Reggie Brown, PMP nominated for prestigious …...Bookshelf Enterprise Programme Management - Delivering Value Pg 23 ProjectNet December.indd 1 12/12/08 12:05:30 AM ProjectNet •

“Oftentimes, it is difficult for people to put the project and

overall goals ahead of their individual objectives.”

Steven Lang, PMP

Reggie Brown, PMP

nominated for

prestigious award

Benchmarking for

business success

Highlights of 2008

FOR MEMBERS AND FRIENDS OF THE PMSA

Season’s Greetings from

web: www.pmisa.org.za email: [email protected] NOV / DEC

20

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ProjectNet December.indd 1 12/12/08 12:05:25 AM


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ProjectNet is an alternate monthly

publication produced by Cyan Sky

Communication Consultancy and distributed

free of charge to the members of PMSA, on

behalf of PMSA.

Editorial Director:

Prof Les Labuschagne, Ex-officio President

Managing Editor:

Taryn van Olden

Design and Layout:

Tracey King

Reproduction and Printing:

Remata Inathi Communications and Printers

Please direct editorial submissions

and enquiries to:

The Editor, ProjectNet, [email protected]

or 082 779-1314.

Advertising enquiries can be directed

to The Editor at the above email address.

Project Management South Africa (PMSA)

can be contacted on (011) 257-8003, by

fax to 088 011 662-2961, or send email to

[email protected]

General contact details related to this

magazine:

Email: [email protected]

Website: www.projectnet.co.za

Address: PO Box 518 Featherbrooke Estate

Ruimsig 1746

Cover image:

PMSA member Reggie Brown, PMP,

a finalist in a global PM awards programme

(read more on page 4)

Copyright©

The copyright of all material in this

magazine is reserved by the proprietors,

except where expressly stated. The editors

will, however, consider reasonable requests

for the use of information provided the

source and author are clearly attributed.

Please note: Editorial submissions are welcomed but are subject to review by the PMSA Exco, ProjectNet’s editorial team and editor before a decision is made regarding inclusion. Product- or service-specific information submitted in the form of a news item may be considered for publication in the Our World section, but may not be accepted in any other section. Please contact the Editor for content classifications to guide your submissions. The editor reserves the right to shorten articles but will consult the author should any adjustments be deemed necessary.

th is e

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Editorial A wish list for 2009 Pg 2

President’s Pen Time for Innovative Project Managers Pg 3

Thought Leadership Empowering communities through

project management Pg 4

Insight into a groundbreaking biodiesel project Pg 8

Academic Corner World Class PM is possible Pg �0

Events A synopsis of the KZN conference Pg �3

Guest column Questions lead to Insight and Change (Part II) Pg �8

PMSA Newss Highlights from the year that was Pg 20

Bookshelf Enterprise Programme Management

- Delivering Value Pg 23


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With all the doom and gloom happening around us when we are supposed to be ‘festive’ we thought

we’d bring you some feel-good content in this edition. This takes the shape of a successful development project that while small, made a big difference to a Cape Town township community; and a massive bio-diesel project that will bring job opportunities and a positive influence on our economy. December is also about reflection, and we have included some visuals of the people spotted at PMSA events during 2008.

As we look to the New Year, it’s customary to make resolutions and conjure up wish lists with such noble requests as world peace and an end to poverty. The older I get the more my wishes relate to things I have control over, but if I were to wish with complete optimism and hope, this is what I would wish for...• A drop in the prime lending rate of at least one

percent• A December free of road carnage and swimming

pool drownings• A population-wide appreciation for the good in our

country, despite its shortcomings• For us to want what we already have with the same

intensity as what we wish we had• A news report that starts with the words: ‘South

Africa’s government has taken a meaningful stand on the Zimbabwe issue by...’

• A litter-free coastline• A one-week eating plan that sheds all the Christmas

kilos• No natural disasters over the festive period• Our capitalist nation learning to givie gifts from the

heart instead of the wallet• A new Minister of Health who will face the realities

of HIV (Wait, that one has been granted... one wish out of ten is not too bad)Until this comes to pass, I will continue to be really

grateful for what I have. I wish you all a wonderful festive season, happy holidays and a fresh and invigorating start to the New Year.

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Here’s Wishing...

The year is fast drawing to a close and I am

sure all of us are looking forward to our

traditional South African year-end shutdown

festive season activities and celebrations.

2008 has been an extremely challenging

year, especially the past few months: the

global economic crises, political changes

and renewed terrorist attacks. With these

stresses I am sure we are all in need of

switching off and enjoying a good holiday.

In South Africa 2008 has been like a

roller coaster: the year commenced with

the shock realization that we will not have

enough electrical power, rising fuel prices,

rising interest rates, rising steel prices, steady

rand dollar exchange rate, creating of jobs,

infrastructure and service delivery backlog

amongst others.

The year is ending with the realization

that there will be a water shortage in some

of the developed cities, a huge drop in

fuel prices, possible drop of interest rate,

dropping of steel prices, rising rand dollar

exchange rate, the need to save jobs,

increasing backlog of infrastructure and

service delivery.

All indications are that 2009 is going to

be even more challenging with many more

hurdles to cross that will test all of our survival

instincts to the limit. This is where skilled and

disciplined Project Mangers can make a

difference.

In South Africa it appears that our

economic situation is less severe than the

USA. The momentum that has been created

by the 2010 Soccer World cup infrastructure

Innovative PROJECT MANAGERS

Taryn van Olden

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development and related logistics together with

the mega projects such as the Gautrain, upgrading

of most of the airports and the new La Mercy

Air and Trade Port in Durban, huge infrastructure

developments around the country by the likes

of Transnet, Eskom and Public Works should keep

Project Managers employed.

I have very been fortunate to attend the PMI®

Global Congress - North America 2008 in Denver

Colorado during October. What struck me about

the USA is that almost everything is big, huge and

gigantic. From the airports, roads and highways,

hotels and convention centres, shopping malls and

Disney theme parks including the Global Congress.

The USA now also has a gigantic financial crisis,

which unfortunately affects the world.

The PMI® Global Congress attracted over 4000

delegates from 50 countries around the world and

over the three days, with the keynote address

by General Colin Powel. Over the following two

days, there were 10 sessions, each session with 12

presentations simultaneously. There were over 200

exhibitors in one hall showcasing their products

and services to all the delegates. The Colorado

Convention centre is approximately ten times

the size of the Durban ICC. It was an amazing

experience to meet and exchange views with

fellow project managers form all over the world.

I had the pleasure of receiving on behalf of

PMSA the signed Cooperative agreement between

Project Management Institute International (PMI®)

and Project Management South Africa (PMSA)

from Gregory Balestrero the CEO of PMI®, now

which further strengthens the relationship between

the two organizations.

I also met with fellow project managers

from Africa and we have agreed to explore

the establishment of Project Management Africa

(PMAf), some preliminary objectives are: to create

an organisation to facilitate the professional

development of project management practitioners

in Africa; to provide a forum for networking,

holding of leadership meetings, seminars, courses

and congresses; to constitute a united voice for

promoting the application of project management

governance in project delivery in Africa; to work

with and deliver activities of NEPAD, AfDB and other

African and International development agencies.

The message from Gregory Balestrero the CEO

of PMI® at the Global Congress to the delegates

with regards to the current economic crisis is “Yes,

we need to innovate our way out of it... we need

to rely on project managers to use their creativity

and innovation to get the job done, in spite of the

economy. We have the potential... I have seen it

in action throughout the world, with PMs solving

crisis after crisis. In Brazil, the United Arab Emirates,

China, Poland, and the United States, creative and

innovate project professionals have repeatedly

saved projects facing critical crises. Now is the time

to unleash the potential in the PM community, not

reel it in.

Let’s innovate out of the crisis, not hesitate and

withdraw until we see the end of the crisis... let’s

get the job done now.”

On behalf of PMSA, I wish one and all peaceful

festive season a very prosperous 2009 and lets all

pray for lasting peace and stability in the world.

Innovative PROJECT MANAGERS

Hareesh Patel

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Bottom of the Pyramid Project-Based Project Management Learning Leading to the Alleviation of Poverty in South Africa

‘Bottom of the pyramid’ is a reference to the

largest, yet poorest socio-economic group in South

Africa, and indeed, the world. Part of empowerment

of this disadvantaged portion of the population, is to

not treat them as victims of their circumstances, but

to educate them so that they can participate in and

benefits from new opportunities. Teaching project

management skills, underpinned by a project-based

learning model, reinforces learning. The right project

can motivate project participants. Motivation enables

education. Education leads to empowerment.

In 2006, the City of Cape Town commissioned a

study to document the socio-economic state of the

city. The gap between the poor and the wealthy

is obvious, but the report was intended to identify

specific symptoms and to prescribe remedies. Of

particular concern was the increase in the number

of people living in absolute poverty, who typically

suffer as a result of inadequate housing, poor health

(exacerbated by HIV/AIDS and the lack of adequate

heath facilities), and segregation.

The UN Development Programme has defined

‘capacity’ as ‘the ability of individuals, institutions

and societies to perform functions, solve problems,

and set and achieve objectives in a sustainable

manner’. The term ‘capacity building’ refers to the

task of developing levels of human capacity. At

the end of the day, community capacity building

is all about poverty alleviation and community

development. The basic physiological needs that

we all share of food, water, shelter, clothing, and

of course, dignity must be met and are addressed

through the successful completion of projects in

these communities.

Building self-esteem while delivering targeted

projects

Everyone has a need to feel respected.

Deficiencies in this area lead to an inferiority complex.

Lack of self esteem is another characteristic of those

caught in the snares of poverty. They often believe

that they lack the ability to get themselves out of

their dire situation. This inevitably leads to a greater

dependency upon government and other sources of

welfare assistance.

Community projects are chosen based on need

within the community. This is crucial. The community

knows their own needs best. Outsiders must not

motivate projects. Additionally, projects must be

small and short in duration; projects should range

from several days to only a few weeks. This provides

the ultimate opportunity for project teams to become

involved in multiple projects, further reinforcing the

project management learning through repetition.

While project participants are fulfilling their needs

In November 2008, Cape Town-based Reggie Brown, PMP and Managing Consultant IMVUSA Project Management Solutions was named a finalist in the prestigious Kerzner International Project Manager of the Year Award

Empowering Communities THROUGH PROJECT MANAGEMENT

In this article, Reggie describes the particular project that drew the attention of the Kerzner Award judges. It also illustrates his commitment to community development and introducing a sustainable approach to delivering much needed community infrastructure, skills and resources through project management.


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The Kerzner International Project Manager of the Year Award recognises an

individual project manager who has exemplified superior performance and

outstanding project management methods, skills, and techniques, as well as their

important contributions in business, industry, government community or not-for-profit

environments. The award was established in 2006 by the International Institute for

Learning (IIL), and named for Dr Harold Kerzner, Professor of Systems Management

at Baldwin-Wallace College. Kerzner is a globally recognised expert on project

management, total quality management. (www.allpm.com)

by executing relevant projects, they get better at doing

so. This means that development transpires, dignity is

enhanced, and empowerment becomes a reality.

The portfolio of community projects supports a prime

directive. These projects address the fulfillment of basic

human needs in many cases; needs that manifest as

symptomatic of poverty. Poverty rears itself in many

ways. Serious health problems, as a result of lack of

water is one clear sign. Diseases spread rampant under

these conditions.

Small and manageable, yet truly remarkable As stated earlier, these types of projects should be

as small and as short as possible in order to create the

optimal learning environment. It’s also best to keep

project teams small. A number between five and ten

tackling only one need per project is good. These

projects must be the result of a process that involves

community participation and debate. This ensures that

project team members remain motivated and enables

repetition of the learning opportunity.

Project management as a life skill becomes a natural

outcome of this process. All projects are initiated,

planned, executed, controlled, and closed using sound

project management practice and very simple tools.

Because of poverty, communities of people are

unable to build adequate housing. The Cape Town

landscape is peppered with millions of shacks that leak,

shacks that have inadequate foundations, and shacks

that are too small for the number of people who live

in them. In Langa Township, a need arose for a facility

that could serve as a dormitory for a few learners who

study late at a study facility Imvusa completed in 2006.

This building would also be used as a meeting place for

community members, in particular the Kuyasa retirement

community. The group decided that a Wendy House

would best serve their needs.

In addition to satisfying the need for a multi-purpose

facility, this project also taught basic carpentry skills,

including providing the neighbourhood with some

options (and hopefully best practice) that would lead

them to construct better housing for themselves.

This project was the second project for most of the

project team.

Because of the lack of skills available from the

project team, and because the site where the Wendy

House was to be constructed sloped in such a way that

water did not runoff adequately, it was decided that we

would build the house on a pole foundation to deal with

this site condition.

To assist the team, with the layout, excavation, and

setting of the poles, we engineered and constructed

a setting template. This practice of design was new

to many of the project team members but before the

project was finished, the team realised how critical this

phase was.

The Wendy House required 19 poles to be located

and set in concrete. The project team was also involved

during the design and construction of the setting

template. The setting template was constructed offsite

in sections and bolted together on location. (See

pictures 1 to 3 overleaf). A few children watched as

their mentors work feverishly. (below)

By Reggie Brown, PMP, and member of the PMSA KZN branch executive committee


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Within a couple of hours, the template was

assembled. The team dragged the template to the

location and squared it up using the trusty 3-4-5 right

triangle method. The template was then secured

with stakes. Soon the team was busy boring, digging,

picking, and cutting poles. Once the holes were

located, the template was removed to dig the holes.

After the holes were dug, the template was replaced

to facilitate the installation and the setting of the

poles in concrete. (see pictures 4 to 7 alongside)

Foundation for the future

The team was carefully observed throughout the

two-day project. Careful attention was paid to using

materials that are available to the people of the

community. By doing so, this project has become

something that can be replicated in the future by

the community.

The setting template was unbolted at the end

of the project and its sections stacked. It is now

available for use on another Wendy House.

There were many lessons learned, for example the

importance of clearly defining roles and responsibilities

on this small, but multi-faceted project. Each team

member was assigned a unique role. These roles

were consolidated into a matrix and communicated

to the team. In this manner, everyone understood

how their piece fit into the puzzle. By adopting and

enforcing this process, it was possible to create a lean,

mean, fighting machine of a team. Several potential

project participants who were not prepared to work

were summarily dismissed.

In addition to other Wendy House projects, Imvusa

is entertaining the notion of tackling other types

of projects. For example, Tunnel Farming, a water

wise method of growing vegetables also known

as Hydroponics, is a great project opportunity as it

addresses the food security need.

Near Paarl, approximately 60 kilometres outside

of Cape Town, sits the township of Mbekweni. Imvusa

is working with the Chevron Corporation to establish

a museum that tells the story of the struggle against

the Apartheid government as depicted through the

eyes of the Mbekweni residents. There are several

residents, in fact, who were imprisoned on Robben

Island for a longer period than Nelson Mandela, and

it is important that their stories are told.

Renovated containers, similar to those used for

the study facility, are ideal for use as clinics, day care

facilities, and computer laboratories. These can be

set up relatively quickly and economically.

So, where do we go from here? An important

strategy that makes perfect sense is to seek and

establish partnerships. The problem is too large to

tackle alone. Partnerships with corporate entities,

civic organisations and NGOs could work.

Project managers interested in becoming involved in development projects such as those described here, are invited to contact the PMSA National Office, via ProjectNet. Kindly send email in this regard to the Editor: [email protected].


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BIODIESEL PROJECT BRINGS NEW OPPORTUNITY TO EASTERN CAPE

FARMING COMMUNITY

Europe has a requirement for 18 to 22 billion tons of

biodiesel and currently produces just six billion tons.

This has meant looking to the southern hemisphere and

emerging countries to significantly increase production

of crops that can be converted into biodiesel, such as

soybeans and canola.

The company began exploring the East London

area’s potential for farming canola crops four years

ago by means of a crop rotation programme and

test cultivations. Phyto Energy, with the support of the

Department of Agriculture (DoA), Accelerated and

Shared Growth Initiative for South Africa (ASGISA),

Department of Trade and Industry (DTI), Eastern

Cape Development Corporation (ECDC), Industrial

Development Corporation (IDC) and others, is now

setting the wheels in motion for this massive project that

will create long-term work opportunities, and otherwise

positively contribute to the South African economy.

Bio-fuel projects have received some criticism, as

‘food versus fuel’ debates raise questions about the

future of staple food crops when bio-fuel production is

a more lucrative prospect for farmers, particularly when

the product is destined for foreign shores, as is the case

with the proposed Eastern Cape project.

Dr Michael Kummer, Project Director for the SA

Biodiesel Project, easily counters this argument,

explaining their plan for maximising the use of the arable

land. “The canola crops will be grown on previously

underutilised land, during the winter months, using dry

conditions. The same land – approximately 250 000

hectares – will be prepared for growing maize crops in

the alternate months, making a significant contribution

to staple food production on what has until now been

uncultivated land.”

There are other bio-diesel initiatives underway in

South Africa, but they are mostly based on imported

soybeans. This project will create work for between 30

000 and 50 000 people in the rural areas, with jobs that

include farmers, farm hands, transportation to silos and

running of silos—each of which can handle about 150

000 tons of canola seeds. The factory and seed crushing

facility (the largest in the country) linked to the plant will

bring another approximately 400 jobs.

The technical result of the project will be two biodiesel

plant trains each consisting of 200 000 mto/annum

output. The first train is expected to be completed

mid-2011, and the second eighteen months later.

Together, they will mean an investment in South Africa

of approximately R2.5 billion, and a resulting output of

400 000 tons of biodiesel, exported to Europe.

The by-products of this project bring further

opportunity. Canola oil is a protein carrier, and South

Africa currently imports protein carriers in the form of

soybeans from Chile and Australia. The canola plant

will yield approximately 380 000 tons of canola meal as

a by-product, significantly reducing the volume South

A global renewable energy company, Phyto Energy Group, has established its presence in South Africa where it plans to establish a bio-diesel plant in East London,

in the Eastern Cape.


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Dr Michael Kummer of Phyto Energy

Africa will need to import in the form of soybeans (the

current cost per ton we import is around R2 400). Another

by-product is glycerine, as is potassium sulphate, which is

an excellent fertiliser. All of this will be injected into the local

economy. Eastern Cape is not a mature environment as

far as crop rotation is concerned, and this project will go

far to assist the farming community to calculate and plan

effective crop rotation. In the future this can benefit maize,

sorghum, wheat and even cotton production in the area.

If the identified areas of the Eastern Cape cannot offer

up the required volumes, Phyto Energy will extend its plans

to areas of the Free State.

Managing RiskFinancing and equity for the project has been secured from

a major European bank and Phyto Energy is negotiating

with potential private equity partners in South Africa for 70%

of the total investment. Certainly the current economic

climate poses some challenges, but the project is both

feasible and tangible. In addition, it is a multiple feedstock

facility, so if canola production and supply does not meet

target, with just a few adjustments, the plant infrastructure

can be adapted for fruit or vegetable oil, cooking oil or

wheat. Risk mitigation steps being taken with regard to

yield include the contracting of a company to do ongoing

satellite surveillance of the harvest, so it can quickly be

assessed if the volumes are sufficient. If they are not, steps

can be taken to import or recultivate another batch of

canola to fill the gap.

Another risk is global warming, and the anticipated

effect on weather in the Eastern Cape is higher humidity,

which is actually beneficial to the growth of canola.

The exchange currency may pose some problems, but

as far as the global depression relates to Germany, this

country expects to experience its lowest point in 2009. “By

the time we come on to the market, the worst will be over,”

says Kummer. He continues, “The project has huge impetus

from Europe, but my hope is to make it a South African

project. Once it is off the ground and works and meets

expectations, we will explore an IPO.”

Project Support, PM Tools and Project ResourcingPhyto Energy has a project management office (PMO)

structure in place. KPMG is currently assisting Phyto Energy

with financial calculations and data, and a financial

controller, project coordinator, principal project advisor and

senior project advisor report in to Dr Kummer. The PMO will

ensure governance, integration management, planning,

monitoring and control, stakeholder and communication

management, document management, issue resolution

and risk management.

Dr Kummer appointed a Project Steering Committee

(PSC) by personal invitation. This PSC consists of high profile

executives identified for their ability to resolve issues and

provide solutions. It will also advise and guide the project

management team on matters raised on an exception

basis. The PSC will not have executive powers but will

maintain overall oversight at a strategic level.

Tools assisting project management include MS Project,

Microsoft Visio, a JD Edwards system combining the

agriculture and plant environments in one solution, as well

as Mastermind. Construction will be handled by a general

contractor and more than 300 engineering staff using Swiss

and German technology. Civil engineering, silo and tank

construction will all be done locally.

To date, the Environmental Impact Assessment has begun

and the engineering is underway. A local project manager

is supervised by Dr Kummer, and a search will be underway

shortly for suitably qualified local resources, including chemical

engineers, chemical technicians, labour technicians, quality

assurers, chemists and civil engineers. At this stage, the plan

is to appoint a highly skilled upper management structure,

while the middle levels may be semi-skilled and be taken to

Germany to gain the necessary expertise

Skills TransferThe local community will benefit from agricultural schools

which Phyto Energy plans to establish for academic training

in model farms in the Eastern Cape and Free State. The

outcome will be teaching these farmers to grow canola

perfectly, introduce crop exchange, and use implements

and chemicals in line with biological farming techniques.

Those people showing the most potential will be further

educated in Germany.

“The canola crops will be grown in winter on approximately 250 000 hectares of previously under-utilised land. in summer, maize crops will be grown on the same land, making a significant contribution to the production of this staple food”


Why Bio-diesel, Why Canola?

Biodiesel is a non-petroleum based diesel fuel produced from biological organisms

like vegetable oil or animal fat. It produces less emissions than diesel produced

from fossil crude (responsible for carbon-based gas emissions).

Biodiesel is a renewable energy form as, unlike mineral oil, it can be grown

from crops. Biodiesel is not currently a solution to a global energy shortage but,

along with bio-ethanol, is the only fuel that can be stored, and used only when

needed. At this stage, it is being tested and used primarily for fuelling airplanes, trucks, vehicles and vessels.

Its renewability makes it a competitor to mineral oil, so in the future may result in a decline in demand for

mineral oil.

Biodiesel is produced from various vegetable oils, of which canola oil is a good example. Canola oil is

extracted from canola seed in a process called transesterification.

Canola is a viable option for farming towards biodiesel production for various reasons. Research by Petrus

Fouche, canola expert and CEO of PhytoPharming Pty Ltd (a subsidiary of Phyto Energy of Southern Africa)

shows the following:

• It is an excellent rotation crop.

• It can be grown in winter so does not clash with summer crops.

• Its by-products can be used in various ways.

• It can handle harsh environmental conditions such as frost and a lack of rain.

• It poses less wear and tear on implements.

• It is less susceptible to disease than some other staple crops.

• All of this means lower input costs, so promises good economic viability

for farmers.

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Project Management South Africa invites you to

submit your successful project into the PMSA

Project Management Excellence Awards (PME)

programme. This long-standing programme is an

ideal opportunity to showcase your project and the

excellent practices deployed to achieve project

success.

The PME awards are designed to acknowledge

South African project managers on significant

projects, and winners in this competition are put

forward to the annual Project Management Institute

(PMI) Project of the Year Awards (POY). This takes

place in two stages. The first involves submission into

the Regional leg of the POY competition, and if the

project wins, it is then put forward to the international

leg of the POY, competing with regional winners from

across the globe. Once you have made a complete

submission and met the criteria for the PME awards,

your entry, if successful, is ready for submission to the

POYs.

South African projects have won this grand prize

no less than three times and, as a country, we look

forward to achieving this again.

The local PME awards are judged by a panel

of experienced project managers in the relevant

industries.

In order to qualify for judging in the 2008 PME

awards, we require your nomination form by no later

than 15 January 2009. Simply complete the form

below and fax it to 088 011 662-2961. This form will

be submitted to an initial round of judging and if the

panel decides that your project meets the criteria,

you will be invited to make a complete submission.

Winners will be announced in March

2009. For more information, contact the PMSA

National Office on (011) 257-8003, or email

[email protected].

INVITATIONTO PARTICIPATE IN THE ANNUAL PME /POY AWARDS PROGRAMME

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Project Management South AfricaProject Management Excellence (PME) AwardsNOMINATION FORM1 Project Title

2 Brief description

3 Date project commenced

4 Date project completed (If a major phase of the project is entered, then this phase becomes the entire project for purposes of this submission)

5 Project Team (Organisations)

6 Nominee (Usually the project management firm)

7 Contact Person Name:Tel: Fax:Email:Postal address:

8 Proposed by

(Print name) (Signature) (Date)

9 Accepted by PMSA

(Signature) (Date)Kindly email or fax this form to: [email protected] 088011 662-2961 on or before 15 January 2009


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World class project management practice

IS POSSIBLE

�. INTRODUCTIONResearch has shown a statistical correlation between

organisations that benchmark and their performance

(profit, productivity and quality). Benchmarking is

one of the few management practices that can

be statistically validated as being a key driver for

improvement in the best organisations.

The benchmarking process helps you to know

your organisation, understand its competition, define

the best processes, and integrate them into your

business activities.

Benchmarking is a powerful tool that provides the

organisation with measurements of how well products,

equipment, people, services, and processes can

perform. It allows the organisation to realise that it

needs to break out of the old mode, and that major

improvements not only can be made but must be

made if the organisation is to survive.

Benchmarking also gives the organisation a clear

understanding of how other organisations are able

to perform at superior levels. It provides managers

not only with aggressive, realistic goals but also with

the confidence that they can achieve these goals

because they know that other organisations are

doing so. Is it any wonder then that benchmarking

has become one of the world’s most powerful

improvement tools?

2. WHAT IS BENCHMARKING?Benchmarking is the process of identifying,

understanding and adapting outstanding practices

from within the same organisation or from other

businesses to help improve performance (Cook,

1995:13).

Benchmarking is a continuous process of comparison,

projection and implementation. It involves –

Benchmarking for competitive advantage is critical for all organisations striving towards

the implementation of world class project management practices. In their paper

presented at the PMSA Conference in May 2008, Andre Knipe and Bertus Siebert, of

the Centre for Management Development, Southern Business School, provided specific

information, suggestions, guidelines, and checklists to help one start, maintain, and

wrap up a benchmarking project using best practices in the benchmarking process,

including award-winning benchmarking organisational approaches. This article provides

a summary of their recommendations in two parts. Part 1 is included below. Part 2 will

appear in the January / February 2009 edition of ProjectNet.


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• Comparing the organisation and its parts with the best organisations, regardless of the industry or country.

• Comparing business processes with the best similar processes in any or all industries to define best value.

• Comparing production processes with the best similar processes in any of all industries to define best value.

• Comparing the organisation’s products and services with those of the best competitors.

• Comparing different types of equipment to select the best-value equipment for the specific application.

• Implementing defined best practices.

• Projecting future trends in best practices and proactively reacting to these trends.

• Meeting and exceeding customer expectations.

Benchmarking will help you do the following in your organisation:

• It will help the organisation learn from the experiences of others. No organisation has the time or the resources to make all the mistakes itself.

• It will show the organisation how it is performing in comparison to the best.

• It will identify the organisation’s weaknesses and strengths.

• It will help the organisation prioritise its improvement activities.

• It will provide the organisation with proven corrective action plans.

Benchmarking is the most powerful technique for gaining and maintaining competitive advantage. Why? Because it drives best practice oriented continuous improvement through the organisation. The perpetual goal is to achieve measurably better performance than the competitors and ensure best value to the organisation at the same time.

3. TYPES OF BENCHMARKINGThere are five types of benchmarking processes. They are:

1. Internal benchmarking

2. External competitive benchmarking3. Compatible benchmarking4. Trans-industry benchmarking5. Combined internal and external benchmarking

The following table shows the benchmarking partners’ relative co-operation, the applicability of the data collected, and the degree of breakthrough the organisation will get using the different types of benchmarking. There is no “best” benchmarking type. Each of the different types has its own advantages and disadvantages that need to be considered.

i. Internal benchmarking

Internal benchmarking is the starting point and should

always be considered before any organisation looks

to the outside. If an organisation is just starting its

benchmarking program, internal benchmarking is an

excellent way to develop the benchmarking process

and train people in how to use it. This approach is

very effective in organisations that have many small

business units and/or relatively autonomous sites that

are engaged in similar activities.

Internal benchmarking involves looking within

the organisation to determine if other locations are

performing similar activities, and then defining the best

practices observed. This type of benchmarking is the

easiest to conduct because there are no security and/

or confidentiality problems to overcome. In almost all

cases, internal benchmarking should be undertaken first,

since it is inexpensive to conduct and provides detailed

data. Even better, the organisation can frequently

borrow experienced personnel from other locations to

help implement the future-state solutions.

Type of benchmarking Co-operation Relevance of Degree of information breakthrough

Internal High High Low

External competitive Low High Medium

Compatible Medium Medium High

Trans-industry Medium Low High

Combined internal & external Medium Medium Very high

Benchmarking gives the organisation a clear understanding of how other organisations are able to perform at superior levels.

Andre Knipe, VP: Branches on the PMSA Executive Committee and colleague Bertus Siebert, who presented their research at the PMSA Conference in May 2008


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ii. External competitive benchmarkingExternal competitive benchmarking is an effective approach in industries that are very competitive, industries whose competitors have very different management philosophies and histories, and industries that are driven by emerging technologies and processes. The reverse engineering and competitive shopping approaches that are part of this type of benchmarking are very important to organisations whose output is hard or soft goods. Organisations using external competitive methods need to be experienced in benchmarking.

Competitive benchmarking, which includes reverse engineering and competitive shopping, requires that the organisation perform a detailed analysis of a competitor’s products, services, and processes. The most common approach is to purchase competitive products and services, then analyse them to identify competitive advantages.

iii. Compatible benchmarkingCompatible benchmarking compares the benchmark item with items produced by the world’s best organisations in a general industry category (for example, banking, insurance, health care and electronics). In this case, the benchmarking partner’s item does not compete directly for the same customers. This type of benchmarking is used when organisations feel they have something to gain by comparing their benchmark item with compatible

items in other organisations that are engaged in the same industry but are not direct competitors. Organisations using compatible (external industrial) benchmarking should already be familiar with the benchmarking process.

iv. Trans-industry benchmarkingTrans-industry (external generic) benchmarking extends the benchmarking process outside the specific organisation and its industry, to involve dissimilar industries. Many business processes are generic in application and extend across industry, for example warehousing, supplier relations, service part logistics, advertising, customer relations and hiring. Applying the benchmarking process to these generic items can provide meaningful insights, particularly when the information comes from unrelated industries. Benchmarking dissimilar industries enables you to discover innovative processes, not currently used in your particular product types, that will allow your process to become the best of the breed.

v. Combined internal and external benchmarkingThe most frequently used approach is the combination of internal and external (competitive, compatible or trans-industry) benchmarking. This combination usually produces the best results. The following table shows a comparison of the different benchmarking types.

Type of benchmarking Cycle time for future-state Benchmarking Results partners solution (FSS)

Internal 3-4 months Within the organisation Major improvementsExternal competitive 6-12 months None Better than the competitionCompatible 10-14 months Same industry Creative breakthroughTrans-industry 12-24 months All industries world wide Changes the rulesCombined internal and external 12-24 months All industries world wide Best in class

In Part 2 of this article, we will look in detail at the six-step benchmarking process proposed by Knipe and Siebert

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It isn’t every year that the PMSA hosts two conferences, but this was the case in 2008, with the

National Conference having taken place in May and the KZN Regional Conference in October. The extent to which both were supported shows how relevant such gatherings and information-sharing sessions are to South African project managers. In the future, we plan to have a regional conference or workshop-type event in the years between the national conference (which takes place every second year – the next one is thus planned for 2010).

Here, Lissa Stewart, PMSA KZN Branch President, provides a synopsis of the KZN Conference, held on 30 and 31 October 2008 at the ICC in Durban.

This conference was well attended by 90 delegates from both the private and public sector. In addition, Absa Corporate and Business Bank were the sponsors of the conference, with Business Connexion, PMIdeas, VNA Consulting and PACE Planning & Cost Engineering exhibiting their services.

The keynote speaker, Neville Eve, from Transnet Capital Projects, gave an informative presentation on Project Excellence from a Transnet Perspective. Eve believes that Transnet’s current growth strategy will be enabled by core thrusts and strategic initiatives, namely client orientated planning and execution through integrated commercial management; investment plans and governance and performance management.

Coupled with Eve’s delivery were presentations on

the Moses Mabida Stadium, the new La Mercy Airport

and the Gautrain. Useful advice was delivered by

Peter Steyn on the Infrastructure Boom and Financing

Requirements and Robert Best on Positive Leadership

to name a few. Such presentations confirmed the

need for qualified project managers who have a

mature understanding of planning, cost analysis

and risk management as well as the softer skills and

strategic thought required to kick-start and deliver

projects of such magnitude according to strict time,

cost and quality constraints.

At the cocktail party after the first day, awards

were presented to the PMSA members for their 10 year

membership commitment. The ‘veteran’ members

who were present to collect their commemorative

trophies were:

Kelly Byrne, Mark Johnson, Jaco Kellerman, Garth

Sims, Garth Smith, and Imtiaz Tayob.

In addition, KZN will be starting a PRINCE2 user

group in the region.

The Conference evaluation forms revealed that

the presentations, the sponsors and the exhibitors

were representative of Project Excellence; confirming

the theme of the Conference.

Several of the presentations have been uploaded

to the PMSA website. If you are interested in viewing

them, navigate to Conferences / KZN Regional

Conference.

KZN REGIONAL CONFERENCE 2008

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Pictured left:

PMSA Chairman Robert Best

with guest speaker Pregan

Naicker from ABSA.

Right:

Keynote speaker Neville Eve,

General Manager: Project

Development and Execution

for Transnet Capital Projects


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QUESTIONS LEAD TO INSIGHT AND CHANGEPart 2: The intentJürgen Oschadleus is a Sydney-based writer and consultant on project and business leadership. This series of articles in ProjectNet focus on how to become a more influential communicator and effective leader in your organisation

In the last issue I described a workshop in which, rather than telling people to follow “best practice”, I helped them

gain insight on the value of standardising their processes and how they could come up with new processes. Once they recognised that they had a problem, and were given the freedom to fix it, they developed processes that were going to be useful to them, while delivering outcomes for their organisation. But they developed the process, owned the ideas, and bought into what we needed them to do.

The key to this workshop was giving them time to reflect, and prompting their thoughts with well-directed questions. The right questions, asked in the right way, are one of the most powerful communication tools available to any manager. When we start asking the right questions we stir the mind, we create awareness and we move people towards action. Questions create insight, develop thinking, and change behaviour.

In this article we focus on how to develop a good questioning technique by ensuring we understand the intent with which we ask the question.

The intent of questionsFirst off, we should recognise that not all questions are created equal. Nor are all questions asked with the same intent.

Some are asked to establish facts, others to clarify understanding, and yet others to motivate or inspire. Some questions are asked to belittle or confuse. Others are simply rhetorical. Some questions demand answers, some seek solutions, and others are asked purely to stimulate thinking. The intent of the question – the reason for asking it – is an essential part in determining how it should be phrased.

Think about an aggressive lawyer, cross-examining a witness, and demanding a “Yes or No” answer. Fed up with the badgering, the witness replies: “Some questions can’t be answered with a yes or a no.”“Give me an example,” demands the lawyer.“Do you still beat your wife?” the witness sweetly replies.

The intent of the question was to put the lawyer in his

place. Of course, courtroom lawyers are renowned for their attempts to phrase questions in a way most suited for their purposes – essentially ‘leading’ their witnesses down particular routes, or confusing them in order to discredit their testimony. These same techniques are implemented in a multitude of other situations. We ask questions in the hope of getting specific answers or outcomes.

Studies at various universities have measured the impact of specific words used in questions, which subtly influence the respondents to react a certain way. In one classic example, groups of people were asked to watch a video of two cars colliding. One group was asked to estimate the speed at which the cars raced into each other, while the other group was asked to estimate how fast the cars were going when they collided. Hardly surprisingly, the first group provided a consistently higher estimated speed because of the emotive words used in that question.

Focus on the desired outcomeAnother classic manipulative questioning technique is to give people the impression of choice in selecting from predefined options. For example, when our daughter started developing her independence, she loved expressing it around bedtime. Ordering her to bed ended up in a battle of wills. So we started offering her a choice: “Would you like to go to bed now with a story, or in 5 minutes without a story?”

Naturally the allure of a bedtime story swayed the decision towards the outcome we desired: she went to bed quite happily, convinced she had controlled the outcome and achieved her goal.

This may be a simplistic example, but there are several core underlying principles:• People want to feel they are in control of what happens

to them; by asking them to make that choice they felt that sense of control.

• Understanding the desired outcome directs the questioning technique we will use. Our focus was on getting her to bed, not on getting the recognition for a great idea. We


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I keep six honest serving men They taught me all I knew Their names are What and

Why and When and How and Where and Who (RudyardKipling)

QUESTIONS LEAD TO INSIGHT AND CHANGEPart 2: The intent

were quite content to let her take the credit for coming up with the idea. In fact, from an ownership perspective we actually wanted her to think the idea was hers.

Questions determine answersLet us turn now to three of the most common reasons for asking questions – to ascertain facts, to clarify and to motivate.

Questioning for factsWhen we question for facts we are trying to determine a set of known data. These questions should be asked frequently, and in a non-threatening, non-judgmental tone that enables clarification of meaning and gives the speaker an opportunity to rephrase or underline a point.

Good questions would begin something like: “Do you mean...?” or “Did I understand you to say...?”

We need to be careful not to ask questions that indicate we have not been listening. Keep questions relevant and to the point, rather than asking for irrelevant details.

Asking for an expansion of the idea is another useful response. Ask for:• an example: “Could you give me an example of precisely

what it is that concerns you?”• a definition: “Perhaps you could tell me what you mean

by......?”• a summary: “It would be really helpful if you could summarise the points you’ve just made.”• additional explanation: “Sounds good; could you please

explain more about ... ?”• assumptions to be identified: “What did you assume would

happen after your conversation?”• the origin of an idea: “How long have you been thinking

this?”

We may also want to ask:• about inconsistencies: “What you’ve just said seems to

contradict your comment this morning; how do these things fit together?”

• how much the person cares about this: “Sounds like this is/is not really important to you.”

One of my previous employers described this as the principle of Five Whys. When someone states a problem (for example, “This system doesn’t work”), ask why. When they answer, ask why again and again. By the fifth ‘why’, we should have a far better idea of the core issue, rather than simply reacting to the visible symptom first expressed.

But be careful how you ask the ‘why’ questions. You are asking the person to think – and as we covered in the last article, thinking requires considerable mental effort. If they are not in the right frame of mind or ready to engage with you, the

five questions may well result in frustration or even anger.

Questioning for clarityPeople’s interpretation of words and concepts differ remarkably. When we face a statement in which the meaning is unclear or ambiguous, we should seek clarification.

Neuro-Linguistic Programming provides a meta-model concept which seeks to clarify vague statements and snap people from woolly generalisations to specific meanings through the use of focussed questions. These questions begin with What, Why, When, How, Where or Who, and are followed by “exactly” or “specifically”.

When asking questions of clarification it is essential to listen intently. Listen to perceive:• What the person is trying to say• What the person is not saying•What the emotional context of their statement is• What they are really feeling (ie what the ‘hidden’ real

message is)• What the essence of their speech is• What they are saying that they cannot hear for themselves

Simply paraphrasing the question back does not add any value.

Questioning for motivatingA third common reason for questioning is to inspire or motivate people towards something. These questions start addressing the development of insight. For example, telling a new project team member to stop doing something a particular way may gain compliance, but will not necessarily promote the desired behaviours on an ongoing behaviour. You may find your statement has evoked their natural defensive mechanism.

A good way of phrasing a motivational question would be to start with: “What would have to happen...?” For example:

What would have to happen...:– ...for you to be interested in buying this product?–...to enable you to spend more time with your family?–...to get this project back on track?These questions move people away from general problem

statements to focus on specific solutions. They assume people have already made a commitment – to buy the product, or resolve the issue – and all that is required is now to work out the specific details.

Hopefully the above will have given you some ideas on particular types of questions you could ask in given situations. The challenge lies in using questions as a means of leading people to new insights. There are a number of common problems we stumble into when asking questions, and we will address these in Part III of this series.

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This year has flown, but not before PMSA made its presence felt in at least three of our Provinces. The

challenge for 2009 lies in reaching into our smaller areas, where members have indicated their interest in

building networks and hosting events.

Branches

PMSA’s Western Cape Branch hosted 10 events this year, among which was their annual Golf Day in March,

as well as branch meetings featuring guest speakers on topics such as Managing Enterprise Risk, Project

Management Maturity, and other interesting presentations in the form of case studies and best practices.

In Gauteng, the Johannesburg branch hosted meetings every two months and featured the likes of

Makgotso Letsitsi on the Value of Programme Management in Contemporary Organisational Management;

Esias Bootha, Senior project / program manager at Dimension Data and Rory Burke, on Project Methodology

& Project Leadership. Prof Herman Steyn closed off the year with a presentation in November on PM issues

and Education.

Highlights of 2008

Left to right: PMSA President for the Johannesburg Branch, Danie de Waal; Three lucky members of the audience each won a copy of Herman Steyn’s book, called Project Management: A Multi-disciplinary Approach; Members of the audience at the last Johannesburg branch meeting for the year find out more about the value of education and ongoing learning as project managers.

KZN had a full year, having hosted a Golf Day

in August and regional conference (read more on

page 15), as well as regular branch meetings.

At the KZN Golf Day in August 2008, All past

presidents for that branch were present, including

from left Robert Best, Jack Daya, Sandro Quatrocchi,

Lissa Stewart (current) and Hareesh Patel.


Left to Right: The festive PMIdeas table enjoying Thai hospitality; Guest speaker, Dr Harry Dugmore; KZN Branch representatives Lissa Stewart and Iqbal Sheik. Lissa received the PMSA president’s acknowledgement, having been chosen by him as the PMSA Volunteer of the Year.

PMSA President, Hareesh Patel, PMSA Chairman, Robert Best and Mrs Bes, PMSA VP Professional Liaison, Jaycee Kruger, Mrs Deacon and Terry Deacon

PMSA year end DINNERThe year ended with an intimate evening at Wang Thai in Sandton, where members new and ‘old’ enjoyed each other’s company. Dr Harry Dugmore, communicator, strategist and co-creator of the Madam and Eve cartoon strip entertained the gathering by suggesting the importance of injecting humour into our daily personal and work lives. There were prizes and give-aways aplenty, including a generous donation by Harry Dugmore of his book: Mandela, a Life in Cartoons, to two lucky people.

Left to Right: Dr Ernest Mnkandla from University of Johannesburg, and Mrs Mnkandla; PMSA Branch representatives from KZN and Gauteng, and members shared ideas and Thai tasters; Bright smiles from the Bytes Technologies group

Left to Right: The Triniti Business Solutions Team; MC for the evening was Carl Marnewick, PMSA VP: Technical & Education


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Dr Hiroshi Tanaka Honoured for Industry Contribution

Delegates at the PMSA

Conference held in 2006

will remember Dr Hiroshi (Hiro)

Tanaka, one of our esteemed

international guest speakers. Hiroshi

is one of the most respected project

management authorities in the world

and, according to a report on PM

Forum (www.pmforum.com), was

recently honoured with the Japanese Government’s

sustained outstanding industry contribution award. The

award was presented on the occasion of the 30th

anniversary celebration of the Engineering Advancement

Association of Japan (ENAA), one of the three major

capital investment industry research and competitive-

ness initiatives of the world together with CII (Construction

Industry Institute) of USA and ECI (European Construction

Institute) in Europe.

The honour was delivered to Dr Tanaka by Director

General Tsuneyoshi Tatsuoka on behalf of Minister

Toshihiro Nikai of the Ministry of Economy, Trade and

Industry (METI) which is one of the major ministries of the

Japanese Government.

The award occurs basically once per industry branch

and Dr Tanaka is one of the two who have received the

honour. According to ENAA, the reasons for his honour

are his distinguished contribution to the E&C industry,

his professional promotion of project management in

Japan, and his PM diplomatic role in publicizing the

leading position of the Japanese E&C industry in the

global market place.

Hiroshi, as President of Project Management

Association of Japan (PMAJ), hosted PMAJ’s 560-

delegate International Project & Program Management

Symposium 2008 in Tokyo in March of this year. That

event was rated as a very successful global congress by

PMForum’s Managing Editor David Pells, who attended

the symposium as PMF representative and as Master of

Ceremony for the symposium, at Hiroshi’s invitation.

We at PMSA are delighted that a friend to PMSA

has been honoured in this way and are reminded

once again of the value of our national conference,

which brings such esteemed project management

personalities to our shores

White Paper on Change Management Available online

Source: www.pmforum.com

An important new white paper has been announced by ESI, the US-based project management consulting and

training organisation, which has made it available to the public at no cost online. “The Change Management

Life Cycle: How to Involve Your People to Ensure Success at Every Stage” has been authored by Jonathan Gilbert,

director of client solutions, ESI International.

According to the abstract:

Every organization is affected by change. Still, organizational change initiatives fail at an alarming rate. This is

because most initiatives fail to consider how changes affect the people in an organization. To successfully implement

change initiatives, organizational leaders must ensure employees at all levels of the organization embrace the

proposed changes.

This paper introduces a three-phase Organizational Change Management Life Cycle methodology (Identify,

Engage, Implement) designed to help organizations successfully manage a change initiative. For each phase

of the life cycle, the paper describes valuable techniques for involving the people within an organization.

It also discusses the importance of developing a flexible, incremental implementation plan.

To read or download the paper, visit http://www.pmforum.com


Global Standards Workshop to take place in SA

At the end of February 2009, South Africa will play host to the meeting of

the Global Alliance for Project Performance Standards (GAPPS) workshop.

As an extension of this event, PMSA will host corporate information-sharing sessions

about the value of GAPPS standards and how these will benefit individuals and

corporates alike, as they are rolled out in a pilot programme right here in South

Africa. Look out for more details in our monthly e-newsletter, ProjectNet Express.

New Updates Bring Harmony to Four PMI StandardsMany PMSA members have been wondering when the new edition of the Guide to the Project Management Body of Knowledge (PMBoK) will be released. Here is an excerpt from the PMI website regarding new editions of four of their standards.Source: PMI.org

In late December, PMI will debut updates of four highly respected standards. By

updating all four simultaneously, teams could ensure that the standards harmonized

with each other.

A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Fourth EditionPMI released the first PMBOK® Guide in 1996 and since then it has become the

global standard for project managers.

For the fourth edition, the project team made several improvements. The first was the

inclusion of project documents, such as issue logs, duration estimates and resource

requirements, to aid project managers in project execution.

Another noticeable change, says Cynthia Stackpole, PMP, project manager for the

update, was the combination of the change request, corrective action, preventive

action and defect repair groupings into one heading called “Change Requests.”

“Our goal was to bring about clarity and have the specific planning process outputs

serve as inputs to developing the project management plan and not the other way

around,” she says.

Organizational Project Management Maturity Model (OPM3®)–Second EditionAlignment with the PMBOK® Guide—Fourth Edition was a driving force in

developing the second edition of OPM3, PMI’s best practice standard for enterprise

improvement.

The update includes the introduction of organizational enablers.

The team also updated the standard’s self-assessment method (SAM) questions

– refining the offering from 151 to 120 questions.

The Standard for Program Management—Second EditionThe most significant aspect of the latest edition of The Standard for Program

Management Program is the development of knowledge areas specific to programs,

explains Frank Parth, PMP, project manager for the update.

“It gives the program managers a significant amount of information that is relevant

to managing large, complex programs,” he says.

The Standard for Portfolio Management—Second EditionThe second edition of PMI’s Standard for Portfolio Management brings with it a

noticeable foray into two significant knowledge areas: governance and risk.

“These are key additions, especially risk,” says Larry Goldsmith, PMP, project manager

for the standard’s update. “At the portfolio level there are different risks involved,

many of which are external, such as shareholder value. By taking on a given project

within the portfolio, you could introduce the company to unnecessary risk.”


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When people in the industry asked

me, “who in their right mind will be

so daft to start another mining/engineering

magazine” I was almost tempted to

answer, NOT ME!, but you see, the reality is

my partner Pat Motshweneng and I could

not resist an opportunity just waiting to

be grabbed as we recognised a specific

need in our industry not yet explored.

Having a mine advertising background

and 15 years publishing experience,

I started to explore a certain person in the

industry and with my regular visits to my mining clients realised

a common need. People, firstly, were tired of bad news!

Secondly, people in the engineering and mining fraternity

do not have time to read! And thirdly mining magazines and

engineering journals forget about one of the golden rules in

publishing and that is quality! The Miner’s Choice therefor offers

a glossy, full colour copy with high resolution photography,

industry related new news - and also plenty of stats and figures

with short to the bone information.

The Miner’s Choice is a subscription magazine, which

makes the end-reader known, not only to the advertiser, but

also to the industry, albeit engineering or mining.

At the 2008 Safety Summit held by the Association of

Mining Managers of South Africa (AMMSA) the Miner’s Choice

was introduced by the President, Mr Phillip Tobias to all 250

delegates as “a glossy magazine, filled with

GOOD NEWS and relative facts.” He invited

all delegates to participate in the culture of

sharing information to make the industry an

attractive and safer environment.

The Miner’s Choice is being posted

to all 800 AMMSA members as well as

all BSF members (150 Safety Managers in

the Platinum Industry). Besides these high

profile recipients we have a copy posted

to ALL DME registered mines nationwide.

Our readers tally has grown to 50 000

readers nationwide.

Endorsed by the Chamber of Mines and the DME, the Miner’s

Choice is supplied with relevant statistics and information on a

monthly basis. Our regular columnists include Chris Gibbons

from 702 Talk Radio & Cape Talk, Bheki Khumalo from the DME

as well as Jabu Maphalala and Sietse vd Woude from the

Chamber of Mines. Our researcher, Amelia du Rand supplies

monthly columns on energy matters. All our statistics and facts

are supplied by the Chamber of Mines and the DME.

Our latest addition to our monthly columns is the one on

Project Management. An initiative by Ms Valerie Carmichael

Brown that will not only focus on PM in the mining industry, but

PM in general. The Miner’s Choice is fortunate to have PMSA

as a sustainable partner and is looking forward to our future

partnership.

Any queries regarding advertising, subscriptions and suitable articles please contact Pat Motshweneng: Head - Marketing at [email protected]

Louis Eichstadt, Editor of Miner’s Choice

A NEW MAGAZINE FOR THE MINING INDUSTRY

ADVERTORIAL


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David Williams and Tim Parr promise that “it is the first book to take a holistic view of programme management linked

to the capabilities and strategy of the organisation.” They do deliver on this promise as the book covers various topics ranging from strategic portfolio management, programme delivery management as well as the enterprise programme management office.

The book is divided into three sections with the first focussing on The Enterprise Programme Management Framework which provides a framework that focuses on linking outputs to the strategic initiatives of the organisation. The second section, Enterprise Programme Management Essentials, refers to key capabilities that are fundamental to the development of an enterprise programme management approach. The last section provides a practical way for the reader to determine the shortcomings of their organisation as well as to understand where to enhance the capabilities of the organisation in question.

The authors provide a framework that follows a top-down approach from the outset. This is something I personally prefer as this portrays the new thoughts within the project management domain. The framework consists of four sections that are linked with each other as well as two supporting architectures. The first section focuses on the business strategy of the organisation and the authors say that “executives need to be able to lead their organisations to deliver change and embed it throughout the business.” This explains the importance of having the correct strategies as well as the need to implement these strategies.

The second section of the framework focuses on portfolio management which “is the continual process of creating, managing and evaluating a portfolio of strategic initiatives focused on delivering lasting results and benefits.” The objective of this section is to manage the portfolio in such a way that it is in harmony with the business initiatives. The issue here as well as with other books in the same discipline is that no definite methodology is provided on how to link the portfolio with the strategies.

The third section is the management of the programme delivery and this links the benefits of the strategic portfolio management with the outcomes of programme delivery. The focus is to deliver the maximum benefits from the investments made through multiple projects. This section provides a life

cycle on how to plan, execute and control programmes. This differs slightly from the PMI’s Standard on Program Management on how to manage a programme. The focus for the reader should be to determine how to manage the programme to deliver the maximum business benefits irrespective of the life cycle that is used.

The last section of the framework is project management itself that delivers the outputs of the strategic initiatives. The authors did not focus on this section as various other resources are available that illustrates the importance of project management.

The first of the architectures investigate the various support structures that are needed to ensure effective programme leadership. The focus is on how the programme manager must address low morale, lack of commitment and the lack of skills to name but a few. Without going into too much detail about the competencies of a programme manager, it highlights what a programme manager must address to be successful.

Since the implementation of strategy is about change, the second architecture focuses on change and how change is managed. It addresses all issues surrounding change including the impact it will have on the people within the organisation. A high-level change plan is provided (page 91) that assists programme managers to plan for change.

A fresh approach by the authors is to include a section on governance and decision making. Governance is viewed from the importance of governing enterprise-wide change. Five main functions are identified to assist in governing the portfolio within the organisation.

The second part of the book focuses on the essentials of programme management and this can be read separately meaning that organisations can focus on section 1 and ensure that the enterprise programme management framework is implemented. The first section deals with generic software systems that can assist a programme manager and why organisations should spend money on implementing EPM solutions.

Programme management risk is addressed within the second section and addresses risk from an organisation perspective from the business initiatives down to the project management level. I think this is one of the strong points of the book where a holistic approach is continuously followed.

Enterprise Programme Management – Delivering Value - Book Review by Carl Marnewick VP: Technical and Education and Senior Lecturer, University of Johannesburg

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PMSA recently started building a members library, and currently has the following books that members may borrow:Title Author ISBN

Creating the Project OfficeA Manager’s Guide to Leading Organizational Change (Jossey-Bass) Randall L Englund Robert J Graham Paul C. Dinsmore 0-7879-6398-4

Winning in Business with Enterprise Project Management (Amacom) Paul C. Dinsmore 0-8144-0420-0

Managing Successful Projects With Prince2 (TSO) Office of Government Commerce 0-113308914

The Implementation of Project ManagementThe Professional’s Handbook (Addison Wesley) PMI Edited by Linn Stuckenbruck Ph.D. 0-201-07260-2

A Guide to the Project Management Body of Knowledge (PMBoK Guide) Third Edition PMI Standard 1-930699-45-X

How to Manage Your Global ReputationA Guide to the Dynamics of International Public Relations (NYU) Michael Morley 0-8147-5679-4

Project Management for Non-Profit Organisations – A practical guide for managing developmental projects Mensah Frimpong 0-620-31111-8

Managing Your Bluewater Cruise Rory Burke & Sandra Buchanan 0-473-03822-6

Project Management, A Multi-disciplinary Approach. Second Edition Herman Steyn et al 978-0-620-39357-7 Project ManagementA System’s Approach to Planning, Scheduling and Controlling Eighth Edition (Wiley) Harold Kerzner, PhD 0-471-22577-0

If you would like to make a donation to the library, please contact the PMSA National Office on 011 257-8003. Members may borrow these books for a period of two weeks, following payment of a refundable deposit. For more information about this member benefit, please contact Stacey Bacon at 011 257-8003.

PMSA’s Library: Available to Members

Benefits management is addressed as being essential but should have been incorporated into the first section of the book. However, detailed descriptions are provided about how benefits are linked between the portfolio and the individual projects. Emphasis is placed on the types of benefits, which are categorised into financial/non-financial and tangible/intangible. This provides a holistic view on benefits and not just the financial aspect.

A topic that is covered, that I felt does not belong in the book, is a section on the management of suppliers. It covers various aspects but does not provide a holistic view like some of the other sections. Nothing more is provided that is not already covered within the project procurement

management knowledge area of the PMBoK® Guide.The book covers a topic that is not that familiar and that

is the programme management office. Two types of PgMOs are discussed: the first where the PgMO exists for the duration of the programme and the second one is more strategically placed, where all programmes are managed by the PgMO. The last type is something of an evolution from the traditional PMO.

This book is an academic text but provides enough information to programme managers to assist them in deriving projects from the organisational strategies and how to manage this process on a day-to-day basis using the supporting architectures.


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