1. Project Management
as a Strategic Catalyst
for I di
f India
Peter B. Monkhouse, MBA, PEng, PMP
Director at Large, PMI
PM Conference India 2009
13 Nov 2009
2. Champions of Change
Reliance Industries
Bharati Airtel
Bh ti Ai t l
Delhi Metro Rail Corp.
Infosys Technologies
Mahindra Mahindra
M hi d & M hi d
Suzlon Energy
3. The Modern Organization
In the 20th century, organizations grew larger than ever.
They exploited new technologies and economies of scale.
y p g
• Functional organization
• Standardized tasks and
job descriptions
• Repetitive, large-scale
large-
operations
4. The Modern Organization
Corporations led the way, building hierarchies of
departments
•Production
•Marketing
Marketing
•R&D
•Human resources
•etc.
In
I a pattern th t could expand…
tt that ld d
5. The Modern Organization
Almost without limit -- but there was a price.
• Decision authority was too far from execution
• Responsibility was diffused
• Communications were stretched thin
• “Silo” organizations found it hard to execute what was new:
Developing new products or technologies
Implementing new business processes
Seizing new market opportunities
Carrying out strategic change
Just t ti
J t starting a project and assigning one of many managers t
j t d i i f to
it rarely leads to effective project management
• Project management is a unique discipline of its own
6. The Challenge
Can a large organization bring its strategy and
resources to bear…
To get new results with defined scope, cost, and
schedule…
From ad hoc groups without standardized tasks and
job descriptions?
Can a large organization recapture the common
purpose, performance, and accountability of a small
team?
7. Project Management: Roots
Focused on execution
Long established in “projectized” fields
Construction & heavy engineering
Chemical, oil, other p
, , process industries
Transport, pipelines, communications
Teams formed and dissolved for projects
Need for shared framework for cost
estimation and scheduling
As cost and complexity increased,
formal methods evolved
Too much for anyone to “keep in his
head” or “learn on the job”
8. Project Management: Growth
New techniques from:
Operations research
Cold War defense projects
1960s space race
Information technology both
served project management…
Software for critical path &
network analysis, PERT, etc.
And drove project management
As IT transformed business, it
became a major field for project
management itself
9. Project Management
Identify requirements
Establish clear objectives
Balance demands for scope time cost quality
scope, time, cost,
Align with concerns and expectations of
stakeholders
Execute
(Isn’t that obvious?)
(Is it?)
10. Strategic in the Global Economy
• More than $12 trillion per year – 20% of gross
global product – is spent on fixed capital projects
• Trillions more go into projects in IT, new product
and service development, other knowledge work
p g
• 20 million people worldwide work on project teams
full-time or part-time
f ll ti t ti
11. Strategic in the Global Economy
Increasing Demand Even in a Downturn
The “war for talent”
Retirement of baby boom generation
Incoming workforce is smaller, more demanding
Pressure for corporate social responsibility
(CSR) and sustainability
Greater accountability and transparency
12. Strategic for Organizations
600 executives worldwide surveyed by Economist Information Unit
“What skill is most important in your staff?”
Project execution
“What capability does your organization most need?”
The ability to implement strategic change
Two ways of saying the same thing –- because strategic change is
implemented through projects
l d h h
13. Strategic Value for Infosys
PMI Annual Report 2008
“With almost 8000 projects under
way, we need consistent results. We
were among the first adopters in India
of the PMI model. It gives employees
model
and customers confidence that this is
an activity that can be benchmarked
with the best in the world.”
Kris Gopalakrishnan
President and CEO
Infosys
14. PMI Membership in India
1998: First Indian PMI chapter
14,000
Now 7 chapters
12,000
12 000 2007: Member service office, Delhi
office
2008: Business development office, Mumbai
10,000
Active engagement with Indian business,
g g
8,000 government, and education
6,000
4,000
2,000
2 000
0
87
89
91
93
95
97
99
01
03
05
07
19
19
19
19
19
19
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20
20
20
20
15. Strategic Results: Delhi Metro
Phase I on time,
,
within budget
Public-
Public-private
partnership
Showcase for
project management
16. Strategic Results: Delhi Metro
Expansion to 241 km by
2021
Example of success to
urban transit planners
worldwide
18. Challenge to India’s PMs
Expand the PM orientation
of these “champion”
organizations to many
more
PMI stands ready to help
and support you
PMI’s success is built on
practitioners’ volunteer
contributions
20. PMI Family of Credentials
• Certified Associate in Project Management (CAPM®)
• Scheduling Professional (PMI-SP®)
• Risk Management Professional (PMI-RMP®)
• Project Management Professional (PMP®)
• Program Management Professional (PgMP®)
21. Globalization of PMI
1997: 33,000 PMI members and credential holders worldwide
2009: 480,000 PMI members and credential holders worldwide
1997: 95% of members 1997: 4% of members
2009: 68% 2009: 13%
1997: 0.25% of members
2009: 14%
1997: 0.75% of members
2009: 5%
21
22. Summary
Project management is a strategic competency
for
Results, p
, performance, accountability
, y
Execution of new efforts and strategic change
Multi-functional and multi-location teams
Transfer of new knowledge to operations
And one of the most challenging, rewarding
careers in the world!
