The Value ofPMI and Project Management

Gary KleinGovernment Relations Specialist

NIH PresentationAugust 12, 2009

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What is PMI?

Global Not-for-Profit Professional Association Founded by working project managers Members in 171 countries

Global Standards 11 standards provide a common framework and

language for projects across industries and regions

Credentials 5 widely recognized credentials Based on both knowledge and work experience

Educational Activities Continuing education for credential maintenance Accreditation of academic PM programs Registered Education Providers (REPs)

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Advancing the Profession

Research Career Development Ethics and Sustainability PMI Educational Foundation Advocacy and Outreach

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0

50,000

100,000

150,000

200,000

250,000

300,000

1975 1985 1995 2005

40 Years of Growth

293,416Jan. 2009

293,416Jan. 2009

10,000

100,000

Founded1969

PMI Membership

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Global Membership

NorthNorthAmericaAmerica

69%69%

LatinLatinAmericaAmerica

5%5%

Asia PacificAsia Pacific14%14%

EMEAEMEA12%12%

October 2008 data

250 Chapters, 29 SIGs, 2 Colleges

Join Locally, Connect Globally

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Globally Recognized Standards

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• Certified Associate in Project Management (CAPM®)

• Scheduling Professional (PMI-SP®)• Risk Management Professional (PMI-RMPSM)• Project Management Professional (PMP®)• Program Management Professional (PgMP®)

PMI Family of Credentials

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Project Management Professional (PMP®)

Project role: leads and directs project teams

Eligibility requirements: Bachelor’s degree/global equivalent; 3 years experience leading teams; 35 hours project management education

Steps to obtaining credential: application process + multiple choice exam

Exam Information: 4 hours; 200 questions

Fees: US$405 PMI Member; US$555 non-member

Credential maintenance:3 years; 60 PDUs

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Why Become Certified?

PMI credentials:

Recognize your knowledge, skills and abilities Reflect achievement in your field Improve skills and knowledge Prepare you for greater job responsibilities Lead to career opportunities and advancement Can lead to salary increases Build confidence Greater recognition by peers and management Show your commitment to the profession Enhance the profession

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Career Development

A jumpstart for beginners Credentials Learning Networking

Resources for career building SeminarsWorld®, e-learning PMI Leadership Institute

Advanced tools for team leadership Career HQ, PathProTM

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Research

More than 350 publications Project Management Journal $14M in research support since

1997 Biennial research conferences Researching the Value of Project

Management

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The Value of Project Management to Organizations

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Value: Results

“The value of project management is tangible. It’s the

structure behind the projects. We do better than industry

benchmarks.”

“The feeling of control that comes from the PM processes is significant –- there is less overhead, less time needed/ wasted, and a greater focus on the benefits.”

“Project management provides hard value: saving wasted dollars and effort and mitigating the risk

of wasting dollars.”

All quotations from interviews in Researching the Value of Project Management

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Value: Learning

“What we have learned from the [project] has become the most

valuable wealth of the company.”

“One thing we try to do is learn from each other, focus on lessons learned at the end

of each project… the corporate culture leads to sharing and learning from

others’ experience.”

"The project management framework has taken the company to the next level. It is a stepping stone to much bigger work, bigger clients."

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Value: Communication

“It gives them a sense of being connected to the enterprise… how [their work] relates to the larger operation and to the success of the organization."

"Implementing formal project management has allowed the company to put people where

their passions are…..."

“Project management contributes to team building and co-ordination. It

greatly improved work efficiency and customer satisfaction.”

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Project Management: Value

Results + Learning + Communication =

• Real business value

• Real organizational value

• Real strategic value

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Value: Organizations Know It

“80% of higher-performing projects use a certified project manager”

50% of project failure traceable to poor (or no) project management: Bad estimates/deadlines Scope changes Poor resource planning

Larger organizations extend project thinking to program and portfolio management

PriceWaterhouseCoopers survey, 2007

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Source: Value of Project Management in IT Organizations survey, Center for Business Practices, February 2002

Use of project management principles leads to more than 21% improvement in numerous project metrics

0%5%

10%15%20%25%30%35%40%45%

38.6% 37.6% 37%32.8% 32.5% 32.1% 31.9%

25.6% 23.8% 23% 22.8%21.7%

Project Management: Value

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Trends in Project Management

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Global Demand for Project Management

• $12 trillion per year spent on fixed capital

projects worldwide – 20% of global economy

• Trillions more in projects for IT, new product

and service development, entertainment/IP,

NGOs

• More than 20 million practitioners of project

management• Yet trillions at risk due to shortage of

trained practitioners

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Challenges Facing The Profession Globally

The Gap: Getting from Strategy to Execution

• Need for understanding of integrated portfolios

• Shortage of experienced project managers

• Schedule and lifecycle compression

• Increasing demand for both risk management and sustainability

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Project Management in the Public Sector

PM is not new to the U.S. public sector

It plays a critical role in the success of many federal programs

Its absence contributes to the failure and under-performance of other federal programs

PM adoption in “pockets” of government

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Project Management in the Public Sector

Understanding the Challenges of PM in the Public Sector:

PM not viewed as a needed discipline

PM not useful/applicable to “what we do”

Slow executive recognition & support

Difficult converting “non-believers”

Subject Matter Expert or PM?

Lack of awareness and training

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Future Trends in PM in the Public Sector

1. Accountability and Performance Expectations on the Rise

2. Effective Stakeholder Management Continues to Need Work

3. The Focus Is Changing from “Doing Work” to “Getting Results”

2008 Survey by Lou Pack and Troy Barker, ICF

Consulting

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Future Trends in PM in the Public Sector

4. The Role of the Project/Program Manager is No Longer Being Seen as Simply “Collateral Duty”

5. PMOs are Expanding Their Capabilities and Services

http://survey.icfsurveys.com/ppm

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Worldwide, organizations will Worldwide, organizations will embrace, value and utilize embrace, value and utilize

project management, project management, and attribute their success to it.and attribute their success to it.

PMI’s Envisioned Goal

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Thank You

www.pmi.orgwww.pmi.org© 2009 Project Management Institute, Inc. All rights reserved. “PMI”, the PMI logo, "PMP", the PMP logos, "PMBOK", "Project Management Journal", "PM Network", and the PMI Today logo are registered marks of Project Management Institute, Inc. For a comprehensive list of PMI marks, contact the PMI Legal Department.