program management dashboards

PM World Today – March 2011 (Vol XIII, Issue III)

© 2011 Bob Prieto PM World Today is a free monthly eJournal - Subscriptions available at http://www.pmworldtoday.net

PM WORLD TODAY – FEATURED PAPER – MARCH 2011

Program Management Dashboards

By Bob Prieto What is a dashboard? Dashboards and “Balanced Scorecards” have been proposed as a communication tool and executive summary of program performance. They can capture a variety of inputs and display them in one place. In some ways it is where “Analog aesthetics meets digital information”. Operational dashboards focus on managing and measuring business and process activities in real time or near-real time. Operational dashboards provide deep visibility at an overall program level, on a specific business area or business process activity. Key Performance Indicators (KPIs) and metrics are typically displayed by an assortment of dials, gauges and stoplights that resemble those found in a commercial plane cockpit. A method to incorporate statistical process control (SPC) and colors was first proposed at the US Department of Energy’s Hanford in 1997 (“Stoplight Charts with SPC Inside” published by American Society for Quality 2004) and put in place as the Fluor Hanford Dashboard in FY 2005. It utilized existing and familiar performance indicators.

Control Chart Result

Decision Color Leadership Action

Level is Acceptable

Green Stay the Course Stable (common cause variation) Level is Not

Acceptable Yellow Improve System

Adverse Red Corrective Action

Trend (special cause variation)

Improving Green Reinforce – Stay the Course



In Oregon, the Oregon Department of Transportation's OTIA III State Bridge Delivery Program dashboard was used to status progress to stakeholders. Deeper drill downs provided management information.

Source: Fluor But to be effective the dashboard must really track all key program dimensions since a failure in any one can undermine the program. I will not dwell on the graphic portrayal but rather spend the next bit looking at some of the key elements to be tracked and in what form they should be tracked and by whom. Selection of measures is a key step in effective management of any program. The dashboard must reflect the strategic business objectives that the program is trying to achieve; key dimensions to assess strategy effectiveness; and key process and control factors to assure true progress is being made towards the strategic business objectives. Many times measures are chosen without adequate attention given to the driving strategic business objectives. In those instances the program team tracks measures and then tries to figure out what the objectives are. The selection of dashboard parameters must include leading and trending indicators not just historical ones.



Let’s return to our Strategic Program Management1 system. The major processes and dimensions displayed provide a good starting point for constructing a program management dashboard.

The example that follows is for a large public transport program and each major dimension is reflected in a separate table. Specific program requirements and objectives will modify certain elements of these tables but they represent a good analog for dashboard development.



Framework Processes

Program Management Office (PMO) Element

Program Management Delivery System (PMDS) Element

Program Dashboard Metric

Project Dashboard Metric

Audits Program

Audit Plan Project Audit Plan

Program Audit status; top open findings

Project and functional audits status; top open findings

Budgeting, Fund Management and Allocation, Expenditure

Program Budget

Project Budget Program budget status; program cash flow; profile of expenditures; costs, expenditures and commitments to date

Project budget performance; earned value; projected cost at completion

Approval, and Tracking of Funds Committed and Expended

Funding Plan

Project Budget (Authorized)

Sources and uses of funds; funding requirements for next period

Project payments to date; contract amounts outstanding; projected total funding to completion

Change Impact Assessment (CIA)

Program Change Request Process

CIA Process Projected impacts of approved and pending programmatic changes

Projected impacts of approved and pending project changes

Configuration Management

PMO Go-By Documents

PMDS Compliance with go-by documents

Compliance with PMDS



Constructability Analysis – Systemic

Labor, Supplier Policies

Contracting Strategy; Supply Chain Strategy; Means & Methods

Compliance with Labor, Supplier Policies; Contracting Strategy; Supply Chain Strategy

Means & Methods; Root cause Analysis

Construction Mobilization

Construction affecting policies

Project Execution Plan

Start of major construction activities; ribbon cutting dates

Construction mobilization status and issues

Construction Technology

Owner furnished equipment; Value Improvement Plans (VIP)

Owner furnished equipment major issues; VIP status and results

Owner furnished equipment major issues; VIP status and results; productivity factor assessment

Contingency Management

Owner controlled contingency; Program Risk Management program

Program controlled contingency; Program Risk Management program; Projects Risk Management programs

Owner level contingency remaining by type; Current programmatic risk assessment

Program level contingency remaining by source and type; Current project risk assessment

Cost Estimating

Owner Event Risk Assessment

Estimated cost to complete - program and projects

Programmatic cost trends and forecast cost at completion

Project cost trends and forecast cost at completion; cost recovery plan



Ethics Training and Compliance

Owner Policies and associated training

Supplementary requirements if any

Status of training and compliance; Areas of concern - program level

Status of training and compliance; Areas of concern - projects level

Insurance Owner Policies


Program insurance claims and costs

Project insurance claims and costs

Knowledge Management

Owner Framework System

KM implementation plan

Summary level of activity

Project level activity

Legal Applicable Laws and regulations; Owner Policies

Regulatory and permitting plan

Claims; suits; Issue analysis

Status of approvals; compliance assessment of projects

Life-Cycle Cost Analysis

Owner Policies

Sustainable development plan

Exceptional item reporting

VIP status for projects

Material Management

Owner Policies

Supply chain plan; SRAs; Owner furnished material and equipment

Supply chain issues and trends

Supply chain status for projects

Operations & Maintenance

Owner Policies

O&M Training and turnover plan

Turnover program status

O&M deliverable status

Procurement Owner Policies

Procurement Plan

Procurement status summary; Major planned procurements

Procurement status by project

Productivity Programmatic and project level assumptions

Aggregate productivity factor

Project productivity factors



Project Security

Owner Policies



Incident reporting

Risk Management

Owner Policies and associated training

Program Risk Management Plan

Program Risk Assessment; Risk Reserve status and forecast; Major risk items under management

Risk assessment and status by project; Risk management plan implementation

Safety Owner Policies

Safety Case; HSE Program; Sustainability Program

Program Safety Performance; Root cause analysis

Project safety plan status; safety performance; status of safety training; incident analysis

Standardization Program standards


Compliance assessment; Lessons learned and best practices

Technology Owner Policies

Program technology plans as required


Implementation status

Training Owner Policies


Capacity building status and needs assessment

Implementation status



Governance Structures

PMO Element

PMDS Element



Leadership Leadership

training program; career development program; 360 feedback

career development program status; 360 feedback

Program status; 360 feedback metrics

Alignment Alignment process between DOT and PMC

Alignment process with projects

Status of program and project level alignment activities

Status of project alignment activities

Responsibility & Authority

Investment decision process; RACI go-by

RACI Completion of RACI

Implementation and compliance with RACI

Program & Project Delivery System & Standards

Go-By documents

PMM and program standards

Completness of PMM and program standards

PEP complete and implementation status

Integration DOT wide integration standards

Program integration standards; Interface Management plan

Major conflicts between contracts

Interface management status

Assurance Strategic Audit Plan

Program Audit Plan

Open strategic audit issues; Project Audit status and result analysis

Project Audit status and results

Stakeholder Engagement

Coordinated DOT Stakeholder Management Plan

Stakeholder Management for others not reserved at DOT level

Major upcoming stakeholder events; outstanding top stakeholder

Project level stakeholder engagement activities; outstanding project specific issues



issues

Key Performance Indicators

Stategic Business Objectives

Project and contract KPI's

Achievement of SBOs; project report card summary

Project report cards detailed against kpis

Improvement Business Improvement Plan

VPI's Program VPI summary

Project VPI results

Organizational Change Management

PMO Element PMDS Element Program Dashboard Metric


Vision Surface

Transportation Master Plan (STMP)

Organizational Transformation Plan (OTP)

OTP Status

Resistance Management Plan

Organizational Transformation Plan

OTP Status

Communications Plan

Owner Communications Plan

Program and Project Communications Plan

Communications Plan Status and Effectiveness

Project Communications status

Organizational Transformation

Organizational Transformation Plan

OTP Status

Measurement Peer Review 360 Review Peer and 360 Review open items

Feedback Peer Review 360 Review Peer and 360 Review open items

Lessons Learned

Knowledge Management (KM) community

Status of knowledge submittals to KM



Strategy PMO Element

PMDS Element



Strategic Business Objectives

Strategic Business Objectives

Program and Projects KPI's

Program KPI Performance

Project KPI performance

Continuous Improvement

PMO Element

PMDS Element



Knowledge Management

Knowledge Management System

Knowledge Management System as integral tool

KM statistics

Value Capture VIP Practices

VIP status report

VIP status report

Lessons Learned

Lesson Learned Report

Reports completed and input to KM

Reports completed and input to KM

Best Practices Best Practice Go-by

G0-bys completed and input to KM



Assessment PMO Element

PMDS Element



Metric Priority Program and

Projects Dashboard

Dashboard emphasizes top priority metrics; other metrics readily available

Dashboard emphasizes top priority metrics; other metrics readily available

Metric Usefulness

Extent of usage

Metric Measurement

Robustness of data

Metric Review Periodic report effectiveness assessment

Metric Realignment

Program and Projects Dashboard

Metric change notice

Metric change notice

References:

1. Strategic Program Management; published by the Construction Management Association of America (CMAA); ISBN 978-0-9815612-1-9; July 24, 2008



About the Author:

Bob Prieto Author

Bob Prieto is a Senior Vice President of Fluor Corporation, one of America’s largest engineering, construction and

project management firms, where he is responsible for strategy in support of the firm’s Industrial & Infrastructure Group and its key clients. He focuses on the development, delivery and oversight of large, complex projects worldwide. Prior to joining Fluor, Bob served as chairman of Parsons Brinckerhoff Inc. He served as a member of the executive committee of the National Center for Asia-Pacific Economic Cooperation, a member of the Industry Leaders’ Council of the American Society of Civil Engineers (ASCE), and co-founder of the Disaster Resource Network. He currently serves on a number of committees looking at issues related to infrastructure delivery and resiliency and disaster response and rebuilding. Until 2006 he served as one of three U.S. presidential appointees to the Asia Pacific Economic Cooperation (APEC) Business Advisory Council (ABAC) and previously served as chairman of the Engineering and Construction Governors of The World Economic Forum and co-chair of the infrastructure task force formed after September 11th by the New York City Chamber of Commerce. He recently completed a ten year tenure as a member of the board of trustees of Polytechnic University of New York culminating in its merger with New York University. Bob is the author of “Strategic Program Management” published by the Construction Management Association of America (CMAA) and more recently a companion work entitled “Topics in Strategic Program management”.