Archive for April, 2014

PMO Competencies

April 30, 2014  |  No Comments

PMO-CAs far as statistics show, the high-performing PMOs are 3 times more capable of achieving their potential in contributing business value than the low-performing PMOs. A company’s financial performance has more chances of going above average when it has a high-performing PMO team in place. An in-depth research into the PMO framework, and roles and responsibilities of each PMO type has led to the identification of methods that can help increase the competencies of the Project Management Office. To make your PMO team more competent, you must follow these tips:

A culture of project management
Every organization needs to recognize the importance of efficient project/program management. Organizations must also realize how the Project Management Office can help them become more successful. A company needs to give PMO proper credence within its operational business structure in the form of support, tools and management authority. The top executives need to have a thorough understanding of Project Management Office, and how they can use PMO for the successful completion and better delivery of projects.

By creating an organization-wide culture of project management, a company can effectively increase the value PMOs add to the business. However, to make this happen, PMOs need to be provided with clear direction, support and governance. The PMO department must have skilled professionals, and access to higher management.

Continually evaluating PMO performance
To make a project/program successful, the primary goals of the project should be kept in mind. When new priorities are not aligned properly to the strategic goals, the whole project faces the risk of skewing off-course! That is why it is vital that the performance of the PMOs is continually evaluated. PMO professionals must be self critical, and they must assess their work in context of the company’s overall success. that is how PMOs can significantly reinforce business value, and help senior managers understand the contribution they have made.

PMO Performance

April 28, 2014  |  No Comments

PMO-performanceBehind every successful project, there is a major contribution of the Project Management Office. There is no two ways about that! If your business deals with project, program or portfolio management related services, it is highly crucial that you employ a PMO team of skilled professionals who know their trade well. However, simply having a Project Management Office will not help you achieve the desired results after the completion of every project. To see your success graph going uphill, you would need to evaluate the performance of your PMO team.

In order to become successful, one needs to stay true to the goals of a program or project. This is one of the key elements of success that every project manager needs to swear by. However, it is quite easy to lose one’s focus when new scopes emerge and priorities are not aligned in the correct order. When you fail to make priorities according to your strategic goals, the whole project/program faces the risk of skewing off-track. That is why it is so important that PMOs are able to evaluate their performance against the changing roles.

Self-critical PMOs can assess their performance in context of the overall success of their organization. This not only reinforces the business value of the Project Management Office, but it also helps the senior managers understand how the PMOs are contributing to the company’s success. In most cases, the high-performing PMO professionals measure their performance through project owner’s feedback, feedback from the other stakeholders, and feedback from the customers. High performers are also able to make basic evaluations of the projects.

PMO and Business Value

April 25, 2014  |  No Comments

PMO-ImpactBefore you can expect to gain the maximum benefits out of Project Management Office, you must learn how the PMO department can be aligned with the organization’s strategy. The framework of Project Management Office consists of different types of PMO. While some of these types are easier to align with organizational strategies, others are not. There may be a number of reasons behind this, but the primary factors are the perceived role of the PMO type, and whether or not it actively helps the organization achieve its goals. The attitudes of the senior managers and the PMO’s access to board members and chief executives are also crucial in determining how well the Project Management Office can be aligned with the overall strategy of the organization.

Project specific PMO
Among the other PMO types, Project-specific PMO, the temporary entity that is established to support a specific project/program, is known to claim the highest level of business value realization. Almost half of the project specific PMOs have indicated that they have been able to realize their full potential when it comes to contributing value to an organization. Since the project specific PMOs report directly to the chief executives, they are more likely to have a clear understanding of unambiguous direction and project objectives. That is how they are able to fulfill their roles to the best of their abilities.

Enterprise PMO
However, as far as the recent data suggests, there is still plenty of room left for improvement. Less than half of the respondents have agreed that their PMOs have reached the heights of their potential as far as contributing business value is concerned. In this regard, it can be said that the PMO type that has a broader business-wide responsibility and accessibility is more likely to deliver such high values to an organization. The Enterprise PMO, thus, comes close to delivering business value by aligning project outcomes to strategic priorities. As far as statistics go, the EPMO also provides support related to portfolio reporting and strategic alignment.

Summarizing all PMOs

April 24, 2014  |  No Comments

Every company has certain objectives that they want to achieve through PMO. In order to derive the desired results with the help of Project Management Office, you should first understand the PMO frameworks. There are different types of PMO departments available, and each department has a specific set of responsibilities to fulfill. The combined effort of each PMO is what makes the successful completion of a project possible. There are mainly five types of PMO that exists in most companies. These five PMO departments include:

Organizational PMO
The organizational PMO has the responsibility of providing support to the organizational unit strategy. Some of the key areas of project management that these PMOs handle include governance, portfolio management, and operational project support. They may also have to assist the other PMO departments by providing information. Over half of the organizations have an organizational PMO in their company.

Project specific PMO
This PMO department has to provide a range of services related to project/program support. They have to support data management, and coordinate reporting, governance, and administrative activities to provide the project/program team with full support. They may also work with the other PMO entities within the organization. The project specific PMO department is built for a temporary period of time, and their services are required only till the specific project is completed.

Project support PMO
The project support PMO enables processes that support the management of program/project/portfolio work. They provide administrative support to ensure timely delivery of the project/program within its domain. To carry out their responsibilities smoothly, the project support PMO utilizes processes, governance, practices and tools that have been established by the organization.

Enterprise/Organization wide PMO
Being the highest rank of PMO within the company, the enterprise PMO has a number of responsibilities. They align project/program with corporate strategy, establish and ensure appropriate enterprise project/portfolio/program governance, and perform portfolio management activities. They have the key role of influencing the lower-level PMOs. Apart from that, they facilitate effective communication and manage multiple stakeholders.

Center of excellence
This PMO department supports the execution of programs and projects. To ensure smooth operations and timely delivery, the center of excellence has to equip the organization with standards, methodology and tools that enable project managers to deliver their best.

The roles and responsibilities of each of these departments may vary from one organization to another. However, they all seek to achieve the same objective – successful completion of projects within the given timeline.

The original PMI report can be downloaded from here.

Center of Excellence

April 23, 2014  |  No Comments

Center of Excellene PMO

The role of the center of excellence has evolved significantly over the years. What started off as just a functional approach within an organization became so much more as it slowly started to live up to its name. As far as modern project management is concerned, the COE needs to take care of a number of responsibilities. Though their daily tasks vary widely from one organization to another, there are best practices and trends that define the primary functions of the center of excellence in Project Management Office. To understand the importance of COE in project management, you need to take a look at how they improve efficiency of the PMO department.

First and foremost, the center of excellence provides intellectual and educational resources to the project management team so that various functions can be carried out smoothly and efficiently. Within an organization, the COE acts as the body of guides and standards that helps to achieve excellence in various project management operations. By providing tools and methodologies, the COE enables project managers to deliver projects within the given timeline. The center of excellence implements good practices and provides a central point of contact for project managers, and that is how they increase capability of the organization.

In many organizations, the center of excellence is responsible for defining the PMO strategy. Being the primary resource of a company’s intellectual capital, the COE helps project managers in accomplishing their jobs at the present and in the future. In many instances, the center of excellence plays a crucial role in cutting unnecessary costs and increasing profits.

Only few organizations have built a center of excellence in their PMO framework. COE PMO primarily looks after standards, methodologies and processes. But most of their focus remains on process development improvement, methodology definition and metrics definition.

A Center of Excellence aproach is like taking knowledge and efficiency a notch higher