Program Management for Improved Business Results, 2nd Edition

Chapter 12Transitioning to Program Management

Organizational transformation is a challenging endeavor. Transitioning to a program-oriented organization is no different. In Chapter 1 we introduced the program management continuum as a way to demonstrate the variations in the use of program management within companies today. At the center of the continuum is an important point that we refer to as the point of transition. This is a philosophical decision point where the senior leaders of an organization make a purposeful decision to transition their organization from being primarily project-oriented to being program-oriented.

A transition to program management can yield significant improvement in a firm's ability to achieve their strategic objectives, competitive position, and financial returns. To realize such improvement requires an awareness, willingness, and commitment to change the organization's culture, overcome internal politics, and establish a new mindset regarding roles, responsibilities, and functions. Crossing the transition point to become a program-oriented organization can affect all levels of management and employees. It changes the rules of engagement, decision-making hierarchies, teams and team structures, and requires competencies different than those prevalent in traditional project-oriented organizations.

Our experiences in leading organizations through this transformation have revealed several key factors that must be managed for success, including:

• First ...