Five typical problems of PMO construction and operation and matters needing attention

2022-04-29 0 By

In recent ten years, with the promotion and popularization of project management in China and the increase of project management practitioners, most enterprises have built or started to build PMO specialized organization for project management.According to the investigation on the construction and operation of PMO, although many benchmark enterprises are very successful in THEIR PMO operation, the results of PMO operation of most enterprises are not ideal, and many enterprises even quit PMO construction soon.This paper collects and collates the common problems in the current PMO construction and operation of most enterprises, and gives some suggestions based on the consulting experience of previous enterprises, in order to provide some reference for the construction and operation of PMO.Since each PMO is developed in the enterprise-specific environment, there is no mature methodology for the construction of PMO at present, so enterprises need to make selective reference based on their own characteristics.Question 1: Do all enterprises need to form a PMO?When does a company form a PMO?There are notable examples of PMO operation results in various industries and enterprises of various types. The establishment of PMO has nothing to do with the industry in which the enterprise is located, the size of the organization or the type of enterprise organization.Regardless of industry, a company must have a vision, mission, and strategy to continue to grow.And the enterprise strategy must be transformed into a specific project, to be able to land.Pmos are often set up to deliver projects more effectively and achieve strategic goals.However, it is not necessary to set up a special PMO to improve the efficiency of the project and implement the strategy. Many enterprises assign their responsibilities to other departments and achieve good results.Through a large number of enterprise analysis, PMO can be considered under the following circumstances :(1) enterprises are project-oriented enterprises, and most of their work is carried out in the way of projects.(2) There are many management or operation problems in the process of enterprise operation, which cannot be solved by the existing organization or can be solved slowly.(3) The company is in the business transition period, and there is a lot of work to be carried out by all departments.(4) There are many problems in the current project development, such as the confused bidding process;Project schedule and cost out of control;Serious loss of project core personnel;Frequent project quality problems;The project process is not transparent, and the results are hard to predict.Question 2: What duties should a PMO perform?Is more PMO function better?The responsibilities of each enterprise PMO are different, but based on years of consulting project experience, the responsibilities of the enterprise PMO are almost all included in the following three functions: strategic function, governance function and center of excellence.PMO functions are not the more the better, but the PMO functions should be pushed backwards from enterprise needs, which are demand-driven.Functions that are not required are likely to be redundant functions that consume management costs and add to confusion.Pmos need to be clear about the fundamental purpose of their operations and that their functions are only means to achieve that end.When defining its functions, the new PMO needs to focus on effective integration with the existing functions of the organization, otherwise it will not only fail to demonstrate value, but also cause management confusion.Q.3 What relationship should the PMO have with the project manager and related departments?Generally, there are two types of relationship between PMO and project manager. One is that the post of project manager is set in PMO, and the project manager reports to the PMO principal.The other project manager position is set in other departments or belongs to part-time position, and the project manager has double reporting relationship.The two types have their own advantages and disadvantages. The position of project manager set in PMO can facilitate project control, but there are disadvantages of resource coordination because resources are in various functional departments.If the project manager position is located in another department, it is easier for the project manager to obtain resource support, but the level of support from other departments is critical to the success of the PMO.No matter what the relationship is, the purpose of PMO is the same as that of the project manager and related departments. The key to the success of PMO is to clarify its own positioning and clear division of responsibilities with the project manager and related departments.In the process of project management and control, PMO should go deep into the project with the concept of discovering and solving problems, instead of just carrying out the work from the perspective of finding problems with checklists.Focus on demonstrating the value of PMO work will naturally lead to support from project managers and related departments.Q.4 How does pMO highlight the value of the department?PMO value embodiment is the focus and difficulty of PMO work. PMO value can be reflected from the following aspects: 1. Financial value brought by the success of the project.Through project control and guidance, PMO can effectively control project progress, cost, quality, etc. By reducing project delivery period or effectively controlling project delivery cycle, more projects can be carried out under existing resources, thus generating more profits.Through the reduction and control of project cost, the development of project cost reduction can produce direct financial benefits.Through project quality control, project quality loss can be reduced and financial value can be calculated.2. Create value by improving the satisfaction of project stakeholders.PMO cannot operate without the support of all stakeholders, so PMO can create value by increasing the satisfaction of stakeholders.For customers, improving the efficiency of project delivery, the response speed in the project process and ensuring smooth project communication can improve customer satisfaction.For the leaders of the company, the satisfaction of the leaders can be effectively improved by ensuring the transparency and control of the project process, such as timely and fast transmission of the information of project progress, cost, quality, risk and problems through the project progress report or the project information system.For project teams dominated by project managers, project members’ satisfaction can be effectively improved by improving the efficiency of solving project problems, clarifying the career development path of project talents, and establishing project rules so that project members can receive timely support.3. Create value through the standardization and optimization of internal processes.PMO improves the efficiency of project decision-making by optimizing the process of project decision-making;Through the construction of the project management template process, the construction of the project knowledge and experience database, the optimization of the project process and so on to provide support for project members of the project management work to improve the efficiency of the project management work;Through the optimization of cross-department interface process, smooth communication can be ensured in the project process and management efficiency can be improved.4. Develop project management talents and create efficiency.PMO empowers project managers through project management training, so as to accelerate the growth of project management personnel and improve the efficiency of project implementation;PMO can provide suitable talents more scientifically and effectively to improve the success rate of projects by establishing various models of project management talents, inventory and evaluation of project management talents.PMO can provide a broader platform for project management core talents through the construction of career development channel and promotion mechanism to reduce the loss of project management core talents;PMO can provide effective support for project development through the construction of project management system and project management knowledge and experience base, thus reducing the demand for project management talents.Question 5. How does a PMO operate efficiently?After the establishment of PMO, it is necessary to make PMO operate in accordance with the predetermined authority and process. In the process of operation, the following matters should be paid attention to: 1. Project management should be consistent and stable within the organization, rather than just propaganda as a slogan or periodic work raids.2. Demonstrate the value of project management to decision-makers, functional managers and employees of the organization.These are all stakeholders in the operation of PMO. Only with the support of relevant parties can they cooperate with the operation of PMO and achieve the role of PMO.3. Be able to objectively review projects from a neutral perspective between the project manager and the decision makers.4. Be able to balance their roles as project control and project support.The purpose of a PMO is to ensure the success of project implementation, rather than to achieve control over project personnel and project decisions.Therefore, PMO should not appear as a policy enforcement agency to control the implementation of the project, but should cooperate with the project manager to successfully complete the project from the perspective of providing support services for the project manager, such as providing tools and methods support, assisting in the rapid solution of problems, etc.Emphasize the role of training and education.The PMO should provide systematic education and training for project management and implementation personnel to improve their project management skills.6. Communication between project managers should be strengthened.Regular experience exchange meetings, seminars, problem solving meetings and other forms can be adopted to strengthen the communication between project managers and improve the management level of project managers.7. Pay attention to knowledge management.The PMO should collect and manage the experience and lessons learned from the project implementation as historical data information for the project, as a basis for future organizational decisions and project implementation reference.8. Attach importance to the cultivation of project management culture.We should pay attention to the publicity of project management culture and concept, and create a good internal and external environment for the implementation of project management.9. Continuous improvement.The PMO should improve existing processes and systems based on their application and problems.This process should be continuous, and it also needs to be compared with other organizations to find their own gaps in order to improve the organization’s project management standards.This article source: