Thursday May 09, 2013

The Resource Management Maturity Sweet Spot

Wayne Caccamo, Sr Director, Product Marketing, Oracle

The Resource Management Maturity Model (RMMM) defines five levels of process maturity: 1: Work Visibility; 2: Controlled Assignment; 3: Governed Capacity; 4: Schedule-Driven Availability; 5: Granular Management. One of the principle tenets of the RMMM is that higher is not necessarily better when it comes to the maturity of your resource management process. In fact, for most organizations, the optimal level of maturity is Level 3: Governed Capacity.

We call this the resource management maturity sweet spot.

At Level 3, resources are managed at the "project" level rather than at a more granular level like project phase or task. In other words, resource management is essentially a top-down process as opposed to the next level of maturity where resource assignments are driven bottom-up from the project Work Breakdown Schedule (WBS) at either the project phase level (Level 4) or detailed project activity level (Level 5).

Managing resources at the "project" level of detail, provides most of the benefits organizations desire in terms of the ability to assign resources to the highest priority projects, manage capacity to meet existing and future demand, and track project and portfolio costs.

At the same time, it doesn't burden organizations with the additional process complexity associated with bottom-up resource management. The key business benefit of more granular resource management control -- the ability to accommodate incremental demand with existing resources in a highly time/schedule constrained environment -- may not be justified simply because of the potentially onerous information and supporting technology complexity and process maturity demands.

To illustrate exactly what you are signing up for when you go bottom up, consider this.  WBS-driven resource management puts the burden on project managers to accurately:

1. Maintain and update project phase dates
2. Assign individual resources to the relevant phases; and
3. Provide utilization requirements by phase. 

For a portfolio with 100 projects, with an average of 5 phases per project and 5 resources per phase, the required number of data values to be kept up to date by the PM is 100x5x5x3 or 7,500!

If the organization does not possess adequate process maturity, the dependent capacity planning and governance processes will be driven from a mass of unreliable underlying information. This is a big risk.

In sum, understand your resource information requirements carefully and make sure you can justify the incremental maturity level benefits with the additional process complexity and associated risks. 

Thursday Mar 21, 2013

Upcoming webcast: Discover Instantis EnterpriseTrack - March 27th

We are very excited to introduce you to the latest addition to the Primavera product family, Instantis EnterpriseTrack.

Attend our webcast, Wednesday, March 27, 2013 - 11:00 a.m. PT and find out why this leading cloud PPM solution helps IT and business process leaders improve strategy execution and financial performance through more effective work and resource management.

Save your seat: Register today for this online event and discover the top-down approach to managing, tracking, and reporting on enterprise strategies, projects, portfolios, processes, resources, and results.

Sunday Jul 08, 2012

Business Insight, IT Execution: 9 Project Management Tips


Top piece of advice from Eaton Operations Services Manager Marcos Baccetto: Make it a business project, not an IT project. Read his other eight top tips.[Read More]

Wednesday Dec 14, 2011

How Mature Financial Services Firms Deal With Troubled Projects

Project Oversight in Financial Services

In today's uncertain global economy, firms must execute projects flawlessly or risk losing market share, eroding customer confidence or failing foul of regulatory compliance. Few financial services firms can afford to let their projects underperform. Those that do risk damaging their bottom line, their reputation and their market share.  But according to an Economist Intelligence Survey, only 17% of financial services organizations deliver projects on time - and only 20% deliver projects on budget - at least 90% of the time.

The smartest financial services firms use formalized project management practices to gain strategic and regulatory advantages. The Economist Intelligence Unit, in partnership with Oracle, conducted new research that will help financial services executives ensure successful governance of project portfolio planning and execution, and avoid failure. 400 Senior executives in the financial services industry were interviewed and asked for their views on how to achieve greater success. The key findings are highlighted in a report and discussed in a webcast. You can also benchmark your own performance by completing the EIU Benchmarking Survey" Project Oversight in Financial Services".


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