pmipmo
DESCRIPTION
Why a Program/Project Management Office (PMO)?What Is a PMO?Implementing a PMOSuggestions to Jump Start PMO implementationQuestions & AnswersTRANSCRIPT
Proprietary and confidential. © 2003 Perot Systems Corporation. All rights reserved. All registered trademarks are the property of their respective owners.
The Program Management OfficeThe Program Management Office
Overview for Piedmont Triad PMI Overview for Piedmont Triad PMI ChapterChapter
8 September 20038 September 2003
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AgendaAgenda
• Why a Program/Project Management Office (PMO)?• What Is a PMO?• Implementing a PMO• Suggestions to Jump Start PMO implementation• Questions & Answers
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– 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.
– Manage all projects consistently utilizing Best Practices, a critical factor in achieving higher project completion rates.
Why a PMO - The Goals of a PMOWhy a PMO - The Goals of a PMO
– Manage Strategic Change with programs -- coherent groups of projects, each small enough to reliably succeed, but coordinated to achieve well-defined strategic goals.
Strategic Change
Best Practices
Project Portfolio
Management
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Individual Projects
Individual Projects
Enterprise Portfolio
Enterprise Portfolio
Organization Environment
Organization Environment
What is a PMO: Essential Culture ComponentsWhat is a PMO: Essential Culture Components
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What is a PMO: Key ProcessesWhat is a PMO: Key Processes
Program Management OfficeGovernanceGovernance
Communications ManagementCommunications Management
Project Management
Project Management
ResourceManagement
ResourceManagement
Change Management
Change Management
Cost Management
Cost Management
Change Management• Identification and elimination of organizational
barriers to change• Management of employee resistance to change• Assurance of effective involvement of, and
communication with, all project and program constituencies
Cost Management• Preliminary cost/benefit
analysis• Project budgeting• Expenditure tracking and
budget variance review
Communications Management• Centralized program and project reporting
mechanisms• Inter-project communications• Post-implementation tracking and feedback
Governance• Program and project prioritization and risk/cost/value analysis• Decision-making, including commitment of time, money and resources• Issue resolution• Project monitoring and integration
Project Management• Project definition and initiation• Task planning and execution• Project completion and acceptance
Resource Management• Skill-to-task matching• Resource gap analysis and
resolution• Global resource
optimization
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Governance: Project Initiation ProcessGovernance: Project Initiation Process
Example Project Initiation Process
• Use one, simple project request form for all projects– Only authorized individuals can submit project requests (VPs/Senior VPs)– All project requests go directly to the PMO
• PMO evaluates the requests (enterprise architecture & project ranking tools)• Steering Committee approves/disapproves requests – approval authorizes
effort to do detailed planning of the requests (no funding approval at this point)
• Develop detailed cost & schedule estimates for approved projects• Steering Committee reviews estimates and approves/disapproves funding or
pursuit of funds – normal budget & financial processes allocate funds• Project execution begins, and the PMO reports status of funded projects to
the Steering Committee at least monthly
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Governance & the Budget CycleGovernance & the Budget Cycle
Approved through the Annual Budget Cycle
Exceptions - Approved Outside the Budget Cycle
May - September
Review/update 5-year plan; look ahead for new project
ideas, and adjust list based on budget cycle results
October - December
Submit new project requests to the PMO --> IT Steering
Committee --> Approval to do detailed planning with
approved charters (short documents)
January - March
Conduct Project Initiation Workshops and Project Planning Workshops -->
detailed cost and schedule estimates
April
IT Steering Committee reviews detailed project estimates --> submits budget request for new projects with detailed
estimates
- Accelerated process, in some cases 2-4 weeks - Can be disruptive to rest of the project porfolio - May introduce more risk
May - September
Budget review cycle --> approved budget allocated to
projects
Project requests are submitted, evaluated against established criteria and the existing project
portfolio, estimated and approved and funded, or
disapproved
Time Period
Governance Process Highlights
The OCIO PMO conducts ongoing oversight of all
projects, including at least monthly reviews of the
project portfolio with the IT Steering Committee
New Projects Providing Oversight of Approved, Ongoing
Projects
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ProjectSupport
ProjectSupport
• Project reviews/evaluation• Project Start-up/shut down• Assist with troubled projects
Consultingand
Mentoring
Consultingand
Mentoring
• Knowledge transfer• PM best practices competency• Succession planning
Project Management SupportProject Management Support
• Provide PM Instructors • Coordinate PM Training• Provide Training Materials
TrainingTraining
• Identification of PMs for projects
• Certification for PMs
ProjectManager
Resources
ProjectManager
Resources
• Adherence to PM standards• Promote PM Methods• Accessibility of Methodology
Methodsand
Standards
Methodsand
Standards
The Program Management Office
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Resource & Cost ManagementResource & Cost Management
• Automated tools are required to do these functions effectively and efficiently
• 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
• PMO provides value-added by recognizing the need for or opportunity to adjust resource allocation between projects
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Communications: Example of Organization & RolesCommunications: Example of Organization & Roles
IndividualRole or PMO
Process OwnedPMO Liaison to the
Following PHHS GroupsSpecial ProjectsNursing Services
Information ServicesStrategic Initiatives
Facilities / EngineeringMedical Director
Internal Audit
Professional & Support Services
Financial Services
Medicine ServicesSurgical Services
Ambulatory Services / COPC / PCHP
Russell Breeding
Nehal Nawab
Eleonore Pieper
Perot Account Executive
Joe Bengfort
Human Resources Women & Children's
Stuart Tozier
PMO Director
Project Management
Resource Management Cost Management
Communications Change Management
Governance
Jan Arny
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Change ManagementChange Management
• This PMO function:– Anticipates organizational change caused by single or multiple projects,
or that will impact projects– Ensures that activities occur to manage that change in a smart way
• Examples– IT disaster recovery: operating units have fewer software applications
and fewer people, so how will they operate in a disaster recovery mode?– Multiple new, inter-dependent and enterprise-wide software applications:
role based training will be needed in addition to application training– Organization Reduction-in-Force (RIF): organizational cost cutting will
impact availability of project resources– Incentives for project managers: are individuals only “graded” on their
operational day jobs? So what encourages them to be successful PM’s?
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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
Implementing a PMO: Basic StagesImplementing a PMO: Basic Stages
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Implementing a PMO: Key Implementing a PMO: Key CheckpointsCheckpoints
PMOM01.2PMOM01.2
PMOM01.1PMOM01.1
PMOM01.4PMOM01.4
PMOM01.6PMOM01.6
Conduct PMO Maturity Model Assessment
Conduct Assessment of Current Projects
Outline Strategy and Mission Statement
Client Sign-off on AssessmentAs
se
ss
me
nt
PMOM02.1PMOM02.1
PMOM02.2PMOM02.2
PMOM02.3PMOM02.3
Conduct Assessment of IT Governance Process
Develop PID / Business Case
Client Sign-off on PID / StrategyInit
iati
on
PMOM03.4PMOM03.4
PMOM03.12PMOM03.12
PMOM03.12bPMOM03.12b
Develop PMO Manual
Client Sign-off on PMO ManualPla
nn
ing
PMOM04.2PMOM04.2
PMOM04.3PMOM04.3
PMOM04.4PMOM04.4
PMOM04.6PMOM04.6
PMOM04.7PMOM04.7
PMOM04.8PMOM04.8Tra
ns
itio
n /
Ex
ec
uti
on
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
PMOM05.2PMOM05.2 Execute Transition Plan
PMOM04.5PMOM04.5 Create Master Progress Tracking Report
Define Transition Plan
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Implementing a PMO: A Typical LifecycleImplementing a PMO: A Typical Lifecycle
Estimated Timeline
Assessment/Initiation
Planning Transition
2 Months 3 Months 1 Month6 Months
Execution
PMO MaturityModel
Governance Process
Project Planning Workshop
ProjectManagement
Planning
Cost Planning
Plan Execution
Cost ManagementTracking
Monitoring & Controlling
Performance Reporting & Information Distribution
PMO Turn Over
Program Initiation
Workshop
Team Development/Mentoring
Administration of Program Management Office
PMODeliverables
PMO PID/Strategy (Charter)
Administration/Controls Planning
CommunicationsPlanningProject
Assessment
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Implementing a PMO: Resource ConsiderationsImplementing a PMO: Resource Considerations
PMO ProjectCustomer
OrganizationNumber of Projects
Implementation Schedule
People Reources
PMO Assessment
Any Any 4-8 WeeksBusiness Consultant,
Senior PM, PM
Implement Small PMO
Corporate Division or Small
Corporation10-20 12 Months
PMO Director, Senior PM, PM, and 10+ PM's to lead
customer projects **
Implement Medium PMO
Large Corporate Division or
Medium-Sized Corporation
20+ 12+ Months
PMO Director, Business Consultant, 2 Senior PMs, 2 PMs, and 10+ PM's to lead
customer projects **
Implement Large PMO
Large Corporation
40+ 12+ Months
PMO Director, Business Consultant, 3 Senior PMs, 2 PMs, and 20+ PM's to lead
customer projects **
** 10+ or 20+ PM's if the customer does not have them
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Suggestions to Jump Start PMO ImplementationSuggestions to Jump Start PMO Implementation
• Identify the portfolio of projects – seeing the volume of work gets senior leader attention (leaders define the threshold: >80 hours?)
• Begin monthly senior leader governance meetings immediately, refining the process as you go– Operating units need to see someone in charge, to whom they must sell
new project requests– PM’s need to see someone make prioritization decisions
• The PMO Champion (preferably the CEO/COO) directs that:– Projects follow the same methodology (workshops, templates, etc.)– PM’s report weekly and brief to a designated senior leader monthly