Project Management Office

How PMO & EPMO Can Ensure Project Success

The PMO is aligned to manage multiple projects while giving clear insight of the project budget, schedule and risks involved with it. The enterprise project management office (EPMO) holds control over the PMO. It is responsible for collecting, analyzing, and displaying data related with the project for executives to enable smooth functioning.

In this article at Villanova University, the author suggests some productive actions for the PMO and EPMO to improve their project strategies. Together they can offer better decision-making and management support to the organization.

Business Essentials

With the implementation of change management, organizations can produce better projects. More projects can achieve the desired business goals within budget and time. The author states that the project purpose is aimless even after meeting goals unless its aligned with the main business strategy. Here is how the PMO and EPMO can align a project with the business strategy:

  • Align the PMO to strategy
  • Navigate project risk
  • Drive benefits
  • Monitor and optimize delivery strategy
  • Handle talent
  • Enhance accountability and project governance

Need for PMO and EPMO

Together, PMOs and EPMOs can implement a high-level strategic vision for the organization. As per the Project Management Institute (PMI) report, the organizations that complete 80 percent of their projects within given budget and time while meeting business goals are termed as “elite” or “champion”. These organizations have a functional PMO that works on cost saving and successful project delivery.

On the other hand, the organizations completing 60 percent or lesser projects on time and budget are known as “underperformers”, even if they meet business goals. Reason being, these organizations waste 28 times more money than champions with their poor project performance. Only 60 percent of these organizations have a functional PMO.

Similarly, about 56 percent of champions have an EPMO in comparison to only 12 percent of underperforming organizations.

PMO vs. EPMO

To ensure which one fits best within an organization, understanding the difference in their duties is essential:

  1. The PMOs are assigned peer reviews, audits, and development of project reviews. They are accountable for project progress. While the EPMO is responsible for mentoring project managers.
  2. The PMO ensures that the project contains relevant yet accurate information. The EPMO needs to ensure if the project is aligned with business strategies and goals of the organization.
  3. PMOs need to share project templates, lessons learned from previous projects, and the best practices to ensure success in future. The EPMOs help in tracking how every individual in the PMO contributes in adding value to the business initiatives of the organization.
  4. PMO is responsible for providing training, mentoring, and quality assurance while EPMO ensures resource management and standardization.
  5. PMO is responsible for documenting project information and EPMO coordinates the efforts of various PMOs.

To bring visibility and prioritization in the project, PMO and EPMO must work together. Read the original article on the following link:

https://www.villanovau.com/resources/project-management/how-the-presence-of-a-pmo-and-epmo-can-increase-project-success-rates/#.WsXTbYhuaM8

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