There are seven primary components to any PMO, which grow in capability and complexity as the PMO takes on more strategic responsibilities.
Processes, Standards, and Methodologies
A primary role is as developer and maintainer of the processes and methodologies pertaining to the management of projects. The PMO serves as a central library for these standards (including templates, forms, and checklists), and is home to experts on their deployment. The PMO also incorporates lessons learned on projects nearing completion into the project management methodology.
Project Managers
The PMO takes charge of the development of professional project managers. In the fully deployed PMO, project managers actually report to the PMO and are deployed to projects either as full-time managers or on a part-time basis. The PMO maintains a database of project managers, documenting their skill sets and experience. The PMO is a “demand management office” – a center for resource development and allocation, which acts to prevent resource bottlenecks from hindering organizational progress.
Training/Professional Development
The PMO is the center of focus for project manager and team training and development. It identifies competencies needed by high-performance project managers and executive awareness and team member participation. The PMO typically participates with a project management training vendor in tailoring standardized courses around the culture and methodologies that apply specifically to the organization.
Project Support
In a fully staffed PMO, the project support group is responsible for estimating and budgeting, including cost estimating and capital estimating. They develop plans and schedules and provide status updates, pulling data from time collection, timesheets, and the financial system to update the status against the plan. They perform variance analysis and are also critical to change control. Project support also keeps a project repository, maintains issues tracking, and handles progress reports.
Software Tools
The PMO centralizes the establishment and maintenance of project-related software tools, maintains project management software standards, and acquires project management software and supporting software. The project support group identifies software, facilitates or performs the integration and use of software, and maintains and monitors its performance.
Mentoring and Coaching
When another department in the enterprise wants to manage a project themselves, the PMO can provide expert assistance in the form of mentoring and coaching for the staff involved. This also provides an audit function for existing projects to determine how effectively the project management process is being utilized within the organization.
Portfolio Management
As a central clearinghouse for project information, the PMO is the owner of the portfolio management process, coordinating between project level and portfolio level to make sure that decision-makers have the best information in the most accessible formats. The investment decisions reflected in the portfolio form the blueprint for the work carried out by the project managers and teams within (or mentored by) the PMO.
Source: Crawford, J.K., et al. (2008). Seven Steps to Strategy Execution: Integrating Portfolios, Programs, Projects and People for Organizational Performance. Glen Mills, PA: Project Management Solutions, Inc.
FAQs
The PMO is defined as “an organizational structure that may be used to standardize the portfolio, program, or project-related governance processes and facilitate the sharing of resources, methodologies, tools, and techniques” (PMI, 2014, p. 6).
What are the common components of a PMO? ›
7 Components of a PMO Strategic Concept
- Introduction. ...
- Business Background and PMO Mission. ...
- Objectives. ...
- Span of Control. ...
- Processes. ...
- Service Functions. ...
- Systems. ...
- Measures of Success.
Conclusion – Typical PMO Functions and Areas of Responsibility
- Strategic capacity planning.
- Managing the skills of staff members.
- Provision of career paths for project managers.
- Proof of strategic contribution of projects.
The PMO is defined as “an organizational structure that may be used to standardize the portfolio, program, or project-related governance processes and facilitate the sharing of resources, methodologies, tools, and techniques” (PMI, 2014, p. 6).
What does PMO include? ›
A project management office (PMO) is a group, agency or department that defines and maintains the standards of project management for a company. The PMO retains the documentation and metrics for executing projects and is tasked with ensuring projects are delivered on time and within budget.
What are the 4 Ps of PMO? ›
Almost everyone has heard of the four P's of marketing – product, pricing, promotion, and place. Marketers use these to help develop a marketing and go-to-market strategy for their product or services. The marketing four P's serve as a guideline.
What are the four pillars of PMO? ›
The Four Pillars of Project Management
- Trust. A good project manager promotes an air of collaboration. ...
- Respect. Respect that each team member starts a project with different levels of technical or business understanding or experience. ...
- Accountability. ...
- Change Management. ...
- Why It Matters.
A good PMO will have clear structure and processes in place, which will help to guide project managers and ensure that projects are managed effectively. This will include standard processes for initiating, planning, executing, monitoring, and closing projects.
Is PMO higher than project manager? ›
Is PMO Higher than Project Manager? Yes, the PMO is typically higher than an individual project manager role in an organization's hierarchy as it has broader responsibilities focused on enterprise-wide project governance, portfolio management, and establishing frameworks.
What services should a PMO provide? ›
Some common functions/services of PMOs are: reporting project/program status to upper management, developing and implementing a standard project management methodology, providing mentoring for project managers, managing one or more portfolios, and even, manage certain projects or programs considered strategic.
These stages include:
- initiation.
- planning.
- execution.
- monitoring and control.
- closure.
Most PMOs have no portfolio functions, do not take part in project selection and do not own project resources.
Who runs a PMO? ›
PMO stands for project management office and it's responsible for the project management standards in an organization. It can be a department in that organization or a group of professionals, either inside or outside the organization. Either way, it's run by a PMO director.
What is the major role of PMO? ›
The PMO is responsible for setting and maintaining project standards. As a member of the PMO staff, you'll help support project teams and project managers while also working with other departments to ensure that projects are coordinated and aligned with organizational objectives.
What is the main purpose of a PMO? ›
A project management office (PMO) is a group, or functional unit, that sets, maintains, and enforces the practices, policies, and standards for structuring and executing projects within an organization.
What are the 5 function of project management? ›
This includes objective setting and project design; managing without influence to gain the support of stakeholders and access to resources not directly under their management control; planning, scheduling, budgeting and monitoring; and risk assessment and management.
What are the activities of PMO manager? ›
PMO Manager Duties and Responsibilities
- Facilitate Project Planning. ...
- Analyze Financial Information. ...
- Modify Processes. ...
- Ensure Documentation.
