Pmipmo

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Why a Program/Project Management Office (PMO)?
What Is a PMO?
Implementing a PMO
Suggestions to Jump Start PMO implementation
Questions & Answers

Published in: Economy & Finance, Business

Pmipmo

  1. 1. The Program Management Office Overview for Piedmont Triad PMI Chapter 8 September 2003
  2. 2. Agenda <ul><li>Why a Program/Project Management Office (PMO)? </li></ul><ul><li>What Is a PMO? </li></ul><ul><li>Implementing a PMO </li></ul><ul><li>Suggestions to Jump Start PMO implementation </li></ul><ul><li>Questions & Answers </li></ul>
  3. 3. <ul><ul><li>Rank and select important tactical improvement projects through Project Portfolio Management , to ensure your company doesn’t over-commit resources, and instead focuses efforts for the most impact. </li></ul></ul><ul><ul><li>Manage all projects consistently utilizing Best Practices , a critical factor in achieving higher project completion rates. </li></ul></ul>Why a PMO - The Goals of a PMO <ul><ul><li>Manage Strategic Change with programs -- coherent groups of projects, each small enough to reliably succeed, but coordinated to achieve well-defined strategic goals. </li></ul></ul>Strategic Change Best Practices Project Portfolio Management
  4. 4. What is a PMO: Essential Culture Components Individual Projects Enterprise Portfolio Organization Environment
  5. 5. What is a PMO: Key Processes <ul><li>Change Management </li></ul><ul><li>Identification and elimination of organizational barriers to change </li></ul><ul><li>Management of employee resistance to change </li></ul><ul><li>Assurance of effective involvement of, and communication with, all project and program constituencies </li></ul><ul><li>Cost Management </li></ul><ul><li>Preliminary cost/benefit analysis </li></ul><ul><li>Project budgeting </li></ul><ul><li>Expenditure tracking and budget variance review </li></ul><ul><li>Communications Management </li></ul><ul><li>Centralized program and project reporting mechanisms </li></ul><ul><li>Inter-project communications </li></ul><ul><li>Post-implementation tracking and feedback </li></ul><ul><li>Governance </li></ul><ul><li>Program and project prioritization and risk/cost/value analysis </li></ul><ul><li>Decision-making, including commitment of time, money and resources </li></ul><ul><li>Issue resolution </li></ul><ul><li>Project monitoring and integration </li></ul><ul><li>Project Management </li></ul><ul><li>Project definition and initiation </li></ul><ul><li>Task planning and execution </li></ul><ul><li>Project completion and acceptance </li></ul><ul><li>Resource Management </li></ul><ul><li>Skill-to-task matching </li></ul><ul><li>Resource gap analysis and resolution </li></ul><ul><li>Global resource optimization </li></ul>Program Management Office Governance Communications Management Project Management Resource Management Change Management Cost Management
  6. 6. Governance: Project Initiation Process <ul><li>Example Project Initiation Process </li></ul><ul><li>Use one, simple project request form for all projects </li></ul><ul><ul><li>Only authorized individuals can submit project requests (VPs/Senior VPs) </li></ul></ul><ul><ul><li>All project requests go directly to the PMO </li></ul></ul><ul><li>PMO evaluates the requests (enterprise architecture & project ranking tools) </li></ul><ul><li>Steering Committee approves/disapproves requests – approval authorizes effort to do detailed planning of the requests (no funding approval at this point) </li></ul><ul><li>Develop detailed cost & schedule estimates for approved projects </li></ul><ul><li>Steering Committee reviews estimates and approves/disapproves funding or pursuit of funds – normal budget & financial processes allocate funds </li></ul><ul><li>Project execution begins, and the PMO reports status of funded projects to the Steering Committee at least monthly </li></ul>
  7. 7. Governance & the Budget Cycle
  8. 8. Project Management Support Project Support <ul><li>Project reviews/evaluation </li></ul><ul><li>Project Start-up/shut down </li></ul><ul><li>Assist with troubled projects </li></ul>Consulting and Mentoring <ul><li>Knowledge transfer </li></ul><ul><li>PM best practices competency </li></ul><ul><li>Succession planning </li></ul><ul><li>Provide PM Instructors </li></ul><ul><li>Coordinate PM Training </li></ul><ul><li>Provide Training Materials </li></ul>Training <ul><li>Identification of PMs for projects </li></ul><ul><li>Certification for PMs </li></ul>Project Manager Resources <ul><li>Adherence to PM standards </li></ul><ul><li>Promote PM Methods </li></ul><ul><li>Accessibility of Methodology </li></ul>Methods and Standards The Program Management Office
  9. 9. Resource & Cost Management <ul><li>Automated tools are required to do these functions effectively and efficiently </li></ul><ul><li>The PMO focuses on “projects”, but resource issues cut across operational activities – hence a need to track time on operational tasks. Can create a “project” or “projects” to represent operational work in relation to project work </li></ul><ul><li>PMO provides value-added by recognizing the need for or opportunity to adjust resource allocation between projects </li></ul>
  10. 10. Communications: Example of Organization & Roles
  11. 11. Change Management <ul><li>This PMO function: </li></ul><ul><ul><li>Anticipates organizational change caused by single or multiple projects, or that will impact projects </li></ul></ul><ul><ul><li>Ensures that activities occur to manage that change in a smart way </li></ul></ul><ul><li>Examples </li></ul><ul><ul><li>IT disaster recovery: operating units have fewer software applications and fewer people, so how will they operate in a disaster recovery mode? </li></ul></ul><ul><ul><li>Multiple new, inter-dependent and enterprise-wide software applications: role based training will be needed in addition to application training </li></ul></ul><ul><ul><li>Organization Reduction-in-Force (RIF): organizational cost cutting will impact availability of project resources </li></ul></ul><ul><ul><li>Incentives for project managers: are individuals only “graded” on their operational day jobs? So what encourages them to be successful PM’s? </li></ul></ul>
  12. 12. Implementing a PMO: Basic Stages Assessment Definition Commitment Initiation Planning Execution / Control Transition / Shutdown Assess current environment: PMO Maturity Assessment, Current Projects Assessment, ROI and Cost Model Assessment Define Program Management Office (PMO): PMO Strategy and Mission Document Gain Executive Commitment to Build and Maintain PMO Initiate PMO Project: Governance Process, Business Case Development and Sign-off Plan PMO Implementation: PMO Manual, PMO Project Plan Sign-off Build and Implement the PMO: Initiate Training, Support, PMO Processes Hand-over to Client, Close Project: Transition Plan, Project Review
  13. 13. Implementing a PMO: Key Checkpoints PMOM01.2 PMOM01.1 PMOM01.4 PMOM01.6 Conduct PMO Maturity Model Assessment Conduct Assessment of Current Projects Outline Strategy and Mission Statement Client Sign-off on Assessment Assessment PMOM02.1 PMOM02.2 PMOM02.3 Conduct Assessment of IT Governance Process Develop PID / Business Case Client Sign-off on PID / Strategy Initiation PMOM03.4 PMOM03.12 PMOM03.12b Develop PMO Manual Client Sign-off on PMO Manual Planning PMOM04.2 PMOM04.3 PMOM04.4 PMOM04.6 PMOM04.7 PMOM04.8 Transition / Execution Implement Use of PMM / Delivery Methodologies Create Rolled-up Master Schedule Conduct PMO RAID Management Initiate Training Program Publish Revised PMO Manual Conduct PPW / Prepare PPW Report PMOM05.2 Execute Transition Plan PMOM04.5 Create Master Progress Tracking Report Define Transition Plan
  14. 14. Implementing a PMO: A Typical Lifecycle Estimated Timeline Assessment/ Initiation Planning Transition 2 Months 3 Months 1 Month 6 Months Execution PMO Maturity Model Governance Process Project Planning Workshop Project Management Planning Cost Planning Plan Execution Cost Management Tracking Monitoring & Controlling Performance Reporting & Information Distribution PMO Turn Over Program Initiation Workshop Team Development/ Mentoring Administration of Program Management Office PMO Deliverables PMO PID/ Strategy (Charter) Administration/ Controls Planning Communications Planning Project Assessment
  15. 15. Implementing a PMO: Resource Considerations
  16. 16. Suggestions to Jump Start PMO Implementation <ul><li>Identify the portfolio of projects – seeing the volume of work gets senior leader attention (leaders define the threshold: >80 hours?) </li></ul><ul><li>Begin monthly senior leader governance meetings immediately, refining the process as you go </li></ul><ul><ul><li>Operating units need to see someone in charge, to whom they must sell new project requests </li></ul></ul><ul><ul><li>PM’s need to see someone make prioritization decisions </li></ul></ul><ul><li>The PMO Champion (preferably the CEO/COO) directs that: </li></ul><ul><ul><li>Projects follow the same methodology (workshops, templates, etc.) </li></ul></ul><ul><ul><li>PM’s report weekly and brief to a designated senior leader monthly </li></ul></ul>

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