AMS deploys solutions based on customized industry and
experiential best practice.
Our team of executive level consultants will work with
your organization to craft the best implementation of any
service, solution suite and correlating best practice.
This holistic approach to creating business solutions
will render high value ROI, continuity and embedded value.
The emergence of the Project Management Office, (PMO) is being
driven by the desire to improve and standardize the success rate
of Business and IT projects that continue to increase in breadth
and complexity. Another driver for the project office
phenomenon is the need to relieve project managers of the
administrative requirements associated with successfully
managing projects.
In the past, a project office was defined as a structure to
develop best practices as well as maintain focus on the project
management discipline. It was generally recognized as a
repository of project information controlled at the strategic
level of an organization. Currently, the concept is being
refined out of necessity and assumes more of an operational
support role for the project manager. Within this context,
the project office is more appropriately defined as an
organizational mechanism that assists the project manager in
consistently achieving project goals by providing assistance in
planning, estimating, scheduling, contracting/procurement,
monitoring, and controlling the project. Organizations
implementing this type of project office environment are leading
the way toward a model for world-class project management.
AMS believes that project office functions can be virtual
or staffed. Many forward-thinking organizations are
blending the aforementioned strategies and utilizing the project
office to support strategic, operational and tactical
objectives. In addition, the project office staff is
comprised of both dedicated and just-in-time personnel.
AMS consultants have designed PMO's for companies worldwide.
Our success rate is based on the executive level expertise of
each AMS resource and our ability to leverage past experience
when crafting a best in class organizational structure for our
clients. Our unique blend of Project Management experience
coupled with our Organization Development background is the key
factor setting us beyond many project management consultancies.
Functions of a Mature Project Office
A mature project office provides many types of services.
Corporately, the project office is generally regarded as a
Project Management Center of Excellence. The professionals
who staff these project offices should be experienced and
trained in advanced management and leadership skills, as they
will continually collaborate with senior project personnel,
senior management, and staff at customer decision-making levels.
Ancillary resources either assigned to the project office or to
a specific project must also behave in alignment with the norm.
Some of the services performed by project offices include
specific needs training, best management practice (BMP)
development, administration, consulting and mentoring. In
large firms, it also provides a home base for project managers
as we have described in earlier paragraphs.
Specific Needs Training
The project office should be concerned with training relevance and
consistency. In addition to staffing fulfillment, the project
office should provide a full range of specific needs training for
project managers and project teams. This training should be
delivered on a scheduled basis as well as through a request cycle
for organizational needs outside of the PMO. In essence, this
format will promote the PMO as a resource center.
Best Management Practice Development/Methods and Standards
Project management processes are developed, used, refined, and
implemented throughout the organization as best management practices
by the project office. For example, the project office should
enforce a project management process that spans the project
selection to project closure phases. From these processes, metrics
are developed to measure project performance and improvement.
These best practices and lessons learned are stored in a repository
for use on subsequent projects, hence building accuracy, mitigating
risk and reducing cycle time. The data is accessible and used
by the core PMO team and any other resource working inside the PMO
structure.
Currently, many mature project management organizations use their
intranet and website as repositories for best management processes
and practices. A mature project office should eventually
utilize external benchmarking to further improve project performance
and organizational efficiency.
Project Administration
In most organizations, project management means scheduling. In
addition to scheduling, the project office should also be involved
in project planning, resource estimating, contracting/procurement,
project control, variance analysis, and administrative support.
The administrative support can be significant. Recent studies
indicate that over 50% of the project manager’s time is devoted to
administrative tasks.
Project Consulting and Mentoring
Many organizations are using internal consulting/mentoring to
supplement and complement their formal project management training.
The mentors/consultants can develop inseparable relationships with
project managers if they provide value to the project. The
reputation of a project office is built upon continued
responsiveness to the project management needs of the organization.
This model works well in organizations that are utilizing a more
virtual design. Project managers who are not necessarily
working under the PMO, but who are working with the established
methods may call upon the PMO to provide consultation. The
relationship imbeds continuous learning and improvement into the
organization’s corporate norms.
Project Managers
The project office is an ideal place to maintain a pool of project
managers. Project managers may be assigned to the project
office in order to monitor their career development, job assignments
and job performance. Based on the project manager’s
availability and experience, they are subsequently assigned projects
of commensurate duration and complexity. Project managers that
are in the pool can use down time for personal development by
attending training courses or serving as mentors or peer review
personnel. Understandably, resources in the pool will have
other job responsibilities. Utilization of the pool concept
will allow a project office to expand and contract with the project
portfolio. In addition, it provides a dynamic model for
performance management, allowing far better control over cross
functional performance. Human Resources will play a critical
role in the build out of this model and should be integral in its
development and implementation.
Client Considerations
The functions as listed above are a cross-sectional view of a mature
PMO’s functionality. It is important that this overall
functionality be considered prior to the development and
implementation of a PMO. Unless the end-state model is planned
first, the development of processes, tools, and methods will be
interruptive. Experience shows that it is not a wise practice to
develop and implement a project methodology and/or PMO without
utilizing the practices that it espouses. The failure to lead
by example has resulted in the collapse of many PMO efforts, leaving
a bad taste in the mouths of the project resources.
The development of a project methodology and project management
office is a sizable effort. When a simultaneous reorganization
effort is factored in, the risk level is elevated and the probable
success level of both efforts is lessened. This
illustrates a compelling reason for both of these end-state models
to be well defined at the outset. In
95% of the PMO implementations we have been involved with, the
organization undergoes a detailed assessment of the project
management norms, culture and competencies of the project
organization. In this case, the business clients would also be
included in the assessment to ascertain the perceived level of
service from the IT organization, identify critical interfaces and
cross-functional work flow as well as obtain buy-in for the project
management methodology. The IT organization is a service provider to
business units, therefore, it must gain approval from and seek
collaboration with the client for the methodology to be assimilated.
Project success is largely dependent upon the amount of detail
extracted during front-end planning. For this reason, most
methodology and PMO development efforts are phased in over time,
driven by a detailed plan relative to the complexity of the
methodology/structure, and results of an organizational assessment.
In addition, the rate of change that is organizationally acceptable
must be considered.
The assessment will also identify the areas at which milestones,
quality control checkpoints, communication processes and other
critical Business–IT interfaces should be designed into the
methodology. Specific needs training will be based on the
competency assessment results. The results can be utilized to create
a human resource-based project management career track embracing the
necessary training, experience and time on the job elements
required. These elements will not be limited to the PMO.
In support of our earlier recommendations, these norms and
competencies should be made visible and accessible to the entire
organization.
The utilization of an experienced PMO consulting organization that
understands the strategic, operational and tactical interfaces of
project management would ease the overloading of PMO resources and
assist in the control and redirection of the cultural repercussions
that are inherent in such a change-based effort.
Summary
Undertaking a parallel reorganization and PMO effort will
understandably add to the complexity of work. However, it is
our opinion that doing them in a vacuum will not render optimum
results. If the IT organization is being reorganized to
promote cross functionality, service provision and internal
efficiency, a standard project methodology is a requirement.
A well-executed process and methodology implementation will
allow Business and IT to come together prior to actual work
beginning. The benefits of this union are as follow:
-
Business/IT expectations are clarified
-
Measurable processes are created for both the implementation of
project work and continuous support
-
Performance measurement programs will be established allowing
for cross functional consistency around reasonable expectations
-
Human Resources will become integral in resource availability
and competency issues allowing for more focus on the project
manager’s part
-
The project portfolio will be guided more directly by the
organization’s strategic initiatives
-
Cost factors will be compared more accurately
-
Change will be managed more effectively
The aforementioned bullets are meant to be a macro look at the
impact on the enterprise. Obviously, cultural norms, business
environment and competency issues will need to be observed prior to
formulating the assessment or stating recommendations.
Undertaking a project of this complexity can be overwhelming if not
approached methodically. However, the end result as indicated
above offers a variety of direct and ancillary benefits to the
project management function and the entire organization.
AMS can customize any best practice to fit your organizational
needs.