What is Project Management Office (PMO) ?

A Project Management Office (PMO) is a department with in the projectized organization that provided the project management, ensures the compliance to policies, processes and the project governance. It oversees and management of various projects with in the organization. 

This is achieved through 3 different levels of controls over the project. 

Supportive PMO: It provided the policies, methodologies, templates, and lessons learned for managing projects with in the organization. This is low level control of the project. A project manager must refer and adhere to  the organization's project governance policies, methodologies, templates, and lessons learned. 

Controlling PMO: It provides support and guidance on how to manage the project, trains others in project management and project management software, assist with specific project management tools, and ensures compliance with organizational policies. This is a moderate level of control over projects. 

Directive PMO: It allocates/provides project managers for various projects in the organization, is directly responsible for the success/failure of projects, This is a high level of control over projects. 

Roles and responsibilities of a Project Management Office (PMO):

The PMO of an organization has many roles to play during the project lifecycle. PMO has a vital role and authority in managing various projects and smooth governance. 

• Manage the interdependencies among projects. 
• Integrate the information from all projects. 
• Help provide resources or manage resources effectively. 
• Recommend termination of project when appropriate. 
• Monitor the compliance projects with policies and procedures. 
• Facilitate and gather the lessons learned from various project and maintain a repository. 
• Ensure availability of lessons learned through out the projects. 
• Provide governance and guidance to projects. 
• Have representation in the change control board. 
• Be a stake holder.
• Prioritize the project based on the strategy and business goals of the organization.  

PMO will be heavily involves during the project initiation phase of the project and once the project is handed over to the project manager, involvement reduces and takes different forms of Supportive, Controlling or Directive. 

Organizational Project Management (OPM)

Organizational Project Management (OPM) is defined as the execution of an organizations strategies through projects by combining the system of Portfolio Management, Program Management and Project Management. Organizational Project Management serves as a guide or driver for project, program and portfolio management as well as other organizational processes and practices. OPM provides directions for how portfolios, programs, projects and other regular organizational works should be prioritized managed, executed and measured to achieve the business strategic goals and desired benefits. 

To explain simply, every organization will have a Mission and Vision. Vision and Mission are achieved through carefully defined Business Strategies. 

Let’s consider the Vision and Mission statement of SpaceX for example. 

SpaceX Vision: To make life multi planetary by establishing a self sustaining city on Mars. 

https://www.spacex.com/updates/#make-life-multiplanetary

SpaceX Mission: To revolutionize space technology with ultimate goal of enabling people live on other planets. 

This is achieved by Programs including Falcon, Dragon, Starlink, Starship etc which are inter connected to make the Vision possible. 

All Organizations will have a Vision which is constant, but the Mission may change to achieve the ultimate goal which is Vision of the organization. 

Business Strategy of SpaceX:

• Innovation: Prioritize in-house development of key technologies like reusable rockets and high performance engines. 
• Vertical Integration: Design, manufactures and operates its own rockets, Launch facilities and ground support equipment, reducing reliance on external windows and lowering cost.
• Rapid Iteration: Emphasizes rapid prototyping, testing and failure as learning opportunities leading to cook a development cycles.
• Cost reduction: focus on reusability, efficient manufacturing process and streamlining operations to make space flight more accessible. 

Under the Organizational Project Management (OPM), Portfolio Management, Program Management, Project Management must align vertically with the Organizational business strategy. 

Responsibilities of Portfolio Management: Select and prioritize programs and projects that will best achieve the organization’s strategic goals.

Responsibilities of Program Management: Coordinate the management of related projects to achieve benefits and support the organization strategic goals. Benefits can be tangible and intangible.

Responsibilities of Project Management: Effectively manage the project with specific scope, support portfolio management, ultimately contribute to achieve the strategic goals.  

Project Management Process & Knowledge areas

 PMBOK guide breaks project management into process groups and knowledge areas. 

5 Project Management Process based on the Project lifecycle are:

1. Initiation
2. Planning
3. Executing
4. Monitoring & controlling 
5. Closing

To manage a project well, the Project Manager must be skilled in following 10 Knowledge  Areas.

1. Integration
2. Scope Management
3. Schedule Management
4. Cost Management
5. Quality Management
6. Resource Management
7. Communication Management
8. Risk Management
9. Procurement Management
10. Stakeholder Management

A project manager must use the tools, techniques and knowledge effectively to complete the project successfully. The project will progress through above 5 Project Management Processes and the Prject Manager must be skilled in all 10 Knowledge areas. 

Introduction to Projects and Project Management

Definition of a "Project"

Project/Projects are as defined by PMI in their PMBOK guide lines, 

• Temporary endeavors undertaken by organizations/individuals. 

• Has a definite beginning and end date. 

• It creates an unique product, service or result. 

Exampling, routing ongoing fabrication work on a workshop floor for manufacturing particular machine part is not considered as a project. However, if the line manager identifies a new method/technique to boost the productivity lets say 10% or increase the quality of product to new standard in market, and initiate the steps to achieve the desired outcome with in a panned duration, the entire process from initiation till realization of intended results falls under definition of a project.

Same can be said about projects undertaken by service industry companies who introduce improvements in their services provided to give better customer experience. However routine jobs are not considered as Projects. 

Once the projects are completed, deliverables (the desired outcomes) of the projects become part of the ongoing business operations. Thus the benefits of projects are incorporated into the organization. 

It is important that the employee of the organization is trained correctly to use the new system implemented and harness the benefits.  This can be seen in many palaces where employees continue to work with the old systems without knowledge of new system in place just because he was not trained to use it correctly. 

While the project creates new products or serviced, need to improve the ongoing operational works may prompt initiation of a new project. It is to be noted that some times, after implementing new project to improve the process, new short falls, bugs, gaps identified may not be addressed as a project, rather operational adjustments. However, if new features to be added to newly implemented system shall be carried out as a new project. 

Why Do projects Exist or Why organizations perform Projects ?

• To provide business valves.
• Delver the benefits defined in the business case.
• To improve or bring positive changes to the organizations.
• To improve products or services. 
• To comply the legal or regulatory requirements.