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BI Norwegian School of Management Norwegian Centre of Project Management Seminar Oslo, 6 th December 2006 Rethinking Project Management Main Findings of.

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Presentation on theme: "BI Norwegian School of Management Norwegian Centre of Project Management Seminar Oslo, 6 th December 2006 Rethinking Project Management Main Findings of."— Presentation transcript:

1 BI Norwegian School of Management Norwegian Centre of Project Management Seminar Oslo, 6 th December 2006 Rethinking Project Management Main Findings of a UK Government-Funded Research Network Centre for Research in the Management of Projects University of Manchester & University College London Engineering and Physical Sciences Research Council Rethinking PM

2 University of Southampton

3 BI Norwegian School of Management Project Management Seminar Oslo, 6 th December 2006 Rethinking Project Management Main Findings of a UK Government-Funded Research Network Rethinking PM  Why the need to rethink project management ?  Network focus and purpose  Network research programme (process)  Main output of the programme  Directions for future research  What’s the BIG message for practitioners ?  Questions and discussion Presentation

4 Significant growth in project work across all sectors, growing complexity of projects and programmes, growing importance to organisations etc. Still many 'failed' projects and poor performance. Growing criticisms of the bodies of knowledge & PPM methodologies. Based on ‘old’ management ideas. A subject that remains "stuck in a 1960s time warp“. "The underlying theory is obsolete”. Theory World (knowledge) Practice World (experience) Why the need to rethink project management ?

5 Emphasis on extending and enriching the current body of knowledge Mainstream Knowledge BOKs & methods etc Theory World (knowledge) Practice World (experience) Future research ? research ? Rethinking PM Directions, not the answers Rethinking Project Management (EPSRC Network) Network Focus and Purpose Published vs personal knowledge How should this develop ?

6 1. Academics AND practitioners 2. Learning from stories about lived experience 3. Discerning emerging directions and key messages Academics 14 UK universities: UMIST/Manchester, UCL, Bath, Strathclyde, Southampton, Newcastle, Cranfield, UWE, Brighton, Bournemouth, Plymouth, Leicester, Middlesex, London School of Economics. Canada, France, Norway, Sweden, Australia & the US Practitioners Rolls-Royce, Human Systems, Big Food Group, Warburtons, Daresbury Laboratories, NGI, FAME Project (ODPM), OGC, GlaxoSmthKline, UK MOD, SE England Dev.Agency, Airbus, High-Point Rendell, Halcrow, Royal Liver Assurance, and the UK National School of Govt. Representatives APM, PMI, MPA and IPMA Rethinking Project Management (EPSRC Network) Research Programme Theory World (knowledge) Practice World (experience)

7 Example: UK Major Projects Association, October 2006 Messages for practitioners Industry seminars Rethinking Project Management (EPSRC Network) Main Output of the Programme Theory World (knowledge) Practice World (experience) Directions for future research Special Issue of IJPM (Nov 2006) APM Yearbook (copy available) an agenda, not the agenda Future research ? research ? Mainstream Knowledge BOKs & methods etc

8 New concepts and frameworks to support practitioners Directions for Research Theory World (knowledge) Practice World (experience) Directions in which new research is needed to support practitioners working on 21 st century projects & programmes Theory OF Theory FOR Theory IN Knowledge Categories Direction 1 Directions 2-4 Direction 5 BI Norwegian School of Management Project Management Seminar, Oslo, 6th December 2006

9 Theory World (knowledge) Practice World (experience) Rethinking Project Management Direction 1 Theory OF Theory FOR Theory IN Knowledge Categories Rethinking PM

10 To develop a system for improving communication between the two sites Company X: supplier of specialist plastics products to the car industry Two manufacturing sites in the UK (Lancashire & Essex) 1.Essex site not aware of the project 2.Communication not seen as an issue 3.Lancashire MD not aware of the fee 4.Communication not seen as an issue 5.Very little buy-in ! Project Brief Reality of Projects: Case Example Initiate PlanOrganise Control Handover

11 In REALITY, an ever-changing flux of events, situations and complex issues Situation Front End Situation Back End Flux of events Source: Winter & Szczepanek 2007 The lifecycle: a useful ‘roadmap’ but not the actual territory Initiate PlanOrganise Control Handover

12 Rethinking Project Management Direction 1 Beyond the lifecycle theory OF projects towards: frameworks and models that illuminate COMPLEXITY

13 Theory World (knowledge) Practice World (experience) Rethinking Project Management Direction 2 Theory OF Theory FOR Theory IN Knowledge Categories Rethinking PM

14 Network Example: A University Research Project WHAT: to develop a procurement methodology for 3 engineering companies HOW: through a case study approach involving interviews etc WHY: to reduce operating costs and help generate material for research papers. Stated Objective of the Project WHAT: to generate research material for research papers HOW: by developing a procurement methodology for 3 engineering companies WHY: to produce research papers for the next RAE. Real Objective ?

15 Megaprojects and Risk: An Anatomy of Ambition provides the first detailed examination of the phenomenon of megaprojects. It is a fascinating account of how the promoters of multibillion-dollar megaprojects systematically and self-servingly misinform parliaments, the public and the media in order to get projects approved and built. It shows, in unusual depth, that the Machiavellian formula for approval is: underestimated costs underestimated costs + overestimated revenues + overestimated revenues + undervalued environmental impacts + undervalued environmental impacts + overvalued economic development effects + overvalued economic development effects = project approval = project approval Source:

16 Rethinking Project Management Direction 2 Beyond mechanistic process models towards: frameworks for understanding social and political processes

17 Theory World (knowledge) Practice World (experience) Rethinking Project Management Direction 3 Theory OF Theory FOR Theory IN Knowledge Categories Rethinking PM

18 Project / Programme Perspective 1 Perspective 2 Development and operation of two gigantic ‘Biome’ conservatories Education and communication of major environmental issues Development of physical infrastructure and new sports and leisure facilities Sustainable legacy of benefits in culture, sport, business and tourism Development of new or improved school buildings and other facilities Improvements to the organisation of schooling, teaching and learning Development of new stores and development of DFY services Increased sales and market share, increased profit and shareholder value Development of a new internet-based system for disabled people Improved access to and greater choice in equipment services A Fundamental Shift From Product Creation to Value Creation as the Prime Focus of 21 st Century Projects Source: Winter & Szczepanek 2007 London Olympic Games 2012

19 PortfolioManagement Executive Board Business Unit Project Portfolio Business Unit Business Unit Group Functions Business Strategy Value Creation at Multiple Levels: Portfolios, Programmes and Projects Fundamental Shift From Project Management to the Management of Projects Value Creation (eg. shareholder value) Portfolio Resources Portfolio Level ProgrammeManagement Programme Benefits Deliverables Resources Programme Level ProjectManagement Project Specification Cost Time Project Level Executive Board Business Unit Business Unit Business Unit Group Functions

20 Rethinking Project Management Direction 3 From product creation as the prime focus of projects: towards value creation as the prime focus

21 Theory World (knowledge) Practice World (experience) Rethinking Project Management Direction 4 Theory OF Theory FOR Theory IN Knowledge Categories Rethinking PM

22 Total care programmes (eg. Rolls-Royce) Urban regeneration programmes Community development projects Social enterprise projects International development projects Examples across other sectors Broader Conceptualisation [Warburtons’ implementation of SAP] – “managed as a business project involving IT rather than an IT project.” Meeting 3, October 2004 “We don’t have IT projects, we have business transformation projects.” Best Practice Showcase, June 2005 Thinking in terms of 'IT projects' is itself a primary source of problems. Delivering IT is only ever part of the implementation of new, more effective, ways of working. Review of Major Government IT projects (2000)

23 Source: Winter & Szczepanek 2007 Customer Customer’s Customers ‘We’ Old focus New focus 1st-level relationship 2nd-level relationship Reframing Business (Normann 2001) System User ED Project ED Service Operation Disabled People ED Project 2nd-level relationship Development of a new internet-based system Improved access to and greater choice in equipment services IT Project Service Transformation Project 1st-level relationship Value Creation Product Creation

24 Rethinking Project Management Direction 4 From narrow conceptualisation of projects towards: broader conceptualisation of projects

25 Theory World (knowledge) Practice World (experience) Rethinking Project Management Direction 5 Theory OF Theory FOR Theory IN Knowledge Categories Rethinking PM

26  “There is no single correct way to lead a project.  The paths to success will be governed by the relationships and interactions between the people involved. Project Management in Practice A Personal Perspective Programme Manager, Airbus Project Management in Practice A Personal Perspective  “The principles have been around for 50 years  We’ve all been on the training course  We’ve read the book.”  “Project leader must be able to create clarity out of ambiguity.  But must tolerate ambiguity.  Project leader does not always have hierarchical control of people.  So must be able to lead by influence.” What do competent practitioners actually do ? “Project leaders have to do it their way applying methods and approaches “Project leaders have to do it their way applying methods and approaches that suit their personality, and the personalities of their team.”

27 “On-going CIPD research shows that a major shift is taking place from training to learning. Training is traditionally an instructor-led, content-based intervention, leading to desired changes in behaviour. In contrast, learning is a self-directed, work-based process, leading to increased adaptive capacity.” Management productsPractitioner capabilities Knowledge of things – to be acquiredCapability to act – to be developed TrainingLearning Dislocated from practiceIntegrated in practice Red corner mmmm Blue corner “There is a battle being fought for the hearts and minds of our project management community … “and its going to affect both the future project performance and our financial success in the world markets!” APM Project Magazine October 2005

28 Rethinking Project Management Direction 5 From trained technicians towards: reflective practitioners

29 Theory World (knowledge) Practice World (experience) What’s the BIG message of the Network for practitioners ? 20C 21C Lifecycle Process Mainstream Knowledge Preparing people for the realities of 21C projects Product Creation 2OCPractitionerDevelopment PM Methods and Tools ? Published vs personal knowledge Value Creation Practitioner Capabilities Social Complexity Network Findings 21CPractitionerDevelopment 21C from method training to capability development Preparing people for projects

30 BI Norwegian School of Management Project Management Seminar Oslo, 6 th December 2006 Rethinking Project Management Main Findings of a UK Government-Funded Research Network Rethinking PM Questions and Discussion

31 Rethinking Project Management Directions for Future Research Direction 1 (theory OF) From the lifecycle theory of projects to theories that illuminate COMPLEXITY Direction 2 (theory FOR) From projects as simple production processes to projects as social and political processes Direction 3 From product creation to value creation as the prime focus of 21 st century projects Direction 4 From narrow to broad conceptualisation of projects & programmes, eg. IT-related projects Direction 5 From trained technicians to reflective practitioners, eg. from training to learning Topic 1.3 Portfolio management Topic 1.5 Project sponsorship Topic 2.1 Benefits management Topic 2.2 Stakeholder management Topic 3.8 Issue Management Topic 6.10 Governance of PM Topic 7.8 Learning and development Topic 7.9 Professionalism and ethics APM BOK 5

32 Technical RationalityProfessional Artistry Follows rules and prescriptionsInformed by principles and frameworks Sees knowledge as graspable, permanentSees knowledge as temporary, dynamic Theory is applied to practiceTheory emerges from practice Emphasizes the knownEmbraces uncertainty Technical expertise is allProfessional judgement counts Emphasises assessment and accreditationEmphasises reflection and deliberation This is trainingThis is education Example from the medical profession …. “I don’t think [PM] will ever be a profession in the same sense as medicine or the law … There isn’t a huge amount that you have to learn in project management.” Martin Barnes 2006 Source: Fish and Coles 1998


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