Project Management & Adaptive Leadership | …...•Burn down charts •Burn up charts “PMI” is a registered trade and service mark of the Project Management Institute, Inc. ©2012

3 Things You Need to Make Better,

Faster, Decisions

Session Code: EM15LDR09

J. LeRoy Ward PMP, PgMP, PfMP, CSM, GWCPM, SCPM ESI International

“PMI” is a registered trade and service mark of the Project Management Institute, Inc. ©2012 Permission is granted to PMI for PMI® Marketplace use only.

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Drug Development Project Economics 101

How much time and money does it take to develop a

drug? 11 years $1 Billion

Tufts Univ Center for the Study of Drug Development http://csdd tufts edu


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Blockbuster Drug: $1 Billion/Yr $2.74 M/Day


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Lipitor: $13.6 Billion/Yr $37.3 M/Day


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They’re driving me crazy…they never have enough data and they

just can’t seem to make up their minds!


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What does a project manager need to make better, faster, project decisions?

1. Accurate information, at frequent intervals, from reliable sources


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2. Willingness to make decisions under uncertain conditions


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3. A project governance structure that pushes decisions down to the lowest possible level


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Accurate information: what does it tell us?


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And, where do we find it?

Maybe it’s down here


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Accurate information tells us three things….


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What happened: the “past”


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What’s happening: the “present”


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What might happen: the “future”


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Information about the “past”

Project Reports –Cost –Schedule –Scope (Quality) –Resource use –Other information

• Burn down charts

• Burn up charts


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Wind

Currents



• Burn up charts


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Than here

There’s more here



• Burn up charts


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Information about the present

Where do I find this

stuff?


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Hey Raed, have you seen the project team

lately?

I wonder what those rascals are up to this

week!


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Information about the “present”

–“Stand-up” meetings


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–“Stand-up” meetings –MBWA


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–“Stand-up” meetings –MBWA –Speaking to

• Clients/Users • Sponsor • Executives • Team members


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–Networking


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–Networking –Remember, “never eat alone”

Maybe I should get

on Facebook


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–Networking –Remember, “never eat alone”


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It’s all about being in the “zone”


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…and knowing where your iceberg is headed!


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Now let’s talk about the future… If-then-this

If-then-that If-then-else Ouch! my

head hurts!


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Information about the future

•“Relentless” risk analysis •Tools and techniques

– Strategy meetings – Delphi technique – Monte Carlo Analysis – Earned Value Management

•Project “Leading Indicators” Consumer Confidence Index Stakeholder Confidence Index


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…at frequent intervals Your project

has its “vital signs”

too!


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From reliable sources

I’m over-budget by 50% and

behind schedule by

30%

Looks like he’s telling the truth!

He must be a PMP!


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What is the key to honest reporting?


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What is the key to honest reporting?

I’ll NEVER, EVER tell Farley the truth

on my project reports!

Farkas, If you go over-budget you’ll never work here

again!


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But what information should we be looking for?


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Be careful what you measure…it may be accurate but completely worthless!


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Some people struggle to make timely decisions

USMC 70% solution Ask yourself these questions

– Is it better to do something, or nothing?

– How bad can it be? – Will I get fired if my decision doesn’t

work? – What’s my “track record”?

Use your network and all those tools and techniques


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…but they still can’t make a decision

You’ll be 6 months late if you don’t fire Anderstones


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Try this decision framework

From: HBR on Decision Making (Drucker; and Hammond, Keeney and Raiffa ) Smart Choices (Hammond, Keeney and Raiffa)

Agile Project Management (Highsmith)

Define the problem correctly Frame the decision Implement the decision Measure or Monitor the results

Define

Frame

Implement

Monitor


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…but if they continue to struggle

You’re fired!


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Let’s hit “pause” and see where we are!


2. Willingness to make decision under uncertain conditions

3. A project governance structure that pushes decisions down to the lowest possible level


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If you had to describe your current process would it look like this?


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Do you feel like you’re on trial?

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It’s a flatter world out there!


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What’s YOUR governance structure? Do you…

Let team members make decisions? Hold productive meetings? Support the escalation process?


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Law of “first knowledge”

What comes first is true It takes evidence to change……lots of evidence Believing is seeing


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Law of “first knowledge”

Family of cave people on a hunt Grandma eaten by a tiger What did they learn quickly?

– always hunt with the elderly – always run faster than

grandma – tigers are bad


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5 Ways to Speed Up Decision-making


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Put real choices “on the table”


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Put real choices “on the table” Focus on decisions not discussions

Information sharing Discussions

Decisions (make them stick)


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Information sharing Discussions Decisions (make them stick)

Apply risk management through MBWA


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Apply risk management through MBWA Establish a “lean” governance structure


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Apply risk management through MBWA Establish a “lean” governance structure Identify your project’s leading indicators

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J. LeRoy Ward

[email protected]

www.esi-intl.co.uk

Thanks for Listening!

+44 (0)20 3743 2910

mailto:[email protected]

http://www.esi-intl.co.uk

Documents

Project Management & Adaptive Leadership | …...•Burn down charts •Burn up charts “PMI” is a registered trade and service mark of the Project Management Institute, Inc. ©2012