Bill Dominguez, PMP, CSM Value Innovation. Lean-Agile Value Innovators 2008~2011 Shojiki Solutions...

Bill Dominguez, PMP, CSM

Value Innovation

Lean-Agile Value Innovators

2008~2011 Shojiki Solutions

bill

do

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value innovator

Bill is a subject matter expert in the areas of value innovation, solution identification, program management, team building, organizational alignment, and removing the ‘dis’ from diseased ecosystems.

A Certified Project Management Professional, Certified Scrum Master, Lean Agilist, Change Agent. Bill holds Master Certifications in Neuro Linguistic Programming, and Master Performance and Results Coaching.

Bill is the founder of Ecocentric Strategies, formerly the Berenguer Group and currently holds the position of Vice President Community Relations for the Project Management Institute Bay Area Chapter with over 2,400 members

Bill has helped companies from startups to Fortune 10 recognize value opportunities and has built and led high performance sales, marketing, development, professional services, and customer service organizations that deliver consistent high quality and value.

Projects succeed if:Projects succeed if:

Project fails if:Project fails if:

Cancelled

Never implemented

Cancelled

Never implemented

On time

On budget

Full scope

On time

On budget

Full scope

Lean-Agile Value Innovators www.shojiki-solutions.com

Measuring Project SuccessMeasuring Project Success


Scope

Resources

Schedule


Measuring Project SuccessMeasuring Project Success


Chapter 1, Page 6

• Balancing the competing project constraints including, but not limited to:

• Scope• Quality• Schedule• Budget• Resources, and• Risk

“

“

managing a project typically includes . . .



Schedule

64%of work

results in waste

Scope

Resources



Always

Frequently

Occasionally

Rarely

Never

36% of functionalitydelivers over 80%

of project value

Source: 2007 Standish Chaos Report



Resources

Schedule

Scope



So, how do we support strategic decision making??



1960 – Portfolio Management concept was introduced to manage monetary investments and to comply with investors tolerance for risk

Today, successful organizations manage their portfolios according to strategic value.

Portfolios, Dashboards, Balanced Score Cards . . .



AIG Analysis of PMO Executive Council project database results

“among the projects delivered at least 90% on time and on budget, the majority fail to deliver business outcomes”

“the top performing projects in terms of budget and schedule compliance attain on average only 53% of their business outcome expectations”

Business outcome index consists of:• Quality of delivery• End-user adoption• Business case attainment• Sponsor satisfaction

Source: American International Group PMO EXECUTIVE COUNCIL IT PRACTICE



????

Value to customer and businessis a key metric at portfolio level



A well designed balanced scorecard addresses Quality, Value, Innovation, and $



What is value?

Is value best described in dollars and cents?

In beneficial outcomes?

In meaningful relationships?



The customer

defines

Value

and

Quality



$6 Billion USDSold for $25 Million USD

$3,295 USD per phone$7 USD per minute

Motorola Iridium Satellite Phone

Motorola set the value NOT the customer



“What it looks like now is amultibillion-dollar scienceproject. There are fundamentalproblems: The handset is big, theservice is expensive, and thecustomers haven’t really been identified.” – Chris Chaney,Analyst, A.G. Edwards, 1999

LEARNING FROM CORPORATEMISTAKES:THE RISE AND FALL OF IRIDIUMSydney FinkelsteinShade H. Sanford

http://74.220.211.32/manuals/Iridium.pdf

Maybe they should have asked the customer?!!!!



Baseline Budget - $160 million USD

Actual over budget by $130 + million USD

Over Budget! – Scope Creep! – Late! Ouch!

Baseline Release Date July 1, 2008

Actual Release Date August 28, 2009



Customer set the value and quality

WW Gross to date$2.8 Billion USD

Profit to date?$1.2 Billion USD



and evolve…

Start where you are now…

An evolutionary approach

Creating Value



…throughhighly effective

visualization toolsthat show usthe reality of

our project

Predicting Value



…with highly effective quantitative analysis

of actual progress

Measuring Value


Exploiting new ideas leading to the creation of a new product, process, or service

that add value or improve quality




sustainable actionable and evolutionary

Value Innovation is



and results in

higher customer value

business strategy alignment

optimal investments

Human Factor

Environment

ToolsThinking



Value Innovation Prism

Value Innovation Prism Shojiki Solutions



Innovative Thinking

Improve the

business

ecosystem


Innovation Fostering Environment



Innovation Fostering Environment

2008~2011 Shojiki SolutionsHM Government Dept. for Business Innovation and Skills


Innovative Tools

For example

Kanban

看板


“Kanban is not a project management or software development lifecycle method. It is an approach to change management - a framework for catalyzing change in an organization.”

David J. Anderson

Human Factor

Environment

ToolsThinking



Value Innovation Prism

Value Innovation Prism Shojiki Solutions



Five skills that set innovators apart

Harvard Business ReviewDecember 2009

Question Observe

Experiment

Network

Associate


2008~2011 Shojiki SolutionsSource: AIG PMO EXECUTIVE COUNCIL IT PRACTICE

Project Manager Effectiveness DriversPMO Executive Council Analysis

1. Flexibility – ability to innovate

2. Problem Solving

3. Personal Ownership

4. Political Acumen

5. Stakeholder Management

Value Innovation promotes effective project management



In Conclusion

Innovative thinking

Innovative tools

and an environment conducive to innovation

lead to Value Innovationresulting in

Higher Value Project Management

“as professionals we must strive to align resources in the business ecosystem, drive to value, and eliminate waste by building efficient, high quality, high availability systems that holistically serve multiple boundaries" Bill Dominguez, 2009

Bill Dominguez, PMP, [email protected]

Value Innovation

www.shojiki-solutions.com

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