Design the programme |
 This process will develop the Governance controls that will keep the programme on track. Once completed, the programme will have: a. A fully defined Business Case b. Organisational structure for the delivery c. A set of strategies for maintaining control during delivery |
Objective:
The full impact of the programme on business operations should be assessed and the appetite for this level of change confirmed.
Detail:
The purpose of this activity is to undertake a review, confirm that the full impact of the programme is fully understood and that the level of change being proposed is still desirable but, most of all, achievable.
The result of this work should be presented to the Portfolio Board so that they understand the level of change they are authorising.
Governance Structure
Task:
Check funding release plans.
Review the project budgets for viability.
Review the benefit profiles for viability.
Task:
Check funding release plans.
Review the project budgets for viability.
Review the benefit profiles for viability.
Guidance:
The source of most of the costs will be the Programme overhead and the projects, the savings and improvements will come from the benefit profiles.
The business case is the single document against which the success of the programme will be measured, so this is a key activity to get right.
There must be clear decision making authority for management of the business case in place.
This must extend into the project governance so it is clear what the levels of tolerance will be.
The corporate business case approval process must be followed to ensure adequate controls are in place.
There will be a need to brief and engage with external governance groups who will be involved with the decision to ensure that their support is still in place.
Output:
Approved business case
Management Control
Task:
Maintain an audit trail of how the decisions to approve the business case were achieved.
Apply version controls to the business case and contributing information.
Include programme issues into the business case document.
Ensure that the review standards for programme business cases are followed.
Task:
Maintain an audit trail of how the decisions to approve the business case were achieved.
Apply version controls to the business case and contributing information.
Include programme issues into the business case document.
Ensure that the review standards for programme business cases are followed.
Guidance:
This is critical point where controls are critical.
The business case will have contributions from a range of sources, all of these need to be under version and change control because in the future if any of these change then the viability of the business case will change also
Assurance should be used to validate the input information that is used to make the decisions, this information must be reliable otherwise the wrong direction may be taken.
It is likely that there will be many issues to resolve, these must use the issue management strategy with a full audit trail to ensure control is maintained.
The cost of assurance and controls must be identified and included in the business case as part of the programme management costs.
Input:
All governance strategies
All governance plans
Programme Issue Register
Links:
Output:
Full business case under version control
Programme issue register
Benefits Management
Task:
Consolidate the total cashable benefits for the business case.
Consolidate the total non-cashable benefits for the business case.
Check the risk profile of the individual benefits to check viability.
Task:
Consolidate the total cashable benefits for the business case.
Consolidate the total non-cashable benefits for the business case.
Check the risk profile of the individual benefits to check viability.
Guidance:
The full business case will contain the consolidated benefits, which will be drawn from the benefit profiles and the benefits realisation plan should show then the benefits will appear.
For the business case the main justification is likely to be based on cashable benefits and there is likely to be a bigger challenge to numbers at this point, as the costs and savings are coming together formally.
Being able to attribute the benefits to specific activities is very important as is individual ownership or the benefits, so that there is a line of accountability visible.
Risk rating estimates to ensure that there is an understanding of the levels of risk associated with the benefits projections will help to build confidence and understand the risks.
Input:
Benefits Realisation Plan
Benefit Profiles
Documents:
Links:
Output:
Business case benefits defined
Stakeholder Management
Task:
Develop a budget to cover communications activities in the programme.
Communications relating to business case information dissemination should be developed and delivered.
Task:
Develop a budget to cover communications activities in the programme.
Communications relating to business case information dissemination should be developed and delivered.
Guidance:
There may be a need for external agency support to develop communications materials and/or establishing a communications specialist within the team – this is the point where the costs should be accumulated and included in the business case.
The other side of this is communications of information relating to the programme business case, there may be specific approval routes where comments are needed from key corporate groups or external stakeholders, which should be included in the communications plan, with expectations being managed and feedback processed.
Output:
Communications budget included in the business case
Programme Communications plan updated
Communications events
Planning
Task:
Define the milestone plan.
Confirm the viability of the proposal timescales and that they are not over optimistic.
Project budgets should be formalised for inclusion in the programme business case.
Task:
Define the milestone plan.
Confirm the viability of the proposal timescales and that they are not over optimistic.
Project budgets should be formalised for inclusion in the programme business case.
Guidance:
The project should outline how it will achieve the planning standards and use the planning cycle.
The PID should include the estimated time to achieve each of the milestones in the lifecycle, with a commentary as appropriate.
This is the point where the project budgets will be set as their contribution to the overarching programme budget.
The business case will be reviewed at the end of each tranche and updated, there may be ambiguity about the projects in later tranches, but the budgets around current live projects and those that are about to be initiated after Decision Gate 4 should have as much certainty as possible.
Output:
Risk & Issue Management
Task:
Refine the programme risk profile.
Update the financial risks and their potential value.
Review aggregated project risks and their financial impact.
Define the required risk budget.
Task:
Refine the programme risk profile.
Update the financial risks and their potential value.
Review aggregated project risks and their financial impact.
Define the required risk budget.
Guidance:
The project should be complaint to the risk management standards in the framework and how the risk management cycle will be used by the project.
The risk profile of the project should be included in the business case, this should be a contributing factor to the management controls, the higher the risk the higher the level of control.
Output:
Business case risk sections completed
Resource Management
Task:
Approve resource management strategy.
Approve resource management plan.
Refine the resource plan based on any changes resulting from this review.
Confirm with internal and external suppliers the resource profile and plan in the business case.
Task:
Approve resource management strategy.
Approve resource management plan.
Refine the resource plan based on any changes resulting from this review.
Confirm with internal and external suppliers the resource profile and plan in the business case.
Guidance:
At this point, the resource management plan is finalised and adopted within the business case as one of the key areas of financial expenditure.
The strategy and plan will come under a lot of scrutiny at this point as it is a key cost element, so expect plenty of challenge.
Resource management also includes the partners and supply chain anticipated in the delivery process. It also thinks about where and when they will be required. This resource plan should be linked to the milestones to show what resources you will need and when.
The projects should be compliant to the resource management standards in the framework and demonstrate how the resource management cycle will be used by the project.
Input:
Resource Management Plan
Resource Management Strategy
Links:
Output:
Resource budget
Resource expenditure plan
Finance and Business Case
Task:
Define the budget.
Undertake Independent assurance of cost estimates.
Task:
Define the budget.
Undertake Independent assurance of cost estimates.
Guidance:
The project should be compliant to the finance management standards in the framework and how the resource management cycle will be used by the project.
The source of funds should be explained and where and when the expenditure is likely to occur, the Stages should be used as the basis for this.
Large elements of the costs will not be known yet however information on the current costs of services or operational delivery should be included for later comparison.
Output:
Full Business Case
Commercial
Task:
Refine the commercial plan based on any changes resulting from this review
Task:
Refine the commercial plan based on any changes resulting from this review
Guidance:
The procurement plan should be stable, however there may be implications that arise in the business case. For example, cash flow requiring earlier or later deals to be done. If so, this is the point where it should be changed.
Input:
Output:
Refine the procurement plan
Vision & Blueprint
Task:
Use review to validate the vision and that the blueprint is still the right one
Task:
Use review to validate the vision and that the blueprint is still the right one
Guidance:
The designed programme should meet the Vision, if it does not then the Vision or the Programme may be invalidated. Check that the ‘As Is’ assessment has not changed. Is the business starting point still the same?
Development work could have been going on for months, or even years, so the baselines may have changed. Check that any other changes are not endangering the ability to achieve the Blueprint. Check that there have been no other changes that might change the preferred Blueprint future state.
Input:
Output:
Senior Responsible Owner
Task:
Check that any assumptions have been tested thoroughly and that the business can still cope with this level of change.
Task:
Check that any assumptions have been tested thoroughly and that the business can still cope with this level of change.
Guidance:
It is important during re-validation to ensure that the programme is not too ambitious for the organisation, and that you have the capacity and capability to deliver it before you authorise its launch.
Input:
Output:
Theme tasks for Senior Responsible Owner:
Governance Structure
Task:
Check funding release plans.
Review the project budgets for viability.
Review the benefit profiles for viability.
Guidance:
The source of most of the costs will be the Programme overhead and the projects, the savings and improvements will come from the benefit profiles.
The business case is the single document against which the success of the programme will be measured, so this is a key activity to get right.
There must be clear decision making authority for management of the business case in place.
This must extend into the project governance so it is clear what the levels of tolerance will be.
The corporate business case approval process must be followed to ensure adequate controls are in place.
There will be a need to brief and engage with external governance groups who will be involved with the decision to ensure that their support is still in place.
Inputs:
Links:
Outputs
Business Change Manager
Task:
Review the programme blueprint to confirm the viability of the change and the plans to achieve it.
Task:
Review the programme blueprint to confirm the viability of the change and the plans to achieve it.
Guidance:
Do you have the resources to deliver the change and the support of your organisation? You need to check that the key decision makers appreciate the extent of the changes and support it.
Input:
Output:
Theme tasks for Business Change Manager:
Benefits Management
Task:
Consolidate the total cashable benefits for the business case.
Consolidate the total non-cashable benefits for the business case.
Check the risk profile of the individual benefits to check viability.
Guidance:
The full business case will contain the consolidated benefits, which will be drawn from the benefit profiles and the benefits realisation plan should show then the benefits will appear.
For the business case the main justification is likely to be based on cashable benefits and there is likely to be a bigger challenge to numbers at this point, as the costs and savings are coming together formally.
Being able to attribute the benefits to specific activities is very important as is individual ownership or the benefits, so that there is a line of accountability visible.
Risk rating estimates to ensure that there is an understanding of the levels of risk associated with the benefits projections will help to build confidence and understand the risks.
Inputs:
Documents:
Links:
Benefits Management Techniques Page
Outputs
Stakeholder Management
Task:
Develop a budget to cover communications activities in the programme.
Communications relating to business case information dissemination should be developed and delivered.
Guidance:
There may be a need for external agency support to develop communications materials and/or establishing a communications specialist within the team – this is the point where the costs should be accumulated and included in the business case.
The other side of this is communications of information relating to the programme business case, there may be specific approval routes where comments are needed from key corporate groups or external stakeholders, which should be included in the communications plan, with expectations being managed and feedback processed.
Inputs:
Documents:
Communications Planning how2guide
Links:
Stakeholder Management Techniques Page
Outputs
Programme Manager
Task:
Check that the operating model is still valid after the assessment.
Task:
Check that the operating model is still valid after the assessment.
Guidance:
Some key checks are that the information in the Blueprint is current, the starting point is still the same or have the goal posts already moved? Checking that funds are going to be available and that control points for the programme are clearly defined will also help assure delivery.
Input:
Output:
Theme tasks for Programme Manager:
Management Control
Task:
Maintain an audit trail of how the decisions to approve the business case were achieved.
Apply version controls to the business case and contributing information.
Include programme issues into the business case document.
Ensure that the review standards for programme business cases are followed.
Guidance:
This is critical point where controls are critical.
The business case will have contributions from a range of sources, all of these need to be under version and change control because in the future if any of these change then the viability of the business case will change also
Assurance should be used to validate the input information that is used to make the decisions, this information must be reliable otherwise the wrong direction may be taken.
It is likely that there will be many issues to resolve, these must use the issue management strategy with a full audit trail to ensure control is maintained.
The cost of assurance and controls must be identified and included in the business case as part of the programme management costs.
Inputs:
Links:
Management Control Techniques Page
Outputs
Risk & Issue Management
Task:
Refine the programme risk profile.
Update the financial risks and their potential value.
Review aggregated project risks and their financial impact.
Define the required risk budget.
Guidance:
The project should be complaint to the risk management standards in the framework and how the risk management cycle will be used by the project.
The risk profile of the project should be included in the business case, this should be a contributing factor to the management controls, the higher the risk the higher the level of control.
Inputs:
Documents:
Links:
Risk & Issue Management Techniques Page
Outputs
Resource Management
Task:
Approve resource management strategy.
Approve resource management plan.
Refine the resource plan based on any changes resulting from this review.
Confirm with internal and external suppliers the resource profile and plan in the business case.
Guidance:
At this point, the resource management plan is finalised and adopted within the business case as one of the key areas of financial expenditure.
The strategy and plan will come under a lot of scrutiny at this point as it is a key cost element, so expect plenty of challenge.
Resource management also includes the partners and supply chain anticipated in the delivery process. It also thinks about where and when they will be required. This resource plan should be linked to the milestones to show what resources you will need and when.
The projects should be compliant to the resource management standards in the framework and demonstrate how the resource management cycle will be used by the project.
Inputs:
Links:
Resource Management Techniques Page
Outputs
Finance and Business Case
Task:
Define the budget.
Undertake Independent assurance of cost estimates.
Guidance:
The project should be compliant to the finance management standards in the framework and how the resource management cycle will be used by the project.
The source of funds should be explained and where and when the expenditure is likely to occur, the Stages should be used as the basis for this.
Large elements of the costs will not be known yet however information on the current costs of services or operational delivery should be included for later comparison.
Inputs:
Links:
Finance & Business Case Techniques Page
Outputs
Portfolio Office
Task:
Ensure that the impact of changes are reflected across the governance documentation.
Task:
Ensure that the impact of changes are reflected across the governance documentation.
Guidance:
Any business performance data available to support this final validation should be used to understand the impact and risk.
Input:
Output:
Theme tasks for Portfolio Office: