Pioneering a resultant outcome with tons of brainstorming processes, multiple planning procedures, and tons of initiatives, is how a project is completed and the deliverables are to be acknowledged. We have published numerous blog articles on project management including roles and responsibilities of project managers, project management methodologies, differences between some of the types of project management, linear project management, and many more. Today, we will be highlighting some of the points regarding the evolution of the Project Management Office (PMO) throughout the years, and how it shifted from a control-focused approach to a value-driven approach driving organizational success. We have collected information regarding the evolution of PMOs through various websites and articles regarding Project Management. Here's a snapshot of how PMOs evolved through the decades and how they are still evolving strategically.
PMO has undergone an eloquent change since its origin till now. Initially established as a support unit, now PMO has become a significant part in terms of strategic planning, investment in corrective sets of actions for proficient returns in terms of value delivery, support in product launches, organizational growth, and many more. Let's explore how the PMOs evolved into strategic hubs from purely administrative units.
Previously, PMOs were limited to standardization and documentation only. The origin of PMO can be linked to a century ago Scientific Management method introduced by FW Taylor. During the 1930s, the US Air Corps developed a Project Office function to monitor aircraft development. This can be regarded as the first recorded use of the project office expression, according to Crawford and Cabanis Brewin, 2010. According to the research-based article published on the evolution of PMO, the traditional structures of PMO can be traced back to the 1950s during the development of complex missile systems in the U. S military. The system constituted multiple sub-projects in System Program Offices, also known as SPOs, that observed whole project systems, including its warheads, support, equipment, launcher, and training and logistics support. This examen has been derived from the paper presented by L. Giraudo and E. Monaldi at PMI Global Congress - 2015, EMEA at London, England, Newton Square, PA: Project Management Institute with the research article named PMO Evolution: from the origin to the future.
The responsibilities of project offices were the centralization of funding into work bundles, enhancement of the budget estimation criteria, sustentation of standardized planning, identification of non-strategic applications, fund allocation, and more. Later, with the development of computer tech and application, the concept of a project office became dernier cri to sectors like construction and IT. The timeline then shifted to the 1990s with the flourishment of professional project management-certified associations with licensed industry standards.
After gaining the rapid spur of project management diffusion, many organizations sought the initiation to manage the amplifying projects and the complications such as project delay, cost overruns, low-quality project outcomes, and more. To enhance the resources’ mobilization and combat the multiple projects’ schisms, the experiments were initiated. The appetency for the coordination of cross-projects and maintaining standardization to manage such projects has led to the diffusion of modern PMOs. Based on this article, PMOs can be classified on the basis of their influence within the organization and position within the organization.
a) Based on the influence and degree of control, PMOs can be classified into: Supportive, Controlling, and Directive, whereas
b) Based on the position within the organization, PMOs can be classified into: Individual PMO or PMO, Departmental PMO, and Corporate PMO or Enterprise PMO
Stepping into the PMO timeline, the concept of PMO began with administrative tasks focusing on standardization and control in the Project management processes. With the evolving landscape of project management, PMOs became better with training and development opportunities along with strategic alliances. Changing times and updated technology obligated the PMOs to be more agile and adaptive with a flexible and more collaborative approach. Digital transformations have further contributed to customization and value-based approaches with strategy goals’ alignment. Now, modern PMOs deem people's talent and development as a preeminent approach prioritizing constant improvements and success recognition.
Many research-based articles term that the second and 3rd generation of PMOs emphasized training and development, knowledge sharing, strategic alliances, business goals’ alignment, and much more such that projects deliver true value to the organization with tangible outputs. The main preferment can be denominated when Agile collaborates enhancing communication and teamwork.
PMOs started as a support unit of administration such as documentation, ensuring compliance, and maintaining standardization with a rigid structure but with the changing and evolving PM landscape, the next-gen PMOs will further contribute to good governance, adoption of new tools and technologies of project management adding strategic value to the whole organization.
In a nutshell, PMOs will become more advanced in the future. We have just discussed succinctly the evolution of PMOs based on various PM-related research-based articles and blogs. PMO with no doubt will always be the key driver to play a crucial role in strategic partnership for organizational success from planning to the final project deliverable.