Project Management Office

How Critical is the Enterprise PMO?

The project management office itself is a useful tool for keeping projects within budget and on time, but it's not nearly as useful if it doesn't take enterprise wide priorities and concerns into account. without addressing these priorities, the PMO does little to help align IT to business. Using the findings of a 750 global organization-wide survey, this article by Michael Stanleigh points out how 57% of respondents indicated the organization hadn't yet fully utilized nor followed the project management office, though 60% of respondents who lead deparmentally based PMOs indicated that all levels of the organization did follow the PMO. The project management office may start in IT, but it must make it's way to the corporate realm of the organization in order to become enterprise wide: The senior management team can demonstrate a strong commitment to this Enterprise PMO by requiring all project teams to adopt the process, tools and templates of the Enterprise PMO. The Enterprise PMO should ensure projects are aligned with corporate strategy and direction. Senior executives are most concerned with how an Enterprise PMO will positively impact the organization as a whole, each individual department, and their customers. In some organizations, the Enterprise PMO will oversee the management of all strategically aligned projects. In larger organizations, the Enterprise PMO will have departmentally-based PMOs reporting directly to them. This provides them with an opportunity to align all corporate-based and departmentally based projects against the strategic plan and to manage project prioritization and resourcing issues. The article then goes on to list steps to create the enterprise PMO, including involvement with senior level managment, early warning reports to all levels of management (senior and otherwise), strong customer feedback and integrated lessons learned reviews.

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