Key Finding: Projects with Key Finding: There is evidence Key Finding: Quality suitable project organisational of alignment between both Management Systems may be a structures were also found to project scope and portfolio and worthwhile investment for have appropriately defined and organisational business strategy. vendors. documented roles and Organisational business strategy is Quality Management Systems establish responsibilities within the intended to drive all decisions within a framework for how organisations governance structure. an organisation. It provides a direction, manage key processes and are creating All too often, organisations under a rallying point, and basis for decision the next wave of thinking about the estimate the impact poorly designed making. Hence, it only stands to reason management of projects and potential organisational structures can have on that organisational business strategy benefits that can be realised. They can programme effectiveness. In our 2007 should form the basis and drive project also help new projects start off on the Global PM survey, we explored the portfolio and scope. Effective portfolio right foot by ensuring processes meet importance and influence of organisation management should map well to recognised standards, clarify business and structure and overall project performance organisational strategy and business project objectives and avoiding expensive which revealed the higher the alignment goals. Misalignments and conflicts in implementation mistakes which can put between organisational and business these areas can threaten the success of project and business outcomes at risk. needs, the higher overall project a programme with the most effective Within the 2012 survey, we examined performance. We revisited the premise in project manager and staff - this can the extent to which organisations are our 2012 survey. We asked respondents if make or break a programme. We requiring vendors to have Quality suitable project organisational structures asked respondents two questions. Management Systems and its impact on exist on their project(s) that clearly First, to respond to the statement: the achievement of quality objectives in outlines the project team and reporting There is a strong correlation between projects. There appears to be a positive relationships. It was interesting to see my organisation’s strategy and our correlation between organisations such favourable responses where more project portfolio. Approximately 80% that require vendors to have a Quality than 70% of respondents reported the of respondents provided a favourable Management System and their projects’ presence of a suitable organisation response. Similarly, we asked respondents ability to meet the organisation’s quality structure. to respond to the statement: There is no standards. While only 35% of our conflict between the project scope and my respondents reported a requirement For those who responded unfavourably organisation’s overall business strategy. to have all vendors to have a Quality to the same question, we conducted cross Results suggest that approximately 70% Management System, respondents who comparisons to assess the relationship of respondents perceived there was strongly agreed that their organisation between organisational structure and no conflict between project scope and requires all vendors to have Quality appropriately defined and documented overall business strategy, which may Management Systems had more roles and responsibilities within the prove to be impacting the performance projects (90% or greater) meet their governance structure. Survey data and achievement of project goals. With organisations quality standards versus reveals an undeniable positive correlation increased alignment of projects with those organisations that do not have this between organisations that do not have business strategy, organisations can requirement in place. a suitable organisation structure in expect greater project portfolio impact on place and those without appropriately business success. defined and documented roles and responsibilities within the governance structure. Since organisational structure provides the foundation for roles and positions, hierarchical levels and spans of responsibility, it is not surprising to see such a positive correlation between these elements. Poor organisational design and structure can result in unnecessary role and responsibility ambiguity and confusion, a lack of accountability and less coordination among functions. Insights and trends: Current Portfolio, Programme and Project Management Practices 25
