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Introduction

 Many organizations implement strategic project


management process to
 Assess and fund the projects
 Align them with organization’s strategy

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Strategic planning & Strategic Initiatives

 Strategic planning (Sanderson, 2013):


 Systematic process of envisioning a desired future and
translating this vision into broadly defined goals or objectives
and a sequence of steps to achieve them.
 Strategic initiatives (Boppel, 2013)
 Temporary undertakings aimed at renewing or expanding the
capabilities of firms. Such initiatives substantially influence
firms’ evolution and performance (Birkinshaw, 1997; Lechner
& Kreutzer, 2011; Lovas & Ghoshal, 2000).
 Corporate ventures (e.g. Keil et al., 2009),
 Product and process development (e.g. Cardinal et al., 2011;
McGrath, 2001)
 Acquisitions and alliances (Shi et al., 2012)
 Organization efforts (Webb & Pettigrew, 1999)
 Other strategic business-development activities

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Program Strategy Alignment (PMI, 2017)

 Program Strategy Alignment is the performance


domain that identifies program outputs and
outcomes to provide benefits aligned with the
organization’s strategic goals and objectives.
 Includes
 Program Business Case
 Program Charter
 Program Roadmap
 Environmental Assessment
 Program Risk Management Strategy

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Elements of Program Strategy Alignment (PMI,
2017)

Program Risk Management Strategy

Organizati
Program Program
on’s Program Program
Business Managem
strategic Charter Roadmap
Case ent Plan
plan

Environmental Assessment

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Program Business Case

 The business case describes the intent and


authority behind the drivers of the program and
underlying philosophy of the business need.
 The business case also serves as a formal
declaration of the value that the program is
expected to deliver and a justification for the
resources that will be expended to deliver it
 Business case is established developed to assess
the program’s investment against the intended
benefits.
 The business case can be basic and high-level or
detailed and comprehensive.
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Content of Program Business Case
 The business case may have following information
 program outcomes
 approved concept
 issues, high-level risk and opportunity assessment
 key assumptions, business and operational impact
 cost benefit analysis
 alternative solutions
 financial analysis
 intrinsic and extrinsic benefits
 market demands or barriers
 potential profits and social needs
 environmental influences
 legal implication
 time to market
 constraints
 the extent to which the program aligns with the organization’s
strategic plan

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Program Charter

 The program charter formally expresses the organization’s


vision, mission, and benefits expected to be produced by
the program
 It also defines program-specific goals and objectives in
alignment with the organization’s strategic plan in support
of the business case.
 The program charter also provides the program manager
with the authority for leading other subsidiary programs,
projects, and related activities to be initiated, in addition to
the framework by which these program components will be
managed and monitored during the course of the program.
 The program charter is one of the document deliverables
that will be used to measure program success. It should
include the metrics for success, a method for measurement,
and a clear definition of success.

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Program Roadmap

 The program roadmap is a chronological


representation of a program’s intended direction,
graphically depicting dependencies between major
milestones and decision points, which reflects the
linkage between the business strategy and the
program work

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Example of Program Roadmap (PMI, 2017)

Project Management Institute (2017) Standard for Program Management, 4th Ed., Pennsylvania, p.37
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Environmental Assessment

 Enterprise environmental factors refer to conditions, not under the immediate


control of the team, that influence, constrain, or direct the program
 May include but not limited to:
 Business environment;
 Market;
 Funding;
 Resources;
 Industry;
 Health, safety, and environment;
 Economy;
 Cultural diversity;
 Geographic diversity;
 Regulatory;
 Legislative;
 Growth;
 Supply base;
 Technology;
 Political influence;

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Environmental analysis
 Comparative advantage analysis
 includes analysis and comparison against real or hypothetical
alternative scenarios.
 Where appropriate, comparative advantage analysis may also
include what-if analyses to illustrate how the program’s objectives
and intended benefits could be achieved by other means.
 Feasibility studies
 assesses the feasibility of the program within the organization’s
financial, sourcing, complexity, and constraint profile
 SWOT analysis
 Strength, Weakness, Opportunity, Threat
 Assumption analysis
 Identified initially during business case development, assumptions
affect all aspects of the program and are part of the progressive
elaboration of the program
 Historical information analysis
 Historical information describing the successes, failures, and
lessons learned is particularly important during program definition
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Program Risk Management Strategy

 Delivery of program is depending on a well-defined


risk strategy
 Strategy alignment involves risk management
strategy that ensures effective risk management
that can cause the program to be out of alignment
with organizational strategy

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