A reference Guide for

Project Boards

Introduction Project objectives in balance Key roles defined Are relationships working Focus of your involvement Effective Project Board Principles Project management framework Making delivery happen Risk management Effective planning Project initiation and definition Meeting management Communications Project reporting Assessing success Signs of potential project disaster

Page 1 2 3 4 5 6 7 8 9

10 11 12 13 14 15 16

2

Introduction The Project Board has a key role to play in delivering a successful project. Comprising the Project Sponsor, Accountable Executive/Senior User and other key stakeholders, their leadership and support provide the environment in which the Project Manager and his team operate to deliver against the project’s goals. Project Board members must balance their commitments to operational activities with the demands of the project. This booklet provides a quick reference guide to help Project Board members understand their roles within the project and focus on the key project issues. It covers:

The project objectives balance

Key roles and relationships

‘What to look for’ checklists for day-to-day use in guiding projects

3

Project objectives in balance A project can be defined as:

“A unique, temporary endeavour undertaken to create a product or service

to meet a defined business case” That business case sets the timescales, costs and resources to be deployed to deliver a quality product or service. In this context “quality” means fit for purpose as specified in the business case. The Project Board is responsible for ensuring a balance between the timescales, costs and resources to ensure that quality is optimised.

4

Key roles defined

Sponsor:

Fit with the overall strategy Policy guidance Strategic champion

Accountable Executive/Senior User: Delivers the benefits Represents the business needs Integration into normal operations Business-level champion

Project Manager: Delivers the solution Manages the resources, time and budget

Leads the team

5

Are relationships working? There are three key roles in the project organisation:

The Project Sponsor The Accountable Executive/Senior User The Project Manager.

They have a unique relationship which must work for the project to be a success. Together they ensure the correct balance between overall business strategy, perceived business requirements and project execution and control.

6

Focus of your involvement The ability to influence the outcome of a project decreases rapidly as you progress through the lifecycle. It is essential that the Project Board has the skills, experience and time to devote to ensure a project starts on a sound basis in the crucial early steps through initiation and definition. Thereafter it must provide the guidance and support required to ensure effective execution and delivery.

7

Effective Project Board Principles

1. Identify and manage all stakeholders – protect the project from organisational politics

2. Understand the project’s priorities – cost, time, quality, scope, benefits.

3. Question the quality of the project definition – read the PID and Business Case in detail.

4. Help the Project Manager to phase deliverables to reduce risk and advance business benefits.

5. Make sure you have the right resources for the job, not just who was available at the time

6. Ensure risk is managed continuously

7. Ensure appropriate external reviews are planned and executed

8. Plan ahead for acceptance – involve the business at all stages

9. Communicate regularly with the project team and ensure commitment is maintained

10. Spot check project documentation

8

Project management framework

“The structure of policies, procedures, standards,

tools and techniques which support how projects are executed through their lifecycle”

This is the structure organisations use to provide a consistent project language that the whole business will understand. Where their experience or the situation warrants it, the PM can ‘step outside the envelope’ to deliver what is needed. The framework sets out the rules for approval of this. Do’s

Do understand your organisation’s project management framework

Do follow the project lifecycle Do use a methodology Do get appropriate approval for exceptions

Don’ts

Don’t follow the framework or methodology by rote

Exceed your budget tolerances without approval

Don’t ignore the collective ‘organisational wisdom’

9

Making delivery happen Projects are different from daily business and therefore the environment in which the project operates is crucial to its success. Working within the matrix organisation, as most projects do, requires consistent styles of leadership, involvement of the business and commitment from the Project Board itself to the task. Role of the Project Board:

Establish and agree the Project Board ‘ten commandments’

Champion the project Involve the business Stay the course Support the Project Manager Make time for the project

What to look for:

Inconclusive and rambling meetings Infrequent board meetings Board member absenteeism Defensive behaviours – project vs. BAU Disengaged stakeholder community Demoralised Project Manager/project

team

10

Risk management

Risk management is about managing the uncertainty around projects, identifying the factors that cause that uncertainty and monitoring them throughout the life of the project. Role of the Project Board:

Ensure that everybody understands what level of risk is acceptable

Approve and sign-off selected responses to risks

Regularly review the top 5 risks Question the impact of changes in

requirements What to look for:

Ensure selected actions do actually manage the risk

Make sure time, cost and resource implications are incorporated into plans

Challenge to ensure that new risks have not surfaced

Ensure that the risk register is kept up-to-date

Ensure time is not being wasted managing trivial risks

11

Effective planning The plan is the Project Manager’s primary tool for controlling the activity undertaken on the project. Role of the Project Board:

Review and sign-off plans at checkpoints Review progress against plans Approve resource commitments to plans Resolve conflicts that could impact plans Control contingency available for use in

plans Ensure key risks are catered for in plans

What to look for: Ensure plans are relevant and at the

appropriate level for the stage Ensure a narrative is included, not just a

bar/Gantt chart Ensure there is time to use any

contingency Ensure the plan is realistic about resource

availability Challenge the estimating process Ensure risks, issues, dependencies and

assumptions are covered Ensure quality is planned in Ensure a baseline is set

12

Project initiation & definition Project initiation is a structured process undertaken at the outset of a project. Key Steps:

Confirm the scope and objectives Develop the business case Develop plans Establish the project organisation Identify and assess risks Establish the control environment Gain authority to proceed

Role of the Project Board:

Challenge the PID and Business Case Ensure resources are committed before

giving approval to proceed Review key risks, assumptions and

dependencies and ensure they are covered by the plan

Deal with any immediate issues What to look for:

‘Missing’ stakeholders The wrong project Unrealistic plans or expectations Un-documented assumptions

13

Meeting management Meetings are an integral and necessary part of our business lives. Given the seniority of typical Project Board members it is essential that Project Board meetings utilise this time to the maximum benefit of the project and key stakeholders. Key Roles:

Chairperson Secretary Attendees Specialist roles

Timekeeper Candour monitor

(monitors and prompts for contributions) What to look for:

Agenda/instructions handed out at the meeting

Not agreeing the objectives Responsibilities not being clarified at start Attendees not focused on the meeting Not checking back at the end of meeting Not issuing notes of meeting in timely

fashion Failing to communicate key decisions to

wider community

14

Communications

“The imparting or exchange of information,

ideas or feelings” Effective communication is vital to the success of any project. Role of the Project Board:

Set the tone Ensure consistent use of language Ensure a consistent and appropriate

message inside and outside the organisation

Provide feedback on the view of the project within their business lines

What to look for:

Project ‘invisible’ Project materially misunderstood Project image is poor Stakeholder disengagement Ineffective communications:

Do not build on each other Defy belief Are diluted Not delivered effective Not received as planned

15

Project reporting It is essential that the Project Board members can rely upon the information they are given at the Project Board. To do this they must create the right reporting environment to enable the Project Manager and anyone else called to the board to speak freely without fear of being improperly admonished or worse. The Board will also gain confidence if the reports are timely, relevant and from an experienced Project Manager or from an independent assurance team member. Role of the Project Board:

Create an open environment for reporting Deal promptly with issues/exceptions Challenge progress Agree actions arising

What to look for:

‘Too good to be true’ progress Recurring themes Repeated delays Irregular or inconsistent reporting “I’m just finishing it now” – the perpetual

promise

16

Assessing success Success can sometimes depend on your perspective. Projects can be successful in some areas and failures in others. Understanding the relative importance of each aspect will help the project board gain an overall perspective. Role of the Project Board:

Ensure success criteria are defined and agreed at the outset

Ensure different perspectives on success are sought

Ensure success criteria are prioritised in line with company strategy

Ensure success criteria remain relevant through the life of the project

What to look for:

Over-emphasis on one particular aspect of success, e.g. costs

Changes to project direction failing to take into account impact on success criteria

Vested interests – the ‘pet’ project

17

Signs of potential project disaster Some typical signs that the project is going off the rails: 1. Meetings are irregular or cancelled 2. Unclear roles, responsibilities and sign-

off authority 3. A disengaged sponsor 4. Team leaders abdicate responsibility 5. No-one has an overall view 6. Fear of imparting bad news to senior

management 7. Believing that a supplier contract will

protect against failure 8. A hassle-free detailed planning phase 9. The business is not involved 10. Plans are out of date and/or do not

reflect scope changes 11. Part-time, or changes in, project

management, or multiple project managers

12. Believing that the most important objective is cost

13. An artificial fixed end date is imposed 14. The target benefits lack credibility

Published by ARRA Management Ltd. Price: £5/€6 For more information e-mail:

info@arra-pm.com

www.arra-pm.com

Disclaimer: Copyright and all intellectual property rights in this booklet and all the information and graphic representations or images belong to ARRA Management Ltd., subject to any contrary indication. No copying is permitted without the permission of ARRA Management Ltd. Contents of this booklet are for general interest and guidance only and are not intended to be relied on by any user for any other purpose. ©2010 ARRA Management Ltd. All rights reserved.

Passionate about excellence in project and programme

management

• Coaching, mentoring & practitioner led training

• Consultancy

• PM & Collaboration Solutions

• Resourcing

www.arra-pm.com