I'm on a very large program for a midwest company building a new system leveraging existing technology. It's one of the biggest programs this company has ever attempted - resource max looks something like 300 at the peak and it's over $100 Million in cost.
This organization has some of the worst internal dynamics that I've ever seen. There is constant political infighting, people get personal and backstabbing, and we have lost half of our project managers due to the political problems. Part of the situation seems to be the vendor, approximately 45% of staff is theirs and they are playing politics rather than working.
The program is failing and we have just cancelled our first release of software in the analysis phase to go back and re-estimate and build a new plan. It looks like we are also going to switch out the vendor so that should help but we also know that if we don't solve the org dynamics problems, we will just have the same struggle going forward.
We have the classic problems: Lack of vision, no clear plan, unusual org structure, too many people accountable for the same thing, immature management (in terms of people not having done management before or not having the skills they need). Communication and conflict some of the worst I've seen.
My boss has received the assignment to fix this thing and I'm trying to help. Where do we start? What type of org structure works effectively on a program this size? We have tried a couple of different arrangements so far and neither has worked. I understand the problems but need help figuring out the solution. We are also looking to engage some org change experts to help.
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Mark Price PerryBusiness Driven PMO Evangelist| BOT InternationalOrlando, Fl, United States
Dear Anonymous, you have a tremendous challenge and excellent insight into what your company is facing. You mentioned that you are looking to engage some organizational change experts to help and you also posed the question of where to start. My thoughts are three-fold: 1) it is not the organization, it is the company's processes or lack of processes that is the problem; 2) though you and some of your colleagues in the organization no doubt have the skills and experiences to "internally" recommend and implement improvements, don't bother. I doubt the organization would be receptive or even interested in whatever improvements you and your boss come up with. There will always be some excuse given motivated by politics, pride, conflict, or ignorance that will result in the recommendations of you and your boss not being adopted or not even being seriously considered. Your company has taken years to get in the mess that it is now in - poor business and people management, lack of vision, no clear plan, constant political end fighting, poor vendor management, etc., so don't waste your time and passion on a course destined for failure, and 3) absolutely, bring in an outside expert/facilitator. It is not that you and your boss don't have the requisite knowledge and experience to "fix things", rather that some issues and performance defects are easier to identify, openly discuss, and resolve with unbiased and professional outside facilitation. Also, there is always that issue of "prophets never being accepted in their home town." Regarding where to start, there are a number of outside experts that would be delighted to work with your company. It would not be difficult nor time consuming to look up the usual project management, process improvement, and organizational change consultants, issue an RFI, and go through the selection process. From an Organization Project Management perspective, you might consider giving John Schlichter of OPM Experts a call. He led the PMI OPM3 development effort and now heads a consulting firm that specializes in helping firms just like yours. If your focus is more on fixing or streamlining business processes, then you need to look no further than Gantthead's own Michael Wood, a recognized expert in process improvement, the author of The Helix Factor which is an excellent book and working model for business process improvement, and he is a seasoned, expert facilitator. You might consider having a conversation with John or Michael or both. The organizational environment that you have described could be well served by such outside experts. Very best of luck. -- Mark Perry, VP of Customer Care, BOT International Saving Changes...
John SchlichterFounder| OPM Experts LLC http://opmexperts.comAtlanta, Ga, United States
As a general rule, when an organization’s structure is out of alignment with its needs, one or more symptoms of structural deficiency appear. Decision making is delayed or lacking in quality. The organization does not respond innovatively to a changing environment. Too much conflict is evident. Your organization (and the program you describe, in particular) may be under-performing for any number of reasons, and often those who are directly involved in managing or executing the work are too close to the situation to see a clear way forward. While the problems you are experiencing are not new, the crisis with your vendor is a timely opportunity to perform an assessment that will support your replanning and address key issues that must be considered when negotiating new terms and conditions with vendors. Start by finding a third-party management consultant whom you feel comfortable working with, and engage that consultant to perform a rapid assessment resulting in prioritization of issues and recommendations. I would be happy to talk with you.
Regards,
John Schlichter
President
OPM Experts, LLC
[email protected] 1.404.252.4299 Saving Changes...
John SchlichterFounder| OPM Experts LLC http://opmexperts.comAtlanta, Ga, United States
A few more points about organizational change may be helpful. While the problems you describe imply that restructuring (the program, the line organization, or both) should be considered, keep in mind that too often organizational leaders fail to appreciate that structural and process changes do not automatically cause changes to behavior. Change actions are not orchestrated methodically with a guiding vision and strategy for those actions. Employees are not empowered for broad-based action, and short-term wins are not capitalized. One must:
• Enable personnel at all levels of management and staff to work effectively in new structures and processes
• Create a sense of ownership of change, i.e. behavioral change, not simply process and structure changes
• Clarify roles and responsibilities
• Engage personnel in a way that is relevant, fun, and results-oriented
• Minimize time personnel spend away from other value-added activities
• Develop skill practices
• Provide examples and situations that simulate the new state
• Assess personnel before and after implementation
• Develop in-house capability to sustain organizational change successfully without external help
I know this sounds like a lot, but we know from experience that all of these things can be realized efficiently and rapidly. Structure the intervention correctly with a clear description of the strategic issues, which can be accomplished by a rapid third-party assessment. Use proven techniques to engage all levels of the management hierarchy across all relevant functions in development of the solution; don't expect to engage every person, but do expect to be successful by including representation up and down and across the organization. Use this discovery to implement a solution that incorporates both the ideas and language of the different levels of management across functions, and ensure that implementation of the solution is focused on advancing the actual mission-critical work of the organization. Regards, John Schlichter, President, OPM Experts, LLC [email protected] 1.404.252.4299
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John SchlichterFounder| OPM Experts LLC http://opmexperts.comAtlanta, Ga, United States