NEU ENERGY RESOURCES PMO PROPOSAL  March 29 th , 2010 Lingling Yang, Rustem Bozkurt, Zeki Tanrikulu Dan Zheng, Ge Zheng, J...
Why do we need a PMO? Our company has a large quantity of project proposals. We don ’ t have the resources to complete all...
What type of PMO? <ul><li>Our company has operated for many years without a PMO. To slowly make changes and offer assistan...
What will it achieve?  <ul><li>A PMO brings value to the company.  </li></ul><ul><li>Helps prioritize projects and guide t...
Critical Success Factors <ul><li>Executive and project support across the organization </li></ul><ul><li>Project managemen...
Critical Success Factors
How to contribute to the organization ’ s goals?  <ul><li>Efficiently Help Projects Through Completion  </li></ul><ul><ul>...
<ul><li>Influence scheduling and decision making across all projects </li></ul><ul><li>Influence changes to resource alloc...
<ul><li>Service: </li></ul><ul><li>Identify minimum data requirements for project  scheduling </li></ul><ul><li>Develop an...
Scope in organization: The scope of PMO is provide support to the existing project groups. This is to include training and...
Three Measurement Systems <ul><li>PMO </li></ul><ul><li>Project Teams and Associated Resources </li></ul><ul><li>Executive...
How will we measure success?  <ul><li>Use key ratios  </li></ul><ul><ul><li>Tracking the number of days spent on each stag...
Implementation  <ul><li>PMO will set Guidelines for Project Groups </li></ul><ul><li>Create a Standard set of PMO Tools </...
Staffing <ul><li>Commonly the PMO should include: </li></ul><ul><li>PMO executive </li></ul><ul><li>Project portfolio mana...
Alignment <ul><li>Welcome packet for PMO participants </li></ul><ul><li>Training materials for PMs </li></ul><ul><li>Weekl...
Transition   <ul><li>Baseline Changes will be Documented </li></ul><ul><li>Each existing project group will submit a brief...
Communications Plan  ** In order for a project to be successful, there needs to be constant, effective communication betwe...
Risk Management   For each project a risk management form needs to be completed by the project group.  This form includes ...
Change Control  <ul><li>1 st   –  Individual project teams will review changes and make any recommendations.  </li></ul><u...
Procurement Plan  Up to $10,000  –  Project Team is Authorized to make Purchases $10,000 - $50,000  –  Project Manager is ...
Cost / Benefit Analysis <ul><li>Each project must be reviewed at completion to determine the savings based upon project ef...
Timeline for Establishing PMO <ul><li>Executive Approval:  Within two months </li></ul><ul><li>Establish PMO Charter:  Wit...
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Pjm 6705 Final

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  • *Project managers will buy into the PMO guidelines and use a standard PMO tool suite for the project. *PMO tools and training will be provided for all uses at every level. *PMO tool functionality will drive certain process. *PMO staff will take an executive view of business and drive project improvements
  • Stakeholder: *Executives including CEO, CIO, CFO. Executives will have a real-time view of how their project capital and resources are allocated. *Project offices. They will have access to processes, a portfolio view of their collection of projects, and detailed analysis of how their project resources are being deployed. *Project managers. Improved project management competencies, standardized life cycle, planning and scheduling methodologies, help with resource issues, reduce project overruns. *Team members. They will be called on to help improve delivery. *Resource managers. Project priorities will be clear. Conflicts between project and resource managers will be significantly reduced.
  • Open communication and problem solving within and between the various functions. *Develop a welcome packet for PMO participants * Developing training materials and presentation for project management training in the new tools, reporting and delivery acceleration strategies. * Provide weekly communications to pilot participants. * Provide one-to-one project mentoring to discuss experiences and concerns. * Provide project status updates, portfolio analysis and recommendations to executive management at critical junctures. *Hold regular meeting with participants to discuss experiences, concerns, and success.
  • *Potential changes to the baseline project will be documented and presented to the PMO implementation manager. *Change requests will be logged in and distributed to the change control committee and core team for weekly review. *The core team will perform the first review and submit the recommendations and comments to the project executive sponsor and business unit contact *When either accepted or denied, the request is documented in the project documents
  • *Potential changes to the baseline project will be documented and presented to the PMO implementation manager. *Change requests will be logged in and distributed to the change control committee and core team for weekly review. *The core team will perform the first review and submit the recommendations and comments to the project executive sponsor and business unit contact *When either accepted or denied, the request is documented in the project documents
  • *Potential changes to the baseline project will be documented and presented to the PMO implementation manager. *Change requests will be logged in and distributed to the change control committee and core team for weekly review. *The core team will perform the first review and submit the recommendations and comments to the project executive sponsor and business unit contact *When either accepted or denied, the request is documented in the project documents
  • Pjm 6705 Final

    1. 1. NEU ENERGY RESOURCES PMO PROPOSAL March 29 th , 2010 Lingling Yang, Rustem Bozkurt, Zeki Tanrikulu Dan Zheng, Ge Zheng, James Blackburn
    2. 2. Why do we need a PMO? Our company has a large quantity of project proposals. We don ’ t have the resources to complete all of them. A group needs to be established to help prioritize the projects, aligning them with our company goals. This will allow the executives better control of project flow.
    3. 3. What type of PMO? <ul><li>Our company has operated for many years without a PMO. To slowly make changes and offer assistance we will introduce a Supportive Type PMO </li></ul><ul><li>This should help make the transition more subtle. </li></ul><ul><li>Should attract less opposition to change. </li></ul><ul><li>Should support the existing projects. </li></ul>
    4. 4. What will it achieve? <ul><li>A PMO brings value to the company. </li></ul><ul><li>Helps prioritize projects and guide their progress. </li></ul><ul><li>Standardizes the project process and improves project flow. </li></ul><ul><li>Helps assigns staffing appropriately. </li></ul><ul><li>Reports back to key stakeholders, keeping the sponsors informed. </li></ul>
    5. 5. Critical Success Factors <ul><li>Executive and project support across the organization </li></ul><ul><li>Project management training and skills development at every level of the organization </li></ul><ul><li>Quality marketing of the PMO, its tools, and support </li></ul><ul><li>Acquisition/development of quality products to support project excellence. </li></ul><ul><li>Effective training </li></ul><ul><li>Executive ownership of the portfolio </li></ul>
    6. 6. Critical Success Factors
    7. 7. How to contribute to the organization ’ s goals? <ul><li>Efficiently Help Projects Through Completion </li></ul><ul><ul><li>Making the most of our investors money. </li></ul></ul><ul><li>Good Business Practice </li></ul><ul><ul><li>Helps the company compete effectively with their competition. </li></ul></ul><ul><li>Ensures High Standards of Project Groups </li></ul><ul><ul><li>Maintaining oversight of their Safety & Environmental commitment. </li></ul></ul>
    8. 8. <ul><li>Influence scheduling and decision making across all projects </li></ul><ul><li>Influence changes to resource allocation and project priority changes </li></ul><ul><li>report to an executive with responsibility for both the supply and market side of the organization </li></ul>SCOPE What will PMO do?
    9. 9. <ul><li>Service: </li></ul><ul><li>Identify minimum data requirements for project scheduling </li></ul><ul><li>Develop and document best practices, in an easily accessible web-based tool. </li></ul><ul><li>Gather, report and analyze initial project portfolio data </li></ul><ul><li>Delivery a library of easily accessible user guides for project managers, resource managers, team members sponsors and executives </li></ul><ul><li>Implement necessary training/education/development process </li></ul>
    10. 10. Scope in organization: The scope of PMO is provide support to the existing project groups. This is to include training and access to specialists. Forms and documents to standardize our paperwork and record keeping. The necessary technology allowing us to organize our information and give access to project groups. The PMO is also to provide staffing support to the projects groups.
    11. 11. Three Measurement Systems <ul><li>PMO </li></ul><ul><li>Project Teams and Associated Resources </li></ul><ul><li>Executives </li></ul>
    12. 12. How will we measure success? <ul><li>Use key ratios </li></ul><ul><ul><li>Tracking the number of days spent on each stage of a project. </li></ul></ul><ul><ul><li>Keeping a history of key milestones for each project. </li></ul></ul><ul><li>Weekly status reports </li></ul><ul><ul><li>To show progress on the project & critical path </li></ul></ul><ul><li>Senior management monthly reviews </li></ul><ul><ul><li>Understanding lessons learned from other projects. </li></ul></ul><ul><ul><li>The PMO will provide accurate information for the executives review. </li></ul></ul><ul><li>Understanding inherent value of the project </li></ul><ul><ul><li>Meeting the company ’ s goals and understanding why this is important. </li></ul></ul>
    13. 13. Implementation <ul><li>PMO will set Guidelines for Project Groups </li></ul><ul><li>Create a Standard set of PMO Tools </li></ul><ul><li>Provide information to Project Groups on what the PMO offers. </li></ul>
    14. 14. Staffing <ul><li>Commonly the PMO should include: </li></ul><ul><li>PMO executive </li></ul><ul><li>Project portfolio manager </li></ul><ul><li>Project management mentor </li></ul><ul><li>Project management tool mentor </li></ul><ul><li>Help desk specialists </li></ul><ul><li>Resource portfolio manager </li></ul><ul><li>Methodology specialist </li></ul><ul><li>Project management trainer </li></ul><ul><li>Data administrator </li></ul>
    15. 15. Alignment <ul><li>Welcome packet for PMO participants </li></ul><ul><li>Training materials for PMs </li></ul><ul><li>Weekly communications to participants </li></ul><ul><li>One on one project mentoring </li></ul><ul><li>Reports given to executives at critical junctures. </li></ul><ul><li>Regular meeting with participants </li></ul>
    16. 16. Transition <ul><li>Baseline Changes will be Documented </li></ul><ul><li>Each existing project group will submit a brief report to the PMO describing the project, status and resource usage. </li></ul><ul><li>All new projects will be directed to the PMO </li></ul>Currently the company has no PMO and very little project group structure. In order to transition to a PMO structure the following things will be done:
    17. 17. Communications Plan ** In order for a project to be successful, there needs to be constant, effective communication between everyone. Name/Nature of Communication From To Content Provided By Frequency Format Used Delivery Media Urgent Issues Project Manager PMO Project Sponsor Project Managers Any Stakeholder As needed Any Verbal E-mail Memos Issues Updates/ Resolutions Executive Sponsor PMO Manager, PMO GM Executive Sponsor As needed Verbal, E-mail Memos Status Report PMO Manager PMO GM PMO Manager Project Managers Monthly Report Form E-mail Shared Storage Special Presentation or Meetings for Updating Executives PMO Manager Executive Team Program Manager Program Director As needed TBD based on requirements Meeting Issue Items Status / Updates / Resolution Project Managers PMO Manager Project Managers, Project Team Members (1) Weekly (via the Project Status Report) (2) As needed (1) Project Status Report form (1) E-mail Change Requests Project Managers PMO Manager Project Managers As needed Standard Change Request form E-mail Project Status Report Program Manager PMO Manager PMO Manager, Project Managers Weekly Standard Status Report Form New Issues/Action Items Stakeholders Project Manager Stakeholders Bi-Weekly Discussions during bi-weekly stakeholders meeting Issues/Action Items section of meeting minutes Urgent Information Impacting Team and External (I/S) Stakeholders Program GM Team & External Stakeholders PMO Manager, PMO GM, Project Managers As needed TBD E-Mail/Voice Mail, as appropriate
    18. 18. Risk Management For each project a risk management form needs to be completed by the project group. This form includes the following items: - The description of the risk - The type of risk - The scale of impact ranked 1-10. - The response to limit or eliminate the risk
    19. 19. Change Control <ul><li>1 st – Individual project teams will review changes and make any recommendations. </li></ul><ul><li>2 nd – The PMO Implementation Manager will review the project team ’ s decision and submit to the PMO. </li></ul><ul><li>3 rd – The PMO will ensure the change falls within the company ’ s standards including all documentation. </li></ul><ul><li>4 th – The PMO will submit the final change request to the Executive board for approval. </li></ul>
    20. 20. Procurement Plan Up to $10,000 – Project Team is Authorized to make Purchases $10,000 - $50,000 – Project Manager is to Approve any Purchases Above $50,000 – The PMO is to Create a Request for Executive Approval
    21. 21. Cost / Benefit Analysis <ul><li>Each project must be reviewed at completion to determine the savings based upon project efficiency and risk management. </li></ul>Ex.
    22. 22. Timeline for Establishing PMO <ul><li>Executive Approval: Within two months </li></ul><ul><li>Establish PMO Charter: Within four months </li></ul><ul><li>Assign Staff to PMO: Within six months </li></ul><ul><li>Create set of Standards: Within nine months </li></ul><ul><li>Implement PMO for all New Projects: Within One year </li></ul>
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