The PMO function as most organisations have it, is a centralised office where they have a standard procedure of all projects, so it helps to keep projects in line and have the same systems as well. It’s still a very important function because it keeps projects in line. Without it, it could fall apart, so there needs to be some common systems and processes throughout an organisation.
I think the PMO of the past was very much an administrative function and there’s been a move away from that to have it more directly reporting into chief executives and decision makers and have it become more of a transformation type of office. They need to be more involved with the budget holders instead of sitting in another part of the building.
The financial aspect of projects is a big issue with companies these days so strong financial skills are becoming more important in project managers. Personality would also matter quite a lot because project managers need be able to work with different types of stakeholders as well so communication is key.
When it comes to project managers being able to move between industries, I believe that’s changing too, especially with digital transformation but also due to that need to be across the whole business. I think in the past you could transfer from one industry to another as a PMO, but now they need to be more industry specific and have strong knowledge of that particular sector.
When a hiring manager is looking at setting up a PMO, they need to make sure that all stakeholders are onboard and it’s also important not to have the PMO sitting away from decision makers. In the past they used to sit with, for example, the IT department, but they should be sitting with and reporting directly to the chief financial officer, the director of transformation and/or the director of digital. There should be a dotted line to those stakeholders because it’s crucial that they are heavily involved at that level.
The original PMO used to adhere to one type of system and one way of working and there was less flexibility, but now they need to be a lot more agile and be in sync with all aspects of the business. With that in mind, hiring managers need to stop looking for just one type of project manager, such as PRINCE2. Instead, they need to look for more rounded project managers with broader skills.
One of the key skills that was traditionally lacking in PMOs was the financial element and there’s a lot more pressure and scrutiny on that now. For example, if a budget goes off track, the project falls apart. However, I think that traditional gap had come from the fact that the PMO would have had very little contact with the people that actually held the budget, so that’s why having them more centralised in the business and communicating with the finance people is key.
Looking to hire for a PMO? Check out our hiring solutions for operations teams, talk to me by email at laura@recruiters.ie or on the phone at 353 1 632 5022.
Laura F Murphy is a senior consultant in the contracting division specialising in the PMO and interim leadership space.
Leaves photo by Chris Lawton on Unsplash
