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The Value of Project Management Reflects the Organization’s Maturity in Project Management[1]

SECOND EDITION

By Darci Prado, Brazil

Russell Archibald; Mexico

and

Warlei Oliveira, Brazil
________________________________________________________________________

Abstract

The purpose of this paper is to present the results of a study that demonstrates that the value of project management is directly related to each organization’s maturity level in project management. This study, conducted in Brazil from September to December 2012 using the Prado Project Management Maturity Model – Prado-PM3 – and internet (www. maturityresearch.com) concludes that:

  • There is a direct positive relationship between total project success and the organization’s level of project management maturity.
  • There is an inverted relationship between project failure and PM maturity.
  • There is an inverted relationship between project delay and PM maturity; the higher the maturity, the lesser the delay.
  • There is an inverted relationship between cost overrun and PM Maturity; the higher the maturity, the lower the cost overrun.
  • There is a direct positive relationship between perceived value aggregation and PM Maturity Levels; the higher the maturity, the greater the perception of added value by key stakeholders.

This study reveals the great importance of continual improvement in project management practices, especially for organizations that are initiating the use of those practices and are at maturity levels 1 or 2. For them, the daily performance indicators show weak values and there is no recognition by senior management of the value of project management. So for such organizations, this study presents a message of optimism: the evolution of maturity will change this scenario. This development does not happen overnight and requires discipline and dedication, but the results are significantly rewarding.

INTRODUCTION

The rationale of this paper uses the responses summarized in three sets of data obtained in the survey through separate questions:

a)    Values ​​of the perceived value of project management as a discipline by key stakeholders, stratified by levels of maturity of that discipline;

b)    Values ​​of indicators of performance of finished projects, stratified by levels of project management maturity;

c)    Values ​​obtained by means of a maturity questionnaire of 40 questions that produces a project management maturity score between 1 and 5.

The information was produced in the above sequence. Only after providing all the data shown above does one know the value of project management maturity. Therefore, when respondents provided the information in items a and b above they had no knowledge of the consolidated results obtained in item c.

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Editor’s note:  Second Editions are previously published papers that have continued relevance in today’s project management world, or which were originally published in conference proceedings or in a language other than English. Original publication acknowledged; authors retain copyright.  This paper was originally presented at the 7th Annual UT Dallas Project Management Symposium in Richardson, Texas, USA in August 2013.  It is republished here with the permission of the authors and UT Dallas.

About the Authors

darci-pradoflag-brazilDarci Prado, PhD

Darci Prado, PhD, is a Partner-Consultant at FALCONI Consultores de Resultado. Bachelor’s degree in Chemical Engineering from UFMG, postgraduate degree in Economic Engineering from FDC and PhD from UNICAMP. He participated in the establishment of the PMI chapter in Minas Gerais and Paraná, and was a Board member of PMI-MG between1998-2002. He was the president of IPMA-BH Club between 2006 and 2008. Darci is author of 10 project management books. Contact: [email protected]

flag-usa-mexicopmwj14-sep2013-Prado-Archibald IMAGE 150x175Russell D. Archibald

Russell D. Archibald, PhD (Hon), MScME, BSME, PMP, Fellow PMI and Honorary Fellow APM/IPMA, held engineering and executive positions in the USA, France, Mexico and Venezuela. Since 1982 he has consulted to companies, agencies and development banks in 16 countries on 4 continents. He is co-author of Leading and Managing Innovation, 2013, and author of Managing High-Technology Programs and Projects, 3rd Edition 2003, Web site: www.russarchibald.com.

flag-brazilpmwj14-sep2013-Prado-Oliveira IMAGE 150x150Warlei Oliveira

Warlei Agnelo de Oliveira, MsC, is a Secretary of Transportation and Public Works advisor and is currently the Project Manager of the “Belo Horizonte Metro“ structuring project. Bachelor degree in Civil Engineering, holds a MBA degree in Project Management from FGV and a M.Sc. degree in Business Administration. Is Orange Belt / ILL certified and is currently Professor of Civil Engineering and Environmental Technologist at Centro Universitário UNA. Email: [email protected]


[1] Second Editions are previously published papers that have continued relevance in today’s project management world, or which were originally published in conference proceedings or in a language other than English.  Original publication acknowledged; authors retain copyright.  This paper was originally presented at the 7th Annual UT Dallas Project Management Symposium in Richardson, Texas, USA in August 2013.  It is republished here with the permission of the authors and UT Dallas.