Scribd
Upload
402 views

Implementing A Project Management Office - PMO - v1.2

The document proposes a PMO to address shortcomings in project management by integrating common processes, prioritizing projects based on strategy, and ensuring projects deliver maximum business value. It outlines current issues like a lack of alignment between projects and strategy. A PMO could link strategy and execution through governance, reporting, and establishing a project management practice. The document provides a roadmap for analyzing needs

Uploaded by

loredhana
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
402 views

Implementing A Project Management Office - PMO - v1.2

The document proposes a PMO to address shortcomings in project management by integrating common processes, prioritizing projects based on strategy, and ensuring projects deliver maximum business value. It outlines current issues like a lack of alignment between projects and strategy. A PMO could link strategy and execution through governance, reporting, and establishing a project management practice. The document provides a roadmap for analyzing needs

Uploaded by

loredhana
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 22

Implementing a value-driven

Project Management Office

a business value proposition for integrating


Project Management as a core capability across
VIG Romania
Topics

 Project Management: existing situation


 The missing link: PMO
 Roadmap for a successful PMO
implementation
Project Management:
existing situation without a
PMO
Project Environment

 Projects are executed in isolation, across various


business units
 Different approaches in managing projects across the
enterprise
 Lack of common understanding/ language:
 Link between business strategy and projects
 Project Management terminology
 Project business value
Expectations

 Business Executives
 Better connection between business goals and
projects results
 More value with less resources
 Project Managers
 Common approach on managing projects
 Enough resources
 Functional/ Unit Managers
 Better control of resources
 Improved reporting capabilities
Overall conclusion

 Projects are not delivering maximum value to the


organization
 Project Management is not yet a core business practice
across the enterprise
 Executives don’t perceive Project Management as a
business enabler
 There is a missing link between project execution
environment and business strategy
The missing link: PMO
Solution: PMO is the VALUE LINK

Corporate/ Division
Strategy
Governance and
Project Alignment
Prioritization

PMO Project Portfolio Board

Consolidated Reporting

Project Execution
Environment
What is a PMO?

 Chartered organizational structure: “Dept. of Project Mgmt.


Practice”
 Set of processes
 Functional model of the PMO
 Project and Portfolio Mgmt. methodologies
 Process Assets Library
 Pool of resources (project managers, tools and applications)
 Competency Center (training, coaching. Technical support for
Project Managers)
 “executive cockpit” – top management vehicle for decision
making
Major components of a PMO

know-how
Processes, models,
Tools, resources and
infrastructure

PMO
People, behavior
and organizational and support
culture Strategy, commitment
PMO’s Mandate

 Maximize project benefits


 Connect strategy with tactics
 Implement rigorous PM practice across the organization
 Integrate:
 Processes and practices
 People
 Departments/ organizational structures
A Typical standard PMO Model
Key Functions of the PMO

 Project Portfolio Management Support


 Prioritization and operations planning/forecasting
 Project Management Training and Mentoring
 Resource Management – Gaps, Recruiting, & Skills Competency
 Leadership - Key Projects
 Project Management Processes & Methodology
 PM Metrics/Reporting
 Project Management Tools
 PMI or Company Specific PM Certification
 Just-in-time support to project needs
 Project Startup Assistance
 Proposal Support
 Risk Assessments
 Project Change Management
 Support
 Project Recoveries/Rescues
 Project Assessments
Roadmap for a successful
PMO implementation
PMO Conceptual Lifecycle
Most successful PMO implementations go through these four
main phases—and repeat as necessary

Analysis

Design and
Evaluation
Planning

Implementation
Implementation phases (high level)

Gap Analysis Design and Build Operate


1. Understand current 1. Select PMO model 1. Perform assigned
status functions:
2. Design functional
2. Document model A. Process
requirements and development
3. Issue PMO Charter
expectations and deployment
4. Assign
3. Validate alignment B. Consolidated
responsibilities and
with business performance
authority
strategy reporting
5. Develop processes
4. Document constraints C. Training center
(PAL)
and assumptions
6. Select software tools D. Audit
2. Provide feedback for
7. Develop capabilities
Portfolio Management
based on functional
model 3. Integrate business
8. Establish budget and processes
cost/revenue model 4. Organizational
integration
(vertical/horizontal,
internal/external)
Typical timeline
Duration may vary based on specific conditions

3 months 6 months 12 months 6 months

Project Design
kick-off
Deployment
Assessment
and validation

Validate Approve PMO up and


analysis concept and running
Gap report, PMO detailed plans
Analysis Charter, High-
level Plan
Continuous
Improvement
Critical success factors

 Executive’s involvement and commitment: continuous


 Right (balanced) positioning within the organizational
hierarchy – sufficient authority
 Choosing appropriate PMO type for the given business
model
 Access to adequate competencies, skills and know-how
in building a PMO
Questions?
Backup
Two major types of PMO

 Cost Control Model


 Focused on reducing cost an delivering on-time
 Limited or no impact on project alignment
 Performs only on the project execution level
 Limited or no visibility to executive management
 Throughput Model – The Return of Investment (ROI)
engine
 Focus on business value maximization
 Business integrator (horizontal/vertical, internal/
external)
Benefits of the Throughput Model

 More projects with the same resources (20%-50%)


 Reduced completion time (up to 25%)
 Increased business performance (depending on selected
KPIs)
 Allows for more accurate measurement of the PMO value
across the organization (both top and bottom levels)
 Increased forecasting capability
 Agility –responsiveness to the changing environment

You might also like