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Setting up
Project Management Office

by Dmitry Bekinin
+38 (050) 388 49 17
dmitry@bekinin.com

April, 2011
1. Overview

Project Management Office (PMO):
1.More common in past with very large programs
2.Coincides with the rise of project management awareness
3.Many companies implemented with Y2K
4.Entered mainstream as a way to better manage and control projects
5.Still more common in IT organizations

www.bekinin.com
1. Overview

Types of PMO:
Type I: - Project Reporting
Type II: - Project Management Infrastructure
Type III: - Coaching and Training Center
Type IV - Resource Center / Center of Excellence
Responsible for project success

www.bekinin.com
1. Overview

The value of Project Management Office (PMO):
Better predictability for cycle time and costs
Improved quality of product deliverables

Early identification and proactive management of project issues
and
risks
Better containment and management of project scope
Reduced time to get up to speed on new projects

www.bekinin.com
1. Overview

The value of Project Management Office (PMO):
Provides one-stop view of project status
Develops and deploys common project management
methodology
Determines skill gaps and areas of training focus
Accelerates adoption of project management through training
and coaching

www.bekinin.com
Basic PMO Services
2. Basic PMO Services

Consolidate status reporting
Basic PMO service
Provides consolidated view of all project status

High level
Follow-up with individual project teams for more details

www.bekinin.com
2. Basic PMO Services

Project dashboards
Graphic, visual display
Charts and graphs for overall status and trends

One line status per project –green/yellow/red
Drill down on each project for full status

www.bekinin.com
2. Basic PMO Services

Methodology Management
One of the basic PMO responsibilities
Consistent and common project management methodology
• Processes
• Procedures
• Best Practices
• Templates
• Examples
• Standards and guidelines
Make sure the methodology is scalable

www.bekinin.com
2. Basic PMO Services

Competency Enhancement: Project Management Coaching
Usually one-on-one or small group
Advice is based on coach training and experience and is
specific to the people being coached
Need to “touch”the person, so best if done in person

www.bekinin.com
2. Basic PMO Services

Project Audits
Validate compliance
Provides opportunity for coaching

Use quality assurance techniques
Don‟t have to audit every project

www.bekinin.com
2. Basic PMO Services

Document Repository
Need a place to house documents
Can„t reuse prior work if you can‟t find it

Include methodology, PMO documents, and well-done
examples of completed work
Can be automated tool or file directory
Track repository usage

www.bekinin.com
2. Basic PMO Services

Metrics Collection
Project focused and PMO focused
Project management value focused

Organization scorecard focused
Benchmarking

www.bekinin.com
2. Basic PMO Services

Organizational Assessments
Periodically determine progress of PM implementation
• Look at all services offered
• Analyze all metrics and feedback
• Summarize project audits
Compare against first and prior assessment
Validate the value of implementaion so far
Adjust plans as appropriate

www.bekinin.com
Advanced PMO Services
3. Advanced PMO Services

Designing a project management career path
Collecting project metrics for improved estimating and process
improvement
Defining project time-reporting requirements
Providing product management for PM tools
• Plan and implement
• Manage contracts, licenses and finances
• Coordinate release management

www.bekinin.com
3. Advanced PMO Services

Establishing a portfolio management process
Portfolio management
• Improved resource allocation
• Improved alignment of the work
• Improved balance of work
Portfolio management and the PMO
• PMO sees all projects
• PMO serves as a central coordination organization
Common resource pool
• Skills inventory
• Current assignments
• Project end-dates

www.bekinin.com
PMO Services
Implementation
4. PMO Services Implementation

Many models for implementation
Use one that makes sense for your organization

Deploy in “waves”or phases
Don‟t implement too much change at once
Deploy most important priorities first

www.bekinin.com
4. PMO Services Implementation

First Phase
Plan and manage as a project
Build overall communication plan
• Multiple aspects of communication
• Understand and satisfy target audience
Focus on the basics
• Define the project (Project Definition / Charter)
• Plan the project (workplan / schedule)
• Manage the project (Project Management Procedures)

www.bekinin.com
4. PMO Services Implementation

Second Phase examples
Second wave training
More sophisticated common processes and techniques
PMO review of all Project Charters
Project management support organization
Align organizational objectives and rewards systems
Project audits
Project management tools
Repository of project management documents
Key learning to derive best practices
New organization assessment

www.bekinin.com
Common problems
and
best practices
5. Common problems

Setting up processes and expecting everyone to follow them
Expecting everyone in the PMO to be an expert

Making all projects follow the same approach
Not having the staying power
Not creating a support organization
Poor communication
Weak sponsorship
Trying to do too much with too little
Focusing on PMO activities and not value

www.bekinin.com
5. Best Practices

Implementation best practices
Treat as a culture change initiative

• Resistance to change is normal
• Be aware of logical and emotional resistance
Show some results as quickly as possible
Treat implementation is a process and a project (s)
Sponsor at highest level
Have multi-year staying power
Be open to new ideas from the organization

www.bekinin.com
Questions?

Dmitry Bekinin
dmitry@bekinin.com

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How to Set Up a Project Management Office

  • 1. Setting up Project Management Office by Dmitry Bekinin +38 (050) 388 49 17 dmitry@bekinin.com April, 2011
  • 2. 1. Overview Project Management Office (PMO): 1.More common in past with very large programs 2.Coincides with the rise of project management awareness 3.Many companies implemented with Y2K 4.Entered mainstream as a way to better manage and control projects 5.Still more common in IT organizations www.bekinin.com
  • 3. 1. Overview Types of PMO: Type I: - Project Reporting Type II: - Project Management Infrastructure Type III: - Coaching and Training Center Type IV - Resource Center / Center of Excellence Responsible for project success www.bekinin.com
  • 4. 1. Overview The value of Project Management Office (PMO): Better predictability for cycle time and costs Improved quality of product deliverables Early identification and proactive management of project issues and risks Better containment and management of project scope Reduced time to get up to speed on new projects www.bekinin.com
  • 5. 1. Overview The value of Project Management Office (PMO): Provides one-stop view of project status Develops and deploys common project management methodology Determines skill gaps and areas of training focus Accelerates adoption of project management through training and coaching www.bekinin.com
  • 7. 2. Basic PMO Services Consolidate status reporting Basic PMO service Provides consolidated view of all project status High level Follow-up with individual project teams for more details www.bekinin.com
  • 8. 2. Basic PMO Services Project dashboards Graphic, visual display Charts and graphs for overall status and trends One line status per project –green/yellow/red Drill down on each project for full status www.bekinin.com
  • 9. 2. Basic PMO Services Methodology Management One of the basic PMO responsibilities Consistent and common project management methodology • Processes • Procedures • Best Practices • Templates • Examples • Standards and guidelines Make sure the methodology is scalable www.bekinin.com
  • 10. 2. Basic PMO Services Competency Enhancement: Project Management Coaching Usually one-on-one or small group Advice is based on coach training and experience and is specific to the people being coached Need to “touch”the person, so best if done in person www.bekinin.com
  • 11. 2. Basic PMO Services Project Audits Validate compliance Provides opportunity for coaching Use quality assurance techniques Don‟t have to audit every project www.bekinin.com
  • 12. 2. Basic PMO Services Document Repository Need a place to house documents Can„t reuse prior work if you can‟t find it Include methodology, PMO documents, and well-done examples of completed work Can be automated tool or file directory Track repository usage www.bekinin.com
  • 13. 2. Basic PMO Services Metrics Collection Project focused and PMO focused Project management value focused Organization scorecard focused Benchmarking www.bekinin.com
  • 14. 2. Basic PMO Services Organizational Assessments Periodically determine progress of PM implementation • Look at all services offered • Analyze all metrics and feedback • Summarize project audits Compare against first and prior assessment Validate the value of implementaion so far Adjust plans as appropriate www.bekinin.com
  • 16. 3. Advanced PMO Services Designing a project management career path Collecting project metrics for improved estimating and process improvement Defining project time-reporting requirements Providing product management for PM tools • Plan and implement • Manage contracts, licenses and finances • Coordinate release management www.bekinin.com
  • 17. 3. Advanced PMO Services Establishing a portfolio management process Portfolio management • Improved resource allocation • Improved alignment of the work • Improved balance of work Portfolio management and the PMO • PMO sees all projects • PMO serves as a central coordination organization Common resource pool • Skills inventory • Current assignments • Project end-dates www.bekinin.com
  • 19. 4. PMO Services Implementation Many models for implementation Use one that makes sense for your organization Deploy in “waves”or phases Don‟t implement too much change at once Deploy most important priorities first www.bekinin.com
  • 20. 4. PMO Services Implementation First Phase Plan and manage as a project Build overall communication plan • Multiple aspects of communication • Understand and satisfy target audience Focus on the basics • Define the project (Project Definition / Charter) • Plan the project (workplan / schedule) • Manage the project (Project Management Procedures) www.bekinin.com
  • 21. 4. PMO Services Implementation Second Phase examples Second wave training More sophisticated common processes and techniques PMO review of all Project Charters Project management support organization Align organizational objectives and rewards systems Project audits Project management tools Repository of project management documents Key learning to derive best practices New organization assessment www.bekinin.com
  • 23. 5. Common problems Setting up processes and expecting everyone to follow them Expecting everyone in the PMO to be an expert Making all projects follow the same approach Not having the staying power Not creating a support organization Poor communication Weak sponsorship Trying to do too much with too little Focusing on PMO activities and not value www.bekinin.com
  • 24. 5. Best Practices Implementation best practices Treat as a culture change initiative • Resistance to change is normal • Be aware of logical and emotional resistance Show some results as quickly as possible Treat implementation is a process and a project (s) Sponsor at highest level Have multi-year staying power Be open to new ideas from the organization www.bekinin.com