Increasing Value of Project Management Office


The PMO does not necessarily  manage projects, so in many organizations the PMO does not have a direct project connection or it is indirect. Hence, the value proposition for a PMO can be less tangible and more subjective. A centralized PMO makes great sense to ensure that all project managers have a core set of project management skills, common processes and templates.

The PMO also acts as the owner of the project management approach and supports project managers to utilize common project management practices, procedures and process templates. In addition, the PMO will serve as a place for providing organizational view of the status of all projects and can report on the improvements being made to project outcome over time.

Although PMOs can be established to provide a narrow or broad set of services, this list includes many of the common responsibilities a full PMO would perform.The key value of a  project management office includes:

  •     Optimizes delivery cycle time due to better insight in to delivery processes
  •     Optimizes delivery costs by pruning to non value added activities
  •     Improves quality of project deliverables in mid to long run
  •     Early identification and proactive management of project issues and risks
  •     Fosters sound project management best practices
  •     Better containment and management of project scope & risks
  •     More opportunities to leverage and reuse historical project knowledge
  •     Improves accuracy of estimates by applying standard organization baselines
  •     Better communication with clients and stakeholders
  •     Improves perceptions of your organization by your clients
  •     Improves people and resource management ensuring optimized uses of scarce resources
  •     Reduces time to get up to speed on new projects by applying client specific tailored processes

At an industry level, a PMO is increasingly being seen as an important component required to the  success of projects, and hence, major contributor to the future success of the entire organization. At a more operational level, the value provided by a PMO is indispensable.

Shyam Verma, PMP, ITIL-F
Program & portfolio Mgnt professional
LinkedIn:spverma. Twitter: Shammy1
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2 thoughts on “Increasing Value of Project Management Office

  1. Pingback: How do I lead when I’m not the line manager? « Project Management in Practice

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