We have already seen why it is important to invest in PMCoE, however, establishing it requires real dedication and commitment to create value for the organization.
To extract true value from PMCoE, it needs autonomy. To enhance efficiency of any organization, the PMCoE brings cross-project utilization; repeatable processes; improved asset sharing and best practices across geographically distributed teams, under one umbrella. PMCoE should also build standard and strong academy and preparedness for continuous improvement, these characteristics are very important for this centralized function.
A part of this CoE should follow a formal process to develop a forecast plan that identifies corporate goals and objectives.This helps improve master planning and capital budget planning processes, provides enterprise-wide forecast of future projects, facilitates the organization’s project management maturity. In short, it helps to structure project execution.
PMCoE should build common processes, tools, templates, and technology. These guidelines are to be used consistently across the organization to manage all authorized projects. This helps improve efficiency and shortens the learning curve for new project managers, reduces project timing and costs, improves project organization, planning and management skills, enables tracking of earned value – actual versus planned project timing and cost, and facilitates regular management review of project status.he organization’s project management maturity. In short, it helps to structure project execution.
Moving on to academy, PMCoE develops and delivers programs to provide knowledge. Academy helps develop skills and capabilities required at all levels in the organization to effectively apply the standards in the management of all authorized projects. Academy helps improve new product and/or services, time-to-market, quality-to-market, and cost-to-market. It also reduces project timing and cost, improves project organization, and planning and management skills.
Preparedness refers to the formal processes that ensure and validate that the required standards, knowledge and skills are present before project start-up. Work in process and post project reviews including documentation of lessons learned are carried out to ensure the success of all authorized projects. Preparedness also ensures that continuous improvement of forecast, standards, academy, and preparedness elements occur timely. This way, project standards are properly applied to all critical projects and facilitate creation of an environment for a learning organization.
Around 40% of projects are only successful, within parameters of time, budget, and as per the defined scope and quality delivered. The remaining 60% projects fail to meet one or the other parameter. Even experienced project managers and project teams need assistance from time to time. This reiterates the need for PMCoE. It is a proven organizational resource that ensures better performance through consistent processes, intellectual capital, tools, techniques, and hands-on support. Hence there is a need for PMCoEs across all verticals.
In the next blog of this series we will see how to build a PMCoE that penetrates your organization and helps deliver successful projects.
Visukumar Gopal is Practice Head, LEAN & Knowledge Management at Syntel. He has over 20 years...