Some Project Management Offices (PMOs) never get off the ground. I've seen others that are started and a year or so later die a slow painful death. So, how can you build a PMO you can be proud of, one that thrives?
Why Are There So Many Troubled PMOs?
No one intends to build an impotent PMO, but it happens. The PMO lacks power and effectiveness. Therefore, people see the PMO as a hindrance, not an enabler.
Let's look at five ways we can improve vitality and provide value to our organization.
"There is only one way to avoid criticism: do nothing, say nothing, and be nothing." –Aristotle
Five Keys to Successful PMOs
1. PMO Sponsorship. Without a strong, influential sponsor, the PMO is doomed. Don’t have a sponsor? Then don’t create a PMO. Because you will be fighting an uphill battle, one that you will likely lose.
2. Clarity. Define specific, measurable goals. How will you measure the success of the PMO? What are the Key Performance Indicators?
The PMO leader should also be clear about the type of PMO being implemented. The Project Management Body of Knowledge (PMBOK) describes three types of PMOs:
- Supportive – provide support to project managers in a consultative role. Provide templates, training, best practices, and lessons learned. Control is low.
- Controlling – require project managers to follow a project management framework or methodology using specific tools and templates. Control is moderate.
- Directive – projects are managed by project managers in the PMO. Control is high.
Since clarity is essential to success, you must continuously cast the vision of where you are going, how you get there, and why you are going there.
3. Alignment. Define a process to ensure projects align with the organization’s mission and goals. What criteria will be used to select projects?
For example, the project selection criterion might include:
- Strategic importance: Does the project tightly link with the strategic plan?
- Financial viability: Does the project contribute to the financial success of the organization? Is the project profitable?
- Flexibility: Does the project provide business and technical flexibility to accommodate future changes?
- Risk: How high is the risk? What is the project risk score?
- Regulatory compliance: Is the organization required legally to comply with new regulations?
Kill non-value added projects. Transfer resources to value-added projects. Certainly, resource management across the project portfolio is a critical success factor.
Some organizations also use a gate review process. At certain stages of each project, the project is reviewed to ensure continuous alignment.
4. Execution. Teach project managers to use a scalable project management framework or methodology. Provide templates to aid project managers in their execution. Another tip, offer to mentor and support project managers during the execution of their projects.
5. Continuous Improvement. Evaluate the framework, tools, techniques, templates, as well as the projects. Develop and maintain lessons learned.
How to Jump-Start a PMO
Thinking about starting a PMO? I recommend that you develop a project charter with your project sponsor and key stakeholders. Define the problems you wish to overcome, goals, deliverables, assumptions, constraints, and top risks to a successful implementation. You can build a PMO that you are proud of through early collaboration with your stakeholders, persistent leadership, and staying focused on delivering value to your organization. Best wishes!
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