all pmo’s are not the same! - pmi chicagoland...all pmo’s are not the same! carl m. manello...
TRANSCRIPT
October
2015Trissential Consulting
All PMO’s are NOT the same!
Carl M. Manello
Practice Lead
2
There is a lack of perceived value of PMOs, a lack of project/program maturity and a lack of executive support [for delivery]***
The definition of PMO success is very limited: deliver on time and on budget*
Only half of all organizations globally understand the value of Project Management and what it delivers**
Ensuring delivery to the organization is not one of the top PMO functions***
Over one-third of PMOs do not formally measure & report to leadership***
Twenty-nine percent of PMO’s report that managing the health of the project portfolio is not part their role***
In 2010, the PMI noted that, “The time it took to implement the PMO is [most commonly] 1 to 2 years”. The Project Management Office (PMO): A Quest for Understanding, Project Management Institute, Inc., 2010.
What we’ll review today
3
• What a PMO can be (there are so many types)
• What is the difference between types
• What makes up a basic PMO
2015 SQS Trissential 4
'It's a stupid name enough!' Humpty Dumpty
interrupted impatiently. 'What does it mean?'
'Must a name mean something?' Alice asked
doubtfully.
'Of course it must,' Humpty Dumpty said with
a short laugh: 'my name means the shape I
am — and a good handsome shape it is, too.
With a name like yours, you might be any
shape, almost.'
What is yours called?
5
• Project Management Center of Excellence (i.e., Process Owners)
• Governance Office (i.e., Oversee Compliance)
• Project Manager Resource Pools
• Portfolio Management Facilitators
• Resource Management Centers
…and yet we refer to all of them as PMOs
can represent any of these:
Organizational Differentiation
6
• Project Management Office
• Program Management Office
• Portfolio Management Office
• Project Office
• Program Office
• Enterprise Program Office
• Governance Office
Points of differentiation
• Functional Design
• Span of Control
What should a PMO look like?
An anecdote
7
A CFO reads in the latest trade magazine about the much celebrated success of a peer company in their implementation of a PMO. “Fantastic,” she thinks and proceeds to call the CIO.
Bill, we need to get your team to build a PMO. I know that they can make a difference, have a financial impact and deliver results. Go make it happen!
After hanging up the phone, Bill is not sure where to turn. Does the CFO want a Project Management Office, Program Management Office, Program Office, Enterprise Program Office or Governance Office?
8
• Step 1 – Functional Design
• Step 2 – Span of Control
Functional Design
9
• Any type of PMO may assume any of these responsibilities• Varying levels of coverage
• Varying levels of focus, skill and capability
• For Example:
What should my "PMO" do?
• Integration PMO – focused on leadership and communication, resourcing and integration
• IT Governance Office –focused on leadership, business benefits and governance
Functional Design
10
• Delivery Support – Providing senior PM’s to help with project delivery
• Resource Management – helping plan for capability and career development
• Strategy & Planning – strategic planning and organizational planning for IT
• Financial Oversight – Office of the IT CFO
• Reporting & Response – standards management and status reporting roll up
Another View
Delivery Support Services
Resource Management
Support
Strategy & Planning
Financial Oversight
Functional Design
11
• Resource Management
• Demand Management
• Portfolio Management
• PM Resource Pool
• Time Tracking Oversight & Control
• Conducting Project Assessments
• Developing and updating Project Management Life Cycle
• Explicitly Define the function
• Define metrics
• Establish a way to measure
• Seek Continuous Improvement
• Project Financial Management
• Status Report Coordination, Consolidation and Roll-up
• Communications
• Process Management
• Project Management Tools
• IT Strategy
Short List Functions
Challenge: Focus on delivering value to stakeholders….
Know who your customer is…focus on their needs…
12
Functional Design
Focus
13
FUNCTIONAL DESIGNWhere to Begin
Sample Activities• Program Leadership• Program Mobilization• Program Strategy• Stakeholders Communications• Organizational Change
Management
Sample Deliverables• Vision/Strategy• Communications Plan• Communications Materials• Standard Practices & Templates• Transition Plan• Organizational Differentiation
Sample Activities• Stakeholder Business Vision• Business Benefits • Benefits Alignment• Benefits Monitoring• Business Process Integration
Sample Deliverables• Business Vision• Business Case• Continuous Improvement Plan• Benefits Report
Sample Activities• Stakeholder Expectations
Management• Stakeholder Satisfaction Monitoring
Sample Deliverables• Stakeholder Management Plan• Satisfaction Reporting
14
Sample Activities• Project Staffing• Resource Management• On-boarding/Training• Organizational Structure• Knowledge Transfer• Vendor Management
Sample Deliverables• Organizational Model• Staffing Plan • Training Plan• Knowledge Management Plan
Sample Activities• Project Integration• Deployment Coordination• Change Management• Operational Support• Program Infrastructure
Sample Deliverables• Master Integrated Project Plans• Program Plan and Master
Schedule• Budget and Forecast• Internal Service Level
Agreements• Measured Metrics
Sample Activities• Program Planning• Monitoring and Controlling• Risk Management • Issue Management • Quality Management• Quality Reviews
Sample Deliverables• Quality Plan• Risk / Issue Management Logs• Program Status Reports• Quality Reports
FUNCTIONAL DESIGNWhere to Begin
Assess Where You Are At
15
Functional Maturity
Continuum
16
• Step 1 – Functional Design
• Step 2 – Span of Control
17
• The most common PMO implementation is the IT Project Management Office• Coordination of efforts within IT
• Other forms of the PMO impact other parts of the organization• Program coordination
• Business Unit coordination
• Enterprise coordination
Where is your PMO?
18
PMO Maturity
Building Basics
Deliverable Focus
Business Focus
Integrated View
Value Proposition
Span of Control
19
• Provides assistance to and coordinates non-related projects within a single functional area• Information Technology
• Marketing
• Research & Development
• May take on any number of functions from prior slides• Portfolio management
• Resource management
• Oversight & Control
Project Office
20
• Internal to a large scale business initiative• Coordinates reporting between initiatives
• Reports up to management
• Center for issue and risk escalation
• Dependency planning
• Portfolio management (within the context of the program)
Program Management Office
Span of Control
21
• Coordinates efforts within a large business organization• Coordinates between non-related initiatives
• Interacts with large scale programs (and their PMOs)
• Facilitates interactions with other parts of the company
• Core Functions may remain the same, but focus is broader• Portfolio management (within the context of the whole business unit)
Program Office
Span of Control
Span of Control
22
• These implementations are rare• Their success is dependent upon:
• 1) the maturity of functional practices in the company
• 2) the maturity of other “PMO’s”
Enterprise Program Office
• Sits at the enterprise level• Reports to the Office of the CEO or Office
of the Chairman
• Oversight and control responsibilities for the whole company
• Leverages all other “PMO’s” to do the work
23
Building Basics
Deliverable Focus
Business Focus
Integrated View
Value Proposition
PMO MaturitySpan of Control
Core PM
Project Office
PMO
Program Office
EPO
The Difference – “PMO” #1
24
• Project Management skills distributed throughout Information Technology• “Cowboy” practices
• On-time, On-budget, within Scope was less than stellar
• Not getting the right skills in the right place at the right time
• Narrow focus for Project Office• PM resource pools – all IT PM’s reorganized to this team for assignment
• Oversight and governance that PM’s adhered to the same methods and practices for delivery
Large Electronics Manufacturer – IT team
The Difference – “PMO” #2
25
• Needed coordination for the integration of two large companies• Each company did things its own way
• Coordination of same functions into a single-team
• Management of timelines to ensure integration to meet Wall Street / Shareholder commitments
• Senior Executive PMO• Owned the rolled up program schedule
• Responsible for coordination of reporting to the Office of the Chairman
• Sourced experienced PMs to support operational teams
• Chief integration and escalation point for all work-streams
National Retailer
“PMO” Differentiation
26
Characterized by Function and Span of Control
• Don’t lump your PMO in with all the others• Differentiate it:
• For clarity of purpose
• To your stakeholders
• For establishing measures
• For defining success criteria
• Define what your project management organization will provide.
• Define your “customers”
• Define the structure that gets you there
“PMO” Differentiation
27
• Understand your business challenge• Short term vs. long term needs
• Operational vs. project needs
• Focus on one business area or all across the enterprise
• Define your core functions
• Understand your span of control
• Establish your current maturity level
• Build measures and improve delivery – Deliver VALUE
Clarify Your PMO
“PMO” Differentiation
28
What To Do Next
• Assess the current state of the project management organization
• Map where you want take your “PMO”
• Build on short-term wins
• Grow, develop and aim for continuous improvement
PMO Transformation Map
29
Proactive
Portfolio
Management
Resource
Management
Schedule
Management
Functional Roles
& Responsibilities
Project
Management
Identify
Issues
Standard
Metrics
Ad-hoc
Project Files
Simple WBS
PM Policies
Customer
Communications
Portfolio Mgmt
Tools
Balanced Score
Card
Role Based
Sourcing
Role Based
Forecasts
Resource
Loading
Resource
Metrics
PM Certification
Resource
Development
Resource
Balancing
Risk
Identification
Issue
Management
ManagementPortfolio
Reactive P
roject
Management
Narrative
Status
Quantitative
Status
TPNA Process
“Certification”
Annual Plan
Ad-hoc Resource
Assignment
Stakeholder
Communications
Change Control
Process
As-Needed
Training
Qualitative
Status
Central
Repository
Project Level
Time Capture
Identify Project
Sponsors
Define
Competencies
IT Project Plan
Issue
Capture
Risk
Capture
Formal Project
Status
Project
Description
Project
Charter
Business
Case
Schedule
Status
Measure
Metrics
Est. Leading
Indicators
SDLC
Integrated Master
Schedule
PM Quality
Reviews
Quantitative
Dashboard
Standard WBS
Project
Repositories
PM S.O.P.’s
PM
Life-Cycle
Discrete Time
Keeping
Project
Demand
Risk
Management
Status
Reviews
Impact
Management
TPNA
Metrics
Standard
Schedules
PM Work Aides
Monitor &
Report
Cost/Benefit
Analysis
Plan
Templates
PM Templates
Configuration
Management
IT Qualitative
Dashboard
Portfolio
Prioritization
Project
Sequencing
Active Sponsors
Annual
Measures
Resource Time
Capture
PM Career
Path
Career
Planning
Forecast by
Dept.
Stratify
Capabilities
Resource
Assessment
Forecast by
Individual
Forecast by
Capability
Schedule
Metrics
Schedule
Estimating
Lessons
Learned
Life-Cycle
Metrics
IT Goals
Documented
Work Flow
Expectations
Management
Queue
Management
Customized
Schedules
Knowledge
Management
PMO
Checkpoints
Project
Histories
Work In-Take
Process
HR Roles Defined
Project
Inventory
Path for continuous improvement
Effective
Delivery
Proactive
Portfolio
Management
Resource
Management
Schedule
Management
Functional Roles
& Responsibilities
Project
Management
Identify
Issues
Standard
Metrics
Ad-hoc
Project Files
Simple WBS
PM Policies
Customer
Communications
Portfolio Mgmt
Tools
Balanced Score
Card
Role Based
Sourcing
Role Based
Forecasts
Resource
Loading
Resource
Metrics
PM Certification
Resource
Development
Resource
Balancing
Risk
Identification
Issue
Management
ManagementPortfolio
Reactive P
roject
Management
Narrative
Status
Quantitative
Status
TPNA Process
“Certification”
Annual Plan
Ad-hoc Resource
Assignment
Stakeholder
Communications
Change Control
Process
As-Needed
Training
Qualitative
Status
Central
Repository
Project Level
Time Capture
Identify Project
Sponsors
Define
Competencies
IT Project Plan
Issue
Capture
Risk
Capture
Formal Project
Status
Project
Description
Project
Charter
Business
Case
Schedule
Status
Measure
Metrics
Est. Leading
Indicators
SDLC
Integrated Master
Schedule
PM Quality
Reviews
Quantitative
Dashboard
Standard WBS
Project
Repositories
PM S.O.P.’s
PM
Life-Cycle
Discrete Time
Keeping
Project
Demand
Risk
Management
Status
Reviews
Impact
Management
TPNA
Metrics
Standard
Schedules
PM Work Aides
Monitor &
Report
Cost/Benefit
Analysis
Plan
Templates
PM Templates
Configuration
Management
IT Qualitative
Dashboard
Portfolio
Prioritization
Project
Sequencing
Active Sponsors
Annual
Measures
Resource Time
Capture
PM Career
Path
Career
Planning
Forecast by
Dept.
Stratify
Capabilities
Resource
Assessment
Forecast by
Individual
Forecast by
Capability
Schedule
Metrics
Schedule
Estimating
Lessons
Learned
Life-Cycle
Metrics
IT Goals
Documented
Work Flow
Expectations
Management
Queue
Management
Customized
Schedules
Knowledge
Management
PMO
Checkpoints
Project
Histories
Work In-Take
Process
HR Roles Defined
Phase Level
Time Capture
Project
Inventory
Stage 1: build a base
Proactive
Portfolio
Management
Resource
Management
Schedule
Management
Functional Roles
& Responsibilities
Project
Management
Identify
Issues
Standard
Metrics
Ad-hoc
Project Files
Simple WBS
PM Policies
Customer
Communications
Portfolio Mgmt
Tools
Balanced Score
Card
Role Based
Sourcing
Role Based
Forecasts
Resource
Loading
Resource
Metrics
PM Certification
Resource
Development
Resource
Balancing
Risk
Identification
Issue
Management
ManagementPortfolio
Reactive P
roject
Management
Narrative
Status
Quantitative
Status
TPNA Process
“Certification”
Annual Plan
Ad-hoc Resource
Assignment
Stakeholder
Communications
Change Control
Process
As-Needed
Training
Qualitative
Status
Central
Repository
Project Level
Time Capture
Identify Project
Sponsors
Define
Competencies
IT Project Plan
Issue
Capture
Risk
Capture
Formal Project
Status
Project
Description
Project
Charter
Business
Case
Schedule
Status
Measure
Metrics
Est. Leading
Indicators
SDLC
Integrated Master
Schedule
PM Quality
Reviews
Quantitative
Dashboard
Standard WBS
Project
Repositories
PM S.O.P.’s
PM
Life-Cycle
Discrete Time
Keeping
Project
Demand
Risk
Management
Status
Reviews
Impact
Management
TPNA
Metrics
Standard
Schedules
PM Work Aides
Monitor &
Report
Cost/Benefit
Analysis
Plan
Templates
PM Templates
Configuration
Management
IT Qualitative
Dashboard
Portfolio
Prioritization
Project
Sequencing
Active Sponsors
Annual
Measures
Resource Time
Capture
PM Career
Path
Career
Planning
Forecast by
Dept.
Stratify
Capabilities
Resource
Assessment
Forecast by
Individual
Forecast by
Capability
Schedule
Metrics
Schedule
Estimating
Lessons
Learned
Life-Cycle
Metrics
IT Goals
Documented
Work Flow
Expectations
Management
Queue
Management
Customized
Schedules
Knowledge
Management
PMO
Checkpoints
Project
Histories
Work In-Take
Process
HR Roles Defined
Phase Level
Time Capture
Project
Inventory
Stage 2: narrow the functional focus for enhancement
Proactive
Portfolio
Management
Resource
Management
Schedule
Management
Functional Roles
& Responsibilities
Project
Management
Identify
Issues
Standard
Metrics
Ad-hoc
Project Files
Simple WBS
PM Policies
Customer
Communications
Portfolio Mgmt
Tools
Balanced Score
Card
Role Based
Sourcing
Role Based
Forecasts
Resource
Loading
Resource
Metrics
PM Certification
Resource
Development
Resource
Balancing
Risk
Identification
Issue
Management
ManagementPortfolio
Reactive P
roject
Management
Narrative
Status
Quantitative
Status
TPNA Process
“Certification”
Annual Plan
Ad-hoc Resource
Assignment
Stakeholder
Communications
Change Control
Process
As-Needed
Training
Qualitative
Status
Central
Repository
Project Level
Time Capture
Identify Project
Sponsors
Define
Competencies
IT Project Plan
Issue
Capture
Risk
Capture
Formal Project
Status
Project
Description
Project
Charter
Business
Case
Schedule
Status
Measure
Metrics
Est. Leading
Indicators
SDLC
Integrated Master
Schedule
PM Quality
Reviews
Quantitative
Dashboard
Standard WBS
Project
Repositories
PM S.O.P.’s
PM
Life-Cycle
Discrete Time
Keeping
Project
Demand
Risk
Management
Status
Reviews
Impact
Management
TPNA
Metrics
Standard
Schedules
PM Work Aides
Monitor &
Report
Cost/Benefit
Analysis
Plan
Templates
PM Templates
Configuration
Management
IT Qualitative
Dashboard
Portfolio
Prioritization
Project
Sequencing
Active Sponsors
Annual
Measures
Resource Time
Capture
PM Career
Path
Career
Planning
Forecast by
Dept.
Stratify
Capabilities
Resource
Assessment
Forecast by
Individual
Forecast by
Capability
Schedule
Metrics
Schedule
Estimating
Lessons
Learned
Life-Cycle
Metrics
IT Goals
Documented
Work Flow
Expectations
Management
Queue
Management
Customized
Schedules
Knowledge
Management
PMO
Checkpoints
Project
Histories
Work In-Take
Process
HR Roles Defined
Phase Level
Time Capture
Project
Inventory
Stage 3: targeted growth
Parting Thoughts
30PMO Symposium October 2015
• Organizational Change Management
• Get the business engaged (your stakeholders/customers)
• Get PM’s and project teams to buy-in
• Demonstrate Value delivered to counter the perception of administrivia
Ensure Success Through…
31
