The document describes a next generation multi-disciplinary program management office (PMO) model called the Program Service Office (PSO). The PSO aims to combine PMO, Lean, and Agile services to accelerate project delivery, improve portfolio management, and increase maturity in delivery processes. Key aspects of the model include integrating multiple departments, establishing a governance structure, implementing project portfolio management, and focusing on change management and communications. The goal is to help organizations better achieve their strategic objectives through improved delivery of projects and programs.

1. 1
PMO 3.0 (Program Service Office)
Next Generation PMO Model
By Doug Floyd
07/01/2013

2. 2
Contents
 Multi-Disciplinary Model: PMO, Six Sigma, & Agile Operational Services
 Multi-Department View
 Governance & Escalation Structure
 Project Portfolio Management (PPM)
 Maturity Model
 Change Management
 Communications Management
 Questions

3. 3
Multi-Disciplinary Model
Program Service Office (PSO) Center of Excellence Goals:
 Combination of PMO, Lean, & Agile services
 Strategic planning & choosing the right projects
 Service coaching (delivery excellence & threat avoidance)
 Integrated project status reporting & scheduling
 Resource knowledge transfer & communication
 Operations planning & forecasting
Expected Outcomes:
 Accelerate project delivery
 Cancel non-strategic & under-performing projects
 Re-rank projects
 Re-establish order of importance
 Reassign resources based on importance
 Identify opportunities for business process improvement
 Identify delays, cost overruns, & resource overloads

4. 4
Multi-Department View
Business Departments (Finance/Marketing/Sales) Alignment:
 Business case writing
 Vendor selection & contracting
 Software development lifecycles/standards
 Project planning
 Project risk & issue management
 Business metric identification
 Continuous process improvement
IT Department Alignment:
 Decrease maintenance budget & increase new development budget
 Software As A Service (SAAS) model (reduced infrastructure)
 Advanced technology implementation (cloud, mobile, big data)
 Product, services, & standards development

5. 5
Governance & Escalation Structure
Executive
Committee
(Level 4)
Senior level representatives who are key stakeholders and are
representing the program (i.e. IT Sponsor, etc). Members are
liaisons and owners for their areas (i.e. BPS, BAS, IS, SSO,
etc.) and are champions of the program. Provide feedback on
the project status and assist with socialization of key program
activities to their organization and various committees, as
applicable. Provide resources to the project and works with the
Program Office to remove roadblocks.
Program Office
(Level 3)
End-to-end program execution level governance. The Program
Office will be accountable and responsible for the overall success of
the program and provide strategic direction to each team. Makes
strategic level recommendations and decisions on scope, schedule,
costs, quality and other potential impacts to the program. Works
with the IT Sponsor, and Executive Committee to escalate and
address high/critical priority issues and risks.
Project Leadership
Team
(Level 2)
Program
Financials/
Metrics
Committee
Responsible for analyzing the financial actuals and forecasts and
resolving issues financially related (i.e. PFR discrepancies, missing
invoice payment, HW/SW not hitting the books, etc.).
Project Teams
(Level 1)
Reports up through the Project Leadership Team, executes against
strategic scope and schedule within budget. Responsible for delivering
the work packages defined by the Project Leadership Team, within the
project schedule. Project team escalates roadblocks and unresolved
issues to the Project Leadership Team to resolve.
Process Results
 Guides and directs the initiation,
planning, execution, close-out, and
controlling & reporting of all projects
that are part of the program by directly
influencing key project management
areas
Process Benefits
 Defines team roles and responsibilities,
to mitigate the risk of team confusion
on what work product they are
accountable to deliver
 Guides issue escalation process to
communicate and resolve issues and
risks in a timely basis
 Guides risk escalation and reporting, to
address appropriate items before they
impact the project
 Guides schedule development to
ensure milestones are being achieved
 Guides approval process for scope
changes
 Mitigates the risk of too many/not
enough resources, impacts to budget
over/under spend and threats to
completing deliverables within
expected timeframes
Reports up through the Program Office, taking direction on project
scope, schedule, costs, quality and other potential impacts to the
project. Makes tactical recommendations and decisions on scope,
schedule, costs, quality, and other potential impacts to the project
based on the Program Office strategic guidance. Works with the
Program Office to escalate and address high/critical issues/ risks.

6. 6
Project Portfolio Management (PPM)
Program & Project Facilitation
 Determine viable project mix (meet organizational goals)
 Balance portfolio (short-term vs long-term, risk vs reward, complex vs simple)
 Monitor project planning & execution
 Analyze & improve portfolio performance
 Evaluate new portfolio opportunities
 Provide information to executive decision makers
Steps to Successful Results
 Gather & report portfolio information
 Develop goals, resource plans, & asset portfolios
 Link project, goals, & assets to strategic plans
 Determine organizational capacity for multiple projects
 Prioritize portfolio based on current information
 Develop recommendations for improving ROI
 Facilitate Governance Board meetings

7. 7
Maturity Model
Levels of Service Delivery Maturity
 Level 1: Define project management, lean, & agile value proposition
 Level 2: Bring consistency to project delivery
 Level 3: Increase delivery value (lean & agile process improvements)
 Level 4: Identify portfolio interdependencies
 Level 5: Gain buy-in from community & governance board
 Level 6: Identify key benefits from lean & agile process improvements
 Level 7: Increase portfolio throughput
 Level 8: Exceed organizational strategic objectives

8. 8
Change Management
The change will be entered in the Action Item Log with an issue type
of “Change Request” and the Program Manager will be notified
Critical = implementation should not proceed unless the
change is made
Medium = needed functionality, but not required to complete
the implementation
Low = nice to have functionality
Process Results
 Change management execution, against approve project charter
 Program Charter, Project Charter, and Action Item Log Updates (as
required)
 PPM Project Update (as required)
Process Benefits
 Mitigate risk of unknown impacts to scope, budget, timelines and
quality by introducing unplanned changes
 Appropriately plan and obtain approvals for new scope items before
communicating to team
 Assists with ensuring team stays focused on tasks at hand
 Ensure existing scope objectives are achieved within budget,
targeted timeframes, and with quality standards so program
strategic objectives are achieved

9. 9
Communication Management
Communication Management Process
 Identify who is responsible, accountable, consulted and informed (RACI) for the completion of documents and
reports
 Identify all standing meetings, meeting purpose, frequency, & attendees
 Identify document reporting and meeting ground rules
Process Results
 Input into project schedule creation
 Influence standing meetings and invitees
 Provide organizational management plan as input
Process Benefits
 Ensure the right people are at the right meetings
 Ensurs standing meetings are planned out so appropriate communications occurs at all levels throughout the
program. Additionally measures the amount of time team members will be spending in meetings, to mitigate
risk of too much time spent in meetings
 Ensure appropriate internal / external project communications are occurring to proactively encourage
information sharing
 Ensure that meetings are held / deliverables are produced within quality standards (i.e. agenda, minutes,
document naming structure, document peer reviews, etc.)
DCII PgM
Processes

10. 10
Contact Information
Douglas Floyd
312.502.3113 (cell)
douglas.vincent.floyd@gmail.com
www.linkedin.com/in/dougvfloyd
@DougVFloyd
Slideshare Presentations:
 Next Gen Agile 3.0: www.slideshare.net/dvfloyd/agile-30
 Next Gen Lean 3.0: www.slideshare.net/dvfloyd/lean-30
 Next Gen PMO 3.0: www.slideshare.net/dvfloyd/pmo-30