Using Your PMO to Drive Successful Organizational Change Management

Joe Saliunas, Booz Allen Hamilton 11 November 2012

Using Your PMO to Drive Organizational Change Management 1

Agenda
Organizational change management overview Case studies PMBOK Guide processes important to organizational change management Best practices

Using Your PMO to Drive Organizational Change Management

Lets start with some definitions

Change management Baseline change control Configuration management Organizational change management (OCM)

Using Your PMO to Drive Organizational Change Management

Project managers view of OCM and change management view of project management
Project managers view of OCM:

Not explicitly defined as a PMBOK Guide Knowledge Area Has something to do with communications and training Not sure how to build this into the WBS and IMS
OCM practitioners view of project management: An essential enabler of organizational change management

Using Your PMO to Drive Organizational Change Management

Organizational Change Management

The holistic process of leading an organization, and the people in it, through planned changebuilding buy-in for that change, anchoring that change in business operations, and managing and measuring the change, so that the change is implemented and sustained and the desired benefits of the change are realized; ensuring that the people in an organization are ready, willing, and able to adopt changes
Source: Booz Allen Hamilton

Using Your PMO to Drive Organizational Change Management

Examples of organizational change management models/frameworks

John Kotter LaMarsh Prosci Anderson & Anderson

Heath & Heath

Virginia Satir

Using Your PMO to Drive Organizational Change Management

Examples of change management workstreams

Change Strategy

Lead
and Build Buy-in

Change Leadership Stakeholder Management Communication

Human Capital
Integrate
and Anchor

Learning and Training Process and Infrastructure

Coordinate
and Measure

Project Management Performance Management

Source: Booz Allen Hamilton
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Using Your PMO to Drive Organizational Change Management

Three examples of PMO roles in implementing OCM

All examples are based on implementing PMOs for U.S. federal government programs, from 2000 to the present PMO statement of work defined by contract All PMOs supported by integrated government/contractor

teams
Basis for best practices in presentation

Using Your PMO to Drive Organizational Change Management

Example 1 Large department organizational transformation

Program scope: Transform and re-organize a 100,000person federal organization

PMO role: Manage and drive transformation

PMO approach to OCM:
OCM deliberately considered by PMO in overall program strategy Established Executive Steering Committee Client business staff in design and implementation teams Team charters and work plans for all teams OCM workstreams at agency level and embedded in implementation teams

Using Your PMO to Drive Organizational Change Management

Example 2 Small department technology transformation

Program scope: Implement COTS technology to improve customer service and increase efficiency PMO role: Manage the transformation program, integrate multiple implementation vendors PMO approach to OCM:
OCM deliberately considered by PMO in program planning Establish Executive Steering Committee Team charters and work plans for PMO/business/contractor teams OCM as separate team and workstream OCM activities in Integrated Master Schedule

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Example 3 Large agency transformation

Program scope: Multiple programs to transform agency to improve quality, efficiency, and customer satisfaction PMO role: Enterprise PMO, providing oversight of multiple programs PMO approach to OCM:
OCM not primary role of PMO Executive and business owner sponsorship of all programs Implementation teams directly report to business sponsor organizations Develop Transition Plan template and require for all programs

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PMBOK Guide Process Groups most important to successful OCM

Knowledge Areas Project Integration Management Initiating Process Group Develop Project Charter Planning Process Group Executing Process Group Develop Project Management Plan Direct and Manage Project Execution Monitoring & Closing Controlling Process Process Group Group Monitor and Close Project Control or Phase Project Verify Scope

Project Scope Management Project Time Management Project Cost Management Project Quality Management Project Human Resource Management Project Communications Management Project Risk Management Project Procurement Management

Collect Requirements Define Scope Create WBS

Develop Human Resources Plan

Identify Plan Stakeholders Communications

Acquire Project Team Develop Project Team Manage Project Team

Distribute Information Manage Stakeholder Expectations Report Performance

Source: From A Guide to the Project Management Body of Knowledge (PMBOK Guide)Fourth Edition, 2008, PMI

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PMI Standard for Program Management processes most important to OCM

Initiating Process Group Program Stakeholder Management Planning Process Group Executing Process Group Engage Program Stakeholders Monitoring & Controlling Process Group Manage Program Stakeholder Expectations Closing Process Group

Plan Stakeholder Management Identify Program Stakeholders

Plan and Establish Program Approve Component Governance Structure Initiation Program Governance

Provide Governance Oversight Manage Program Benefits Monitor and Control Program Changes

Approve Component Transition

Source: From The Standard for Program ManagementSecond Edition, 2008, PMI

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Governance: Best practices for OCM

PMBOK Guide Process Plan and Establish Program Governance Structure Provide Governance Oversight OCM Best Practices Identify natural business sponsors and key support organization executives and included in governance structure Include stakeholders with significant power Ensure business sponsor ownership of program plan and key decisions

Manage Program Benefits Define benefits targets and use to drive program vision Monitor and Control Program Changes Approve Component Transition Ensure sponsors have ownership of significant changes Use governance structure to ensure future business owner is ready and willing to accept the new capability

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Integration management: Best practices for OCM

PMBOK Guide Process Develop Project Charter OCM Best Practices Explicitly address need for OCM in project charter (as appropriate) Ensure there is a sponsor for OCM

Develop Project Management Plan

Monitor and Control Project Work Close Project of Phase

Define OCM as a process area in the Project Management Plan Require use of OCM process assets
Measure success of OCM plan as part of overall project metrics Ensure and measure transition of project from project team to future business owner Obtain business owner acceptance of OCM approach Transfer ownership and celebrate success

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Scope and schedule management: Best practices for OCM

PMBOK Guide Process Collect Requirements Define Scope OCM Best Practices Based on project scope and objectives, establish importance of OCM to success of project Define OCM as an integral part of project scope and explicitly address in WBS and master schedule Use Team Charters and Work Plans for design and implementation teams Plan work so that there are Quick Hits or Early Wins Design program roadmap and master schedule to reflect overall organizational change management strategy

Develop Schedule

Verify Scope

Measure performance in meeting OCM objectives

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Human resources management: Best practices for OCM

PMBOK Guide Process OCM Best Practices

Develop Human Resource Plan

Acquire Project Team

Ensure there is an OCM SME on the project team Ensure current business owners are included as part of project team
Provide senior management support to allow business owner staff with the needed expertise to participate as part of project team Provide logistics support for detailed staff Provide OCM training to project leaders and change agents Look for opportunities to transition project team members with strong ownership to the future business owner organization Team member performance measurement reward successful implementation
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Develop Project Team Manage Project Team

Using Your PMO to Drive Organizational Change Management

Communication management: Best practices for OCM

PMBOK Guide Process Identify Stakeholders Plan Communication OCM Best Practices Identify sponsors and stakeholders Conduct stakeholder analysis Develop communications plan that address different stakeholder groups and addresses their interests Link communications plan to overall project plan (vision, design, development, deployment) Use multiple communication channels, tailored to audience Understand stakeholder expectations, help set realistic expectations, monitor performance in meeting expectations Include OCM metrics in performance reporting Communicate status and successes to stakeholders
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Distribute Information Manage Stakeholder Expectations Report Performance

Using Your PMO to Drive Organizational Change Management

Example of an organizational change management knowledge area

Source: Booz Allen Hamilton PMO Playbook

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Options for providing OCM expertise

PMO Program management expertise OCM expertise

Project A Project management and implementation expertise OCM expertise

Project N
Project management and implementation expertise OCM expertise

OCM workstream OCM expertise

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Contact Information
Joe Saliunas Booz Allen Hamilton, Rockville, MD Saliunas_Joe@bah.com 703-939-5092

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