Some types of metrics I have used are capacity
versus demand—for example, resource utilization,
or project take-on rate versus production capacity.
;en there are more ;nancial metrics such as ROI,
net present value, cost-bene;t ratio and cost not to
do. Another metrics area is portfolio health—for
example, progress made in terms of KPIs.
Ms. Nuseibeh: ;ings that don’t get measured
don’t get acted upon. If we think about strategy as a
journey from a departure point to an arrival point,
at any milestone you need to have an indication of
where you are and how likely you are to reach your
destination on time.
Personally, I love earned value metrics and earned
value management metrics—planned value, earned
value, actual cost, schedule performance index, cost
performance index, estimate to complete (time and
cost)—which are very important in terms of trying to assess whether you’re going to get to your
destination. Other metrics include the turnaround
in employees who work on the project—a telltale
sign of how likely the project will be able to deliver.
Whatever metrics you use, however, you want to
make sure they are a combination of leading and
lagging metrics that are well understood by your
team and your stakeholders. If everyone knows
the signi;cance of the metrics, then everyone can
interpret them the same way. And then you have
already established a baseline against which to
measure progress. ;at allows you to establish a
trend moving forward.
How does standardized project and program man-
agement help support organizational strategy?
Mr. Amr: It is imperative for each project management o;ce to de;ne their own form of standardized project management methodology that suits
their line of business. Once they have a standardized
project management methodology, project managers should then cook by the book, which among
many other things secures the alignment of projects’
output with the strategic objectives of the company,
enhances program controlling and monitoring, uni-;es team terminology and increases predictability.
Ms. Nuseibeh: It’s about speaking the same language and driving toward the same destination. If
you follow a standardized project or program management approach, you’re more likely to succeed
than with an ad hoc approach. An ad hoc approach
might get you there, but it might not give you the
same value and the same bene;ts at the same speed.
It’s like having a car built by someone whose
hobby is building cars, versus having a car built by
a manufacturer. PM
“If we think about strategy as a
journey from a departure point to an
arrival point, at any milestone you
need to have an indication of where
you are and how likely you are to
reach your destination on time.”
—Amany Nuseibeh, PMP, formerly at the University of New South Wales,