Interaction Among PMO Offices

Interaction Among Multiple PMOs

The interactions among multiple PMOs will vary depending on the reason that multiple PMOs exist in the same organization. The first two cases are relatively simple:

In an organization that will remain diverse, the PMOs will interact rarely, if at all. The only reason for interaction is a situation where the entire company is deploying a single system to all subsidiaries or to all regions. For example, if a holding company decides to implement a unified financial reporting system, then the PMOs might communicate regarding it's deployment. One PMO might perform the initial deployment, and then make its project plans available to PMOs in the other companies to reduce their deployment time and cost.

In an organization where two PMOs are coming together as a result of a merger or an integration of efforts that were previously separate, the PMOs must communicate closely and work together. First, they assess the tools and services offered by each PMO and come up with a standardization plan. Then they come up with a plan to actually merge or permanently coordinate the activities of the two PMOs.

When multiple PMOs exist in an ongoing way within a large organization, then effective ongoing coordination and communication is essential. The strategic PMO (Portfolio Management Office or COE) takes the lead. It defines the methodology, standards, formats for reports, and most importantly, the tools.

The Program Management Offices apply those tools within their respective programs. A Program Management Office will have some leeway in this tactical implementation. For example, if a project within the program is nearly complete when a new standard is rolled out from the strategic PMO, the Program Manager may decide not to change the operations of that project, and instead let it finish.

The Project Management Office, or offices, implement the strategic PMOs methodology, standards, and directives in the parts of the organization for which they have responsibility. There is some leeway in how they do this, but any significant variation from the strategic PMO's plan should be communicated in advance to the strategic PMO and receive its approval.

Communication should not be in one direction, from the strategic PMO to the Program and Project Management Offices. It is essential that the Program and Project Management Offices provide feedback. For instance, the strategic PMO may select a life cycle methodology that works well for most of the company, but is insufficient for a particular division that must meet certain regulatory standards. In that case, the PMO for that division should communicate about the mismatch to the strategic PMO, and the two PMOs should work out a solution that is effective both for the division and for the entire organization.

Next, you can learn about PMO Maturity how a PMO grows over time.