Project Management Process Maturity (PM)2 Model
    (Berkeley PM Maturity Model)
     
    by
    Young Hoon Kwak, Ph.D.
    and
    C. William Ibbs, Ph.D.
    213 McLaughlin Hall
    Department of Civil Engineering
    University of California at Berkeley
    Berkeley, CA 94720

     
 
 
     Figure. 5 Level Project Management Process Maturity (PM)2 Model

     
    • Description of The 5 Level Project Management Process Maturity (PM)2 Model
     
      The 5-Level (PM)2 Model evolves from a functionally-driven organization to a project-driven organization.  The usage of this 5-Level (PM)2 Model is to determine and to position an organization’s relative PM level with other organizations.  It consists of what are the major characteristics, factors, and processes of each (PM)2 level.

      The primary purpose of the 5-Level (PM)2 Model is to use as a reference point or a yardstick for an organization applying PM practices and processes.  This 5-Level (PM)2 Model further suggest an organization’s application expertise and the organization’s use of technology, or it might produce recommendations on how to hire, motivate, and retain competent people.  It can also provide and guide necessary processes and requirements for what is needed to achieve a higher PM Maturity level.  The following subsections describes each level in more detail.


    • LEVEL 1: AD-HOC STAGE

    • At the Ad-Hoc Stage, there are no formal procedures or plans to execute a project.  The project activities are poorly defined and cost estimates are inferior.  PM-related data collection and analysis are not conducted.  PM processes are totally unpredictable and poorly controlled.  There are no formal steps or guidelines to ensure PM processes and practices.  As a result, utilization of PM tools and techniques is inconsistent and applied irregularly if at all.

       Organizations at Level 1 are functionally isolated and are not familiar with the PM concept or the project-oriented organizational structure.  Moreover, senior management does not understand key issues of PM.  Therefore, the project’s success depends on individual efforts rather than the implementation of effective PM processes.  Overall, the project lacks the disciplined process that PM affords.  A Level 1 organization can be described as trying to establish a basic PM process.


    • LEVEL 2: PLANNED STAGE

    • At the Planned Stage, informal and incomplete procedures manage a project.  Some of the PM problems are identified but these problems are not documented or corrected.  PM-related data collection and analysis are informally conducted but not documented.  PM processes are partially recognized and controlled by project mangers.  Nevertheless, planning and management of projects depend on individuals.

      The organization at Level 2 is more team-oriented than Level 1.  The project’s basic commitments are understood by the project team.  This organization possesses a strength in doing similar and repeatable work.  However, when the organization is presented with new and unfamiliar projects, the organization confronts major chaos in managing and controlling the project.  Level 2 PM processes are efficient in individual project planning.


    • LEVEL 3: MANAGED STAGE

    • At the Managed Stage, PM processes become partially formal and demonstrate a basic project planning and control system.  Most of the problems regarding project management are identified and informally documented for project control purpose.  PM-related data are collected across the organization for project planning and management.  Various types of analyzed trend data are shared by the project team to help it work together as an integrated unit.

      An organization at Level 3 concentrates on systematic and structured project planning and control.  Project groups work together to manage the projects efficiently.  People are trained to understand and to apply PM skills and practices.  This organization works hard to integrate cross-functional teams to form a project team.


    •  LEVEL 4: INTEGRATED STAGE

    • At the Integrated Stage, PM processes are formal and information and processes are documented.  The organization at Level 4 can plan, manage, integrate, and control multiple projects efficiently.  PM processes are well defined, quantitatively measured, understood, and executed.  PM process data are standardized, collected, and stored in a database to evaluate and analyze the process effectively.  Also, collected data are used to anticipate and prevent adverse productivity or quality impacts.  This allows an organization to establish a foundation for fact-based decision making.

      A Level 4 organization can conduct multiple project planning and control.  Also, a strong sense of teamwork exists within each project and within project teams.  PM training is fully planned and is provided to the entire organization according to the respective role of people in the project team.  Integrated PM processes are fully implemented at this level.  Level 4 organizations succeed in planning and controlling multiple projects in a professional matter.


    • LEVEL 5: SUSTAINED STAGE

    • At the Sustained Stage, PM processes are continuously improved.  Problems associated with applying project management are fully understood and eliminated to ensure project success.  PM data are collected automatically to identify the weakest process elements.  This data is then rigorously analyzed and evaluated to select and to improve the PM processes.  Innovative ideas are also vigorously pursued and organized to improve an organization’s PM processes and practices.

      Organizations at Level 5 are involved in the continuous improvement of PM processes and practices.  Each member of the project team spends efforts to maintain and to sustain the project-driven environment.  Project teams are dynamic, energetic, and fluid to achieve project-oriented, project-centered organization.


    • DISCUSSIONS ON THE 5-LEVEL (PM)2 MODEL

    • Based on the 5-Level (PM)2 Model, an organization evolves from a less PM-sophisticated organization to a highly project-oriented organization.  This does not necessarily mean that at level N+1, all the characteristics of level N are fully implemented.  At level N+1, an organization has the capability to choose selectively the proper and eligible PM practices or tools that are suitable for a given project.

      For example, assume that scheduling techniques evolve from drawing simple bar charts, to developing project network diagrams, to conducting a complex simulation for resource optimization.  An organization that has a high PM level does not always have to conduct expensive simulation or resource leveling to find an optimal schedule and resources using highly sophisticated PM tools.  At higher PM level, an organization can apply eligible sets of PM processes and requirements based on the nature or complexity of a project.


    •  Other related Research in Project Management:
      •   Benchmarking "Project Management Best Practices"
       
      •  Project Management's Return on Investment (ROI)

    • Detail information can be obtained from:
     The Benefits of Project Management-
    Financial and Organizational Rewards to Corporations
      by
      C. William Ibbs, Ph.D.
      and
      Young-Hoon Kwak, Ph.D.
       
      Sept. 1997
      PMI Publications
      90 pages.
      ISBN:1-880410-32-X.
       
       
       

    • For Further Information, please send e-mail to Young Hoon Kwak, Ph.D. or  C. William Ibbs, Ph.D.
    copyright © 1997-2000 by Professor Young Hoon Kwak, Ph.D. and Professor C. William Ibbs, Ph.D.