The document discusses the role of Project Management Offices (PMOs) in enabling the delivery of corporate and business strategies. It notes that PMOs have been shown to decrease failed projects by 30% and increase projects delivered under budget by 25%. The document then outlines how PMOs can support business alignment, project portfolio management, project governance, and more. It describes how corporate strategy drives business strategies, and how business strategies are implemented through programs, projects, and products. Finally, it argues that a PMO is needed to integrate business and technical strategies, apply standard practices and metrics across all projects, and provide a unified view of strategic endeavors through portfolio, program and project monitoring.

1. *Portfolios, Programs, Projects
and the Enterprise PMO
(Enabling the Delivery of Corporate & Business Strategies)
Shea Heaver, PMP
www.sheaver.com

2. *Opening Thoughts
PMOs contribution to performance improvement
Decrease in failed projects 30% Projects finish ahead of schedule 19%
Projects delivered under budget 25% Cost savings per project 15%
Improvement in productivity 22% Customer satisfaction increase 31%
The State of the PMO (2012)
“The Enterprise Project Management Office (EPMO) is an
obvious vehicle to deploy project governance from the
corporate level through to each and every project”
KPMG Global IT Project Management Survey, 2005
Percentage of companies with PMOs
2012 87%
2010 84%
2006 77%
2000 48%

3. *A PMO Can Support & Help with…
Business
Alignment
Practice
Management
Infrastructure
Management
Resource
Integration
Technical
Support
Project Portfolio
Management
Project
Management
Methodology
Project
Governance
Resource
Management
Mentoring
Customer
Relationships
Project
Management
Tools
Assessment
Training and
Education
Planning
Support
Vendor &
Contractor
Relationships
Standards and
Metrics
Organization and
Structure
Career
Development
Project Auditing
Business
Performance
Project
Knowledge
Management
Facilities and
Equipment
Support
Team
Development
Project Recovery

4. Clear, hierarchical and common objectives & standards
Coordinate prioritizing, planning & execution of projects
Facilitation of Resource Management
Between projects, within programs, across the portfolio
Aggregated Risks
Risk that are common to more than one project are better
managed at the program and/or portfolio level
Reciprocal and Horizontal Relationships…
…between interdependent business units and strategies
…among project and product objectives
…facilitate acceptance of selection and prioritization efforts
A project-centric approach yields detailed and timely
information enabling companies to react to market
demands…
*PMO Benefits and Value

5. *Strategies Drive the Business
Corporate
Strategy
Business
Strategy
Business
Strategy
Business
Strategy
Product
Strategy
Product
Strategy
Product
Strategy
Product
Strategy
Product
Strategy

6. The overall long-term objectives and goals of
the company.
Generally the strategy is deliberate, planned,
stable and does not change.
*Corporate Strategy

7. “A portfolio is a collection of projects and/or
programs and other work that is grouped
together to facilitate the effective management of
that work to meet strategic business objectives.
The projects or programs of the portfolio may be
mutually independent or directly related.”
Project Management Institute
*Portfolios
Examples
An item such as a briefcase for holding various materials OR the materials collected in the case
such as an artist’s or photographer’s portfolio of work
Investors or even yourself may have a portfolio of stocks, bonds etc..
Portfolios rely on a relatively stable corporate
strategy, with clear performance indicators

8. Established in response to specific business unit
decisions that support the corporate strategy.
Can emerge, change and be adaptive due to
various factors, but are always aligned with
corporate objectives.
*Business Strategy

9. “A program is a group of related projects
managed in a coordinated way to obtain benefits
and control not available from managing them
individually. Programs may include elements of
related work outside the scope of the discreet
projects in a program”
*Programs
Examples
NASA’s shuttle program
Car maker’s program(s) for cars or vehicle types
Acquire premium inventory for exchange
Charitable fundraising program(s)
Project Management Institute

10. An identifiable set of deliverables designed to
facilitate the success of business strategies.
Quantitative and measurable features
Can adapt due to market demand and/or
strategy requirements
*Product Strategy

11. “A project is a temporary endeavor undertaken to
create a unique product, service or result”
*Projects
Examples
A new website or software system
Upgrade existing mail server
Build a dog house
Send a rocket to Mars
“A project is much more than just a logistical
exercise in staying on time and within budget. It
is, in fact, a business imperative, a major
financial investment with goals that must be
successfully achieved…”
The Business-Savvy Project Manager – Gary R. Heerkens (McGraw-Hill)
Project Management Institute

12. Business
Strategy
Business
Strategy
Business
Strategy
Program
Program
Program
Program
Program
Program
Project Deliverables
Project Deliverables
Ongoing Work
Project Deliverables
Project Deliverables
Project Deliverables
Project Deliverables
Ongoing Work
Project Deliverables
Ongoing Work
Project Deliverables
Project Deliverables
Business
Benefits
Business
Benefits
Business
Benefits
Business
Benefits
Business
Benefits
E
N
V
I
R
O
N
M
E
N
T
A
L
I
N
P
U
T
S
*PMO Strategic Framework
C
O
R
P
O
R
A
T
E
S
T
R
A
T
E
G
Y Tactical Planning & Support Infrastructures (Portfolio, PMO)
Tactical Planning & Support Infrastructures (Portfolio, PMO) Corporate
Goals
Corporate
Goals
Corporate
Goals
Corporate
Goals

13. Portfolio
Projects ProgramsSub-Portfolios
Projects
Programs
Projects
ProjectsPrograms
Projects
Projects
*Putting it Together
Ongoing Work

14. *Managing the Portfolio
Analyzing portfolio
of existing &
potential projects
Selecting projects
to be implemented
as part of the portfolio
Allocating resources
to projects that
have been selected
Collecting & storing
project data for perf.
measure. & future proj.

15. Business and technical strategy integration
*Why do we need a PMO
Integration of strategic initiatives and ongoing
operational work
Applying standard practices, controls and
performance metrics (CSF/KPI) for all projects
Improve project, program and company wide
team collaboration
It is a means to advance strategic goals
through the use of Project Management principles
A unified view of all strategic endeavors by
monitoring the health of the portfolio,
programs and projects

16. *PMO as The Binding Force
Strategic
Direction
&
Alignment
Project
Management
Program
Management
Portfolio
Management
Tools
Templates
Standards
Mentoring
Resource
Management
Metrics