PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS2 Introduction and summary of outcomes Project managers are becoming increasingly under pressure to deliver more with much less; they are required to better handle the expectations of stakeholders, ensure customer requirements are met, foster innovation, all with decreased resources that require them to deliver projects in much shorter durations. These are consequences of an increasingly competitive business environment, where product life cycles are reduced to a matter of months, rather than the old business environment where a manufacturing company, for example, would expect to have a production life cycle lasting a few years to a decade. The increasing demands o project managers also requires them to work in collaboration and cooperation with other stakeholders, a situation that has led to highly qualified project managers with the right skills increasingly failing to deliver successful projects. But the problem is not a lack of tools and techniques, it is a matter of perception; managers and organizations still view projects in snapshots as different parts, rather than as a system made up of parts that affect each other and affect and are affected by the external environment. Adopting a systems thinking approach based on systems engineering methodologies will greatly aid project managers to deliver more successful projects, given that project management methodologies such as Six Sigma, Lean, BABOK, and PMBOK have their origins in systems and systems engineering. This paper summarizes the main learning outcomes with evidence for week two and week three course learning units Itemised learning outcomes a LO1 Summary: Explain the relevance of systems thinking to the project, program and portfolio manager Project management itself as a field has its roots I systems engineering, as shown by the various project management methodologies such as lean, PMBOK, and Six Sigma; in undertaking systems analysis, one requirement is the setting of credible and clear objectives and formulating viable alternatives. Systems thinking then becomes relevant to program, project, and portfolio managers because it is a goal seeking and places great emphasis on feedback control and communications. Systems thinking entails breaking down a project into its basic elements and then seeing them as parts that make up a whole; parts and elements that affect each others, and have inputs, processes and tools, and outputs, that can also be inputs for other elements and other systems; systems affect various different elements in the external environment and are also affected by the external environment. For project managers, looking at projects through the lens of systems thinking is akin to using the BIM (building information modeling) approach to construction, where all elements in a building project are interlinked for their entire life cycle, from design, to
PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS3 engineering, materials, construction, and facilities management, such that a change in one aspect; such as materials or supplier affects all other systems (Sankaran, Haslett & Sheffield, 2010). It then becomes a useful tool for project managers and even organizations to view projects as interlinked parts, so that the effects of a decision made on one element and how it will affect other elements is well understood before the decision is implemented. For instance, in the BP deep water project, a proposal was made to install a better system to plug oil wells in the event of a leak; but because the organization had an overriding policy of cutting costs, this plug was not put in place, because managers only sought to cut costs; a systems thinking would have made them understand that while the plug would cost some more money, it could prevent a disaster that cost several hundreds of millions of dollars more (Association for Project management, 2017). As such, systems thinking becomes a useful tool to the project, program, and portfolio manager because it enables a holistic view of the entire project as a system for better understanding how the sum of its different parts affect each other; this not only aid s in better decision making, but will ensure decisions are made on time before things get out of hand. Evidence:The BP Deep-water Horizon oil spill disaster in the gulf of Mexico(Moore, 2010) b LO2 Summary: Identify different systems thinking tools and techniques to aid project managers solve project problems. Systems thinking requires the use of various tools that project managers can use to better manage projects and have a high level, holistic view of the entire project. One of the best tools to use in systems thinking is the causal loop diagrams (CLD). Systems thinking is like a language for representing interdependent and complex issues that project managers face in every project; CLD’s are the sentences used to describe the complexities of issues in projects that identify the main variables within the system and indicating the causal between these variables through links, which are like verbs in a sentence. Linking several loops together a concise story concerning a specific issue pr problem can be created. The CLD is made up of four main variables that include variables, the links between the variables, the signs on the links (these show the interconnection between variables), and the loop sign (this shows the behavior type that the system will produce). Presenting project problems through the perspective of the CLD, the structural forces that result in puzzling behavior can be better understood (Lannon, 2018). Another tool that the project manager can use in systems thinking is the stock and flow diagrams; these are the foundations of systems modeling. Stocks refer to entities that can be
PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS4 depleted or accumulate; it can be looked at as a bucket that is filled with water from a tap. An example of stock is inventory in a manufacturing plant: on the other hand, flows refer to entities that make the stocks decrease or increase, such as a drain of a water tank or bucket and so affects the levels of stocks. Examples of flows are purchases by consumers (increases installed base) and production (decrease inventory) are examples of flows. Stocks and flows will help project managers know what causes a decrease in installed base and what causes an increase in inventory (Aronson & Angelakis, 2018). A third tool is the soft systems methodology that involves the use of rich pictures and root definitions. Rich pictures are personal views of individuals pictorially represented, and can be used in problem solving, instead of say, brainstorming, or to get the feelings of stakeholders. Rich pictures enable honest expression of feelings and emotion in a manner that is unencumbered by social constraints and are important systems thinking tools especially when managing stakeholders because human factors are responsible for many project failures. Root definitions enable concise statements for expected project achievements to be made (Mehregan, Hosseinzadeh & Kazemi, 2012). All these tools are highly useful to the project manager using systems thinking Evidence :The Queensland Health payroll system debacle: lessons for IT projects (Blackmore, 2013) c LO3 Summary: Assess the relevance of systems engineering to project cases Propoer identification of the requirements of a project are the prerequisites to better project delivery; systems thinking is an essential tool for the proper identification of the requirements for a project. Systems engineering and project management are functions that are highly complimentary functions; there is great benefit to be gleaned from leveraging the strength of each when managing projects in a team environment. In a silo view, the project manager manages the the life cycle of the project, while the systems engineer manages the projects’ technical baseline for the product or project being developed/ delivered. Both the systems engineer and the project manager share management responsibility for the project requirements and will keep the project on track through working closely together (Kapsali, 2011). As such, systems engineering and project management are mutually inclusive approaches to managing projects. Taking this a step further, with a systems thinking mindset, the project manager will not only manage the project life cycle, but manage the interrelationships between project elements effectively. As such, systems engineering becomes relevant in project management because it enables a holistic view of all elements within a project, and how these elements affect each other. Projects are characterized by interrelated activities that
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PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS5 affect each other; the project schedule is affected by available resources and project scope, which are in turn affected by the budget and external factors. Understanding how these affect each other results in better decision making as well as risk management strategies that then result in better project outcomes. Evidence:The BP Deep-water Horizon oil spill disaster in the gulf of Mexico(Moore, 2010) d LO4 Summary: Describe how systems engineering concepts and methodologies can help a project, program and portfolio managers organise a project. Systems thinking and project management overlap: incidentally, project managers don't appear to utilize basic frameworks thinking instruments despite the fact that these give extraordinary advantages in surrounding and taking care of issues that emerge from different points of view and connections. The motivation behind this paper is to present chosen frameworks thinking ideas and instruments and portray their application to the administration of complex undertakings (Sherrer, 2010). The advantages of the utilization of "hard" and "delicate" frameworks thinking techniques at specific periods of the project execution ensures that all requirements are captured, while the triple constraints are better managed. The triple constraints are an important framework for project management; using systems engineering methodologies, the project manager is better able to understand how they interrelate with each other and can therefore better manage the entire project, by looking at them as interrelated components of a whole project life cycle (van Gemert, 2013) Evidence :The Queensland Health payroll system debacle: lessons for IT projects (Blackmore, 2013) e LO5 Summary: Identify how project, program and portfolio (PPPM) application systems can assist project managers to monitor performance and manage changes within a project One reason why projects fail is because decisions are made late or that the project manager does not notice if the project is going off schedule and that one change in one aspect of the project affects all other components. The PPPM application systems are software applications used in project management, such as SAP, Microsoft, or IBM software systems. These applications are effective tools to enable the project manager have a holistic view of a project, while also enabling them to better monitor and control the project while it is being executed (Schmidt, 2013).
PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS6 Application systems are important decision making support tools; knowing how hiring new staff affects the budget and looking at productivity trends, a project manger may make a different decision in which they motivate staff to increase productivity, rather than hiring new staff. Projects fail because monitoring is sometimes lax and important issues are missed; these PPPM applications will help project managers monitor project progress against a baseline better, and make effective decisions in a timely manner. Evidence :The Queensland Health payroll system debacle: lessons for IT projects (Blackmore, 2013) f LO6 Summary: Discuss contemporary developments in the use of project, program and portfolio (PPPM) application systems. PPPM application systems are becoming indispensable tools for managing projects to ensure the objectives are better met. Using an analogy, my understanding of a PPPM application is like an office productivity suite; using a word processor ensures that professional documents are created, and that their versions can be changed, with modifications easy to make and save, unlike typing pr manual writing of reports. PPPM application systems are high productivity tools that are becoming indispensable in projects, and project management teams and project organizations are using them increasingly to foster greater collaboration and spur innovation (Dalcher, 2016) Evidence :The Queensland Health payroll system debacle: lessons for IT projects (Blackmore, 2013) Discussion and Conclusion Project managers are facing increasing challenges to deliver better projects, in shorter time periods, and with greater innovation, while resources allocated to these projects are getting increasingly less; demanding stakeholder expectations are not making things any better. While all project mangers have the technical skills and qualifications in project management, the challenge is the use of perspectives to have a holistic view of projects, because I believe most projects fail due to having single snapshot views of different elements rather than viewing them as a whole. Using systems thinking, project managers are able to better interlink the various elements within a project and understand how they affect each other. Systems thinking views projects as being made of different parts and elements that affect each other and also affect and are affected by external factors. Using tools such as CLD’s, soft systems methodologies, and stock and flow diagrams, helped by PPPM application systems, project mangers can use systems thinking principles to have a holistic view or project and make better decisions at timely moments.
PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS7 Evidence:The BP Deep-water Horizon oil spill disaster in the gulf of Mexico(Moore, 2010)
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PROGRAM AND PORTFOLIO MANAGEMENT INFORMATION SYSTEMS8 References Aronson, D., & Angelakis, D. (2018, January 24). Step-By-Step Stocks and Flows: Improving the Rigor of Your Thinking - The Systems Thinker. Retrieved from https://thesystemsthinker.com/step-by-step-stocks-and-flows-improving-the-rigor-of-your- thinking/ Association for Project management. (2017, March 30).Can systems thinking deliver better project outcomes?| APM. Retrieved fromhttps://www.apm.org.uk/blog/can-systems-thinking- deliver-better-project-outcomes/ Blackmore, N. (2013, November 4). The Queensland Health payroll system debacle: lessons for IT projects | Lexology. Retrieved fromhttps://www.lexology.com/library/detail.aspx? g=5a0a3b2c-52af-45b4-a385-baab4a89949c Dalcher, D. (2016).Advances in Project Management : Further Advances in Project Management : Guided Exploration in Unfamiliar Landscapes. Taylor and Francis. Kapsali, M. (2011). Systems thinking in innovation project management: A match that works. International Journal of Project Management, 29(4), 396-407. doi:10.1016/j.ijproman.2011.01.003 Lannon, C. (2018, January 14). Causal Loop Construction: The Basics - The Systems Thinker. Retrieved from https://thesystemsthinker.com/causal-loop-construction-the-basics/ Mehregan, M. R., Hosseinzadeh, M., & Kazemi, A. (2012). An application of Soft System Methodology. Procedia - Social and Behavioral Sciences, 41, 426-433. doi:10.1016/j.sbspro.2012.04.051 Moore, S. W. (2011, January 9). BP's Project Management of the Deepwater Disaster. Retrieved fromhttps://strategicppm.wordpress.com/2010/08/03/bps-project-management-of-the- deepwater-disaster/ Sankaran, S., Haslett, T., & Sheffield, J. (2010, October 6). Systems Thinking Approach to Address Issues in Project Management. Retrieved from https://www.pmi.org/learning/library/systems-thinking-soft-methodology-issues-6912 Schmidt, T. (2013).Strategic project management made simple: Practical tools for leaders and teams. Hoboken, NJ: Wiley. Sherrer, A. (2010, July 18).A Project Manager's Guide to Systems Thinking: Part I. Retrieved from https://www.projectsmart.co.uk/project-managers-guide-to-systems-thinking-part-1.php Van Gemert, D. (2013, October 6). Systems engineering the project. Retrieved from https://www.pmi.org/learning/library/systems-engineering-project-5857
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