PPM : Projects Portfolio Management

1
PPM Projects Portfolio Management
G. Kervadec September 2009
2

• Agenda
• Astrium Company
• Initial Status
• Issues
• Decided project
• Benefits
• SWOT
• Expectations

3
Astrium part of EADS, a global leader in
aerospace and defence
THE COMPANY
4
Astrium at work
Astrium is a global space industry leader, with
world-class expertise and extensive prime
contractorship experience across all sectors of
the space business
ASTRIUM AT WORK
5
Facts Figures 2008

• Employees 15,005
• Sites F, G, UK, S, NL
• Turnover 4.3 billion
• Order backlog 11 billion
• CEO François Auque

THE COMPANY
6
Astrium the heritage and expertise ofthe
leading European space nations
Additional locations
Stevenage
Houston (Texas)
Poynton
Leiden
Portsmouth
Bremen
Trauen
Brest
Lampoldshausen
Kourou (French Guiana)
Paris
Ottobrunn
Aquitaine
Friedrichshafen
Biscarrosse
Vélizy
Madrid
Toulouse
Les Mureaux
THE COMPANY
7
Astriums activities are based in three key areas
Astrium Services
Astrium Satellites
A world leader in the design and manufacture of
satellite systems
At the forefront of satellite services in the
secure communications, Earth observation and
navigation fields
THE COMPANY
8
Initial Status

• Astrium is a Division of EADS
• IM Services are delivered to 3 Business units and
  one Corporate
• Operating over 3 (4 in the future) countries (GR,
  GE, UK)
• Yearly cost is in the range of 10 to 25 ME
• Astrium IM has projects in the following domains
• Company management SAP, Portal, DMS
• Engineering CAD/CAM, PLM, Technical Data
• IT infrastructure
• Processes are clearly defined
• A- Collect and prioritise
• B- Deliver
• Data is handled manually, using a set of files
  for each process
• 3 different SAP Back-end are used to follow the
  operations

9
Process A Collect and prioritise
Year N
December
January
Prepare the projects - IM, Key-Users - User key
representatives
Collect and prioritize.
Collect and prioritise
Review  prepare OP
Review  finalise OP
Review 
Project short forms
OP Portfolio
10
Process B Deliver the projects
Year N1
Launch the projects - IM - User key
representatives
Develop the projects
Develop the projects
Mid May Review Follow-upForecast 2
End of February Review Kick-off portfolioOpen
budgets Forecast 1
Early September Review Follow-upForecast 3
Review Year end
Monthly report - Technical progress based on
milestones,- Costs (budget, actuals, forecast)-
Risks Monthly teleconf with User Key
Representatives
Year end report
11
Issues regarding the initial status

• International scope resources, legal rules,
  locations
• Several internal customers collect, decision
  making, reporting, charging
• Manual files are difficult to share and update.
• Multi-year projects are impossible to track.
• High workload to create an harmonised booking
  structure and to collect actuals.
• Difficult to produce comprehensive (and simple)
  view on portfolio, combining several criteria for
  decision making.

12
Decided Project

• Implement a Project Portfolio Management tool to
  support the common processes
• Selected tool SAP RPM C-Projects 4.5
• Justification
• Integration to back-end systems creation of
  booking structure and upload of actuals
• User interface is based on Intranet Web
• Ability to be used by other domains (RD,
  Enterprise improvement project, )
• Functionality matrix does not show a decisive
  advantage of other solutions
• Consistency with IS Roadmap a single tool, based
  on SAP, used for all Astrium

13
Architecture
Common Astrium
SAP RPMC-Projects BW
SAP BW
ST FR
ST GE
Satellites
SAP BW
SAP BW
SAP BW
SAP ERP
SAP ERP
SAP ERP
Existing New
14
Functionalities delivered by phase 1

• Projects Portfolio Creation
• Grouped according to internal customer/governance
• Project Form description, justification, risks,
  budget, plan
• Generic Project Plan
• Decision gates tracked, showing the physical
  progress
• Baseline to implement a common methodology
• Financial structure integration
• Description of all production costs Expenses,
  Capex, Hours
• Capacity adjustment of IM workload requests
  compared to budgeted resources
• Ability to support recurring activities (SLA)
• This gives the global view on budget and
  resources
• Common to all data
• Plan, forecast and actuals
• Versioning of Operating Plan

15
Functionalities delivered by phase 2

• Project planning
• Project definition, Phases, Tasks, Mirrored Task,
  Milestones, Deliverables
• Harmonised templates (Generic Project Plan)
  according to type and complexity of project
• Completion process
• Resources Management
• Project Roles Management
• Resources Assignment
• Capacity Analysis
• Reporting
• Monthly Project Report
• C-Project Reports progress of tasks, milestones
  and deliverables
• Recharging Depreciation
• Interface
• Actual and Commitment upload

16
Planning
Manual
Step 1 2
Manual
Manual
Develop the project
Supported by PPM
17
Benefits

• One common database shared by IM and user
  community
• Integration of budget, resources, scheduling,
  deliverables and charging
• Support multi year programs
• Enable multi-axes analysis
• Reduce the effort in IM and controlling
• Enable common methodology in OP process and
  Project delivery
• Enable transparency between IM and internal
  customers
• Provide an harmonized decision process and
  reporting
• Focus on business interest and decisions versus
  detailed figures.

18
SWOT on RPM
19
SWOT on cProjects
20
SWOT on integration of RPM and cProjects
21
Expectations for the Future on cProjects

• Automatic Numbering, when moving a task
• Milestone Trend Analyses
• Baseline Gantt  graphically compare operative
  projects with different versions directly in the
  graphic view of the operative project
• Global completion for cProjects  possibility to
  set the status  complete  for a project even if
  its assigned sub-objects are not completed yet
• New resource dashboard with graphical display
• From external, have an URL link to a PPM item.