A project or change can also be part of a bigger business-driven initiative called a program. Programs are derived directly from strategic initiatives and are formed in situations where the change is rolled out to many business units as sub-projects. The program manager manages the program with the aid of project organizations.
Project and Development Management – Roles and Competence Requirements
As large organizations continuously run several simultaneous development efforts, Development Portfolio Steering is established to evaluate and prioritize opportunities with the support of the DMO. It maintains a list of all major development initiatives and manages their dependencies. The DMO also validates the Pre-Study and the Business Case for Portfolio Steering, which authorizes Conceptualization and Planning. After Planning, Portfolio Steering authorizes execution.
Some smaller changes may fall directly to service delivery, in which case they are handled as change requests under the Service Management Office (SMO). Read more about service delivery and the SMO in the Service Management Stream.
Figure 5.1.2 The Development Management Office and Different Formats of Development.
Projects are governed by their nominated steering groups, which report to Portfolio Steering at Gate Review Meetings. A Project Steering Group consists of representatives of the business and project organizations. The duties of the Project Steering Group, with the support of the DMO, include ensuring that the project creates value for the Business; providing the project organization with guidelines, decisions, and support; and ensuring that the targets of the project are met. The Project Steering Group approves changes to the schedule, budget and scope of the project. The members must have adequate decision-making and resourcing authority as well as sufficient subject knowledge. The Project Steering Group must also escalate decision-making when needed.
The Project Owner is typically the head of the business unit or a Process Owner. The Project Owner is responsible for the project’s progress and quality towards business and is usually the chairperson of the Project Steering Group. The Project Owner is also responsible for approval and endorsement of the project deliverables. Furthermore, the Project Owner carries the main responsibility for executing and tracking the realization of business benefits.
Figure 5.1.3 Value-Driven Approach to the Steering Group.
Project Manager is responsible for daily project management and ensures that the project produces the agreed deliverables at the appropriate level of quality. Moreover, the Project Manager has the responsibility of ensuring that the project is implemented on schedule and within budget. The Project Manager also handles project-related changes and escalations to the Steering Group.
Project Manager is a role and not a title. A role means a set of responsibilities, functions and authorizations, which are given to a person or a group of people based on their competence. One person or a group can have several roles. However, this role requires dedication and time, and some organizations have a precondition that the Project Manager has to dedicate at least 80% of his or her time to the role.
Project Manager is responsible for project management communication. The role reports the project status to the Steering Group and acquires the needed decisions. To ensure that the project runs smoothly, the Project Manager must have adequate authority for minor project-specific changes.
Business Lead is someone with the authority and ability to be the project’s face towards business. The Business Lead’s main responsibility is to consult during Project Planning and to ensure that the designed and developed solution addresses the initial needs as specified by the respective line of business. The Business Lead usually executes the Rollout stage together with the Training Manager.
Other key roles typically included in a project team are an end-user representative (Super User, Key User), a technical lead, process owners as well as those responsible for testing and quality assurance. People responsible for communication, competence development and training must also be involved. The roles and responsibilities are defined at the latest in the Planning stage.
Service Development is responsible for introducing new services and service development initiatives for the Business. It takes impulses from business projects, concept development, key users and service integration, and carries out the development efforts either as projects or changes.
Figure 5.1.4 Model for Service Development.