Project Management Office – A Necessity or a Luxury? Neda Kaleshovska, PMP

NEDA KALESHOVSKA Project Manager, PMP EXPERIENCE Project Manager ABOUT ME Devoted Project Manager with eight years of experience in the project management world. EXPERIENCE Project Manager Netcetera 2017-Ongoing Alkaloid AD 2015-2017 Project Office Specialist Vip Operator 2011-2015 EDUCATION Ph.D. Organization Science and Management University Ss. Cyril and Methodius Research Field: PMO and PM practices in contemporary business environment FOLLOW ME LINKEDIN: linkedin.com/in/neda-kaleshovska

Content PMO Buzz About PMO Role of the PMO In practice– Life of a PM with/without a PMO PMO Value Under Magnifier PMO 2.0 PMO and PM in Macedonia

PMO BUZZ

PMO BUZZ LinkedIN PMO Group Members: 120.603 PMO Books on Amazon(2010): 3.800 Even the Pope has a PMO (2014, PM Network, A PMO for the Pope) PMO TODAY Food for thought – PMO in the government sector in Macedonia, which is not news for the world, Ex. New York

ABOUT THE PMO

What is PMO? A Project Management Office (PMO) is an organizational body or entity assigned various responsibilities related to the centralized and coordinated management of those projects under its domain. (PMBOK) Back to Basics

COMMON PMO NAMES PMO Names % Project Management Office 59% Program Management Office 12% Project Support Office 7% Project Department 4% Project Office 2% / (no name) / (other) 14% Hobbs, J. B. & Aubry, M. (2006). “Identifying the structure that underlies the extreme variety found among PMOs”. Paper presented at PMI® Research Conference: New Directions in Project Management, Montréal, Québec, Canada. Newtown Square, PA: Project Management Institute.

NUMBER OF EMPLOYEES IN THE PMO (excluding PMs) Hobbs, J. B. & Aubry, M. (2006). “Identifying the structure that underlies the extreme variety found among PMOs”. Paper presented at PMI® Research Conference: New Directions in Project Management, Montréal, Québec, Canada. Newtown Square, PA: Project Management Institute.

PMO IN ORGANIZATIONAL CONTEXT CEO IT Systems Project Support PMO Finance Level 1: Organizational/Strategic Level 2: Division/Departmental Level 3: Project Multiple PMOs in an organization Pulse of the Profession: PMO Frameworks, PMI, 2013

PMO IN ORGANIZATIONAL CONTEXT (2) Center for Business Practices. (2007) The State of the PMO 2007. Havertown, PA: Center for Business Practices, p.4

ROLE OF THE PMO

Trainings and Mentoring PMO DOMAINS Resource Management Portfolio Management Standards and Tools Trainings and Mentoring Managing Projects Data Management

In practice– Life of a PM with/without a PMO

In Practice – from the life of a Project Manager Without PMO With PMO You don’t know much about the project scope, where to start from…. Should you use Agile (Scrum or Kanban), Waterfall…. Information is shared from previous projects You have a helping hand (no reinventing the wheel) <Data Management> Issues with Projects – you are struggling with your project, you cant seem to grasp to whom to escalate There is defined escalation process, Project Sponsor/Steering Committee <Standards and Tools> You are fighting for resources with fellow PMs & your team members are burned out from too much work and context switching There is company wide resource planning as a base whether to start a project <Resource Management> Establishment of prioritization criteria for project and line work <Portfolio Management>

In Practice – from the life of a Project Manager Without PMO With PMO You feel you need to learn more PM practices, tips, methodologies and see how an experienced Senior PM would manage a project Training Program established and continuous coaching and mentoring <Training and Mentoring> There are Project Managers within the PMO that you can consult <Managing Projects> You are being pushed to speed up project in realization, but you know planning and setup took forever There is a defined process for project approval (preferably an agile one) <Standards and Tools> You don’t know where you responsibilities start and where they end There are defined roles and responsibilities within a project Clear definition and communication of the project organization <Standards and Tools>

PMO VALUE UNDER MAGNIFIER

THE VALUE BEHIND THE SUCCESSFUL PMOs Reduced number of unsuccessful projects, Delivery of projects under the planned budget, Delivery of projects prior the planned delivery time Increased productivity Increased projects savings The State of the PMO (2010) “ A strong and stable PMO brings two major benefits for organizations… it helps organizations choose the right projects and it helps organizations deliver those projects”. Извор: PMI, 2014 The Project Management Office, Aligning Strategy and Implementation – White paper, https://www.pmi.org/- /media/pmi/documents/public/pdf/white- papers/PMO-strategy-implement.pdf

PMO FAILURE 64% NO 36% YES Has the value of the PMO been questioned? 50% of PMOs close within 3 years (Association for Project Management) Since 2008, the correlated PMO implementation failure rate is more than 50% (Gartner Project Manager 2014) 68% of stakeholders perceive their PMOs to be bureaucratic (2013 Gartner PPM Summit) ESI, Global State of the PMO, 2015

REASONS WHY PMOs FAIL Unclear Purpose and Fuzzy Focus No buy in and support from Top Management Perception of more red tape, bureaucracy and overhead Inexperienced PMO manager/employees Quick fix to deep rooted problems “Police” for Project Managers Too academic and far from reality Politics and power struggles High expectations and hard to prove value…..

WHAT IS THE WORLD TREND TELLING US? Organizations with a PMO (world trends) The State of the PMO (2010;2016)

PMO 2.0

PMO UPGRADE TO 2.0 FLEXIBLE AGILE SCALABLE SOLUTIONS BUSINESS VALUE ORIENTED MINIMIZE DOCUMENTATION DASHBOARDS TRANSPARENT RESOURCE MANAGEMENT FOCUS PROMOTE PRIORITIZATION PROMOTE CONTINOUS LEARNING BUSINESS METRICS EMPOWER AND TRAIN PROJECT MANAGERS STRATEGIC AND OPERATIONAL UNDERSTAND WHY STAY OPTIMISTIC Plan Do Inspect Adapt

PMO AND PM IN MACEDONIA

PMO AND PM IN MACEDONIA Please join the survey! https://goo.gl/forms/xSmFreq76g9Rp6OR2

THANK YOU! CONTACT: LINKEDIN neda.kales@gmail.com Neda Kaleshovska