Benefit realization usually becomes another add-on process that usually gets neglected and before it can achieve its full potential it will fail at least in most examples i have seen. What do you think are the various issues concerning the adoption of benefit realization process that you have dealt with and how have (or can) you overcome those
Benefit realization = post project completion process Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
It is the field of business analysis. The business analyst is in charge to meassure if the benefits stated into the business case are achieved. If not, a new loop has to be started. You can find those activities and tools to use inside the IIBA´s BABOK KA "Solution Evaluation" or PMI´s PGBA "Solution Evaluation".
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1 reply by Kiran Kumar
Jan 05, 2016 5:11 AM
Kiran Kumar
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Thankyou Sergio, will read the BABOk knowledge guide
Senior Projects Manager | Field & Marten AssociatesNew Westminster, British Columbia, Canada
If I did understand you correctly then I would say: Proper Management for Operations and Maintenance.
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1 reply by Kiran Kumar
Jan 05, 2016 5:16 AM
Kiran Kumar
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Rami, thankyou for your response, and I would believe few organization are missing the 'Proper' management. However, don't you think the folks at operations and maintenance are not too concerned with the realizing the benefit aspect. One thing that I have done in the past is to also involve the people from operations in the early life cycle of the projects so that they have a clear understanding of the project and also support in realizing the benefit. But this has failed, not sure what the reasoning were. One thing could be management oversight, but this is not easily rectified :(
It is the field of business analysis. The business analyst is in charge to meassure if the benefits stated into the business case are achieved. If not, a new loop has to be started. You can find those activities and tools to use inside the IIBA´s BABOK KA "Solution Evaluation" or PMI´s PGBA "Solution Evaluation".
Thankyou Sergio, will read the BABOk knowledge guide Saving Changes...
If I did understand you correctly then I would say: Proper Management for Operations and Maintenance.
Rami, thankyou for your response, and I would believe few organization are missing the 'Proper' management. However, don't you think the folks at operations and maintenance are not too concerned with the realizing the benefit aspect. One thing that I have done in the past is to also involve the people from operations in the early life cycle of the projects so that they have a clear understanding of the project and also support in realizing the benefit. But this has failed, not sure what the reasoning were. One thing could be management oversight, but this is not easily rectified :(
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1 reply by Rami Kaibni
Jan 05, 2016 12:18 PM
Rami Kaibni
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Actually we have done something similar but different at the same time. We used to assign the O&M Team during the late stages of the execution phase and all the team will be from within the existing team so they are aware of all details and properly realize the benefits and it proved success.
Senior Projects Manager | Field & Marten AssociatesNew Westminster, British Columbia, Canada
Jan 05, 2016 5:16 AM
Replying to Kiran Kumar
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Rami, thankyou for your response, and I would believe few organization are missing the 'Proper' management. However, don't you think the folks at operations and maintenance are not too concerned with the realizing the benefit aspect. One thing that I have done in the past is to also involve the people from operations in the early life cycle of the projects so that they have a clear understanding of the project and also support in realizing the benefit. But this has failed, not sure what the reasoning were. One thing could be management oversight, but this is not easily rectified :(
Actually we have done something similar but different at the same time. We used to assign the O&M Team during the late stages of the execution phase and all the team will be from within the existing team so they are aware of all details and properly realize the benefits and it proved success. Saving Changes...
Stephen DellConsultantBurlington, Nc, United States
Kiran - great topic. You asked specifically about issues, and I can identify 4 major ones:
Ownership - unless the responsibility for realizing benefits has been clearly assigned to the sponsor of the project you'll have a hard time tracking them. Someone needs to be formally designated as the "owner" of the benefits realization process.
Definition - if the project benefits have not been articulated clearly BEFORE the project is approved to start, you have a problem. This is clearly in the realm of a cost/benefit analysis and probably needs to be done by your PMO intake team and reviewed by Finance to ensure the benefits are rational and achievable.
Lack of Metrics - we have to have a way to measure the benefits. If they do not already exist, then building the measurement mechanism needs to be part of the project.
Timeframe - in many cases, the benefits are realized over a much longer timeframe than the actual project timeline - cost/benefit analyses often extend 3-5 years out, long after the PM and project team have been re-assigned. This goes hand-in-hand with the ownership issue - someone needs to be measuring and reporting on benefits to management outside of the project team.
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3 replies by Kiran Kumar, Opeyemi Iyekolo, and Rami Kaibni
Jan 05, 2016 4:04 PM
Rami Kaibni
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Very well said Stephen. Great Input.
Jan 06, 2016 2:13 AM
Opeyemi Iyekolo
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Excellent thoughts Stephen. Simply stated but thoroughly relevant to the benefits realization process.
Jan 06, 2016 4:00 AM
Kiran Kumar
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Nice points Stephan, probably the next question to raise are how/ when does one measure benefits. What are the methods to identify benefits. For the next discussion topic.
Senior Projects Manager | Field & Marten AssociatesNew Westminster, British Columbia, Canada
Jan 05, 2016 2:47 PM
Replying to Stephen Dell
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Kiran - great topic. You asked specifically about issues, and I can identify 4 major ones:
Ownership - unless the responsibility for realizing benefits has been clearly assigned to the sponsor of the project you'll have a hard time tracking them. Someone needs to be formally designated as the "owner" of the benefits realization process.
Definition - if the project benefits have not been articulated clearly BEFORE the project is approved to start, you have a problem. This is clearly in the realm of a cost/benefit analysis and probably needs to be done by your PMO intake team and reviewed by Finance to ensure the benefits are rational and achievable.
Lack of Metrics - we have to have a way to measure the benefits. If they do not already exist, then building the measurement mechanism needs to be part of the project.
Timeframe - in many cases, the benefits are realized over a much longer timeframe than the actual project timeline - cost/benefit analyses often extend 3-5 years out, long after the PM and project team have been re-assigned. This goes hand-in-hand with the ownership issue - someone needs to be measuring and reporting on benefits to management outside of the project team.
Very well said Stephen. Great Input. Saving Changes...
Kiran - great topic. You asked specifically about issues, and I can identify 4 major ones:
Ownership - unless the responsibility for realizing benefits has been clearly assigned to the sponsor of the project you'll have a hard time tracking them. Someone needs to be formally designated as the "owner" of the benefits realization process.
Definition - if the project benefits have not been articulated clearly BEFORE the project is approved to start, you have a problem. This is clearly in the realm of a cost/benefit analysis and probably needs to be done by your PMO intake team and reviewed by Finance to ensure the benefits are rational and achievable.
Lack of Metrics - we have to have a way to measure the benefits. If they do not already exist, then building the measurement mechanism needs to be part of the project.
Timeframe - in many cases, the benefits are realized over a much longer timeframe than the actual project timeline - cost/benefit analyses often extend 3-5 years out, long after the PM and project team have been re-assigned. This goes hand-in-hand with the ownership issue - someone needs to be measuring and reporting on benefits to management outside of the project team.
Excellent thoughts Stephen. Simply stated but thoroughly relevant to the benefits realization process. Saving Changes...
Ramesh ChalamalasettiPMI ATP Instructor – PMP®| PMI Certified Instructor - PMP Exam Prep®Hyderabad, Andhra Pradesh, India
Business Benefits, as long as they hang high like in dreams they're mostly unattainable. Instead it's fair enough firmly standing on our toes and design the BBR strategies. Yes, it's the a)Ownership b) commitment and c) unbiased data that make sense.
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1 reply by Kiran Kumar
Jan 06, 2016 4:10 AM
Kiran Kumar
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Ramesh, I believe the benefit are defined clearly because to select the right project, one should have a sound strategy which is then linked with the organizational strategy. The business case should be sound enough so as to analyze and select the project. what I was mentioning was the postmortem part and how does it feedback into the selection aspect. This is where I lack some content or have questions.
But I do agree with Stephan and you on the topic of ownership, commitment...
Kiran - great topic. You asked specifically about issues, and I can identify 4 major ones:
Ownership - unless the responsibility for realizing benefits has been clearly assigned to the sponsor of the project you'll have a hard time tracking them. Someone needs to be formally designated as the "owner" of the benefits realization process.
Definition - if the project benefits have not been articulated clearly BEFORE the project is approved to start, you have a problem. This is clearly in the realm of a cost/benefit analysis and probably needs to be done by your PMO intake team and reviewed by Finance to ensure the benefits are rational and achievable.
Lack of Metrics - we have to have a way to measure the benefits. If they do not already exist, then building the measurement mechanism needs to be part of the project.
Timeframe - in many cases, the benefits are realized over a much longer timeframe than the actual project timeline - cost/benefit analyses often extend 3-5 years out, long after the PM and project team have been re-assigned. This goes hand-in-hand with the ownership issue - someone needs to be measuring and reporting on benefits to management outside of the project team.
Nice points Stephan, probably the next question to raise are how/ when does one measure benefits. What are the methods to identify benefits. For the next discussion topic. Saving Changes...
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