matt williams

Benefits Managementin an Agile World

Matt Williams PMP, MAIPM

Managing DirectorConnexion Systems

Benefits Management

Textbook Definition

– “The identification, definition, tracking, realisation and optimisation of benefits at initiative and portfolio level”

Steve Jenner, Managing Benefits

Benefits Management

Real Life Definition

– “What you do after you have delivered the project”

– “The thing you do once you’ve spent all the budget”

Traditional vs Agile Approach

Traditional Agile

Amplify 4-step investment process

What Defines Project Success?

1st Dimension– On Time– On Budget– To Scope

2nd Dimension

– Did we create business value?

Source: Delivering Major Projects in Government, National Audit Office (UK), 2016

What’s wrong with the Status Quo?

Strategic Alignment

38%of initiatives arenot helping to deliver strategy

Source: 4th Global Portfolio and Programme Management Survey, PwC, 2014

We Need to LinkExecution With Strategy

What are the Benefits?

Organisations that focus on strategic

alignment

deliver 50% more successful projects

Source: Pulse of the Profession, Project Management Institute, 2015

Strategic Focus No Strategic Focus

71%46%

Project Success Rates

So How Do We Achieve Strategic Alignment? Select the Right Projects!

So, What are the “Right” Projects?

Portfolio Selection

BenefitsProject

Benefits

Benefits

Benefits

Benefits

Project

Project

Project

Project

BenefitsProject

Benefits

Benefits

Benefits

Benefits

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Project

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Portfolio Selection

Amplify 4-step investment process

Integrated Project and Benefit Delivery Schedule

More Value, Delivered Earlier

Amplify 4-step investment process

An Agile Approach to Delivery Allows Sponsors To:

1. Review performance to date versus the business case at regular intervals

2. Check that the direction and end state are still sound (ie no significant shift in the market or new disruptors)

3. Determine whether the investment is still the best option for future capital investment (Portfolio Optimization), or whether further investment is perhaps warranted to exploit the opportunity.

What Does This Look Like?For a Business Case

What Does This Look Like?For an Individual Benefit

Maintain Benefit Focus in Delivery

This All Starts with theBusiness Case The Business Case is the Mandate from the

organisation to deliver value

It is not just used to ‘justify’ the investment of resources, but as a roadmap to value creation

Includes lead indicators to measure performance during delivery

Should be reviewed regularly to consider internal and external factors

Examples of MeasurableLead Indicators Outcome – Reduce Smoking Related Deaths

Lead Indicator – Smoking Rates

Lead Indicator – Quitting Intentions

Outcome – Reduce staff in call centre

Lead Indicator - % of self service transactions

Lead Indicator - % of customers who use similar technology elsewhere

Business Case Reviews

Need to regularly review each business case to determine:

– Initiatives are still strategically aligned

– Delivery Performance ($, time)

– Benefits are likely to be realised

If an initiative no longer fits, have the decency to kill it!

NO MORE ZOMBIE PROJECTS!

ContactMatt Williams PMP, MAIPM

Managing DirectorConnexion Systems Pty Ltd

E: mwilliams@connexion.com.au

M: +61 414 847 040W: www.connexion.com.au