www.sukad.com | info@sukad.com | Offices in Lebanon and United Arab Emirates
PMO Challenges and Opportunities
Definitions
Organizational Project Management | PMO Challenges and Opportunities 2
The Acronym PMO – “P”?
Project?
Program?
Portfolio?
Process…
People…
Profit…?
Organizational Project Management | PMO Challenges and Opportunities 3
PMO – Two Possibilities
• Usually for one major project or
program
• Dismantled once project or
program is complete
One Program/
Project PMO
• For multiple projects or
programs
• Organizational unit
• Should be permanent
Organizational
PMO
Organizational Project Management | PMO Challenges and Opportunities 4
Challenges
Organizational Project Management | PMO Challenges and Opportunities 5
No consensus on value of PMO
Perceptions of high/low value are based on different
characteristics
PMO are short-lived
Mandate covers either most, or few projects
PMO houses few, or all project managers
Dr. Brian Hobbs Survey – 1
Organizational Project Management | PMO Challenges and Opportunities 6
PMI Research
Dr. Brian Hobbs Survey – 2
Organizational Project Management | PMO Challenges and Opportunities 7
Most PM have small staff; apart from project managers
Important functions are determined by the needs of the specific
organizational context
Location of PMO has an impact on mandate
PMO performance depends on authority and organization's culture
and PM maturity
PMI Research
Does the organization have PMO (Q8)
67%
15%
15%
3%
Does the Organization Have PMO
Yes No Considering Other Comments
SUKAD Research 2010
Organizational Project Management | PMO Challenges and Opportunities 8
PMO Success (Q18)
10%
42%
30%
8%
3% 7%
PMO Success - Respondents' View
Highly Successful Successful Neutral NotSuccessful Failure Others
SUKAD Research 2010
Organizational Project Management | PMO Challenges and Opportunities 9
Comments on success rating (Q19)
Highly successful
• Top management satisfied with reporting level
and escalation issues
• The organization following the PM methodology
• They get the job done
• Recently established & successfully implemented
PM fundamentals
• Before failures we cancel projects
• Meet deadline and budget
SUKAD Research 2010
Organizational Project Management | PMO Challenges and Opportunities 10
Comments on success rating (Q19)
Not Successful
• Resistance and lack of accuracy
• No repeated success stories
• Trying to cover all types of project management
and in the end looses focus
• Does not meet its stated objectives
• Not properly supported and championed by
executive management
SUKAD Research 2010
Organizational Project Management | PMO Challenges and Opportunities 11
Comments on success rating (Q19)
Not Successful
• Not enough authorities provided to PMO
• No educated manager, no PMO methodology, no
career path, no leadership
• Projects done per the old way
• Repeated failure in achieving the target
• Was too utopian for a start-up organization
• Novice PM capabilities
SUKAD Research 2010
Organizational Project Management | PMO Challenges and Opportunities 12
Project Management in GCC1
Project Failures
• Number 1 reason is lack of a methodology – 78%
of respondents
Other factors
• Lack of communication – 75%
• Unrealistic target completion dates – 67%
• Inadequate senior management support – 59%
1 ITP Publishing - 10 May 2010
Organizational Project Management | PMO Challenges and Opportunities 13
Gaps in PMO implementation
“Role of PMO must become more strategic and
must develop its capabilities accordingly”
PMI Thought Leadership Publication
PMO are often
• Not effective or not delivering optimal solutions,
• Not able to become the organization’s PM department
Still too much focus
• On reporting or support; not leading or directing
• Often not building the necessary OPM system
Organizational Project Management | PMO Challenges and Opportunities 14
The PMO continuum
Most common,
lower value
Organizational Project Management | PMO
Challenges and Opportunities
15
Opportunities
Organizational Project Management | PMO Challenges and Opportunities 16
Why the PMO
Be ready to consider that the organization
does not need a PMO
Ensure you can differentiate on whether you
need a PMO or OPM System
Beware of false expectations!
Organizational Project Management | PMO Challenges and Opportunities 17
PMO as an organizational unit1
1 Human Systems International: the effective PMO survey 2009
Enterprise
PMO
Business/
division
PMO
Program
PMO
Project
PMO
Hierarchical position
Higher - Lower
Natureoforganisation
Temporary-Permanent
Organizational Project Management | PMO Challenges and Opportunities 18
Strategicalignmentprocess
Strategic alignment within organization
EPMO?
PfPMO?
PgPMO?
PjPMO?
Organizational Project Management | PMO Challenges and Opportunities 19
PMO’s in an organizational structure
EPMO
BPMO
Ptf
PMO
Pg
PMO
PPMO
Organizational Project Management | PMO Challenges and Opportunities 20
The PMO continuum
Most common,
lower value
Not as common,
most value
Organizational Project Management | PMO Challenges and Opportunities 21
Organizational commitment to PM
According to Dr.Schloss, PM@Siemens has:
• Attributed more than €39 billion in annual
revenue to project management - drawing best
practices from their experiences and
internationally accepted standards
• This is half of Siemens' annual revenue
Report from Milan - PM@Siemens presentation
during PMI Global EMEA Congress 2010
Organizational Project Management | PMO Challenges and Opportunities 22
Project management maturity
Awareness
Excelling
Improving
Applying
Learning
Performance Improvement
CostSpentonProjectManagement
1
2
3
4
5
Organizational Project Management | PMO Challenges and Opportunities 23
The Center for Business Practices
Think PMO Maturity = Project Management Maturity
Organizational Project Management | PMO Challenges and Opportunities 24
Organizational Project Management | PMO Challenges and Opportunities 25
Organizational Project Management | PMO Challenges and Opportunities 26
The key is:
can we change
the Mindset?
Organizational Project
Management
Organizational Project Management | PMO Challenges and Opportunities 27
The origin of the concept
The Engines of
Project
Management
Organizational Project Management | PMO Challenges and Opportunities 28
Processes
Organizational Project Management | PMO Challenges and Opportunities29
The Core –
Fundamental
Elements
The
Differentiating
Elements
The
Differentiating
Elements
The Strategic
Element
Organizational Project Management | PMO Challenges and Opportunities 30
The vital points to note
The strategic aspect is critical for any OPM or
organizational system
The fundamental elements are a must for any
organization wanting to manage projects
• They provide the core elements and processes
However, to elevate performance we need the
differentiating elements
Each element have numerous components
Organizational Project Management | PMO Challenges and Opportunities 31
How to build?
Implementing OPM System Program
Organizational Project Management | PMO Challenges and Opportunities 32
The Program – Extended Approach
Organizational Project Management | PMO Challenges and Opportunities 33
34Organizational Project Management | PMO Challenges and Opportunities
SUKAD Business Divisions
Organizational Project Management | PMO Challenges and Opportunities 35
http://learning.sukad.com
http://solutions.sukad.com
http://technology.sukad.com
http://multimedia.sukad.com
SUKAD Knowledge Sharing Sites
Organizational Project Management | PMO Challenges and Opportunities 36
http://sukadway.sukad.com
http://knowledge.sukad.com
http://blog.sukad.com
http://blog-ar.sukad.com
Organizational Project Management | PMO Challenges and Opportunities 37
SUKAD OPM System workshop
Organizational Project Management | PMO Challenges and Opportunities 38
http://learning.sukad.com/courses/organizational-project-management
Thank you!
39Organizational Project Management | PMO Challenges and Opportunities

PMO Challenges and Opportunities; DIPMF Presentation

  • 1.
    www.sukad.com | info@sukad.com| Offices in Lebanon and United Arab Emirates PMO Challenges and Opportunities
  • 2.
    Definitions Organizational Project Management| PMO Challenges and Opportunities 2
  • 3.
    The Acronym PMO– “P”? Project? Program? Portfolio? Process… People… Profit…? Organizational Project Management | PMO Challenges and Opportunities 3
  • 4.
    PMO – TwoPossibilities • Usually for one major project or program • Dismantled once project or program is complete One Program/ Project PMO • For multiple projects or programs • Organizational unit • Should be permanent Organizational PMO Organizational Project Management | PMO Challenges and Opportunities 4
  • 5.
    Challenges Organizational Project Management| PMO Challenges and Opportunities 5
  • 6.
    No consensus onvalue of PMO Perceptions of high/low value are based on different characteristics PMO are short-lived Mandate covers either most, or few projects PMO houses few, or all project managers Dr. Brian Hobbs Survey – 1 Organizational Project Management | PMO Challenges and Opportunities 6 PMI Research
  • 7.
    Dr. Brian HobbsSurvey – 2 Organizational Project Management | PMO Challenges and Opportunities 7 Most PM have small staff; apart from project managers Important functions are determined by the needs of the specific organizational context Location of PMO has an impact on mandate PMO performance depends on authority and organization's culture and PM maturity PMI Research
  • 8.
    Does the organizationhave PMO (Q8) 67% 15% 15% 3% Does the Organization Have PMO Yes No Considering Other Comments SUKAD Research 2010 Organizational Project Management | PMO Challenges and Opportunities 8
  • 9.
    PMO Success (Q18) 10% 42% 30% 8% 3%7% PMO Success - Respondents' View Highly Successful Successful Neutral NotSuccessful Failure Others SUKAD Research 2010 Organizational Project Management | PMO Challenges and Opportunities 9
  • 10.
    Comments on successrating (Q19) Highly successful • Top management satisfied with reporting level and escalation issues • The organization following the PM methodology • They get the job done • Recently established & successfully implemented PM fundamentals • Before failures we cancel projects • Meet deadline and budget SUKAD Research 2010 Organizational Project Management | PMO Challenges and Opportunities 10
  • 11.
    Comments on successrating (Q19) Not Successful • Resistance and lack of accuracy • No repeated success stories • Trying to cover all types of project management and in the end looses focus • Does not meet its stated objectives • Not properly supported and championed by executive management SUKAD Research 2010 Organizational Project Management | PMO Challenges and Opportunities 11
  • 12.
    Comments on successrating (Q19) Not Successful • Not enough authorities provided to PMO • No educated manager, no PMO methodology, no career path, no leadership • Projects done per the old way • Repeated failure in achieving the target • Was too utopian for a start-up organization • Novice PM capabilities SUKAD Research 2010 Organizational Project Management | PMO Challenges and Opportunities 12
  • 13.
    Project Management inGCC1 Project Failures • Number 1 reason is lack of a methodology – 78% of respondents Other factors • Lack of communication – 75% • Unrealistic target completion dates – 67% • Inadequate senior management support – 59% 1 ITP Publishing - 10 May 2010 Organizational Project Management | PMO Challenges and Opportunities 13
  • 14.
    Gaps in PMOimplementation “Role of PMO must become more strategic and must develop its capabilities accordingly” PMI Thought Leadership Publication PMO are often • Not effective or not delivering optimal solutions, • Not able to become the organization’s PM department Still too much focus • On reporting or support; not leading or directing • Often not building the necessary OPM system Organizational Project Management | PMO Challenges and Opportunities 14
  • 15.
    The PMO continuum Mostcommon, lower value Organizational Project Management | PMO Challenges and Opportunities 15
  • 16.
    Opportunities Organizational Project Management| PMO Challenges and Opportunities 16
  • 17.
    Why the PMO Beready to consider that the organization does not need a PMO Ensure you can differentiate on whether you need a PMO or OPM System Beware of false expectations! Organizational Project Management | PMO Challenges and Opportunities 17
  • 18.
    PMO as anorganizational unit1 1 Human Systems International: the effective PMO survey 2009 Enterprise PMO Business/ division PMO Program PMO Project PMO Hierarchical position Higher - Lower Natureoforganisation Temporary-Permanent Organizational Project Management | PMO Challenges and Opportunities 18
  • 19.
    Strategicalignmentprocess Strategic alignment withinorganization EPMO? PfPMO? PgPMO? PjPMO? Organizational Project Management | PMO Challenges and Opportunities 19
  • 20.
    PMO’s in anorganizational structure EPMO BPMO Ptf PMO Pg PMO PPMO Organizational Project Management | PMO Challenges and Opportunities 20
  • 21.
    The PMO continuum Mostcommon, lower value Not as common, most value Organizational Project Management | PMO Challenges and Opportunities 21
  • 22.
    Organizational commitment toPM According to Dr.Schloss, PM@Siemens has: • Attributed more than €39 billion in annual revenue to project management - drawing best practices from their experiences and internationally accepted standards • This is half of Siemens' annual revenue Report from Milan - PM@Siemens presentation during PMI Global EMEA Congress 2010 Organizational Project Management | PMO Challenges and Opportunities 22
  • 23.
    Project management maturity Awareness Excelling Improving Applying Learning PerformanceImprovement CostSpentonProjectManagement 1 2 3 4 5 Organizational Project Management | PMO Challenges and Opportunities 23
  • 24.
    The Center forBusiness Practices Think PMO Maturity = Project Management Maturity Organizational Project Management | PMO Challenges and Opportunities 24
  • 25.
    Organizational Project Management| PMO Challenges and Opportunities 25
  • 26.
    Organizational Project Management| PMO Challenges and Opportunities 26 The key is: can we change the Mindset?
  • 27.
    Organizational Project Management Organizational ProjectManagement | PMO Challenges and Opportunities 27
  • 28.
    The origin ofthe concept The Engines of Project Management Organizational Project Management | PMO Challenges and Opportunities 28
  • 29.
    Processes Organizational Project Management| PMO Challenges and Opportunities29
  • 30.
    The Core – Fundamental Elements The Differentiating Elements The Differentiating Elements TheStrategic Element Organizational Project Management | PMO Challenges and Opportunities 30
  • 31.
    The vital pointsto note The strategic aspect is critical for any OPM or organizational system The fundamental elements are a must for any organization wanting to manage projects • They provide the core elements and processes However, to elevate performance we need the differentiating elements Each element have numerous components Organizational Project Management | PMO Challenges and Opportunities 31
  • 32.
    How to build? ImplementingOPM System Program Organizational Project Management | PMO Challenges and Opportunities 32
  • 33.
    The Program –Extended Approach Organizational Project Management | PMO Challenges and Opportunities 33
  • 34.
    34Organizational Project Management| PMO Challenges and Opportunities
  • 35.
    SUKAD Business Divisions OrganizationalProject Management | PMO Challenges and Opportunities 35 http://learning.sukad.com http://solutions.sukad.com http://technology.sukad.com http://multimedia.sukad.com
  • 36.
    SUKAD Knowledge SharingSites Organizational Project Management | PMO Challenges and Opportunities 36 http://sukadway.sukad.com http://knowledge.sukad.com http://blog.sukad.com http://blog-ar.sukad.com
  • 37.
    Organizational Project Management| PMO Challenges and Opportunities 37
  • 38.
    SUKAD OPM Systemworkshop Organizational Project Management | PMO Challenges and Opportunities 38 http://learning.sukad.com/courses/organizational-project-management
  • 39.
    Thank you! 39Organizational ProjectManagement | PMO Challenges and Opportunities