Roadmap to gain agreement on key metrics vital to measure project success

1. Project Metrics & Measures Roadmap to gain agreement on key metrics vital to measure project success Anand Subramaniam

4. Project Metric & Measures - Overview

5. Definition Metrics Provides measuring units to depict values, thresholds, constraints, scope, duration, maximums and minimums, averages, etc. Measures Represent information used to establish a common understanding of status, condition, and position of something

6. Definition Metrics A precise description of what is measured including: numerator, denominator, inclusions and exclusions Targets The agreed upon metric value the organisation desires to achieve

7. Metric - Challenges Metric Challenges No defined approach to measure return on investment No data validation for accuracy Lack of resources to perform function No formal approach to establish measures and metrics (program & projects) Lack data for reviewing metrics pre & post-live reporting No top management support or participation for metric definition & management No timeline for refining and reporting metrics in line with implementation activities Lack of organisation buy-in towards a single methodology and standardisation of data elements Lack continuous reinforcement, correlation of metrics to project outcomes Lack training / buy in

8. Metrics – Key Success Factors Key Success Factors Clear charter, scope, roles & responsibilities and direction vital to measure project success Consistent reinforcement of the terminology and metric definition / cal Gain agreement on key metrics for projects & program Governance process defined for metric management Metrics & measures clear and concise Support and ownership from business Dashboard” and summary reports developed pre & post implementation Gain agreement on reporting and ongoing monitoring Develop metric program early in the project Defining metrics at the beginning of the project

9. Project Metric & Measures - Roadmap

10. Metrics & Measures - Roadmap #1 Scope & Governance #2 Metric Identification #3 Baseline Measurement #4 Industry Benchmarks #5 Targets #6 Establish Reporting Process #7 Implement #8 (Post) Implement Review / Audit

19. Project Process Metric - Model & Guidance

23. Project Dashboard 20/07/2009 27/07/2009

24. Project Metrics

25. Metrics – Process Steps 1. Identify Metrics Customers 3. Ask Questions 4. Select Metrics 5. Standar-dise Definitions 6. Choose a Model 2. Target Goals 7. Establish Counting Criteria 9. Define Reporting Mechanisms 10. Determine Additional Qualifiers 11. Collect Data 12. Consider Human Factors 8. Decide On Decision Criteria

26. Focus - Project Metrics & Measures Schedule Quality Risk Cost / Budget Contracts Resources Focus - Metrics & Measure Status Stakeholder Involvement Scope Change Manage-ment

28. Example – Project Metrics Description Metric # of training hours per project team member. Training Hours # of project team members who quit or terminated. Turnover # of resources assigned to more than one task. Over allocated Resources Budgeted Cost of Work Performed (BCWP) Earned Value # of tasks that have cost more to complete than expected Over budgeted tasks # of task that should have started but have been delayed Tasks # of tasks that were started but not finished on time Overdue tasks # of scope changes that were approved Scope Change Approvals # of scope changes requested by the client or sponsor Scope Change Requests

30. Project Measures

31. Measure - Purpose Processes, Products & Services Understand Predict Control Evaluate

32. Measurement Process Tailor Measures Apply Measures Implement Process Stakeholder Needs Issues, Process Characteristics Measurement Plan External Constraints Measurement Needs Data Actions Project Boundary

33. Monitor & Control

37. Earned Value

41. Comparison – PV, AC & EV

42. Cost Performance Indicators 1 month $1000 Scheduled / Budgeted to do $10,000 work over 5 tasks in a month window BCWS = $10,000 PV / BCWS 1 month $6000 $4000 EV / BCWP Schedule slippage permits only 3 tasks/$6,000 work to be performed BCWP = $6,000 Schedule variance = $4,000 1 month $8000 $2000 AC / ACWP Actual cost of work performed = $8,000 ACWP = $8,000 Actual cost variance = $2,000