What is an Effective SAP Project Governance

Model?

Muhammad RazeenEJADA Systems

March 16, 2010

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Effective Project Governance• Govern - To Steer, To Guide• Project - Temporary Endeavour, Specific Start and End• SAP Project

– Plain Vanilla Implementation– Enhancements (New Modules to be added)– EAI– Upgrades– New Roll Outs

• Effective Project Governance– To steer or guide the project in such a way that it

meets its time, cost, quality and other organizational objectives.

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Project Governance Model• It is a framework of defining

– Who will steer the project– Who will have decision authority at different levels– Who will be responsible/accountable for success or failure of the project or a

certain project area/deliverables– Rules of communication among stakeholders– How project should be controlled, monitored and guided properly to meet a

happy ending• It contains

– Project Organization Chart– Project Committees (Objective, Scope, Reporting, Membership)– Roles and Responsibilities– Critical Success Factors– Associated Risks, Definition of Issue and Dependency– Documentation– Communication Framework (What, When, Who, How)– Stakeholders Information

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Steps for Developing Your PGM1. Conduct Stakeholders Analysis2. Prepare Organization Chart3. Define Roles and Responsibilities4. Get Concurrence5. Identify Critical Success Factors & Their Measurement6. Identify Risks, Define Issue and Dependency7. Define Communication Framework

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Stakeholders Analysis - Key To PG• Identification of all the persons and parties involved in

the project and having a positive or negative impact on the project.

• How should it be conducted?– Identify your project award and closure process– Identify all the project deliverables– Think about possible architectures and Map Parties– Identify all the parties and persons involved– Identify why, when and how will they be involved?– Prepare your initial "Project Involvement Matrix"

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Complete Project

Project Award ProcessITBusiness

Need

BusinessCase

ApprovalBudget

Finance

RFP Partial Info RFI

Vendor1

…

Vendor10

Response

Response

Response

Evaluation3 – 6 Vendors

ResponseEvaluation

TechnicalCommercial

Vendor3

Contracting

Contract

IT

ERP Implementation Services

Hardware / Network / Landscape Equipment

Training & Change Management

Software Licenses

Third Party Audits

Vendor 6

Vendor 7

Vendor 8

Vendor 9

Vendor3Sub-Vendor

Sub-Vendor

Sub-Vendor

Data Cleansing

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Project Execution and Closure

Golive

Initiation Planning Execution Closing

Discovery & Evaluation

ProjectPreparation

Business Blueprint Realization Final

Preparation Support

Controlling and Monitoring

ProjectManagement

ImplementationDevelopmentIntegration

Timeline EndStart

Training

Organizational Change Management

Data Cleansing

Infrastructure / Landscape Availability

(Hypercare)

Security and Authorizations

KickOffEvaluation, Third Party Audits, Quality Reviews

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Technical SolutionManagement

Training & OrganizationChange Management

Security, Job Roles &System Authorizations

Business ProcessRequirements, Design,Configuration &Testing

Miscellaneous

Developments

Project, Risk, Comm.Quality Management

ProjectPreparation

Project CharterRM, CM PlanProject PlanQM Plan

Training StrategyOCM StrategyT&CM Plan

High level Business Requirements

Initial Evaluation for HW, SW, Network Conn.

Realization

Updated Plans

ToolsLogistics, Courses, Curriculum

RMF – Roles Matrix Form

Test Charter (UTT, UFT, UAT, IST, …)

BL Conf. PlanConf. Doc., Dev, Int. Req.

Infrastructure Availability (DEV, QA, PRD, TRG)

Golive& Support

Lessons Learned, Sign Offs

Usage Surveys

Knowledge Transfer

BusinessBlueprint

Business RoleCatalog / Auth-orizations

TNADet. OCM PlanAwarenessCampaigns

AS-IS, To-BE, Gaps, BBMS, Baselines

Base PlanConfiguration, Dev, Int. Req.

Detailed HW, SW, NW, Landscape RequirementsDev. Env.

Updated PlansDetailed Plan

Helpdesk and Support ProceduresDM Plan

FinalPreparation

Prod. Support , Cutover PlanQuality Check

UFT, SV, Integration Testing, UAT

InfrastructureTested

Conf. / Dev. Issues Reso-lution

Transports

Transports

Transports Strategy

Actual Training, Evaluation, Commitment

Support Infrastructure SetupData Migration

Deliverables

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Application Architecture

ERP(Finance, HR, Logistics, …)

Portal

BI Reporting Functions

Desktop

ERP Software

Data Warehouse

Software

Operating System, Firewalls, Security Software, Monitoring Software

Servers, Network Equipment,

HelpdeskTeam

BusinessFunctions SupportTeam

OS, ApplicationsSupport Team

TechnicalDesign Team

HW, NW, InfrastructureTeam

Legacy Business Functions

Legacy Applications

End-UsersEnd-Users

HW, Landscape for Legacy

Legacy OS, SW

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Project Stakeholders and Areas

Subject Matter

ExpertsEnd Users

Steering Committee

PMOFunctional

TeamsTechnical

TeamsERP Imp.

VendorThird Party Reviewer

HW/SW/NW Vendor

VendorsGoverning

Bodies

CustomerBusiness Project Support

Project ManagementInitiationPlanningExecutionClosingControlling and Monitoring

ImplementationDiscovery & EvaluationProject PreparationBusiness BlueprintRealizationFinal PreparationGolive and Support

ApproveDeliverReviewParticipate

Responsible

Proj

ect

Gov

erna

nce

TrainingChange ManagementSecurity and AuthorizationsData CleansingVendor EvaluationThird Part ReviewsAudits

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Project Involvement Matrix

Subject Matter

ExpertsEnd Users

Steering Committee

PMOFunctional

TeamsTechnical

TeamsERP Imp.

VendorThird Party Reviewer

HW/SW/NW Vendor

Project ManagementInitiation A P A D D PPlanning P P D P P D PExecution P P D P P D PClosing P P D D PControlling and Monitoring D D D P

ImplementationDiscovery & Evaluation A P A D DProject Preparation P D D PBusiness Blueprint D P D D PRealization D P D D PFinal Preparation D P D D PGolive and Support P D P D D P

Training D D D P D D PChange Management D P P D P P P DSecurity and Authorizations D P D P D D PData Cleansing D D P P DVendor Evaluation P P D P P D PThird Part Reviews D P D PAudits D P D P

VendorsGoverning

BodiesProject Areas / Streams

A=Approve, D=Deliver, R=Review, P = Participate

ERP

ERP

CustomerBusiness Project Support

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Steps for Developing Your PGM1. Conduct Stakeholders Analysis2. Prepare Organization Chart3. Define Roles and Responsibilities4. Get Concurrence5. Identify Critical Success Factors & Their Measurement6. Identify Risks, Define Issue and Dependency7. Define Communication Framework

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Sample Project Governance Document

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Customer Perspective• Looking for

– Within Budget Implementation– SMEs/Business Should be Happy - Management is Happy– On Time Delivery– Easy Maintenance– Everyone is properly trained

• Challenges – SMEs not Comfortable with Solution (No Buy-In, Politics, No CM &

Proper Training)– Insufficient IT Support Staff– So many parties Involved – Who should be involved when and

What he will do?– Low budget Allocation

• Suggestions for Customer– Get Buy-In– Identify Strong Project Sponsor– Secure Management Support

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Vendor Perspective• Looking For

– Customer Acceptance– On time sign offs - on time payments– More Future Projects– Within Budget and Profitable Project

• Challenges– First time doing the project– Project Manager not competent - Consider Early Change– Low Ball - Low Quote

• Suggestions– Get Management Support– Understand Environmental Constraints from Customer Perspective -

Provide Help– Update Customer Earlier regarding any Risk - Avoid Surprises - Build Trust– Visit Customer Regularly - To understand his point of view for the project– Discuss Issues and Risks with Team frequently– Do not Quote Low – Unless Strategic– Focus on Long-term relationship

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General Guidelines• Think beyond Teamwork• Terminate Blame Game• Discuss, Discuss, Discuss• Involve Management - only if things are outside the realm of Project team• Use Escalations in extreme cases - vanity, lack of motivation, less dedication • Build Trust Among Team Members• Don't tolerate Nasty Emails• Distribute Responsibilities - inverted tree• Beware of over planning and Work with checklists• Spend time on choosing the right Project managers - both sides• Make sure both project managers are fully dedicated• Work on Architectures as early as possible in the project• Avoid Documentation for the sake of Documentation• Practice politics-less communication• Good Communication is not too-much Communication• Update Governance Model Frequently• Perform Advance Vacations Planning - SMEs, IT Support Staff, Project Team

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Thanks for Attending the Session• “You are not only responsible for what you say, but also for what

you do not say” ~Martin Luther• “Stay committed to your decisions, but stay flexible in your

approach.” ~Tom Robbins• “It is easy to dodge our responsibilities, but we cannot dodge the

consequences of dodging our responsibilities.” ~Josiah Charles Stamp

• "I must do something" always solves more problems than "Something must be done." ~Author Unknown

• Most of us can read the writing on the wall; we just assume it's addressed to someone else. ~Ivern Ball

• "Ninety-nine percent of all failures come from people who have a habit of making excuses." ~ George Washington Carver

• “There's a task for someone to do and everyone can do it, but everyone thought someone will do it. Someone didn't do it, thinking that everyone can do it. At the end no one does it.”