Creating enterprise excellence in a project-centered organization

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ArticleQuality Management1 December 2002

PM Network

Ellison, Dave

How to cite this article:

Ellison, D. (2002). Creating enterprise excellence in a project-centered organization. PM Network, 16(12), 14.
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This article briefly describes the reasons behind the implementation of an enterprisewide project delivery system at CH2M HILL.

THEBIGPICTURE

BY DAVE ELLISON

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Many organizations routinely deliver projects as the value proposition to their clients. Yet, many of these same organizations fail to deliver competitive value because they operate independent of their own project delivery system. These organizations are easy to recognize: Their projects are almost always behind schedule, over budget and ill-defined. In addition, their after-sales client service is minimal. Few, if any, in the organization know the true status of their projects. For the most part, project managers in these organizations are inadequately rewarded and recognized, especially compared to those in the business development and sales areas. Sound familiar?

A decade ago, more often than not this was the situation at CH2M HILL. A critical assessment of the firm's project management problems indicated a need to create a much more competitive, project-centered enterprise that would allow the firm to provide clients worldwide with the best possible service.

The solution required the full adoption of a strategic project management system—one that focused on projects, the internal organization and CH2M HILL's clients. The components of this solution included a client service management approach that is responsive to the rapidly changing needs of the marketplace.

For example, clients have been increasing their requests for alternative project delivery methods from the long-standing design-bid-build platform to more cost-efficient alternatives such as design-build and design-build-operate. Further, these alternatives have been coupled with various ownership and finance options. The client service management approach is serving CH2M HILL well in transferring these needs to actionable options in our delivery platform, and more change is rapidly on its way with the marketplace's expanding security needs.

CH2M HILL's strategic project management system emphasizes the consistent use of a standard project delivery process including project development, team chartering, work planning, endorsing, executing and managing change, closing and learning. These overarching processes are totally integrated with the Project Management Institute's A Guide to the Project Management Body of Knowledge (PMBOK® Guide) and aligned to the ISO 10006 Global Standards for Project Management. These core processes are scalable and matched with Web-based technologies and tools that enable project managers to efficiently deliver projects and provide accurate project status reporting to all levels of management—and clients.

The project manager development framework, along with this Web-based performance enhancement process, have been invaluable in the recognition and growth of project managers and their project delivery teams. Clear roles, responsibilities and pathways for greater achievement have created a very attractive workplace environment.

In implementing an enterprisewide project delivery system, CH2M HILL included all of the firm's strategic organizational components (finance and administration, human resources, information technology and legal, among others). All project work, internally and externally, is centered on consistent project delivery methodologies.

As the exclamation point to CH2M HILL's strategic project management system, we offer our clients management consulting services focused on creating customized, project-centered organizations for them utilizing the core model developed and proven within our enterprise. Client validation and use of CH2M HILL's Project Delivery System have created synergies that have led to great value contribution—a competitive advantage that is required today.

The CH2M HILL Project Delivery System brings people together to create success. This strategy has achieved enterprise excellence in our project-centered organization. When the primary service of an organization is project management, the enterprise must adopt a strategic project management system to achieve competitive excellence in today's marketplace. PM

Send comments on this column to [email protected].

PM NETWORK | DECEMBER 2002 | www.pmi.org

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