A customer satisfaction survey reported that only 20% of the company’s information technology (IT) customers were highly satisfied with the delivery time and quality of the company’s IT projects. The typical IT project included unclear objectives, scope creep, and serious resource constraints, which led to periodic starts and stops, as well as project delays.
We developed a project management office for the company and assisted in the hiring of new internal project managers. We trained, mentored, and certified the project managers in advanced project management techniques; and established procedures for IT project governance.
The company now uses PMAlliance’s Duration-Driven® methodology, software add-in tools for Microsoft Project, and Web Update System to plan and control projects. Project management costs are only 4% of overall project cost; far below the industry standard of 7-12%. Moreover, customer satisfaction increased to 94%, average IT staff hour costs per project were reduced by $7.2M in the first year alone, and the percentage of on-time deliveries (within 20 days of the baseline schedule) exceeds 80%.
Today, the project management office is completely self sufficient and is recognized as best-in-class within the company.