Sherry S. Remington, PMP, SCPM

1

Sherry S. Remington, PMP, SCPM

Each Enterprise is unique and diverse and to try to categorize and align them is a mish mosh at best. However, there are some processes, systems and data which can be affinity grouped into rational relationships allowing PMO’s to be aligned and utilized. Below is an excerpt from Chapter 2 of the The PMOSIG Program Management Office Handbook: Strategic and Tactical Insights for Improving Results 1 which indicates different types of PMO’s.

PMO’s are like gloves they have to fit for them to be effective. And their design must reflect their purpose. Garden gloves are not used in batting cages, nor are racing gloves used to clean the kitchen sink. First define the PMO, will it be portfolio, program or project; then understands their purpose: regulatory, standards, centers of excellence, product, project, etc. Once appropriately defined, then vision, mission and purpose can be more successfully aligned. One specific requirement of PMO leadership is to promote the vision of the PMO and advertise the delivery of value to the organization.1

PMO Types

Project: A temporary endeavor undertaken to create a unique product, service or result. Project Management Office aligns to execution as that is what they are designed to do, bring vision and strategy to reality. They deliver the results.Program: A group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually. Programs Management Offices may include elements of related work outside of the scope of the discrete projects in the program. Program Management Offices align to strategy and execution as they guide the organizations to execute against the Enterprise strategy via projects and operational teams performing against the corporate processes.Portfolio: A collection of projects or programs and other work grouped together to facilitate effective management of that work to meet strategic business objectives. The projects or programs of the portfolio may not necessarily be interdependent or directly related. Portfolio Management Office best align with vision and strategy as they govern what goes into an Enterprise portfolio. Programs and project are selected based on their criteria which best aligns them to the Vision and Strategy of the Company.

Business Architecture

Business Architecture is systems by which the Enterprise manages it resources weather that is people, process, systems or data. Products are a result of the business architecture success. How the business architecture is integrated and utilized will determine product and Enterprise success.

2

Sherry S. Remington, PMP, SCPM

People and the PMOAs a program management office, people responsibilities are directly linked to the Enterprise structure. Is the organization a highly matrixed organization, a weak matrix organization, a purely projectized organization or a purely functional organization. Determining the organizational structure will create the path to success for a PMO.

As a program management office, people responsibilities are directly linked to the Enterprise structure. Is it a highly matrixed organization, a weak matrix organization, a purely projectized organization or a purely functional organization. The people aspect of the PMO will be address differently based on the organizational structure, so please make sure you understand the structure clearly. Embrace: Knowledge workers these are individuals who are experts in their field. They are better utilized short term for their knowledge and skill for only the segment of the program or project that is needed. They can be better utilized functionally across the organization depending on the Program Type. (Product Management requires experts).Avoid: Too many knowledge workers because they are specific and not broad in knowledge. Additionally, they are expensive.Embrace: Project workers these are individuals who are specifically trained in project and program management. They are better utilized if reporting to a PMO rather than a function because they can be shared among projects and programs. Project workers have skill that is transferrable across functions which allows optimal utilization.Avoid: Overloading the Project worker until they become ineffective. Also avoid having them wear the hat of project worker and knowledge worker.Embrace: Education and making all participants of the program/project aware of the nuances being managed. This can include educating the project team or educating the functional teams. Project Managers are not accidental: they are grown in an environment that trains, mentors and rewards them based on performance in projects.2

Avoid: Mismatching workers to the projects or programs; for example, putting a senior PM on a short term entry level project. Obtain the best utilization of your work force by aligning skills sets to level of complexityEmbrace: Protocol for engagements so that mutual respect is present.Avoid: Creating scenarios where project workers are not in the correct role and expected to work in areas that are not governed by the PMO.

The right people doing the right work at the right time equals money well spent and saved.

Knowledge workers

Project workers

Education and needs

Respect & Engagements

3

Sherry S. Remington, PMP, SCPM

Process and the PMOProcess adds clarity, standardization, improvement and value to an Enterprises’ culture. Without process chaos ensues. Oftentimes chaos is misrepresented for innovation. In reality, process fuels effective and efficient innovation and provides value through the long term. Depending on regulatory practices which are mandatory, some Enterprises exercise better processes than others.

We know that all Enterprises have processes and within the Enterprise some functions adhere to the processes better than others. Not all processes or Enterprises are equal. Enterprise processes can be defined as requests, patterns, re-use of capabilities, creating new capabilities, regulations, adoption and measurement. Enterprise processes are created for all organizations and functions to follow; not all do. Depending on the type of PMO, maintaining processes and methodologies could be a responsibility of the PMO. Determine upfront how that responsibility will bring value to the Enterprise.Embrace: Enterprise process and promote them throughout the company. It will create a common taxonomy and simplify and clarify communications.Embrace: Industry standards and processes (PMI PMBOK, PLC, Agile). As a PMO the need to drive consistency and industry standards is tantamount. If the PMO does not hold up the standards the organizations following them will not either. This often times creates chaos and undermines the value of the PMO. It also feeds a passive / aggressive culture.Avoid: Playing police for other organizations unless that is the PMO charter to do so. Remember the type of PMO and it’s purpose and adhere to the PMO strategy and execution to meet the desired outcomes for the PMO.Embrace: Creating an engagement process if one is not already in place. There may be exceptions to this idea; however without an engagement process; discipline and prioritization will be diminished. Fire, Ready, Aim is an engagement process, but is it right for your Enterprise?Avoid: Ad hoc requests without an approval process or engagement process in place.

Creating standardization and repetitive processes creates efficiencies which allow focus on new or strategic efforts optimizing the portfolio for the Enterprise.

Enterprise process

Program & Project process

Engagement process

4

Sherry S. Remington, PMP, SCPM

Systems and the PMOWhat is a system? A whole compounded of several parts or members. Systems have interconnectivity relationships among each other. The term system may also refer to a set of rules that governs structure and/or behavior. We will take a brief look at 5 systems and what the PMO can embrace or avoid.

Financial Systems are primary to any PMO. The PMO leadership must understand how the Enterprise will pay for its services. Embrace: a financial system which gives budget and control over the PMO funds for the PMO specifically and the projects and programs preferably. Avoid: a financial system which does not directly support programs or projects, avoid tin cupping, it breeds political disparity.

Political Systems indicate the structure by which decisions are made and power is exerted. The organizational structure and placement of the PMO can impact its ability to execute effectively. Embrace: buy in from all stakeholders with an appropriate stakeholder management process. Utilize cross-functional steering committees and always have an executive sponsor to assist with political situations. Avoid: Career Limiting Moves, passive aggressive behavior. Identify and manage stakeholders with these tendencies utilizing good risk management and escalation processes.

Infrastructure Systems are the systems or tools used by the Enterprise. Be aware of how the PMO can use them; as well as the impact they may have on the PMO. These systems can be enabling or punitive; integrated or antiquated and depending on which you encounter, the infrastructure can impede PMO success.Embrace: Knowledge of the infrastructure the PMO will be utilizing. Opt for infrastructure which will allow the PMO consistent, effective and valid data gathering.Avoid: multiple systems when processes are the same. Avoid redundant data systems.

Culture Systems directly influence the PMO and the how it executes strategy.5 Cultural scrutiny, awareness and understanding are king.4 Embrace: the Enterprise culture and understand how to get work done within it.Avoid: programs and projects that change the culture without executive support or awareness. In doing so, the PMO will bring in more projects on time, under budget which meet stakeholder requirements.

Financial systems

Political systems – CLM

Infrastructure systems

Culture systems

5

Sherry S. Remington, PMP, SCPM

Data and the PMOThe term data refers to qualitative or quantitative attributes of a variable or set of variables. Data are often viewed as the lowest level of abstraction from which information and then knowledge are derived. Why is data important? It helps to orchestrate business decisions. Decisions which will determine the Company’s success or failure? This is important to the PMO as it exports data to diverse audiences.

PMO data: What data is important to the PMO and what data should be owned and driven by the PMO? These are important questions and need to be determined prior to presenting data. When data surfaces that is disparate, which data will be used for decision making? Single source of Truth data (SSOT) must be identified and validated by the Executive Sponsor as the information that decisions will be predicated. Embrace: Single source of truth data. Require ownership of data regardless of where it is created or resides.Avoid: disparate data without sponsorship

Horizon and Value metrics: What data should the PMO own? – Execution data, Business Value Data, Forecast Data? What data can the PMO borrow? -Marketing Analysis, Sales statistics. Embrace: Data which trends historically but is tantamount to predict the future. Create a framework to review the data on a periodic basis.Avoid: Boring and repetitive data that does not add value to decision making. Change to program without new data metrics to identify change success.

Risk analysis and contingency information is the safety net for PMO’s. A risk management plan (RMP) with contingency built in is best practice execution. As a part of the RMP, identify data, track it to validate or discredit the risk realization. Embrace: a risk management planAvoid: incorrect risk data, lack of risk management plan

With risk information being reviewed regularly, decisions can be made quicker to avoid losses or seize opportunities. This adds real dollar value to the bottom line.

PMO data

Horizon and value metrics

Risk Data

6

Sherry S. Remington, PMP, SCPM

REFERENCES:

1The PMOSIG Program Management Office Handbook: Strategic and Tactical Insights for Improving ResultsSection 1: PMO Governance

1. The PMO Role in Project Portfolio Governance

2. Program Types: Categorization and Its Benefits

3. The PMO as an Enabler for Large-Scale Global Program Success

Authors:Dennis Bolles,Craig J. Letavec

2The Strategic Project Office: A Guide to Improving Organizational Performance Improving Results

1. The Project Office Concept2. The Starting Gate3. Project Office Rationale,

Organization Structure and Functions

4. Meet the Players5. Project Office Planning,

Preparation and Strategy6. Establishing a Project

Management Methodology7. Knowledge Management

and the Project Office8. The Technical Infrastructure9. The Strategic Project Office10. Changing the Organizational

Structure

Authors:J. Kent CrawfordPM Solutions Research

7

Sherry S. Remington, PMP, SCPM

3Resonate: Present Visual Stories that Transform Audiences

1. Why resonate2. Lessons from myths and

movies3. Get to know the hero4. Define the journey

Author:Nancy Duarte

4 "Culture eats strategy for breakfast"

http://www.linkedin.com/groupItem?view=&gid=63688&type=member&item=44298978&commentID=-1#lastComment;

Author:Gail Severini

5 Converting Strategy into Action ©2007 by SAPM Author:

Stanford Center for Professional Development &IPS