Program Management - key to a good setup
Programs are complex initiatives delivering significant changes in the business. They often include large investments, cross-function and involve high risk. They need a special management approach to ensure success. Here are my insights:
ONE: Secure commitment, engagement and continuous interest from the top management. Programs may be driven cross KPI´s and silo-oriented performance; hence it has to be clear to all managers in the organization what the target state is. Top management has to be represented in the Steering Committee of the program and as Sponsors, line management has to cascade directives and information.
TWO: Organise the Program Office with expertise in areas as Communication, Human Resources, Compliance and Financial Controlling, this is really important, those areas are often forgotten and are called for when things go wrong or when recruiting/downsizing is coming up which is too late. These knowledge's have to be part of the program planning and set up. To get things working out in a smooth way with as little disturbance in the daily work as possible, requires a well addressed communication plan, a well worked out strategic HR plan and finally the financial questions dealt with within the program (Financial model aligned with Operating model). Driving change is a lot about communication describing how things will be done.
THREE: Set up the needed work streams/projects and recruit knowledgeable people from relevant areas. The business knowledge is always a crucial area, the more expertise the better. Product/service owners, compliance officers, sales and reference groups (both internal and external) are the key to success. Wanted competencies are often successful in their regular roles and you need to find motivators for these people to join the “uncertainty” of being in a program – incitements needs to be clear.
FOUR: Build a clear business case on why a change should be conducted, this is the major decision base for the Steering of the program. Business case content should be developed by the people closest to the business. How will the deliveries influence silo KPI´s? How will the deliveries contribute to overall strategy, are there new KPI´s to be introduced? In organizational change there are a lot of intangible effects to be calculated on as well, not easy but can and has to be done.
FIVE: Appoint a Program Manager who is following the structure and guidelines of program management, has the capacity to lead and influence the organization and finally to build great empowered teams - It´s the final drive towards a successful change.
Finally the challenge is to identify, develop and nurture program managers with both business knowledge and project management skills and recognize them as important leaders in an organization. Having been a line manager myself I see a clear advantage as the role itself requires skills and know-how in meeting people in all levels of a company. I would like to see more managers to jump in and out of line management- and program/project management roles.
So key to a good setup of Program management is about management and leadership; a good program should consist of a firm steering, internal expertise and informal leaders as well as needed external reinforcements. An organization in change benefits from recruiting people inside who builds trust in representing the values and the culture.
