SOURCE: Project Consulting Group

November 06, 2009 09:00 ET

Project Portfolio Management Is the Success Factor in Managing Projects in a Challenging Economy According to Project Consulting Group

MINNEAPOLIS, MN--(Marketwire - November 6, 2009) - Project Consulting Group, a recognized expert in project and portfolio management consulting services, understands the age-old mantra, "do more with less" is reverberating throughout just about every corner of business today. It's especially rampant in the IT domain where CIOs and IT managers are challenged by their CEOs and corporate boards to maintain -- or even expand -- competitive advantages and organizational efficiencies in an atmosphere where budgets have either been cut or in the best case, have stayed flat.

Project Consulting Group understands that Project Portfolio Management (PPM) brings together all the disparate projects and provides a kind of overall dashboard that a company can view to keep focused on projects in real time to determine their ability to work together to achieve corporate goals. Project Consulting Group has developed a service model called Project Delivery OnDemand, which takes into account the need for PPM now, even if budgets are tight.

"Project Delivery OnDemand is a three to five year commitment where we share the risk with our customers," says Jamie Fragola, PCG's president and co-founder. "This allows clients to pay us back over time, in some cases using the return on investment they've gained from 'quick-win' projects that they've identified as super priorities."

People, process and technology are key words generally used in terms of business process change, which results from new PPM/PM solutions. Fragola adds one more term -- culture. He cites the frustration of senior IT executives who have invested in process changes, which are often not necessarily or whole-heartedly embraced by the organization.

"We've seen that many of the software companies either over- or under-engineer their solutions, so in spite of the tools having tremendous features and functionality, generally only 20 percent of the functionality is being utilized," states Fragola. A common reason for this, he indicates, is the lack of the leadership training that helps people "succeed on the other side of change."

Project Consulting Group has undertaken a number of what they call "rescue projects" or PPM gone awry, which is not that uncommon when dealing with large organizations grappling with multiple projects.

According to Fragola, a large Fortune 500 financial institution was experiencing a crisis with their PPM tool and process implementation. The company had selected a large consulting firm believing it was a safe decision. The firm had a fixed budget but after three months, the vendor had burned through 35 percent of the budget, but had yet to produce a viable design or implementation roadmap. The client halted the project to consider its options.

Project Consulting Group replaced the current vendor and stabilized the project within three weeks by delivering a comprehensive project plan outlining a phased deployment approach. Project Consulting Group then evaluated the remaining PPM investment risk along with opportunities to improve value across the client's entire project delivery landscape. The result was a three-year Service Level Agreement (SLA) that provided a sole-source agreement for select contract staff labor needs. In exchange for the client's commitment, Project Consulting Group invested in finishing the PPM deployment on a deferred fee schedule.

The key outcomes of that approach, included:

--  PPM deployment was completed in 9 months. Phased approach allowed the
    client to utilize priority functions of the tool and begin capturing
    savings and efficiencies progressively.
--  Deferred performance fee schedule gave the client the insurance they
    needed to deliver the intended results.
--  Client avoided the need to request additional funding approval from
    the investment review board.
--  Client was able to budget and pay remaining PPM deployment expenses
    out of realized savings and benefits spread out over a 3-year timeframe.
--  Multi-year SLA meant that PCG would stay accountable for organization
    adopting new processes.

The client was able to leverage its current budgeted demand for contract labor and dramatically reduced investment risk while overcoming the immediate budget crisis for PPM enablement. The client was also able to utilize Project Consulting Group's Shared Risk Investment Program on future high-risk projects to help safeguard profits during tough economic conditions while still advancing delivery maturity. For more information about PCG, visit

Contact Information