Maturity models snd how projects are managed

Project Management Maturity Model. Project management's only objective is to make sure that projects are finished on schedule, within budget, and according to the scope. But inadequate planning is the main reason why most projects fall short of their goals. Project managers must establish all essential frameworks to guarantee the project's success in order to prevent such incidents. To prevent potential conflicts, all project stakeholders must concur on specific project elements. The project manager should also take into account the skills needed for the project in order to reduce waste and improve communication among all stakeholders so that they stay informed on the project progress. The project manager also needs to consider the risks pertaining to the project and together with their team, develop mitigation strategies. Successful projects employ viable tools such as critical path analysis, Ishikawa diagrams, and Gantt charts (Young, 2013). Any person can complete a project by throwing more money and assets, but the challenge is to achieve a quality outcome using the least time and money. The study will focus on the Project Management Maturity Model (PMMM) as one of the tools used in project management. The analysis will center on how the model has been applied on a three-storey building construction project where I have been the project manager.

What is the Project Management Maturity Model (PMMM)

The process of planning the implementation of a project is phenomenal. Projects need proper coordination and utilization of resources to achieve goals and objectives. It calls for improved capabilities for organizations, which rely solely on project management as the primary source of income. The Project Management Maturity Model (PMMM) is a tool used by organizations to improve their project management capabilities through streamlined processes (Crawford, 2015). Companies in the entire industry are employing the tool to enhance their project management processes. It has become an industry standard for benchmarking project management maturity. Firms which use the PMMM are in a position to establish a roadmap to improve processes, set short-term process improvement actions, identify the need for a project management office and where it fits in the firm’s organizational structure, track process improvement against the established enhancement plan, and build a culture of efficiency, effectiveness and excellence (Kerzner, 2005). These systems define a successful project management organization. Furthermore, the PMMM aids the organization utilize effectively its resources for improvement activities. Therefore, a firm can move to a more mature level of performance in an effective and efficient manner (Basu, 2012). For firms to compete favorably, they need the PMMM in their operations.

How can Organizations Increase their Productivity Using PMMM?

The building and construction industry is becoming increasingly competitive. The quality of projects undertaken determines the ability to get paying projects. To achieve a competitive advantage, such organizations need solid project management capabilities. Currently, organizations are taking proactive steps designed to enhance their project management systems and infrastructure so that they can respond effectively to growing pressures surrounding the contemporary business environment (Kerzner, 2005). However, improving the organizational infrastructure comes for instance with significant challenges, project managers are not getting adequate information to manage effectively, the management does not get accurate forecasts of completion data, and there is a conflicting understanding of facts and project expectations. It is the level where the Project Management Maturity Model (PMMM) comes into play. The PMMM outlines the logical path for an entire project that an organization can follow as outlined in the chart below.

Project Management Maturity Model

Maturity Levels

LEVEL 1 Initial Process

LEVEL 2 Structured Process and Standards

LEVEL 3 Organizational Standards and Institutionalized Process

LEVEL 4 Managed Process

LEVEL 5

Optimizing Process

Knowledge Areas

Project Integration Management











Project Scope Management











Project Time Management











Project Cost Management











Project Quality Management





The chart describes the techniques used to measure the Project Management Maturity (PMM) in a project management organization.

It provides a concrete understanding of an organization’s strengths and areas, which need improvement. The chart is structured in a way that aids the organization to rank its key knowledge areas according to levels so there is room for improvement on elements that rank low.

Project Human Resource Management





Project Communications Management





Project Risk Management





Project Procurement Management





Source: Crawford, K.J. (2015). Project management maturity model (3rd ed.). Boca Raton, FL: CRC Press.

The study begins by analyzing the five levels of the PMMM before describing how organizations can increase their overall productivity using the model.

Level 1: The Initial Process

The project is at its infancy stage with no solid structures and standard operating procedures. The project managers are not accountable for any processes in the organization. In this case, the documentation is ad hoc. However, the management knows that when a project exists, there has to be processes designed to accomplish it, which have not yet been established (Crawford, 2015).

Level 2: Structured Process and Standards

The organization has deployed several project management processes although they are not considered a part of the company standard. At this level, the management acknowledges the implementation of project management although there is no clear understanding, participation, nor organizational consent to act on all the projects. Nevertheless, the middle management controls larger and more visible projects, which are typically done, is a systematic manner. The firm has basic methods of tracking project costs, time, and performance although the data available for managing the project may not be detailed.

Level 3: Organizational Standards and Institutionalized Process

At this level, the management has established, documented, and institutionalized all the required project management processes and the standards. It is the stage where the client is regarded to be a very important element of the entire team. Good communication is established and the management receives constant updates and is involved in primary decisions and issues pertaining to a project. However, processes are not equally applied all types of projects, each process is tailored to a specific project.

Level 4: Managed Process

At this stage, past project performances are reviewed to predict possible expectations in the future. The management analyses the achievements and failures of the past projects using the efficiency and effectiveness elements in order to make decisions concerning other projects. Units of measurement include costs incurred, baseline estimates, and calculations from earned value analysis tools (Crawford, 2015). The results are embodied into the corporate systems and process for the management to understand ways of executing different types of projects.

Level 5: Optimizing Process

The organization has well-established guidelines to improve project management processes. The management analyses lessons obtained from the previous levels to enhance standards, project management processes, and documentation in the organization. The primary focus of this level is to effectively manage and continuously improve project management processes.

In summary, project management processes in organizations move from one level to the next through continuous improvements. Moreover, for an organization to enhance its project management capabilities to the highest level, it needs to enhance three key knowledge areas, which include project integration management (i.e. project office), project quality management (i.e. management oversight), and project human resource management (i.e. professional development) (Crawford, 2015). The three areas have a significant impact on the adoption of project management practices.

According to Kerzner (2005), project integration management (i.e. project office) offers support to team members in areas of training, scheduling, and project management tools, therefore, making their work easier. The section offers consultation services, mentors staff, develops standards relating to project management so it aids to plan and manage all aspects of project management processes. It is the epicenter for monitoring and implementing processes and methodologies geared towards project management maturity. Therefore, organizations should ensure this section to be fully supported.

Project quality management (i.e. management supervision) is also another key unit that enhances project maturity. The top management in the organization needs to be fully involved in enhancing the project management processes. It holds the project manager to be accountable for all the project accomplishments and continuously measures project performance to show that it is actively involved. Failure to be involved means there is no likelihood that the processes will improve.

Professional development is important especially for project managers. They need to portray concrete technical, management, and leadership skills, which need to be constantly refined. Further, the field of project management continues to broaden so there is an assortment of skills that project managers need to learn. Therefore, organizations should focus on improving the areas of weakness whilst advancing the areas of competency to higher maturity levels (Crawford, 2015).

What is the Importance of Organizational Strategy?

According to Heracleous (2003), the organizational strategy determines the direction of a firm. The strategy is the vision, mission, and goals of an entity. The organizational strategy helps proper planning and prevents employees from diverging from the real course or purpose of the organization. Thus, the firm is in a position to plan its short-term and long-term objectives effectively. Karami (2007) avers that the strategy also aids the organization to hone the skills and knowledge of employees while preparing for the future that increases the odds of success. Finally, a proper strategy aids in resource allocation, for instance, the amount of resources required per project. Consequently, a firm will utilize limited resources in a better way.

How can Project Management Link to Organizational Activities to Achieve Results?

Building and construction companies (i.e. engineering firms) rely on project management as the core income-generating element. Therefore, project managers need to understand the vision of a firm. A project manager’s work is flexible, since they are required to take the project where they want it to go, but it can easily separate them from the goals of the company (Schmidt, 2009). Aligning organizational activities with project management is beneficial to the organization. Linking begins with integrating Enterprise Project Management Offices (EPMOs) into organizational operations. The EPMO is a modern form of project management, which centralizes planning, and coordination of new projects at the core of the organization. The EPMO embeds the organizational strategy into the entire planning and coordination process. The EPMO pulls together the team members, project managers, and top company leadership who work together to the end of the project. After the lapse of the project, the EPMO reports about the successes in line with the business goals and objectives. In addition, the use of mediating processes is effective. In this case, a portfolio of projects is selected at the strategic level before actual planning and execution (Hossenlopp, 2010). It ensures that all the projects implemented fall within the company goals and objectives.

Project Communication Methods

Project communication is imperative in any project. Most project managers and team members begin working on projects before developing an active communication plan, which is one of the greatest mistakes. Project communication is comprised of three elements as described below.

First, project communication entails communicating information, which pertains to the project in a timely manner to the relevant stakeholders. It can employ the interactive, push or pull communication methods. The interactive communication method is effective especially when updating the top management on the progress of the project (William & Taylor, 2010).

Second, project communication involves generating the required amount of information for customers. They are a part of the primary stakeholders; hence, the right level of information will help them determine the progress being made. Interactive and pull communication methods serve customers well. The former is effective when the there is a significant amount of time to accomplish the project and if the customer is near. However, the latter is effective when the customer wants to know the progress made (Kliem, 2007).

Lastly, communication serves as the purpose of collection, distribution, and storage of project information. While undertaking the project, project managers update the stakeholders regarding the progress and can only be done by availing and storing the relevant information. The information is used to highlight challenges and achievements met by team members. The collected information can then be used for improving future projects.

An Outline of the Relevant Stakeholders and their Importance to the Project Manager

Eskerod, Jepsen & Dalcher (2013) define stakeholders to be special interest groups in a project. It can be a person, a group, or an organization that can effect or is affected, directly or indirectly by the project outcomes. Examples of stakeholders include project team, sponsors, organizational employees, external stakeholders, phantom stakeholders, and those subject to change. The authors further assert that the number of stakeholders differs according to the size of the project. Large projects, which cover a large geographical area, attract many stakeholders including the community. For instance, in the construction project, the stakeholders have been the client, team, project manager, top management, few functional managers, suppliers, the government, and the local community.

According to Roeder (2013), stakeholders can contribute to the success or failure of a project. Therefore, project managers need to keep stakeholders at the center of their projects for them to succeed. Projects have gone wrong, some are never completed, others fail to meet the intended outcomes, and a significant number are never implemented even after careful planning. Such problems occur due to the failure of project managers to take into account the motivations and interests of people or entities, which can influence or be affected by the project and they are the stakeholders. For instance, top management can cut budgets intended for a project because of lack of their interests, certain people of entities can jeopardize a project due to their concerns about its negative effects, or the project benefits might have been overrated hence declared sham even after delivering the intended objectives.

According to Eskerod, Jepsen & Dalcher (2013), project managers can minimize stakeholders’ problems by ensuring that they are fully involved in the entire project. It can be done through an analytical and structured approach for managing stakeholders. The approaches equip the project manager with the tools to deal with the stakeholders and the project in ways, which are beneficial to both. In addition, the project manager will understand their motivations, beliefs, and interests, and as a result, the project manager will know what drives their behavior and ways of manipulating it.

The Use of Project Quality

According to Rose (2005), project quality means that the project deliverables meet the customer’s expectations. To ensure quality, project managers need to monitor the project continuously, prevent misinterpretations, and errors. Furthermore, even if the project deliverables are on time and budget, the project will not be considered a success if it fails to meet the stakeholders’ requirements. Therefore, project quality helps establish which quality standards are important to the project and ensures the activities that are required are included, while unnecessary activities are medicated or removed. Low & Ong (2014) assert that quality applies to all projects regardless of project deliverable. Failure to meet quality standards can have serious negative consequences and be a major contributing factor to failure of a project. Quality characteristics include performance, functionality, and reliability. These features are applied to both the project deliverables and the processes used to deliver the final product or result. Thus, since the customer determines the project quality, project managers need to understand every requirement to avoid possible project failures.

Earned Value Analysis & Examples of Successful and Troubled Projects

Earned Value Analysis (AVA) is one of the project manager’s most important standards used to measure project progress at any point of time, in terms of schedule, amount of work done, or whether it is over-budget or under-budget (Valle & Soares, 2006). It measures the performance of the project, which is also one of the components of project quality. Earned Value Analysis has been used frequently to establish factors, which might affect project progress. With such information, the management can apply the necessary remedies that will ensure successful implementation of the project.

The Sydney Opera House is a successful project. Built four decades ago, the building rests on Sydney Harbor Australia, and is one of the most recognized structures in the world. The project has taken 14 years to complete at a cost of $100 million (Shenhar & Dvir, 2007).

An example of a failed project is the Chaplain Bridge Access in Canada, demolished a year after it has been opened for public usage. The bridge cost $11 million CAD and it has been flattened after claims that it has been dangerous. It is a failed project, since they could have planned adequately before building (International Project Leadership Academy, 2017).

Conclusion

To sum up, the PMMM significantly improves the project management processes of an organization. The study has analyzed five levels and the highest level in each knowledge capability is attained when the organization makes continuous improvements. There is a higher probability of success for organizations, which have attained higher maturity levels, since all the capabilities are optimized. Such an organization can handle any type of project effectively. Further, higher maturity levels influence the culture of the organization positively. The staff gets a clear understanding of the logic of new processes, they think differently than in the past, and gain an understanding of what project management processes has to offer. Such an organization is bound to succeed in its project management endeavors.

References

Basu, R. (2012). Managing quality in projects. Burlington, Vt., Gower.

Crawford, K.J. (2015). Project management maturity model (3rd ed.). Boca Raton, FL: CRC Press.

Eskerod, P., Jepsen, A., & Dalcher, D. (2013). Project stakeholder management. Farnham, Surrey: Gower Publishing.

Heracleous, L. (2003). Strategy and organization: Realizing strategic management. Cambridge University Press. Retrieved on April 7, 2003 from https://www.researchgate.net/publication/227388281_Strategy_and_Organization

Hossenlopp, M.R. (2010). Organizational project management: Linking strategy and projects. Management Concepts.

International Project Leadership Academy (2017). Jacques Cartier Champlain Bridge Corporation. Calleam Consulting LTD. Retrieved on October 26, 2017 from http://calleam.com/WTPF/?p=8376.

Karami, A. (2007). Strategy formulation in entrepreneurial firms. Aldershot, England; Burlington, VT: Ashgate.

Kerzner, H. (2005). Using the Project Management Maturity Model: Strategic planning for project management (2nd ed.). Hoboken, NJ: John Wiley and Sons, Inc.

Kliem, R.L. (2007). Effective communications for project management. CRC Press Book.

Low, S.P., & Ong, J. (2014). Project quality management: Critical success factors for buildings. Singapore: Springer Science & Business Media.

Roeder, T. (2013). Managing project stakeholders: Building a foundation to achieve project goals. Hoboken, NJ: John Wiley & Sons, Inc.

Rose, K. (2005). Project quality management: Why, what and how. J. Ross Pub.

Schmidt, T. (2009). Strategic project management made simple: Practical tools for leaders and teams (1st ed.). Wiley.

Shenhar, A., & Dvir, D. (2007). Project management research – The challenge and opportunity. Project Management Journal, 38(2), 93-98. Retrieved on June, 2007 from https://www.researchgate.net/publication/3229646_Project_Management_Research_-_The_Challenge_and_Opportunity

Valle, J.A., & Soares, C.A.P. (2006). The use of Earned Value Analysis (EVA) in the cost management of construction projects. Paper presented at PMI Global Congress 2006 – EMEA, Madrid, Spain. Newtown Square, PA: Project Management Institute, 1-11. Retrieved on 2006 from https://www.pmi.org/learning/library/earned-value-analysis-cost-management-construction-8203

William D., & Taylor, B. (2010). Project management communications bible. John Wiley & Sons.

Young, T.L. (2013). Successful project management (4th ed.). Kogan Page.