Quantifying the Value of the PMO: Looking Beyond the Monetary Proposition (CJL1-01)

Realizing the intended organizational value of a Program Management Office (PMO) poses a unique challenge for many organizations. Lack of resources, unclear objectives, and unrealized organizational value are just a few of the areas that concern organizations that have implemented PMOs with limited success. Increasingly, business managers are demanding demonstrated value from the PMO and a success path that includes growing this value over time. When momentum or progress towards this goal fails, business leaders often begin to question the value of the PMO within the organization. How is PMO value created and measured? Are there performance indicators beyond the pure monetary value proposition that can be used to truly demonstrate the value of the PMO? Can the monetary value proposition be easily quantified? This presentation will examine the dimensions of value that may be created by the PMO and will discuss the practical advantages and difficulties associated with creating value measures and quantifying PMO performance. Several important challenges and opportunities for the PMO to create meaningful, quantifiable value within an organization will be discussed. The presentation is designed as an introduction that is relevant for PMO managers and staff, those with an interest in establishing a high-performance PMO, and those with an interest in program-related metrics.

Craig J. Letavec, MSMP, PMP

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