PM@Siemens

Holiday Inn Hotel

Sandiacre Nottingham
7th June 2011
Paul Hodgkins - PM@Siemens Programme Executive

UK & North West Europe

Presentation Topics

‰ What is PM@Siemens?
‰ Why did Siemens do what Siemens did?
‰ How PM@Siemens has evolved
‰ How PM@Siemens has been implemented
‰ What improvements have we seen?
‰ What can be learnt from what we have learned?
Siemens – Facts and Figures – 2009/10

‰ Presence in 190 Countries around the world

‰ 405k Employees

‰ Annual Sales of €76 Billion

‰ New Orders of €81 Billion

Fiscal year for Siemens runs from 1st October to 30th September

Page 3 Paul Hodgkins APM Event – 7th June 2011

Siemens – Facts and Figures – 2009/10

‰ 75k employees involved directly in project business

‰ 17k Profit & Loss responsible Project Managers

‰ 40k new projects every year

Page 4 Paul Hodgkins APM Event – 7th June 2011

 “Answering the World’s Toughest Questions”
Siemens Structure - Megatrends

Industry Energy Healthcare

Divisions Divisions Divisions
ƒ Drive Technologies ƒ Fossil Power Generation ƒ Imaging & IT
ƒ Industry Automation ƒ Renewable Energy ƒ Workflow & Solutions
ƒ Building Technologies ƒ Oil & Gas ƒ Diagnostics
ƒ Mobility ƒ Energy Service
ƒ Lighting (OSRAM) ƒ Power Transmission
ƒ Industry Solutions ƒ Power Distribution

Corporate Communications
Page 5 © Siemens AG 2009. All rights reserved.
Siemens Global Presence

Germany

128,000 92

11,4 Asia, Australia

Americas 32% 15%

89 83
20,6 74,000 13,9
91,000
Europe, CIS, Africa, Middle 18% 18%
22% 27% East (excl. Germany)

30,0
112,000 78

28% 40%

As of September 30, 2010 Employees Revenue (billions of euros) Major production facilities

Corporate Communications
Page 6 © Siemens AG 2009. All rights reserved.
Projects are not a new phenomenon

“A pure entrepreneurial business needs young risk-taking

bosses who are ready at any time to put their existence
at stake for the realisation of big projects”

Werner Siemens to Wilhelm Siemens

(Berlin, 26.1.1867)

Page 7 Paul Hodgkins

 The Indo - European Telegraph Line
London to Calcutta (1870)
• Connecting London to Bombay and Calcutta
(via Prussia, Russia, Black Sea, Persia, Indian Ocean)

• Length: 11,100 KM (6900 miles)

• 176 KM (110 miles) of cable in the black sea

• Approximately 70,000 telegraph masts

• Installation from summer 1868 to spring 1870

• Started operation on 12th April 1870 (on time)

• Management Team:- Werner, William, Walter and Carl Siemens

(Berlin, London, St. Petersburg, Tiflis)
Source: Siemens Archive, Munich

Page 8 Paul Hodgkins

What is PM@Siemens?
What is PM@Siemens?

“PM@Siemens is a global program that supports the continuous and

sustainable improvement of Project Management processes towards process
and business excellence”

The PM@Siemens program supports this by:

‰ Harmonisation and standardisation of processes, methodologies and tools

‰ Offering a platform for best practice exchange and transfer

‰ Defining minimum requirements for project management

‰ Providing a “Career Model” to support the development of Project Managers

‰ Defining tools and systems for performance measurement and successful projects

‰ Implementing assessments to measure the maturity of processes and areas to improve

Page 10 Paul Hodgkins APM Event – 7th June 2011

How PM@Siemens has
evolved
PM Guide – Version 5

‰ Version 5 Guide Released Feb 2009

‰ Shift from 53 recommendations to
55 requirements

‰ Requirements linked to category of

project opportunity

‰ Requirements underpinned by
demonstrable ‘key achievements’ both
at operational and project based level

Page 12 Paul Hodgkins APM Event – 7th June 2011

PM Guide – Version 5

Peter Löscher – President and CEO Siemens AG

“For all Siemens units involved in projects business it is
a binding guide……Make use of it – for the benefit of
our company!”

Page 13 Paul Hodgkins APM Event – 7th June 2011

How PM@Siemens has
been implemented
How PM@Siemens has been implemented

Prof. Dr. Requardt Steering

Committee
CT O - Office Innovation

Program Director: Dr. Schloß, CT O PM

Coordinator: J. Fischer, E BE QM PM Academy Assessments

Global
Coordinators Core Team: LC CT SE

Cluster
Industry Energy Healthcare Coordinators
USA GER – Germany Eastern Mediterranean North East Asia
Kevin Mc Devitt

Canada SWE – South West Europe Western and Central Africa South Asia
<thru NWE>

Meso-America NWE – North West Europe Southern Africa Japan

Paul Hodgkins (UK) <no project business>

Brazil CEE – Central Eastern Europe Near East Pacific

Austral Andina Russia/Central Asia West Asia ASEAN

Copyright © Siemens AG 2010. All rights reserved.

 PM@Siemens North West Europe Cluster
Country Coaches

Denmark Norway
Finland & Baltic's
David Bennett-Holmes
John Holst
Tapani Kankkunen

Netherlands Sweden

Hans Spoor Anders Arhelm

Poland
United Kingdom
Robert Makuch
Paul Hodgkins
Russia

Ireland Thomas Bertram

Canada
Thomas Mousley

Riz Blair

Cluster Coordinator – Paul Hodgkins (UK)

Copyright © Siemens AG 2010. All rights reserved.
PM@Siemens - UK Business Champions (2009/10)

Cross Sector Industry Sector

SIS SBT Mobility IA + DT

Karen Payne David Pye Dot Pointing Russell Crane

Others
Healthcare Sector
VAI MT
Phil Doel
Nominated Project Champions
drive implementation Healthcare
Neil Wakefield
Water Tech SMT programmes within each
Pete Rogers James van Helden Business Unit and actively
Energy Sector
support PM@Siemens UK
Central Functions
development.
Energy
Central Departments provide Chris
Academy Cathy Nixon
Woodcock
GSS/CIT Steve Ashton functional expert support.
L&D Adrian Logan

Copyright © Siemens AG 2010. All rights reserved.

What improvements have
we seen?
What improvements have we seen?

‰ Project Management recognised as a profession, not just ‘a job’

‰ Internal certification and review board process
‰ Clearly defined career model

‰ Greater understanding of ‘cause and effect’ from non conformance

‰ Lessons learnt – good and bad
‰ Continuous improvement cycle – e.g. PACT and MPM
‰ Project reporting as a management tool

‰ Globally deployed Limits of Authority Tool (LoA)

‰ Defined contract escalation and sign off
‰ Project opportunity category determined – aligned to PM capability
‰ Understanding of business and corruption risk

Page 19 Paul Hodgkins APM Event – 7th June 2011

PACT

Page 20 Paul Hodgkins APM Event – 7th June 2011

Schedule of a MPM Assessment

Planning and Group interview Feedback to all

preparation with all project members * project members *
2d 6h

Individual Interview with Generate Final Report

single project members *
Kickoff Meeting
with all project Total 2 d
members
Feedback to
1h Review of
Senior Management
Documentation
3h

Interview with Generate Evaluation

Senior Management and Improvement Final Presentation
Measures
2h 2h

= Activity with interview partners

Optional
= Activity without interview partners Improvement Workshop
= Activity with all project members
6h
* without Senior Management

Page 21 Paul Hodgkins APM Event – 7th June 2011

Project Management Career Development

TODAY
PM Career model in Siemens
TOMORROW
Business A
Project Portfolio
PDir Project Portfolio
Our Project A
BB
Business
A
BBBB
A

Strategy
Business B Senior PM
CCCCCC CCCCCCCCC
DDD DD DDDDD DDDD
… …
C Project Manager
Fit? Input

Pr all
People

Sm
oj
D
Level 1

ec Pro
t M jec
Our Project

an ts
HR

ag
E Level 2
Strategy

er
Managers
Level 3
F

Project Manager Community Certified PM‘s of all levels

Page 22 Paul Hodgkins APM Event – 7th June 2011

Common & Consistent PM Training & Development

PM@Siemens UK Academy
‰ Supports PM Future World

‰ Supports APM BoK & Competence Framework

‰ Supports PM@Siemens lifecycle & terminology

‰ Most popular dvt programme in Siemens UK

‰ Recognised as best in class in UK

Page 23 Paul Hodgkins APM Event – 7th June 2011

What improvements have we seen?
PM@Siemens Lifecycle

Page 24 Paul Hodgkins APM Event – 7th June 2011

Page 25 Paul Hodgkins APM Event – 7th June 2011
What can be learnt from
what we have learned?
What can be learnt from what we have learned?
‰ A common framework for project business provides great benefit
‰ Especially when managing projects across boundaries
‰ Not as easy as it sounds – many challenges to overcome
‰ Takes time and requires an initial ‘leap of faith’

‰ Commitment from Executive Management is necessary

‰ “Tone from the top” and reinforcement
‰ Sponsorship and ownership at all levels of the organisation
‰ Requires effective structure with drive and commitment
‰ Governance model must be defined and enacted

‰ One size does not always fit all

‰ Must be room for adaptability at a local business needs level
‰ Connect the value of the programme to the value in the business

Page 27 Paul Hodgkins APM Event – 7th June 2011

Thank You for Listening

Page 28 PM@Siemens