2. P3O
The Value Adding PMO
from Strategy to Projects

3. Strategy execution
Internal
Projects
Revised
Mission
New Goals &
Objectives
Portfolio of Strategic
Choices
Strategy
Implementation
Project Selection
External
Project Management
Program Management
Porfolio Management
Strategic Management

5. Portfolio Management

6. “ … a co-ordinated collection of strategic
processes and decisions that together enable the
most effective balance of organizational Change
and Business As Usual.“
Portfolio Management is …
• Are you doing the right things ?
• Are you doing them the right way ?
• Are you getting them done well ?
• Are you getting the benefits ?
• How will the benefits be delivered ?

7. Portfolio Definition
Portfolio Delivery
Energized
Change
Culture
Senior
Management
Commitment
Governance
Alignment
Strategy
Alignment
Portfolio
Office
Energy
The Portfolio Management Model

8. The 2 Portfolio Management Cycles
Doing the right things Doing things right
Portfolio Definition Portfolio Delivery

9. Why Portfolio Management ?
WHY ?
Prioritizes Programs and
Projects based on a
common set of objective
criteria
Links Program and
Project selection to
strategic metrics
Builds discipline in
Program and Project
selection
Balances Risk over all
Programs and Projects
Justifies killing Programs
and Projects that are not
strategically aligned
Improves communication
and supports agreement on
Strategic Goals
Allocates resources to
Programs and Projects
that align with strategy
Provides executive oversight
of all the change initiatives

11. “ … a temporary, flexible organisation designed
to coordinate, direct and oversee the implementation of
a set of related projects and activities so as to deliver
outcomes and benefits related to strategic objectives.”
A Program is …

12. A Program is about creating Capabilities & Benefits

13. …a picture of a better future…
A program needs a VISION…

14. … Leadership and Stakeholder Engagement …

15. PEOPLE
Organisation, Roles,
Leadership &
Stakeholder Engagement

16. Program Management
Consolidated Program Benefits = Organization BENEFITS
Project A Project B Project C Project D Project Z
Project
Benefit
A
Project
Benefit
B
Project
Benefit
C
Project
Benefit
D
Project
Benefit
Z
Phase 1 Phase 2 Phase 3
… and Benefits Management

17. Why Program Management ?
WHY ?
Offers clear responsibilities
for Business Change
Has a framework that
focuses on Business
Change Objectives
Effectively manages
the Business Case to
achieve the Vision
Links strategies
and projects
Manages and
controls costs
Formalises the
process to
identify, manage, re
alise and measure
Benefits
Coordinates and
controls the complex
range of activities
Improves
understanding
of overall risk
Uses scarce resources
effectively

19. “… a temporary organization that is created for the
purpose of delivering one or more business products
according to an agreed Business Case.”
A Project is …

20. The importance of Project Management
Project
Manager
Time
Cost Scope
Communi-
cation
Risks
OrganizationEscalation
Reporting
Skills
Follow-up
Initiate
Quality
Product
Roles
Starting
up
Budget Plan
Business
Case
Project
Board
Responsibilities
StagesChange
Issues
Testing
Deadlines
Close
COMPLEX + ALL IS INTERCONNECTED

21. Projects : Current challenges
Current
Challenges
Inaccurate scope definition
Lack of visibility on
resource demand
and availability
Inability to review
projects against
changing priorities
No or irregular
health checks
No detailed project
plans
Lack of adequate
project procurement
and contract
management
Not enough buy-in
from key-players
Poor or no
documentation nor
record management
Low or no Risk
Management and
Quality Assurance
Inability to deliver on
time, on budget and at
quality

22. How many projects do you have ?

23. Project Management and Program Management
are rather stand-alone disciplines
‘A P3O
Enables timely decision-making by Senior Management
Ensures investment is spent on things that matter
Answers the need for better-quality information
Meets the needs of Program and Project Delivery teams
Optimizes the use of scarce resources
Establishes and Assures Consistency in Methods’

24. ‘P30 brings things together and makes the
puzzle complete
by bringing in the enterprise notion.’

25. P3O stands for
Portfolio
Program Offices
Project
}
P3O Inter-relates with Portfolio, Programs and Projects

26. A P3O is …
… a decision-enabling / delivery-support model for
all business change within an organization.”
It is a model to bridge the temporary change initiatives
with the permanent „business as usual‟ organization.
A P3O has 3 possible functions:
Portfolio Office (PfO): supports Strategic Decision-making
Centre of Excellence (CoE): central source of Expertise
Delivery support (DSU): supports Results and Benefits delivery

27. P3O : from Strategy to Projects
Internal
Projects
Revised
Mission
New Goals &
Objectives
Portfolio of Strategic
Choices
Strategy
Implementation
Project Selection
External
Project Management
Program Management
Porfolio Management
Strategic Management
P
3
O

28. Why a P3O?
WHY ?
Supports Senior Management
decision-making
Ensures Consistent
project delivery, less
‘reinventing the wheel’
Continuous improvement
culture and progress
reviews towards completion
Enables the removal of
low-value projects
Ensures programs &
projects are aligned to
corporate mission, goals
and objectives
Creates an objective
methodology to
identify, rank, prioritize
and select new projects
Optimizes management and
up-skilling of resources
More accurate estimates based
on history and lessons learned
Develops a ‘bigger picture view’ and
better understanding of all changes
Ensures a healthy balance
of projects with different
cost, schedule, complexity
and risk profiles
Well-managed project
scopes, less cost overruns, more
projects delivered on time at
quality

29. The importance of Alignment
Doing the
Right Things
Doing Things
Right
Exploit what
we did
Align Execute Measure
Formal Approach to Manage Strategic Initiatives

30. A P3O offers Support & Control
P3OSupport Control
- Master Program & Project Schedule
- Overview on all Organizational Change
- Fast-track Program & Project Start-up
- Integrated Progress Reporting
- PM standards, methodology, processes
- Project Consulting & Mentoring
- PM coaching / training / certification
- Formal Issue Tracking & Reporting
- PM tools and tools support
- Project Audits
- Business Case & Follow-up
- Strategic Alignment Reviews
- Program & Project Approval process
- Program & Project Prioritization
- Program & Project Management
- Contract Management
- Resource Management
- Cost and Schedule Control

31. P3O : Critical Success Factors
- Train, Train, Train
- Have Dedicated P3O Staff
- C-Level Commitment to all levels
- Focus on Benefits Realization
- Consistent Messages at all levels
- Simultaneous Communication at all levels
- Prioritize and manage project Initiatives
- Communicate, Communicate, Communicate,
- Experienced leader to prevent pitfalls
- Link priorities to the current objectives
- Develop a Framework to manage the process

32. Tony Vynckier
P3O
The Value Adding PMO
from Strategy to Projects