You already know that project management is a critical discipline required for organizational success. In fact, managing those oh-so-important projects productively can actually have a greater payoff than you may think. According to PM Network, the magazine of the Project Management Institute, larger profits, increased productivity and improved efficiency are frequently the ROI barometers for organizational project management practices. PM Network also contends that efficient project management practices contribute to better quality products, happier customers and projects that are regularly on budget and on time. A well-structured Project Management Office (or PMO) is increasingly viewed as an integral piece of managing any project successfully, and hence, a contributing factor to the future success of the entire organization.

Why, then, do so many companies fail to adopt these proven project management practices? In the absence of this disciplined approach to project management, your organizational changes will likely deliver sub-optimal results at best. This oversight can cause your organization significant losses in productivity, cost tremendous amounts for re-work and added coordination, and ultimately result in less satisfied customers.

A successful PMO must be based on four fundamental management practices:

1. First, the PMO needs to develop a set of common processes and templates for all project team members.
2. Next, the PMO must clearly define the scope of the project while setting expectations with identifiable milestones and deliverables. These benchmarks become the focal point for all team interactions, enabling the PMO to hold team members accountable for their work.
3. The PMO should then monitor the team’s performance with regular status reports — and other tracking mechanisms — throughout the life of the project. This helps to guide project teams and determine the training and support needed for team members. Often, a team knowledge base or a shared archive for all project documentation is helpful for keeping the team on track, up-to-date, and communicating effectively.
4. The final task of a PMO is to ensure proper project closure. After determining the measure of success for a project, the PMO is responsible for evaluating the team’s performance before ending the project. The PMO can conduct a post-mortem to learn from past experiences and enhance future project efforts. The PMO can also celebrate the team’s success by recognizing — and rewarding — exceptional contributions that enabled the team to achieve its project objectives.

Plus Delta has developed an approach to managing large-scale projects that follows these proven PMO principles for success. Plus Delta supports its clients by helping them create and sustain a highly motivated project team through a method consisting of the following activities:

• Project governance – Creating an effective program management structure with clear delineation of roles and responsibilities that will lead the team from project planning through design and execution
• Project planning – Identifying key project tasks and deliverables and aligning them with the resources and budget allocated to the effort
• Project Reporting – Developing and delivering regular reports and project updates to keep key stakeholders informed throughout the initiative
• Issue management – Mitigating project risk by recognizing, addressing and resolving issues before they negatively impact the overall success of the project
• Performance scorecards – Track the ongoing completion of project deliverables and monitor team performance against the stated business objectives

Our client’s success is directly related to our ability to partner with their internal project managers in order to create teams that are empowered to effectively achieve the goals of the organization. We know how important it is to create a governance structure that works for our clients by involving key champions to ensure project success. With a disciplined approach to project management, Plus Delta can help you design and implement more effective project plans and drive successful change initiatives throughout the organization.

Can Plus Delta help you establish a Project Management Office or complement your existing project management practices? To learn how to ensure successful project outcomes, please call Dr. Jeremy Lurey directly at +1 (310) 589-4600 or send him an email at jslurey@plusdelta.net. You can also visit the Project Management page of our website for more information.

Note: This feature was originally published and distributed in Plus Delta Consulting’s e-newsletter in June 2006.