Creating a PMO Business Case

Create PMO Business Case

The first step taken when launching a new PMO is to create and present the PMO business case. The business case defines the key problems that the PMO will address and the expected benefits of addressing these problems. The PMO business case is created by taking three steps, as shown by this diagram:

• Perform Initial Assessment. During the initial assessment, key project management problems are identified within the organization. The step of performing an initial assessment is essential, because each organization's problems are different and the PMO role must be tailored to solve the specific organizational problems identified.
• Prepare Benefits Statement. A benefits statement is then prepared, which defines the value that will be realized by the successful implementation of the PMO.
• Define Growth Plan. A PMO cannot address all problems and provide all services at once. The growth plan therefore provides an initial implementation timeline, showing how the PMO will begin by addressing the most significant needs first.
  

Perform Initial Assessment

To perform an initiation assessment, perform these 5 steps:

1.                  Conduct Interviews

2.                  Perform Studies

3.                  Prepare Problems List

4.                  Prepare Executive Summary

5.                  Prepare Gap Analysis

These steps are performed by an expert project manager, known as the PMO initiator.

To perform the initial assessment, the PMO initiator conducts open-ended interviews and formal studies to define critical problems and measure current key project success factors. Problems identified during the assessment may come from senior executives, project managers, or other project stakeholders. This problems list becomes the core of the initial assessment report. The assessment report also includes an executive summary and a gap analysis.