problems Identified
Laborious, manual methods to estimate work required
No estimation of project benefit or risk
Lack of governance overseeing how project requests are translated into statements of work (SOWs)
Tedious to consolidate and merge information from multiple sources into a project portfolio selection report
Laborious, manual process manage project requests
Inability to accurately measure risk/reward of projects
Majority of time is spent manually gathering resource utilization data
Difficult to quickly identify over/under-utilization across existing project portfolio
Status reporting is accomplished via exchange of static spreadsheets, leading to versioning errors
Lack of current utilization data across portfolio
Inability to accurately judge the profitability of ongoing projects
Impact
Costly and time consuming project creation process
Suboptimal project portfolio selection
Lower ROI for IT investments
Resources are not timely and optimally allocated
Costly and time consuming to report project status
Costly and time consuming resource leveling across portfolio
Lower project profitability
Create New Projects
Select Optimal Project Portfolio
Plan Project Execution
Manage Project Portfolio 8

9. Current State Process Diagram9

10. Current State Process Diagram10

11. Current State Process Diagram11

12. Current State Process Diagram12

13. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 13

14. Future State Process Analysis
Project Portfolio Optimization Phases – Analysis Summary
New Process Phase Description
Project Stakeholders request new projects via SharePoint Server
PMs quickly manage requests, adding in work requirements and expected project value within Project Server
PMs, Directors, and CIO use Project Server scenario planning to quickly select the project portfolio with the best ratio of reward to risk
PMs automatically assess project requirements and resource availability
PMs adjust current and future project schedules to ensure optimal resource allocation and project sequencing
Resources update task status daily
Directors and CIO review project status dashboard as needed
Key Stakeholders
Project Stakeholders
Project Managers
Director
CIO
Directors
Project Team
High-Level Improvements
Collection of project requests is standardized
Governance in computing project requirements and value ensures that projects can be accurately compared with each other
Entirely removes lengthy manual project portfolio selection process
Clear view of resource allocation across portfolio
Eliminates manual utilization tracking an /Excel based reports
Removes executive management from the decision process, freeing them for more important issues
Simplified status reporting reduces errors
Governance improves accuracy of status reporting
Provides granular, task-level view of project status
Automates resource allocation across portfolio
Management can ID and discontinue unprofitable projects or take mitigating actions
Impact / Benefit
Reduced cost and effort manage project requests
Projects are selected and started faster
Optimal project portfolio is selected more often
Improved IT responsiveness
Projects are better planned and more profitable
Resources are efficiently allocated across portfolio
Optimal resource allocation increases utilization and improves portfolio profitability
More time available for analysis reduces risk of missing key issues
Create New Projects
Select Optimal Project Portfolio
Plan Project Execution
Manage Project Portfolio 14

15. Prioritized Process Solutions
Delivering Office System Solutions:
Expanding Your Practice and Portfolio Offerings with the Office System
Prioritized Process Solutions
High 5
Integrate all resource allocation, project status, and pipeline planning data into Project Server 2010
(Project Server 2010, Exchange Server 2010, SharePoint Server 2010 with Excel Services)
Develop Executive Project Planning & Capacity Planning Dashboards
(Project Server 2010, SharePoint Server 2010 with Excel Services)
Level Of
Complexity 3
Create resource utilization views in Project Server 2010
(Project Server 2010, SharePoint Server 2010 )
Create business rules for task-level project status tracking
(Project Server 2010, Exchange Server 2010)
Low 1 1 3 5
Low
Value to Business
High 15

16. Future State Process Diagram

17. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 17

18. Anticipated Benefits - ProcessID
Process Phase
Improvement Description
Benefits
Technology Leveraged
KPI Impact(s)
Affected Stakeholders 1
Create New Projects
Collection of project requests is standardized
Governance in computing project requirements and value ensures that projects can be accurately compared with each other
Reduced cost and effort manage project requests
Project Server 2010
SharePoint Server 2010 with Excel Services
57% decrease in labor required
90% decrease in process cycle time.
Project Stakeholders
Project Mangers 2
Select Optimal Project Portfolio
Entirely removes lengthy manual project portfolio selection process
Projects are selected and started faster
Optimal project portfolio is selected more often
Improved IT responsiveness
Exchange Server 2010
100% decrease in labor required
75% decrease in process cycle time.
Project Managers
Directors
CIO 3
Plan Project Execution
Clear view of resource allocation across portfolio
Eliminates manual utilization tracking an /Excel based reports
Removes executive management from the decision process, freeing them for more important issues
Projects are better planned and more profitable
Resources are efficiently allocated across portfolio 4
Manage Project Portfolio
Simplified status reporting reduces errors
Governance improves accuracy of status reporting
Provides granular, task-level view of project status
Automates resource allocation across portfolio
Optimal resource allocation increases utilization and improves portfolio profitability
More time available for analysis reduces risk of missing key issues
50% decrease in labor required
50% decrease in process cycle time.
Project Team 18

19. Anticipated Benefits - FinancialID
Process Phase
Improvement Description
Estimated Revenue Increase
Estimated Cost Decrease
Total Benefit 1
Staff New Projects
Current resource utilization and availability are stored within Project Server 2010
Project requirements are stored within Project 2010
Project Managers and Directors can easily and automatically staff new projects using the Project 2010 desktop interface
$25,000 2
Report Project Status
Project status is easily updated each day
Project Managers and consulting staff update task status using Outlook
$50,000 3
Reallocate Resources Across Portfolio
Resource reallocation is anticipated and happens automatically in near real-time
Resources are freed or requested automatically in Project Server 2010 as project phases are completed
$100,000 4
Plan Project Pipeline
Develop Executive Project Planning and Capacity Planning Dashboards
Automated report distribution, publishing, and sharing
$200,000
Total Estimated Benefits
$375,000 19

20. Anticipated Costs 20 Cost Area Component One-Time Costs Ongoing-Costs
Software
Additional CALs Server Licenses for Project Server 2010
$20,000 -
Hardware
2 Additional Servers
$6,000
Training
Information Worker Training
$30,000
Deployment
Solution roll-out and implementation
$100,000
Other
N/A
Total
$156,000 20

21. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 21

22. Adoption & Implementation Planning SummaryID
Improvement Description
Resources Required
Implementation Owner
Additional Stakeholders
Notes 1
Integrate all resource allocation, project status, and pipeline planning data into Project Server 2010
IT department resources for solution development and/or project management
Project Manger volunteers for pilot testing
VP of IT
Project Managers
Directors
IT Department 2
Develop Executive Project Planning & Capacity Planning Dashboards
Executive volunteers for pilot testing 3
Create resource utilization views in Project Server 2010 4
Create business rules for task-level project status tracking
Executive summary of the proposed solution and benefits, anticipated resources required, anticipated project roll-out and timing, roles and responsibilities of implementation stakeholders, risks and mitigation summary, and any high-level change management plans. Easiest to complete after detailed implementation sections developed.
Resources Required: Summary of financial and non-financial resources required for implementation. Starting with the cost analysis from the business case developed on Day 4, include additional resources for project oversight, implementation participation, and any other components (e.g., office space) required, both from an internal and external perspective.
Also highlight Roles and Responsibilities: Clear delineation of who will be involved in the implementation and what their respective roles will be. Should include project owner, project sponsor, implementing organization, important stakeholders, and other relevant parties, as well as who will perform the work, review the work, approve and manage the project, etc. 22

23. Project Plan
Facilitator Guidance: Use this slide to provide an example Project Plan to the CET or to SMEs as applicable; Tasks, timeline, sequencing, and assigned resources and owners required to implement the solution. 23

24. Potential Adoption Roadblocks
Stakeholder Group
Anticipated Resistance to Change
Degree to which Resistance will Limit Initiative Success
Mitigation actions
Technical
IT Department
N/A
Departmental Analysts
Some reluctance to use new tools
Mid
Develop brief training document and FAQ
LOB Managers
Departmental Manager
Low
Cultural
Strong ownership of multiple process phases; feels that current process is “good enough”
Reward involvement in deployment and participation
Staff may be reluctant to change current business practices
Highlight time saving benefits of solution
Departments have realized limited value from analytics and reporting solutions to date; concern that new solution will repeat problems of previous solutions
Highlight short-term and long-term process and information benefits
Interested in bottom line; show me the money
Monitor and report on ongoing performance 24

25. Adoption Roadblock Mitigation Actions by Stakeholder
Adoption Category
IT Department
Departmental Analysts
LOB Managers
Departmental Manager
Awareness
Awareness generating communications via , newsletters, manager meetings, etc., targeted to stakeholder group and concerns
Value Demonstration
Emphasize performance process and productivity improvements to department as well as economic cost and implementation timeline.
Demonstrate improvement in productivity through quick hits and quick wins; also show overall process improvements and reduced impact on staff. Provide useful tactical training to support roll-out.
Demonstrate both improvement in productivity through quick hits and quick wins; also show overall process improvements. Provide useful tactical training to support roll-out.
Integration & Alignment
Ensure proposed solutions/ initiatives are aligned with both with business and IT strategy and direction 25

26. Contents Executive Summary Current State Analysis
Future State Analysis
Business Case
Adoption & Implementation Planning
Next Steps 26

27. Next Steps
Review presentation and proposal with decision maker(s) and stakeholders for approval
Execute work order for project
Schedule kick off meeting for week of _____ and weekly status meetings
Propose schedule:
A) Deadlines for initial milestones, or
B) Date to finalize initial milestones 27