PMO and Projects

Relationship with Business Units

The PMO must work effectively with each business unit to ensure that the unit understands the value of the changes the PMO proposes. Often when adopting a methodology, standards and tools, a PMO requests that each business unit changes the way it works. If the value of that change is not clear, resistance will be high.

At the highest level, the PMO manager works with each steering committee member to identify how each business unit performs projects and participates in projects that cut across multiple business units.

Where the business unit already operates according to an effective standard or best practice, the PMO may choose to adopt that practice and promulgate it to other business units. Where the business unit does not have a standard or best practice, the PMO can improve project results by standardizing the project work of the business unit to a best practice.

Relationship with Projects

A well-run PMO will provide a tremendous boost to projects, significantly increasing the likelihood of delivering acceptable results, while reducing cost and effort. Here are the three main benefits experienced by projects:

• As the PMO adopts methodology, standards, and tools, it enables each project to focus on the work of the project, and to avoid having to reinvent the wheel.
• Because project team members often work on multiple projects, they may have to use multiple methods or tools simultaneously. For example, at a large energy utility in the USA, project team members had to fill out three different timesheets each week, one for each project to which they contributed. Once the PMO standardized the timesheet tool, confusion, duplicated effort, and overhead dropped.
• As the PMO continues in operation while projects finish and new ones start, project managers and project teams come to new projects already familiar with the methodology, standards, and tools to be used.