Henry HattenrathProject Consultant| Tectonic Engineering MSA LLCNew York, Ny, United States
In an earlier post on Project Complexity, factors on rail transit projects were listed along with items that should avoid in PMOs. This discussion complements the post and provides added input for community comments.
The Project Management Office (PMO) is defined by Project Management Institute (PMI)-Project Management Body of Knowledge (PMBOK) is:
“An organization structure that standardizes the project-related governance processes and facilitates the sharing of resources, methodologies, tools and techniques.”
PMI’s Practice Standards for Portfolio and Program Management also make scant references to PMO as an organization that oversees project management staff and provides structure and guidance across the knowledge areas in PMBOK, which serve as the foundation.
For many rail infrastructure projects, the level of government funding is normally based on recurring grants that cover multi-year programs. As a result, organizations receiving funds are required to establish PMOs to execute projects. Additionally, PMOs provide essential services, controls, historical knowledge and subject matter expertise to develop long term plans, which can include 20 year needs based on current and forecasted condition assessments.
A significant part of my career was involved project management in a rail transit environment with nearly eight years in PMO leadership positions before becoming a consultant. The PMO served combined roles for project management, general contracting and construction management. Due to limited staff, the PM services, deliverables, procedures and processes needed to be effective with little room for inefficiency, complexity, or non-value added use of manpower. Many PMO processes and procedures were customized for the service roles and staffing levels, and then routinely reviewed and streamlined with no negative impact on execution, service quality or on adequacy of management and records required by government funding agencies.
The primary services by PMOs are related to groupings of projects, and they directly impact the performance of project teams and the results delivered by the projects. In some cases, the PMOs becomes a part of the organization’s structure and its business plan, which integrates maintaining and building infrastructure in-line with the core business product and its strategy for achieving business goals.
Dinsmore in Human Factors in Project Management compares project management and on-going management:
“Running projects calls for specialized managerial approaches to avoid pitfalls. General managerial principles, while applicable to projects, must be tailored to accommodate each project’s unique traits. The special needs of the project team, which are different from those of operations personnel, must also be fulfilled.
Ongoing ventures require long range planning and marketing, thus setting for long-range survival. Projects are finite, complex and call for task oriented approach.”
But for projects, programs and portfolios, the distinction between project management and on-going operation management becomes increasing blurred as the extent of scope and duration of project work comes close to or surpasses the organization’s product cycle. At this point, the function of managing projects and operations become even more aligned with both requiring long range planning, marketing, financing, and execution and realization [business] plans.
Under these circumstances, the project knowledge, business skills, management competence and leadership IQ of the PMO staff must meet the highest proficiency in project management and its working knowledge of operations within the organization. However, the quality of PMOs can vary just like any other business function that relies on management for creating, sustaining and growing an organization’s business.
As Roadstrum stated in Excellence In Engineering – “Engineering work is project work”, it could be derived that “Organization management is project management.” And similar to organizational management, success factors for PMOs include:
• Creating a Project Management Plan (regardless of project, program, portfolio monetary value) that defines the PMO’s entire plan for the business of managing projects
• Building a management staff that demonstrates core values of the organization and PMI ethics
• Utilizing as many procedures, processes and systems that already exist within the organization’s assets
• Capturing and maintaining retrievable knowledge and historical data for all projects
• Establishing annual training and on-going professional improvement requirements
• Creating and maintaining standards for estimating, scheduling, reporting and Key Performance Indicators (KPI)
• Correlating and reinforcing KPI with the organization’s business goals and strategies
• Conducting, documenting and sharing periodic management review meetings that generate tangible assessments and guidance for improvement
• Developing where required simple, efficient and effective recurring processes and procedures
• Documenting, sharing, and making accessible and common practice for Lessons Learned
• Providing decision making criteria and timelines for rendering/implementing decisions
• Documenting organization policies for risk, integration, performance, quality, safety, security, and sustainability/environmental awareness
• Establishing long-term staffing plans that integrate a career path and succession of personnel
• Supporting employee nominations, application and recognition in industry publications and professional awards
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Ganesh SrinivasanGanesh PMO (PMP, PMI-SP, ITIL-F)| MNC BankChennai, India
Dear Henry,
Greetings !
Before i start writting, I would like to say I'm a big fan of your posts. Its very informative and inspring !
Your contribution as PMO is a role model for the PMO's like me.
Success factors for Project Managment Offices (PMOs) post is very valuable.
I feel that we should certainly have a separate dedicateed discussion group for PMO. So that it gets the intensity and not get losted when multiple new post come in Project Managment Central.
I have been writting this long time, but no response so far.
I take the success factors mentioned here as measurement for me to progress.
Thanks a lot Henry !
Adding onto my end on the Success Factors list for PMOs :-
1. Tracking Schedule, Simply Monitor and Track , Ensure that CP is maintained properly and always support project to control their Scheule to meet the deadline.
2. Track Resources and Budget, ensure no resources is idle and try to maximise the resources given and reduce overallocation, handle the budget the carefully and ensure to alert top managment as and when required.
Thanks.
Ganesh
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Henry HattenrathProject Consultant| Tectonic Engineering MSA LLCNew York, Ny, United States
Ganesh
I always looks for your posts and I believe our posts complement one another. I hope that projectmanagement.com administration can respond with input and provide the key person for administering topics under the PMO community.
Henry Saving Changes...
Ganesh SrinivasanGanesh PMO (PMP, PMI-SP, ITIL-F)| MNC BankChennai, India
Hi Henry,
Thanks you very much for your kind words. Looking forward Projectmanagment.com CEO action on PMO community.
