Program Management The Financial Sector Presented by Bob Walker

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Program ManagementThe Financial SectorPresented
byBob Walker
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shaping the future of program management www.pcube
d.com
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The Financial Sector
Project Management Supporting Change

• Two Case Studies
• Merger Between Two International Banks
• Organisational Change and Project Management

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The Financial Sector
Project Management Processes Supporting Technology

• Technology can be utilised without processes
• Small operations
• No/few links to other organisations or projects
• Long term planning at portfolio level requires
  processes
• Integration of projects in a consistent manner
  requires processes

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The Financial Sector
Project Management Processes Supporting Technology

• Both case studies revolve around the processes
  required to meet specific tasks
• Technology is an integral part of the processes
  and Microsoft products feature within both
  solutions

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The Financial Sector
Project Management Supporting Change

• Two Case Studies
• Merger Between Two International Banks
• Organisational Change and Project Management

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Introduction - The Merger

• The Project
• The acquisition of a major US Investment Bank by
  a European Bank
• The integration of two organizations in a four
  month period
• New Organization of 95,000 employees

• The Challenge
• Ensure that all the necessary steps to
  integration are taken
• Co-ordinate activities between companies,
  business lines and geographically
• Identify Risks
• Identify the key information required for
  decision making
• Initial work coincided with preparations for euro
  conversion

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Planning Approach
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Planning Approach

• Build a project plan, consisting primarily of a
  series of milestones per Business Stream -
  approximately 8000 milestones
• Update weekly via Email and Excel
• Publish Red Amber Green (RAG) status weekly
• Issues Management Database, built in Access

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Pcubed Process
Updated RAG Status
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RAG Status Report
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RAG Status Progress
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Milestone Measurement
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Integration Weekend

• Two Dress rehearsals over weekends
• 24-Hour Coverage
• Logistics
• Co-ordinate Activities World-wide
• Identification of Critical Activities and Risks
• Final Integration Weekend

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Integration Weekend - Planning Infrastructure
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Integration Weekend - Command and Control
Structure
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Summary - The Merger

• The Challenge
• Two diverse Organisations and cultures
• Identify what work needed to be completed, when,
  how and who by
• Provide a technical solution to allow information
  to be entered from anywhere in the Banks,
  worldwide, for central decision making

• The Solution
• Red, Amber Green milestone tracking and reporting
  on a weekly cycle
• Planning support where required to identify
  resource shortages and risk
• Final technical solution based upon the standard
  bank software tools

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The Financial Sector

• Project Management Supporting Change
• Two Case Studies
• Merger Between Two International Banks
• Organisational Change and Project Management

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Introduction - Program Management

• The Client
• IT and Operations for a major world-wide Bank
• Recently subject of a merger of two Banks
• 8400 resources

• The Challenge
• Improve visibility of projects
• Recommend a program designed to introduce a
  Project Management culture for the organization
• Design and develop the structure and processes to
  manage the projects
• Identify the key information required for
  decision making

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Introduction
Senior Management Interviews
Themes
Global vs. regional Financial control Relationship
to the business Standardization Roles and
responsibilities Culture
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Changing Environment
Tomorrow
Today

• CONTROLLED GROWTH (DOWNTURN?)
• INCREASED COMPETITION (top 4)
• NEW TECHNOLOGY (e-COMMERCE)
• COST REDUCTION

• TREMENDOUS REVENUE GROWTH
• GREAT SPEED TO MARKET
• 7th LARGEST INVESTMENT BANK

BUSINESS

• COST CONTROL
• PLANNING
• CROSS PRODUCT CO-OPERATION
• PROACTIVE

• FLEXIBILITY
• DELIVERY FOCUS
• BUSINESS USER EMPOWERED
• REACTIVE

ORGANIZATION
EFFECTIVE
EFFICENT
OPPORTUNISTIC
PLANNED
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Changing Environment
Strategy
Tomorrow
Today
Project Management

• CUSTOMER
• COST
• CONTROL
• COMPETENCY

• CUSTOMER
• COST
• CONTROL
• COMPETENCY

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Operational Model
Today

-
Lack of
Transparency
Autonomous
Accountability
Entrepreneurial
Optimization
Successful
Consistency
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Operational Model
Stronger Senior Mgt. Involvement
Tomorrow
C o m m u n I c a t I o n
Better cost control and savings
Portfolio Mgt. MIS
Better management of priorities
Service MIS
Portfolio Management Process
Project Mgt.
Consistent delivery
Project Management Process
Cross product co-operation
Education, Training and Development
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy
DivisionStrategy

• PORTFOLIO MANAGEMENT MIS

Better cost control and savings
Portfolio Mgt.

• SERVICE MIS

Better management of priorities

• PORTFOLIO MANAGEMENT PROCESS

Project Mgt.
Consistent delivery
Cross product co-operation
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy

• PORTFOLIO MANAGEMENT MIS

DivisionStrategy
Better cost control and savings

• Project Slate
• Resources
• Timelines
• Milestones
• Priorities
• Cost

Portfolio Mgt.
Better management of priorities
Project Mgt.

• SERVICE MIS

Consistent delivery

• PORTFOLIO MANAGEMENT PROCESS

Cross product co-operation
Example
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Portfolio Management MIS
Cost Reduction
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy
DivisionStrategy

• PORTFOLIO MANAGEMENT MIS

Better cost control and savings
Portfolio Mgt.

• SERVICE MIS

Better management of priorities
Project vs. maintenance activities Cost
distribution Resource usage Service Levels
Project Mgt.
Consistent delivery

• PORTFOLIO MANAGEMENT PROCESS

Cross product co-operation
Example
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Service MIS
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy

• PORTFOLIO MANAGEMENT MIS

DivisionStrategy
Better cost control and savings

• SERVICE MIS

Portfolio Mgt.
Better management of priorities

• PORTFOLIO MANAGEMENT PROCESS

Project Mgt.
Budgeting Prioritizing Performance measurement
Investment decisions
Consistent delivery
Cross product co-operation
Example
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Portfolio Management Process
Business Strategy
STRATEGIC ANALYSIS
BUSINESS STRATEGY
IT STRATEGY
Strategy
IT INVESTMENT DECISIONS
Portfolio Mgt.
PROJECT
OR
SERVICE
CONTRACT
STANDARDIZED
WORK
PROCESSES, TOOLS
(PROJECT AND SERVICE
AND ARCHITECTURES
EXECUTION)
Project Mgt.
INPUT
RESOURCES
MONITORING
Management actions
MANAGEMENT
DECISION
MAKING
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy
DivisionStrategy

• EDUCATION, TRAINING AND DEVELOPMENT

Better cost control and savings
Portfolio Mgt.
Better management of priorities

• PROJECT MANAGEMENT PROCESS

Project Mgt.
Consistent delivery
Cross product co-operation
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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy
DivisionStrategy

• EDUCATION, TRAINING AND DEVELOPMENT

Better cost control and savings
Portfolio Mgt.
Coaching, mentoring Customized courses Development
centers Lessons learned
Better management of priorities
Project Mgt.

• PROJECT MANAGEMENT PROCESS

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Transition Components
Stronger Senior Mgt. Involvement
Business Strategy
DivisionStrategy

• EDUCATION, TRAINING AND DEVELOPMENT

Better cost control and savings
Portfolio Mgt.

• PROJECT MANAGEMENT PROCESS

Better management of priorities
Project initiation Method Lite Life-cycles Indus
try best practices SAP Methodology
Project Mgt.
Consistent delivery
Cross product co-operation
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Way Forward
Executive
Middle
Line
Acceptable level of Project Management
0
Time
Level of effort
6 Months
1-1.5 Years
2-3 Years
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Way Forward
1 Month
Design
3 Months
Build
2 Months
Validate
1 Month
Deploy
Maintain
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Summary - Program Management

• The Challenge
• New Organisation from two distinct Companies
• Improve the visibility of Projects for decision
  making purposes
• Identify the required structure and processes to
  manage these processes

• The Solution
• Phased approach to allow for level of PM maturity
• Process of Education and Knowledge Transfer
• Portfolio management of projects to enable the
  access to key decision making information