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Topics: Agile, Benefits Realization, PMO
Is there any consideration in the industry to creating VMO (value management offices)?
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Lavetta Stevenson Release Train Engineer - NGPS/Mission Accelerator | The Boeing Company - BGS Ballwin, Mo, USA
In today's hybrid world, it seems PMO (Project Management Office) does not fit the bill anymore.  Those who have been in the industry for 25 to 30+ years can feel and see the difference with incorporating business agility.  I think many of us would agree agile focuses on delivering "value", so why not VMO (Value Management Office).  VMO means we have many tools in our tool chest to help our clients deliver improved value delivery.   Your thoughts?  
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Kiron Bondale
Community Champion
Mentor| World Class Productivity Inc. Welland, Ontario, Canada
Lavetta -

This is something which Scott Ambler (amongst others) has suggested for a while. Here's an article he'd written within this community about the subject: https://www.projectmanagement.com/blog-pos...offices--pmos--

My perspective is that picking the right name for a group is important but it is more important that it is perceived by key stakeholders as creating or supporting the creation of value, otherwise it is a VMO in name only and is likely not long for this world...

Kiron
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Rami Kaibni
Community Champion
Senior Projects Manager | Field & Marten Associates New Westminster, British Columbia, Canada
Lavetta, while I do hear your point of view, I am not sure I totally agree with your statement about PMO's not fitting the bill anymore because the main focus of PMOs should be delivering value to the clients amongst other responsibilities so your Value Delivery should be built within your PMO and a VMO is just one piece of the PMO puzzle.
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Aaron Porter IT Director| Blade HQ Pleasant Grove, Ut, USA
Most of what I've read/studied about VMOs tie them closely to SAFe and Lean Portfolio Management (LPM). Even when they don't specifically say SAFe or LPM, they've described processes typically associated with SAFe and LPM. While I do see value in working toward a VMO (pun intended), I've worked for and know people who work for companies that, well, let's just say they have more work to do than the discipline they'll need to get there.

If you define a VMO as a hybrid PMO that is empowered to monitor value realization, call for action when value is not being realized as expected, and has engaged leadership, I'd say that there are companies doing this, but I couldn't say how many or how well. However, this is a somewhat different definition of a VMO than that used in SAFe. A single definition, or foundation to start from, that doesn't require a company to transform to SAFe to have a VMO would be needed if you wanted more companies to have a VMO.
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Di Zhang Project Manager| Sinotec Abuja, Fc, Nigeria

It's important to note that the transition from a traditional PMO to a VMO involves cultural and mindset shifts, not just procedural changes. Organizations need to be ready to embrace a more dynamic and adaptive approach to project and value management.

As the industry evolves, different organizations may adopt various models that best suit their needs, combining elements of traditional project management, agile methodologies, and value-driven approaches. The key is to remain responsive to the evolving demands of the business environment and to continuously seek ways to enhance the delivery of value to customers and stakeholders.

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Sergio Luis Conte Helping to create solutions for everyone| Worldwide based Organizations Buenos Aires, Argentina
I agree with my "discussion-mates" here. I was in charge to change PMOs to VMOs when I was in charge to implement SAFe. The key is to understand that we are delivering solutions, where solution is equal to "the thing" to be created plus "the way" to create it. Then, usually, in VMOs you will find business analyst and project managers together that work trying to get the maximun benefit from value streams. But that is not new. That´s outside there from long time ago. So, in my case, everything started with creating value streams (not development value streams only like in SAFe) and after that define the best architecture to create VMOs.
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1 reply by Sanjiv Augustine
Feb 08, 2024 8:57 AM
Sanjiv Augustine
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Sergio, you are absolutely right in that none of this is new, and long predates SAFe.

Here's is link to our original paper from 2006: http://davidfrico.com/augustine06.pdf.

In fact our concept of the Lean-Agile PMO was incorporated into earlier versions of SAFe. Neither the Lean-Agile PMO nor the Agile VMO belong to SAFe.
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Keith Novak Tukwila, Wa, USA
I agree with Sergio. I currently work on a large program where value is created in various ways in addition to projects. We have Value Stream Teams that include representatives from many elements of the value stream including traditional projects, improvements implemented without projects or through more agile approaches, employee development, process and tool changes, etc.

The teams work together to prioritize our efforts on where we think we can get the most value whether or not the delivery approach involves launching a project.
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Sanjiv Augustine Alexandria, Va, USA

Hello All

I appreciate the ongoing discussion about the Value Management Office (VMO) and its role in agile transformations. I'd like to clarify two important points:

Framework Neutrality: The Agile VMO approach is designed to be framework-neutral. While it complements various agile methodologies, including SAFe, LeSS, DA, and others, it is not inherently tied to any of them. The core principle of the VMO is to facilitate strategic agility, lean portfolio management, and adaptive governance across any organization, leveraging the best aspects of various frameworks to suit specific organizational contexts and goals.

Original Authorship: I am the original author of the Agile VMO concept. My coauthor in this field, Roland Cuellar sadly passed away in 2021. Roland and I regularly published work on the Lean-Agile PMO (evolved to the VMO), dating back to 2006. The development of the VMO was driven by the need to evolve traditional PMO models towards a more value-centric and agile approach, focusing on delivering tangible business outcomes rather than merely overseeing project completion. This initiative was independent of any specific agile framework, reflecting a broader understanding of agility and value delivery in organizations.

The Agile VMO emphasizes the importance of managing for value delivery, adapting to change, and fostering collaboration across all levels of an organization. It's about creating a culture and system that supports agile principles and practices universally, not prescribing a one-size-fits-all solution.

I hope this clarifies the origins and intentions behind the Agile VMO. It's a framework-agnostic approach designed to enhance agility and value delivery across any organization, independent of the specific methodologies employed.

You can find all this online with a Google search for the "Agile VMO" and "Lean-Agile PMO."

Finally, Scott Ambler and Mark Lines wrote the foreword to our popular book, From PMO to VMO: Managing for Agile Delivery, and remain in strong support of our work. The book has specific guidance on standing up a VMO within Disciplined Agile implementations.

Thank you, and hope this helps.

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Sanjiv Augustine Alexandria, Va, USA
Dec 20, 2023 6:16 AM
Replying to Sergio Luis Conte
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I agree with my "discussion-mates" here. I was in charge to change PMOs to VMOs when I was in charge to implement SAFe. The key is to understand that we are delivering solutions, where solution is equal to "the thing" to be created plus "the way" to create it. Then, usually, in VMOs you will find business analyst and project managers together that work trying to get the maximun benefit from value streams. But that is not new. That´s outside there from long time ago. So, in my case, everything started with creating value streams (not development value streams only like in SAFe) and after that define the best architecture to create VMOs.
Sergio, you are absolutely right in that none of this is new, and long predates SAFe.

Here's is link to our original paper from 2006: http://davidfrico.com/augustine06.pdf.

In fact our concept of the Lean-Agile PMO was incorporated into earlier versions of SAFe. Neither the Lean-Agile PMO nor the Agile VMO belong to SAFe.

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