Preparing Metrics that Matter Enhancing Customization and Automation

Agenda Functional Best Practices Case Study – Emerging Health Case Study – HSBC Open Discussion Technical Best Practices

Why do we utilize metrics? Align behaviors with organizational strategy What gets measured gets done Enables self-service performance management Benchmarking – Internal and External Manage based on data not gut feel

What makes a good Metric? SMART Specific Meaningful Aligned Realistic goals Time based

What makes a good Metric? Balanced – Do not want to drive the wrong behavior Drill Down – Need to be able to answer why Automated – consistency, availability, accuracy Incentives – rewards drive behavior Positive Focus – Highlight good behavior not bad Assign Ownership – Monitor, report improve Leading vs Lagging – measure things that can be changed

How to Create KPIs? Understand strategic goals of your organization Determine the Key Success Factors in reaching the goals Define Key Performance Indicators that measure the success factors Determine the Success Factors for these metrics Define Performance Indicators that measure the success factors Make KPIs, PIs and data available Communicate to all levels

What Metrics Do You Use Today? Scope # changes / project duration in days (bad req. or bad PM) Customer satisfaction (survey 1-10) Schedule % of open tasks with finish date < one week ago (stale) % projects on-time % of tasks completed on time % of tasks completed within baseline duration % of tasks completed within baseline hours % Milestones on time Actual/Estimate - % to estimate Average task duration or effort (good plans) % tasks assigned 3 months out (how well advanced planning) # of baselines Milestone Burndown Cross Project Dependency Slack Budget % projects on-budget % complete vs. % money expended Actual / budgeted ROI Total support costs for x months after solution is completed Amount of project manager time vs. overall effort hours % change in NPV/IRR from gate to gate Benefits realized vs. benefits planned % projects with current financial forecasts Overall Project Subjective R/Y/G on projects by the PM (PMs thoughts) Duration between steps, phases, stages, etc (diagnose where issue. This will not solve issues) # issues / project duration in days How long issues remain open % projects with current status reports Number of defects discovered after initial acceptance / development hours Counts and amounts for projects in Red/Amber/Green status # issues by severity: opened, closed, on-hold % projects failed gate review % projects that delayed gate review Time (Not Project Related) Time not submitted on time Ave hours worked by staff % internal vs. external resources Time to assign WR (response time) Time by % Admin, Projects, Maintenance (Doing the right things) Resource Management % of resources with “appropriate” allocations 6-9 months in the future % of resources with “appropriate” assignments 0-3 months in the future Forecasted Utilization % by project manager for next 0-3 months Actual Utilization % by project manager for last 3 months Workloads by resources or manager - # projects they support

KPI Project Dashboard

What will be Covered PM Dashboard portlet, Sub-Page & Drill Down Key Performance Indicators Governance

Overview & Importance PM Dashboard Provides PMs and Management with important information related to project staffing, schedule and level of effort. Information drives Executive decisions related to project portfolios. Can be used by the PM as a project maintenance check list. Makes it easier for PMs to identify and correct project schedule and staffing issues. Accessible to all users

Accessing PM Dashboard sub-page Accessing from within a project Click the PM Dashboard sub-page link on the project properties page. The sub-page will show all indicators related to the project.

Project Dashboard Detail Use: Provides detailed information related to Red and Yellow Indicators. To launch the Detail information click on a Red or Yellow icon The detail page for ETCs Past is the Project Team portlet. All others indicators link to the Project Dashboard Popup Page as shown to the right

Portlet Defaults The portlet returns all active projects Indicator Update Frequency Hourly Updates Daily Updates at 4:00 am Zero ETC ETCs Past Milestone Schedule Next Go Live Dt Past Comment Dt Past Resource Budget Unfilled Roles within 30 days Allocation Dt Past

KPI Indicator Colors A Gray icon means the indicator does not apply to the project in its current state. A Green icon means the indicator is within the acceptable range and no action is required at this time. A Yellow icon means there is a component of the project that needs attention. A Red icon means there is a component of the project that needs immediate attention.

Key Components of Governance Establish a governance structure with a Project Committee including appropriate subgroups Define your processes – e.g. start identifying what projects align with your strategic goals Ensure priorities are set by Senior Management and Executives Communicate priorities and progress on a regular basis Monitor Resource, Budget and Schedule regularly Implement effective Governance reporting based on the processes

HSBC

HSBC background Clarity/Niku customer since 2005 Rego Consultant services provided since 2010 One partition 3 Main Department Functions Global system Integrated with HR and Finance systems Yearly Financial planning process Project setup Billable Product tie back Actuals = financial transactions (chargebacks to customers) 3 Main departments 37,200 active resources 31,000+ OTE 27,500+ Billable 39,500 + active projects 27,000+ Billable 3rd largest instance of Clarity INTERNAL

Overview Resource/Project Details Gaining value from Clarity depends on effective use of the tool and increasing end-user adoption. Project and Resource management metrics are required to baseline and track adoption as part of monitoring and improving the value of the data on Clarity Clarity Maturity Model (CMM) was implemented in 2008 in response to an audit requirement to track Clarity usage and data Clarity SWAT are looking to materially improved the existing CMM model to eliminate “box ticking” and implement metrics that will drive sound resource and project management behavior INTERNAL

Key Roles LQSOs – Local Quality Service Organization; audit regional/departmental project and resource data Clarity PPMT (Project and Portfolio Management Tooling) – Enhancement, defect and maintenance. Make CMM available and enhance/create new Metrics/KPIs PMOs, Deployment Leads, Middle and upper Management; Direction and Take action on deployments Champions INTERNAL

CMM – Clarity Maturity model Clarity/Niku customer since 2005 Rego Consultant services provided since 2010 37,200 active resources 31,000+ OTE 27,500+ Billable 39,500 + active projects CTB 28,000+ RTB 11,500+ 27,000+ Billable Integrated with HR and Finance systems Yearly Financial planning process Project setup Billable Product tie back Actuals = financial transactions (chargebacks to customers) INTERNAL

CMM – Clarity Maturity model Clarity/Niku customer since 2005 Rego Consultant services provided since 2010 37,200 active resources 31,000+ OTE 27,500+ Billable 39,500 + active projects CTB 28,000+ RTB 11,500+ 27,000+ Billable Integrated with HR and Finance systems Yearly Financial planning process Project setup Billable Product tie back Actuals = financial transactions (chargebacks to customers) INTERNAL

INTERNAL

Discussion Questions For your organization: What are your process pain points? What behaviors are you trying to drive? What are your reporting challenges?

Metrics Development Cycle 1. Process improvement Identified 2. Requirements for a Metric 3. Technical Development And Implementation 4. Reporting 5. Analyze the Trends OR Other Impacts Strategic Goals Happy Customer

Technical Best Practices Check what is already available OOB Metrics Earned Value (CPI, SPI) RegoXchange Search for keyword “Dashboard” on the RegoXchange website Rego Adoption Metrics (coming soon!)

RegoXchange Content Portlet Name Description Dashboard: Baseline Comparison Compares multiple baselines on a project Dashboard: Change Requests Provides an overview of all change requests on the project Dashboard: Financial Summary by Charge Code Displays summary financial information by charge code on the project dashboard Dashboard: Open Issues Provides an overview of all issues on the project. Dashboard: Open Milestones Provides an overview of all milestones on the project. Dashboard: Open Risks Provides an overview of all risks on the project. Dashboard: Phase Gantt Provides an overview of highest-level tasks on the project. Dashboard: Programs Portfolios This portlet displays all programs and portfolios a project is a subproject of Dashboard: Project Information Provides an overview of the project. Dashboard: Project Status Indicators Multi-line Provides an overview of the project status on multiple lines. Dashboard: Project Status Indicators Single-line Provides an overview of the project status on a single line. Executive Dashboard A one-stop place for the PMO or management to view all critical information about projects. Incident Dashboard Displays an overview of incident and related task information Program Executive Dashboard Displays project information for projects within a program Project Manager Dashboard Provides an overview of all projects.

Rego Adoption Metrics We will have a set of metrics defined for projects, and a set of defined for resources. Each metric will have a set criteria for levels 0-5 maturity, so that for each metric that item (i.e. project) will be given a maturity level from 0-5. Project Metrics will apply only to active projects Resource Metrics will only apply only to active users (exclude locked resources)

Rego Adoption Metrics Metric Focus Metric Description Project Project Allocation Adoption Metric This adoption metric indicates if the project manager is keeping the project staff allocations in line with the effort that is being booked to the project through time entry. This metric looks at the prior three months and determines how close the allocations match the actuals. The closer the match, the higher the score. Resource Resource Allocation Adoption Metric This adoption metric indicates if the Resource Manager is keeping their staff’s allocations current. The metric scores increase as the allocations of the full resource capacity are within a reasonable range for longer future periods of time. Highest scoring goes to resources that have allocations close to 100% for the next 120 days. Resource Data Quality Metric   This adoption metric indicates if the Resource Manager is keeping specific fields in their resource’s data populated and demonstrates active management of the resource attributes by the Resource Manager role Resource Timesheet Entry Metric This adoption metric indicates if the Time-entry Resource is entering their time on a timely basis. The metric looks back 4 weeks and determines how many timesheets were entered and how many are missing. The Highest scoring goes to timesheets submitted on time and with total hours greater than 10. Resource Commitment Metric This adoption metric compares the resource Soft Booked and Hard Booked allocations within a 4 week view. Hard Booked allocation hours receive a higher range score while Soft Booked allocations are a lower score. Project Baseline Adoption Metric This adoption metric indicates the level of adoption in using baselines. The metric indicates if any baseline exists against the project. Scoring the metric on a project is either a zero (no baseline) or a 5 (has a baseline). Project Status Reporting Adoption Metric This adoption metric indicates if the project manager is creating and publishing a project status on a bi-weekly basis. The metric looks back over a 6 week period and increases the score based on increasing numbers of published status reports. Project Risk Management Adoption Metric This adoption metric indicates if the project manager is managing risks against the project within CA Clarity. The score indicates whether the risks are being used at all and increases the score value based on the completeness of the Risk data and for the higher scores the active management of risk resolutions. Project Scheduling Adoption Metric This adoption metric indicates if the project manager is managing more than summary time entry tasks within CA Clarity. Scores increased based on having 3 tasks or more and having the tasks closed when they were scheduled to be complete. Highest scores on the metric require active management of 10 or more tasks.

Rego Adoption Metrics

Rego Adoption Metrics

Technical Best Practices If the metrics you are looking for do not exist – Make sure the requirements for the Metric are well defined Architect the Metrics with keeping potential OBS/Department/Resources changes in perspective (e.g. Re-Org) Capture positive metrics Development approach Automate data collection overnight. Real time metrics may be overkill. Collect Data within Clarity Capture Actuals as well as Baseline (or Budget) value for comparison Capture the values at different levels of organization (OBS/Departments/Roles)

Technical Best Practices Reporting Should be in visual format (Clarity Dashboards /Webi/Crystal or Xcelsius Dashboards, not data extracts). Dashboards should tell a story and highlight issues. Use 5 minute rule. Show Trends Drill down capability to show the details

CIO / Senior Executive View

Metrics Malfunctions You know you have a metric malfunction if you hear: I didn’t know this was being measured. We measure this because the boss says so. I have no idea how I can affect this measure. I have no idea what this number means. I do not worry about that metric I measure my own.

Summary People-Process-Technology Alignment Goals-KPIs-Pis-Data Automate metric collection Crawl-Walk-Run

Metric Examples Metric Focus Metric Description Project Project Allocation Adoption Metric This adoption metric indicates if the project manager is keeping the project staff allocations in line with the effort that is being booked to the project through time entry. This metric looks at the prior three months and determines how close the allocations match the actuals. The closer the match, the higher the score. Resource Resource Allocation Adoption Metric This adoption metric indicates if the Resource Manager is keeping their staff’s allocations current. The metric scores increase as the allocations of the full resource capacity are within a reasonable range for longer future periods of time. Highest scoring goes to resources that have allocations close to 100% for the next 120 days. Resource Data Quality Metric   This adoption metric indicates if the Resource Manager is keeping specific fields in their resource’s data populated and demonstrates active management of the resource attributes by the Resource Manager role Resource Timesheet Entry Metric This adoption metric indicates if the Time-entry Resource is entering their time on a timely basis. The metric looks back 4 weeks and determines how many timesheets were entered and how many are missing. The Highest scoring goes to timesheets submitted on time and with total hours greater than 10. Resource Commitment Metric This adoption metric compares the resource Soft Booked and Hard Booked allocations within a 4 week view. Hard Booked allocation hours receive a higher range score while Soft Booked allocations are a lower score. Project Baseline Adoption Metric This adoption metric indicates the level of adoption in using baselines. The metric indicates if any baseline exists against the project. Scoring the metric on a project is either a zero (no baseline) or a 5 (has a baseline). Project Status Reporting Adoption Metric This adoption metric indicates if the project manager is creating and publishing a project status on a bi-weekly basis. The metric looks back over a 6 week period and increases the score based on increasing numbers of published status reports. Project Risk Management Adoption Metric This adoption metric indicates if the project manager is managing risks against the project within CA Clarity. The score indicates whether the risks are being used at all and increases the score value based on the completeness of the Risk data and for the higher scores the active management of risk resolutions. Project Scheduling Adoption Metric This adoption metric indicates if the project manager is managing more than summary time entry tasks within CA Clarity. Scores increased based on having 3 tasks or more and having the tasks closed when they were scheduled to be complete. Highest scores on the metric require active management of 10 or more tasks.

Questions Contact US Email Contact Web Site 888.813.0444 info@regoconsulting.com atul.kunkulol@regoconsulting.com clayton.Reynolds@regoconsulting.com don.dickson@regoconsulting.com Web Site www.regoconsulting.com "What gets measured gets done, what gets measured and fed back gets done well, what gets rewarded gets repeated.“ John E. Jones Thank you.