P3M3® v3.0 is – in the world of best practice guidance – the “big one”.
This latest version, the newest since 2008, will provide PPM consultants and organizations they work with the evidence for whether projects, programmes and portfolios are working or not and their return on investment.
The level of insight offered by P3M3 v3.0 has been made possible only through two years of intensive review, beta testing in major organizations and a highly-experienced review team.
Where deployed, it will:
- Enable organizations to invest in improvements more effectively and show value more clearly.
- Make projects more predictable and reliable – fundamental to project management.
- Reduce waste – especially for organizations currently missing project targets by 30-50%.
- Increase an organization’s confidence in PPM and therefore attract further investment.
- Help create a consistent PPM language across an organization and create a more structured approach.
- Give organizations a higher level of PPM maturity, and therefore reliability, to aspire to.
The new array of benefits available through P3M3 has been built on a greater understanding of what makes organizations tick, gained from over 500 P3M3 assessments carried out since 2008. But that’s not to say the previous model wasn’t effective: it enabled institutions to pinpoint their PPM strengths, weaknesses and recommend improvements. And it worked – for example, the model enabled Transport for London to save up to £1bn over five years.
However, apart from P3M3 reaching its natural review cycle, it was clear that the industry has moved on. The assessment needed to reflect new techniques being adopted, such as agile. People wanted to know more about what was either enabling or stifling performance in projects and programmes; this required a greater focus on obtaining diagnostic information.
Where organizational problems exist at a deeper level the new model will bring a more structured approach to the diagnosis, and provide a richer report on which to base improvement plans.
P3M3 now has more breadth. It will tackle the issue of behaviour among leaders, something which affects the success of improvements. For example, if sponsors are willing to abandon processes during a project or programme, this will set the scene for an inconsistent team approach which needs to be highlighted. P3M3 v3.0 also deals with other new areas including management of assets and commercial factors, largely procurement.
In practical terms, there are three tiers to P3M3 v3.0:
- This time the model is accompanied by guidance on how to plan assessments, what to do with the results and how to select an external partner.
- There is a revised and improved self-assessment tool.
- An expanded consultants’ toolkit will help them gather deeper analysis to help their clients understand and interpret the assessment results.
By signing up to the P3M3 model, consultants and organizations are ultimately shaping a change programme. It means changing processes, people, tools and technology, the significance of which shouldn’t be – but often is – underestimated. If implemented poorly, companies can end up with processes that nobody uses and benefits that aren’t realized.
Adopting the new model will help organizations see how using best practice – such as PRINCE2® and MSP® - is affecting their level of maturity, how their people are developing and how well they are utilizing their best practice capability.
And in a growing trend for public sector projects to insist on P3M3 in the tender process, private sector companies can use P3M3 as an independent benchmark for how good they are. The Australian Government is one organization that has already mandated the model, including the obligation for departments bidding for investment to include their P3M3 assessment with a bid.
Organizations considering whether to spend money on a company’s services can rely on P3M3 to confirm its level of maturity; and a mature organization, with its more advanced level of predictability and reliability, is a much more desirable choice.
Keep an eye out for more information regarding the latest version coming soon.
Visit our P3M3 Best Practice Solutions pages for more information about the maturity model.