Building the PMOProject Management Office

5 Actions to Demonstrate Value of a PMO

A Project Management Officer’s (PMO’s) importance is still perceived as less critical to the organization. Often, a PMO is labeled as the additional layer to bureaucracy. Most stakeholders do not show willingness to wait until the complete formation and implementation of the PMO, assuming it worthless.

In this article at PM Majik, the author explains that it is essential for the PMO to demonstrate a positive impact on the project and company to establish a strong presence.

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Even though PMOs are efficient enough to improve the performance of a firm by streamlining operations, they cannot demonstrate their actual value to the stakeholders. This is the reason for their exclusion. Hence, the smart PMO manager needs a game-changing plan to discover early wins onto the scoreboard. Here are few actions PMOs can take to demonstrate their true worth:

  1. Project Lists: With no central PMO, the scope of keeping a record of all the projects for future reference is zero. Therefore, it is difficult for the senior management to track active projects. This may also result in regular fire drills from the management to try and uncover what is going on. An active PMO can take the lead in building and maintaining records of all projects while listing critical key aspects of each project.
  2. Standard Reporting: By implementing a standard status report, the PMO can quickly brief the senior management with the project status in a consistent manner. The individual submissions should be used to generate an overall dashboard, using a common RAG rating system.
  3. Define RAG Levels: Letting the project teams set the RAG status without guidance leads to diverse views and that is a problem for the senior management. The PMO can quickly address this by defining standards for the RAG settings and communicating them to all project teams. The settings must be clear, precise and leave zero space for interpretation.
  4. Contact List: By maintaining a list of project managers, sponsors, etc., the PMO can clearly identify ways to contact the right person responsible to resolve a project query. The list must also include key contacts contributing to the project.
  5. Steering Committee: All the active projects have steering There may also be an overall governance meeting for the projects. Often confusion on the schedule of these meetings, submission date of inputs and paper publication dates leads to major goof ups. The PMO can build and maintain a list of meetings that is easy remember.

Click on the following link to read the original article:

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