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Project Management Maturity Levels

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Project Management Maturity Levels for Large Complex Infrastructure Projects

Jan 6, 2019

PVD admin White Papers

Measuring an organization’s maturity level in the field of project management is a question that is raised often. By using existing frameworks (CMMI-DEV) and extending them to the field of Large Complex Projects, a meaningful project management maturity framework can be developed. Our new White Paper 2018-07 ‘Project Management Maturity Levels for Large Complex Infrastructure Projects’ gives a summary of this approach and of the different maturity levels.

There are several frameworks available, a well-known reference is the CMMI® (Capability Maturity Model® Integration) framework. It has been developed historically in the field of software development and systems engineering, by the Software Engineering Institute. The CMMI-DEV document (the version of the CMMI® framework for development projects) is available for free on internet. The latest version is 1.3. Although it has been developed primarily for development projects in those fields, it provides an interesting generic structure to measuring the maturity of an organization.

Project management maturity models are useful for executive management to measure the current condition of its organization, or of part of its organization. They can also be used to compare the maturity of different organizations. The maturity level is a very useful indicator for Executive Management of the suitability of the organization to the strategic ambition of the organization in particular with respect to tackling Large Complex Projects.

PVD has developed a simple model which is based on the CMMI® generic maturity levels but uses a different list of processes using vocabulary and concepts that are possibly more common in the infrastructure industry. The model addresses both Contractor and Owners. In general, the Owners require more processes to be at the adequate level of capability – with a particular focus in terms of overall system engineering and management. Discover this version of the project maturity model in our new White Paper 2018-07 ‘Project Management Maturity Levels for Large Complex Infrastructure Projects’.

If you can’t access the link to the white paper, copy and paste the following link in your browser: http://www.projectvaluedelivery.com/_library/2018-07_Project_Execution_Maturity_framework_v0b.pdf


White Paper 2018-07 Project Management Maturity level for Large Complex Infrastructure Projects Measuring an organization’s maturity level in the field of project management is a question that is raised often. By using existing frameworks (CMMI-DEV) and extending them to the field of Large Complex Projects, a meaningful project management maturity framework can be developed. This White Paper gives a summary of this approach and of the different maturity levels.

The CMMI-DEV framework

There are several frameworks available, a well-known reference is the CMMI® (Capability Maturity Model® Integration) framework. It has been developed historically in the field of software development and systems engineering, by the Software Engineering Institute. The CMMI-DEV document (the version of the CMMI® framework for development projects) is available for free on internet. The latest version is 1.3. Although it has been developed primarily for development projects in those fields, it provides an interesting generic structure to measuring the maturity of an organization. The principle of the maturity measurement is a rating from 1 to 5, with the generic stages being as follows:

CMMIDEV maturity rating Summary description Maturity description
1 Know-How based Project Management is performed based on personnel know-how and heroism
2 Individual project processes Basic project Management processes are in place for individual projects (plan and control)
3 Standard processes Project Management processes are standardized across the organization, including a basic lessons learnt / continuous improvement loop
4 Effective timely quantitative control and piloting Project Management processes are monitored effectively in terms of effectiveness which allows timely reactions; predictability for new projects is increased
5 Learning agile organization, optimizing Project Management processes are continuously improved and transformed; the adaptation process is instantaneous effective, the organization is agile.

The full CMMI®-DEV framework details the requirements in 22 process areas to measure the overall maturity rating of the organization, based on the actual capability level of the organization for each of these process areas (refer to appendix 1). These generic areas are quite applicable to all types of project organizations; the weight of each area will depend of the circumstance, in particular if the organization is an Owner or a Contractor.

The detail of the criteria for rating for each level and each process area in CMMI®-DEV is useful although sometimes too specific to software issues. Hence it is quite useful to adapt this framework to the specifics of large, complex infrastructure projects.

A Project Management Maturity Framework for Large Complex Infrastructure Projects

PVD has developed a simple model which is based on the CMMI® generic maturity levels but uses a different list of processes using vocabulary and concepts that are possibly more common in the infrastructure industry. The model addresses both Contractor and Owners. In general, the Owners require more processes to be at the adequate level of capability – with a particular focus in terms of overall system engineering and management.

 

PVD’s Project Mananagement Maturity framework is detailed in appendix 2.

Minimum maturity requirements Very simple and small projects can be tackled successfully with low maturity levels, as their success will mainly rely on the Project Manager’s capabilities. For successfully tackling Large, Complex Projects, however, a minimum maturity level of 3 on all dimensions is required in this model. An organization with a maturity level of 2 only will not be able to effectively cope with size or complexity, leading to substantial project execution risks. A maturity level of 4 will allow to effectively reinforce the predictability of project delivery and increase reliability and timeliness of decision-making by measuring in a continuous manner the performance of the organization. Such a maturity level is necessary in organizations that aim at being high-performing in managing large portfolios of varied large complex projects, or very large programs encompassing several large complex projects by themselves. The quantification step founding the level 4 maturity is a necessary prerequisite to be able to reach level 5 which enables both flexibility and optimization. The maturity level is a very useful indicator for Executive Management of the suitability of the organization to the strategic ambition

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© Project Value Delivery, 2018 2018-07 rev 0 The necessary maturity of Information Systems The need to have performing Information Systems for all maturity levels above or equal to 3 arises specifically for Large Complex Projects. This is due to the mere volume of data to be controlled, handled and transmitted. Therefore, for the higher maturity levels, the consistency of the Information Setup with the maturity objectives will become a major parameter. Conclusion Project management maturity models are useful for executive management to measure the current condition of its organization, or of part of its organization. They can also be used to compare the maturity of different organizations. The maturity level is a very useful indicator for Executive Management of the suitability of the organization to the strategic ambition of the organization in particular with respect to tackling Large Complex Projects. Appendix 1: the 22 process areas of CMMI®-DEV The process areas are segregated in 4 main categories: basic, advanced, quantitative performance management, performance optimization. The basic processes are the first ones that have to be developed to be standard processes, followed by the advanced processes, to increase the maturity level of the organization. We have indicated in blue, those are specifically most relevant to Owners or Contractors Integrators. 1. Basic (required for maturity level 2) 1. Configuration Management (CM) 2. Measurement and Analysis (MA) 3. Project Monitoring and Control (PMC) 4. Project Planning (PP) 5. Process and Product Quality Assurance (PPQA) 6. Requirements Management (REQM) 7. Supplier Agreement Management (SAM) 2. Advanced (required for maturity level 3) 8. Decision Analysis and Resolution (DAR) 9. Integrated Project Management (IPM) 10. Organizational Process Definition (OPD) 11. Organizational Process Focus (OPF) 12. Organizational Training (OT) 13. Product Integration (PI) 14. Requirements Development (RD) 15. Risk Management (RSKM) 16. Technical Solution (TS) 17. Validation (VAL) 18. Verification (VER) 3. Quantitative Performance Management (required for maturity level 4) 19. Organizational Process Performance (OPP) 20. Quantitative Project Management (QPM) 4. Performance Optimization (required for maturity level 5) 21. Causal Analysis and Resolution (CAR) 22. Organizational Performance Management (OPM) Appendix 2 (next page): Project Value Delivery’s Project Management Maturity Framework for Large Complex Infrastructure Projects For successful tackling Large, Complex Projects however a minimum maturity level of 3 on all dimensions is required in this model.

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© Project Value Delivery, 2018 2018-07 rev 0 Project Value Delivery Project Management Maturity Model for Large Complex Infrastructure Projects

Maturity Level 2 3 4 5
Owner and Contractor Integrated Project Management Project-specific Standard project execution model Developed project execution governance tools Ability to adapt project execution and governance to specifics based on measurable criteria
Project Governance Ad-hoc Standard approach Basic portfolio management Data-based decisionmaking, optimized governance, advanced portfolio optimisation
Configuration & document management Project-specific, semimanual Company-wide process and automated system Organization wide management of configuration and document assets Configuration and document management inclusion in wider system engineering
Project Planning Project-specific format and approach Standard plans and templates. Shared scheduling database Schedule performance measurement for decisionmaking Development of creative project execution and risk management approaches backed-up by data availability and analysis
Project Monitoring & Control Project-specific, semimanual Standard reporting templates. Proper forecasting capability. Shared project control database, automated reporting, proven forecasting process
Risk Management Performed at project level Portfolio-level aggregation and lessons learnt Inclusion in integrated enterprise risk management
Quantitative project & process performance Semi-manual reporting, nonstandard performance reports Standard performance reports Integrated performance reporting system Predictive performance reporting system
Quality Assurance Project-specific format and approach Standard plans and templates. Quantified and optimized QA approaches Development of new approaches based on data, Total Quality programs
Verification process Basic Quality Control Standard quality control process Strategic integrated quality control
Engineering Project-specific process and tools. Standard engineering process and standards; Standard tools. Integration engineering to construction driving engineering process, shared tools and databases Development of creative integrated project execution solutions and strategies, backed-up by data availability
Supply Chain Management Project-specific process Standard approach and tools Active supplier management and development
Contract Management Project-specific Standard Terms & Conditions and Red Lines Contractual approach effectiveness measurement
Construction & commissioning (Product integration) Ad-hoc construction & commissioning process Standard construction & commissioning process Optimized strategic construction & commissioning process
Organizational process focus Basic processes / procedures, incomplete management system Understanding of process vs organization. Complete management system Interactive Integrated Management System Process map optimization
Organizational training Reactive projectspecific trainings only Organization-wide training coordination Strategic competency development schemes Long term skill enhancement and high potential management
Advanced analysis and optimization processes Manual management dashboards.Basic portfolio-level dashboard. Automated management dashboards and set targets Advanced portfolio-level dashboard. Creative approaches development and evaluation based on data
Owner-specific Requirements management Project-specific Standard process Optimized requirements management / lean Integrated requirements management
Requirements & product definition Ad-hoc definition process Standard gate-based FEL approach established Standard maturity development criteria for product definition Integrated iterative product definition process
Requirements validation process Project-specific validation process Standard validation process Optimized integrated validation process Optimization of validation process through integration in other processes

 


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