October 18, 2006
  In This Issue
 
  • Welcome!
  • PMT Spotlight: Out with the "PMOld," in with the PMProfessional — Cory Casella
  • Think you're worth more? 
    Prove it and you will be paid more
  • Using LEAN in Healthcare to streamline processes, empower staff and increase care
  • About Us
 
  PM Websites
 
 
  Articles/Webcasts of Interest
 

Project Management Podcast: "Simple" Earned Value Project Management
Episode 53 of ThePMPodcast breaks Earned Value down to the basics so you can pick the low hanging fruit.  See what all the buzz is about.

Need to prepare for the PMP?  Try PreparePM.com (it's FREE!)
PreparePM.com is a free website dedicated to helping you get certified.  It is a great site and comes highly recommended by Project Management Today.  Try out the mock exam!

Time Lapse video of a house being built in 3.5 hours (World Record)
Watch the Habitat for Humanity use a strong Project Plan to take the world record for "speed house building" in under 4 hours.  Incredible.

ERP Project Management Basics
Some of the topics to look for:

  • Risk Reduction
  • Management and Implementation
  • Using Consultants
  • Appointing a Good Steering Committee

Need Project Templates?
This link will take you to a site hosted by PMConnection.  It has some great project templates for MS Project.  Before you try to re-invent the wheel with a custom project plan, give this site a shot.

 
  Questions? Comments?
 

Contact Us

Cory Casella, Senior Consultant
cory@clsassociates.com
(205) 313-3991
www.clsassociates.com

 
  Microsoft News
 

EPM Connect
EPM Connect is up and running.  If you are interested in seeing what it has to offer, let us know.

 
  Our Services Include:
 
  • Project Management Training and Mentoring
  • Enterprise Project Management Implementations
  • Six Sigma Quality and Process Improvements
  • Microsoft Project and Project Server Support
  • Process Evaluations
  • Resource Planning and Forecasting
 

PMO Zone

VOL 01 • issue 9

Welcome!

Hello and Welcome!!!  Great to see you back!  Thank you all so much for your feedback.  Keep it coming!

Want to give your two cents?  Keep \on telling us when we're doing something that you like and we will keep doing it!

If you know someone who might be interested in receiving this newsletter, please email the Subject Line "Subscribe" to newsletter@clsassociates.com with the e-mail address in the message body.

PMT Spotlight: Out with the "PMOld," in with the PMProfessional

By: Cory Casella, Craig Lamb & Singletary, Inc. 

Whether you've been around the PM community for years, or are just breaking into it, one thing is certain: the heyday of the "de facto" Project Manager is over.  They started in sales, moved up to management, did some short time in HR, then got bumped up to a Project Manager without any previous experience in project management.  Though this was the way things were done n the past, the "PMOld's" days are numbered.

Now let's get one thing straight, the term "PMOld" is not meant to be an "age-ist" term.  In fact, it has very little to do with age and more to do with company tenure.  Unlike PMOld's, the new "PMProfessionals" have not spent years moving through the ranks to get where they are.  However, though they are more knowledgeable about PM principles and ideas, when it comes to the day to day workings of their current company, PMOld's can take them to school. 

But is this bad?

Not necessarily.  Yes, it is true that the "newbies" do not know the changes in the industry that occurred over the past 20 years but does this mean that the PMOld's know how to align projects to the strategic objectives of the business any better?  If the strategic objectives of the business are well documented, then maybe not.  However, if the objectives and methodology are not documented, or if the company methodology something that is stuck up on a shelf in a binder, 500 pages thick, with scores of loose leaf papers jutting out and hasn't been revised since before the newest addition to your sales force was born, then you might have a completely different problem.

This is why having a methodology is so important for a company, especially today.  While basic project management principles are similar, compliance, regulations, best practices, terminology etc. differ from industry to industry.  A strong methodology takes all this into account and should make it easier for new employees, especially PM's and PM Apprentices.  It assures that when an employee leaves, retires, or otherwise, he/she is not taking with them 20 years of undocumented experience.   

It is becoming more and more apparent that, with a clear, defined methodology, a great project manager would be great in almost ANY industry.  The basic principles that get cars manufactured on time and on budget also keep a software migration completed on schedule.  Resource allocation, risk and issue management, communication, collaboration, multitasking, planning, executing, controlling, etc. are all things that are common to project management in any industry.

The current trends support the notion of "out with the PMOld's and in with the PMProfessionals."  The most successful project managers today are project managers by trade.  Project management has shifted to an industry-agnostic discipline.  By and large, the PMProfessionals of today are more technologically capable, more savvy with widely accepted project management practices, more versatile, and more open to change.

Project Managers: Charge for Performance
to Increase Profits

By: Ray White, WebProNews

You're a stellar project manager, yet you're only making an average wage. Well, it's about time you make more. This article digs outlines my approach to a performance-based fee structure… It won't work for all clients, but for those it does work for you'll see your profits soar.

So how can you make more money?

Simple: Structure a good deal, have a magic formula for success, take control, and use good project management software.

STRUCTURE A GOOD DEAL UP FRONT: At all times, businesses measure return on investment (ROI) for major spending. For example, company management may ask, "If we hire a project manager for a 6-month contract and pay them $50,000, will we get $100,000 value back?" This is where your ability to take risks comes in. I call it the entrepreneurial model.

Here's how it works …next time you interview for a project management gig with a company you trust to make great use of your project work, don't settle for a flat fee rate. Instead, tell the prospective employer that you are going to make a certain amount of money for them on this project and that you want a piece of the ROI pie.

Set the deal up this way from the get-go and the higher the ROI, the more money you will make when all is said and done. This way you have a vested interest in seeing to it that the client makes a huge return.

Although most people do not operate under this kind of model out of fear of missing a mortgage or a car payment, it is by far the most effective way I know for a project manager to make the most money on a job. Sure, a flat fee is safe, guaranteed, but it's not going to yield the kind of money you really want to make. So the next project, take the risk and reap the reward!

DETERMINE YOUR MAGIC FORMULA TO SUCCESS: In conjunction to structuring a project-performance deal up front, you need to clearly state where the return is going to come from. What are the metrics you're going to use to measure this ROI?

Success has a number. Make sure that your key metric ties directly to the prosperity your clients reap from your work.

Your magic metric is what will yield the ROI, which in the end will yield higher returns for you. It will also serve to gain you more confidence from your employer. If they see a formula that works, they're more willing to give you all the control on the project as you need, as well as agree to your cut of the ROI pie.

TAKE CONTROL: When I was in the business of doing project management for companies, I kept the schedule under my direct control. This does not mean, however, that I would necessarily do any of the extra work. I controlled and directed others by assigning tasks to people with the right skill sets. When you have guaranteed authority and control, you will be able to successfully manage and control your project and deliver on your set success metrics.

USE GOOD SOFTWARE: If you need help, get a good project management program. The best program is one that can help you plan all kinds of projects from small to large-scale deployments. I also recommend one that seamlessly integrates with Microsoft Office, and task-manager Outlook.

To view the conclusion and the rest of this article in its original format, please follow this link:

Charge for Performance, Ray White, WebProNews

Going LEAN streamlines processes, empowers staff and enhances care

By: Jennifer Towne, Hospitals and Health Networks

To succeed, senior management must be fully on board and drive the initiative. Such steps as tying senior leader compensation to results usually produce results and get people’s attention. “Drive the initiative from the mountaintop,” says Michael Kay, enterprise general manager, northeast zone, GE Healthcare.

At Virtua, Miller and his senior staff explained to employees what to expect and what was expected from them. Since the organization had already implemented several other methodologies, overcoming resistance was not a big challenge.

“We tried to get the wisdom of the group,” says Tejas Gandhi, director of management engineering and Lean leader, Virtua Health. “Lean makes them feel responsible and empowered. It’s their ideas, their work and their processes.”

Lean changes are implemented quickly compared with other methodologies—three days versus six months or more—and employees see immediate results. Moreover, Lean Methodology is designed to streamline processes, eliminating extra steps. Once staff members map the entire process and remove unnecessary steps, they realize that their work life and patient care will improve, Miller says.

Leaders also need to give staff the right—and ample—resources (called “picking the right tool,” in Lean terminology). This is one of the reasons that Virtua added Lean to its toolkit. While Six Sigma is excellent for accomplishing major changes, the organization needed something else to fix the small stuff. “Six Sigma cleared the forest,” Gandhi says. “We need to clear the bushes now.”

Leaders must pick the right tools carefully. Throwing too many at employees will create a “flavor of the month” effect and they’ll be dismissed by employees. “[Lean Methodology] is not the tool of the month,” Miller says. “Keep it as simple as possible, keep people focused, and don’t change it. Repeating yourself is important.”

The Kaizen Event

This past spring, Virtua held its first Lean Kaizen event. (Kaizen is Japanese for “change for the better” or “improvement.”)

The first step in any Kaizen event is to figure out what activities are valuable. This is done by looking at the entire process through the eyes of the consumer. Based on this analysis and advice from GE consultants, the Virtua team decided to streamline supply ordering, distribution and payment processes; put storage areas closer to where supplies are needed instead of having a centralized location; and label and color-code supplies to make them easier to find.

The next step was to develop a Value Stream Map. This phase illustrates each step in the supply chain and determines the value. Team members put sticky notes all over a wall, labeling each step in the process from purchase order through accounts payable.

A “spaghetti” map was then created to show the movement of each product or service through the entire process. Next, the team implemented “just in time” fulfillment—calculating the time from when a supply is needed to when the order is filled.

In the Kaizen final phase, the entire process is reviewed to make sure it is sustainable and that the team didn’t miss identifying any extraneous steps.

Based on this process, the team decided to reorganize storage by sorting and eliminating items that weren’t used or needed. They removed items from central storage and placed them in the departments where they were used. And they standardized pain management and other case carts.

Something as simple as removing eye-surgery supplies from central storage and placing them near the operating room dedicated to eye/lenses surgeries created additional space, eliminated the need for a nurse to prepare a special cart to take the supplies to the operating room and preserved the sterile integrity of the supplies.

These steps eliminated duplicate work, made it easier to find items, improved safety by ensuring that only the people who needed to handle something did, and generally made the supply process easier on staff.

The improved process also shortened the supply chain, cutting the time it took to fill an order by 24 minutes and reducing the number of staff involved in stocking an item from 11 to six people. It eased congestion of the storeroom and delays in getting supplies. And, the number of steps it took to stock an item dropped from 25 to 17.

The Virtua team found the Lean Methodology a valuable problem-solving tool. While it isn’t applicable to every process, Lean has the capability to quickly streamline a particular process, empower staff members and ultimately, enhance the quality of care

This article was taken from Reliable Plant and was written by Debra S. Renard.  To view the article in its original format, follow this link: 

Hospitals and Health Networks, Jennifer Towne, October 17, 2006.


PMT BACK ISSUES
VOLUME 1