Gartner 项目组合管理软件的魔方图 2003
Magic Quadrant for Project Portfolio Management, 2003
11 July 2003
Matt Light
Document Type: Research Note
Note Number: M-20-2777
Applications for project portfolio and resource management can boost team
performance, and enable IT management and others to access real-time data via
dashboards for prioritization and rapid decision making.
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What You Need to Know
Heightened interest in integrated project portfolio management solutions has sustained
this market through hard times. By broadening its view of project management to an
organizational governance context, IT management can increasingly address
portfolios of projects, priorities, resources and more.
Analysis
Strategic Planning Assumptions
By 2006, more than 50 percent of all project portfolio management functions will be
packaged as flexibly configurable, modular Web services ( probability).
By 2006, at least 50 percent of IS organizations will have adopted a mix of project
portfolio management application services for managing team collaboration,
allocating resources, and tracking utilization and costs ( probability).
Enterprises will continue to reduce the number of tools needed to manage IT and
other project portfolios, in part to provide quicker visibility via direct rollup and
analysis of portfolio data. Enterprises delivering projects large and small have long
blended tools and manual solutions to allocate resources, schedule activities and
milestones, track progress, share project-related documents, control project risks and
otherwise manage their project portfolios (see "Ways to Speed Up Projects in the
Real-Time Enterprise"). We believe that, during the next five years, project portfolio
management (PPM) functions will be increasingly consolidated in flexible and
configurable "smart suites" of PPM Web services.
A smart enterprise suite can extend platforms to create specialized applications that
integrate analytical, business and content management application functionalities,
which is precisely what's happening with PPM packages (see >"The Future of the
Smart Enterprise Suite"). This trend has been slowly gaining momentum, inhibited by
market conditions and the resulting constraints on R&D. Furthermore, pricing
pressures have mounted because of the tough PPM market (as well as competition
from the Microsoft Project product line), while growth rates for most vendors have
decreased or stopped altogether.
As noted last year (see "2002 Project/Resource Management Magic Quadrant),
application vendors from other areas have also been entering the market and
contributing to growth in this space. Since 3Q02, the vendors of the more-integrated
PPM solutions have struggled, and the competition is heating up (see Figure 1 and
Note 1).
Figure 1
The PPM Magic Quadrant
Source: Gartner Research (July 2003)
Note 1
Evaluation Criteria
Ability to Execute
Vendor viability
Management team
Track record in delivery and support
Functional depth
Support capability
Sales and marketing
Completeness of Vision
Vision of technology and the market
Resourcing (including external)
Consulting/service commitment
Package breadth
Platform, database and ERP support
Team collaboration features
IS organization requirements
Vendors' vision foci differ. Some, such as the enterprise resource planning (ERP)
providers, initially focused on project cost accounting, then added planning,
resourcing and other PPM features. Others (Primavera Systems, for example) focused
first on the latter set of functions, enabling project cost management and exporting
cost accounting data to an ERP back end, and later added ways to collect nonproject
costs, such as work requests. Although approaching PPM requirements with different
strengths, these applications can provide reliable IT project and service status data,
which was formerly available only in fragments (for example, in such static
documents as time reports or resource plans in Excel).
In assembling a complete solution, PPM packages often provide integration to address
gaps or weaknesses in functionality. Another example of integration is the common
dependence on Microsoft Project, while focusing on portfolio analysis, tracking,
resourcing, costing, collaboration or other features and offering project planning (such
as Gantt charts) for those situations when more-detailed scheduling (in Microsoft
Project or alternative schedulers) is not required (see Figure 2).
Figure 2
PPM: Evolution of an Application Suite
Source: Gartner Research (July 2003)
During the past year, developments in the PPM market have included the growing
importance of portfolio features — hence, our reference to it as project portfolio
management, rather than project/resource management (although resource profiling,
leveling and so forth remain significant). IBM has been a growing presence in this
market, as well as at its fringes; it acquired Rational Software last year, as well as
PricewaterhouseCoopers (PwC) Consulting, including its Summit Ascendant product
line, which features tools, IT process support and project management methodology.
More directly in the PPM space, IBM has invested in Systemcorp and has assisted in
the development of Systemcorp's Enterprise PM Office, which shows an accurate
view of market requirements, with an effective breadth of functionality that includes
full scheduling, resourcing, and time and expense reporting. Service request
management and defect-tracking features further support the needs of IS organizations.
Scope management features enable users to integrate project requirements to plan and
automate project document management, including version control and the ability to
link documents to any level of a work breakdown structure.
Built in a Java 2 Platform, Enterprise Edition (J2EE) framework, PM Office's portal
approach enables simpler user configurations than previous releases and also features
a native Enterprise Dashboard, with hundreds of C-level stored procedures, including
many for portfolio reporting. Previously focused on IBM's DB2 database platform,
PM Office now directly supports the Oracle database as well.
An emerging group of "portfolio analysis" vendors has begun offering solutions for
analyzing IT investments and assets, some (such as Pacific Edge Software) as part of
PPM product lines (see "The Gartner Portfolio Management Tool for IT Investment").
Other offerings, although short of being PPM products (see Note 2), are moving to
offer planning, resourcing and other features that approach the PPM market. Among
these emerging tools is Artemis International Solutions' PortfolioDirector (see
"Artemis PortfolioDirector for Managing IT Investments"), which has been a bright
spot for Artemis in recent years as the company has struggled to put its financial
challenges behind it.
Note 2
PPM Processes for Application Support
A PPM application addresses most of the nine processes defined by the Project
Management Institute's Project Management Book of Knowledge: project scope
management, time management (that is, planning or scheduling), cost management,
resource management, quality management, project communications management,
project risk management and project procurement management. The ninth area
enables the integration of these processes, such as for pipeline or other analytics. (See
"Project Portfolio Management (PPM) Applications: Perspective.")
With a profitable quarter to end 2002 (based largely on PortfolioDirector momentum
and cost cutting), Artemis continues to correct its cost structure after acquiring the
bulk of its joint ventures worldwide. With continued strength in product revenue in
Europe, any Artemis comeback is likely to begin there.
Another important portfolio analysis tool is ProSight, an innovative solution that
entered the American market a few years ago. Using a partnering strategy that
involved such vendors as Changepoint, Evolve, PeopleSoft and PlanView, the
ProSight tool enabled vendors to extend their offerings. These partners have typically
developed competing solutions. ProSight has deepened its tool, adding "playbooks" of
dashboards, scorecards, pick lists and forms to target such procedures as IT
service-level management, system retirement, project prioritization and IT inventory
analysis.
Other notable portfolio analysis tools come from Portfolio DecisionWare (an
AXS-One/Tivity partner) and United Management Technologies, which has
developed StratFrames. Both also offer consulting services as a major part of their
businesses. In addition, ProSight has strategically partnered with Fujitsu Consulting
for consulting services in the portfolio management space. Lawson Software and
Changepoint have similar strategic partnerships with Deloitte & Touche, and
PeopleSoft has partnered with Cap Gemini Ernst & Young (CGE&Y).
Since 2Q01, Evolve has increasingly marketed outside its initial professional services
administration (PSA) niche. In addition to product development, the vendor has
targeted IS organizations, especially with its Evolve 6 Portfolio Management version,
which was released in late 2002. In March, Evolve introduced its work request
management solution, which is similar to that offered by PlanView and Changepoint.
These capabilities were among the features that caused Primavera to acquire the
chronically unprofitable Evolve for $13 million in March 2003 (see "Primavera to
Acquire Evolve, Expand Project Management Line").
In the IT and application management space, Kintana — slated for acquisition this
quarter by Mercury Interactive — has rounded out its product line during the last 12
to 18 months, with demand, portfolio, project, program and time management tools
grouped under the banner of "IT Governance." At the same time, Rational's Project
Console dashboard has gained traction in Rational's user base, although it falls short
of being a PPM product.
Along the same lines, PlanView has introduced a set of organizational governance
processes called "Prisms," which it has built into its PlanView Portfolio Management
solution, which was launched at Gartner's Spring Symposium in March. The 11
Prisms are divided into three categories: investments, projects and service. They
include a configurable, prepopulated database of attributes and stage gates for
different initiatives (such as models for a business investment planning effort, a major
development project or a production system support service).
Similarly, Changepoint has pursued a vision blending IT portfolio management with
resource and project planning and tracking, resulting in a partnership with Deloitte &
Touche marketing a "CIO Portal." Now in , the Changepoint product has been
rebuilt on .NET, with added Oracle database support, and it has been converted to
Unicode for ease of translation (a Spanish language version has also been added).
This, along with ongoing enhancement of its request management/help desk-style
features, has increased the proportion of Changepoint's internal corporate IT
customers and prospects to more than 50 percent, while its professional service target
market has slowed purchases.
Microsoft remains a strong presence in the marketplace with its Microsoft Project
product line, which features MSP Standard, Professional, Server and Web Access (see
"Got a Plan? Microsoft Project 2002 Preview") and provides an effective PPM
solution in the Windows and SQL Server environments. Revenue growth for this
product line has enabled additional R&D, which has yielded a Microsoft Project 2003
release that is due in the fall, enhancing synergies with other Microsoft technologies,
including Windows Sharepoint Services, Office and Outlook. Continued work with
Microsoft Solution Partners to address implementation issues provides valuable
experience in addressing enterprise needs.
ERP II vendors continue to target the space, both defensively (to prevent PPM
"midoffice" vendors from expanding their enterprise footprints) and offensively, with
PPM products or features packaged with parts of their application platforms to
address PPM market requirements. Although initially offered to extend their
implementations' project accounting and reporting functionality, some have done
significant acquisitions and development.
Lawson's offering — enhancing its 2001 acquisition of the XML-based Account4
PSA technology — now features portfolio analysis, with consulting support from
Answerthink. Its Service Automation PPM product directly supports SOP 98-1
reporting of application development costs with guidelines for expensing vs.
capitalization. Version 's Smart Notification monitors data from Lawson or
external systems, including the Web, to provide alerts (such as for schedule overruns)
via a variety of devices.
Oracle's new PPM solution, which was introduced in June 2003, extends its
established Oracle Projects module (formerly focused on project costing and billing,
with some recent resourcing features) with three new products: Project Management,
for building work plans, controlling project issues and changes and tracking progress;
Project Collaboration, with a project "workspace" for managing and enabling
real-time issue resolution; and Project Intelligence, for analyzing project data.
PeopleSoft also has an established project accounting module, which has been
extended in recent years with resource management and T&E in its Enterprise Service
Automation (ESA) offering. This also features a Contracts module and a Services
Procurement module, which PeopleSoft hopes to leverage if greater demand for IT
services accompanies an economic recovery. With consulting partner CGE&Y, it also
offers CIO OneSource, a combined PPM product/service for IT.
SAP is approaching the market with new offerings that may challenge the competition
next year: xRPM, a "cross app" for resource and program management that is
positioned as a product targeting internal R&D or IS organizations, and SAP
Professional Services, a customer relationship management (CRM) solution. Similarly,
Denmark-based Maconomy offers vertically differentiated solutions with product
templates that target marketing/advertising agencies, audit/tax consulting and research
organizations, although they do not target internal IT. Epicor Software does not
specifically target IT either, although its Epicor for Service Enterprises software is
adaptable, and it has retooled its product line for Web services delivery via its Internet
Component Architecture.
Another deal of note was Scitor's spin-off last August of its tool business as Sciforma.
Its established PS Suite extends advanced planning, tracking and multiproject
resource leveling via its Project Communicator (which includes Inform, Objects and
Admin modules). Sciforma's new PS Next will go further with workforce skill and
capacity management and the ability to track hours against budgets, along with
state-of-the-art project planning and scheduling. We expect PS Next's new J2EE
framework pricing to drive PPM pricing of flexible, configurable Web services.
With another round of investment ($ million in February) and a return to
profitability, a stabilized Niku may be poised to take advantage of potential economic
rebounds in 2004. On the product front, Niku shipped in 2Q03, featuring portlets
and streamlined navigation of its five main modules — Niku Projects, Portfolio
Manager, Resource Planner, Financial Manager and Niku Workbench — effectively
getting the product in shape. Among its new and upgraded Niku 6 customers are
several implementations of more than 2,000 users (including team members reporting
time/status).
Business Engine's release deepens its budget management, embeds Microsoft
Project, adds more online analytical processing (OLAP) cubes for financial
management and provides new features for external contractor management. The
company has had key implementations at Deutsche Bank, Merrill-Lynch and Delphi
Automotive, and each deployment exceeds 5,000 users. Tenrox also embeds
Microsoft Project for synchronization without import-export, has a strong focus on
T&E and billing, and features an effective workflow tool reminiscent of
process-modeling tools offered by ERP vendors.
There is a significant PPM niche market for enterprises leveraging the IBM/Lotus
Domino platform for PPM purposes. Automation Centre offers TrackerSuite,
featuring resource management, time-tracking Domino-based project collaboration,
document management and workflow. Customers include DuPont and American
Electric Power. Automation Centre also offers a Microsoft-based product. Similarly,
Eden Communications leverages Domino with its ProjecTrak family of products. It
targets IS with a bug tracker, help desk, asset management and software designer
module, among others. Genius Project from the European (Swiss-based) company
Genius Inside features risk and simulation modules.
Key Issues
What project management tools, processes and techniques are required for delivering
high-quality, on-time and on-budget applications?
How will ERP II vendors and markets evolve?
How will enterprises improve the operational efficiency of their e-workplace
infrastructures during the next five years?
How should project/process management groups for an application development
organization be set up, and with what support tools?
What tools and technologies will enable enterprises to operate in real time?
Acronym Key
CGE&Y Cap Gemini Ernst & Young
CRM customer relationship management
EPM Enterprise Project Management
ERP enterprise resource planning
ESA Enterprise Service Automation
J2EE Java 2 Platform, Enterprise Edition
OLAP online analytical processing
PPM project portfolio management
PSA professional services administration
PwC PricewaterhouseCoopers
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