When making the case for implementation of a project/program management office (PMO) that provides better reporting, standardizes processes that were once willy-nilly, and boost project profitability overall, it’s perfectly natural to lead with the internal benefits. Resources are used more efficiently. Projects are chosen with strategy and impact on business performance in mind. But in the end, why do we really want to hard-wire the project governance process? Who are we really doing all this for? Let’s consider the customer-centric side argument for your PMO. There are three Customer Satisfaction Benefits of the Well-Run PMO discussed here.
As you can see, there is much to be concerned about as you set up your PMO and PPM strategy. As pointed out by the first two bullets on this slide, The failure rate is very high with about half of all PMOs closed within 3 years or considered implementation failure. And as Gartner points out and is backed up by many other industry statistics, the there is not a lot of good news when it comes to how the PMO and Project teams are considered by the rest of the organization. An amazing 68% of stakeholders perceive their PMOs to be bureaucratic and only 40% of projects met their goals when it comes to schedule, budget and quality. The overall takeaway from the information on this slide is that there is no surprise that the gap we talked about exists.
[Talking points]Would love to hear your feedback about today’s event, our solutions and the direction our company is headed in – please feel free to contact me anytime.