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Strategic Intent for a PMO with an All-Or-None Service Model This is a working document created to serve as distilled digest

from which the strategic map, tactical plans and related efforts can be derived, in order to guide an actual Project Management Office (PMO) towards optimal effectiveness within an organization.

PMO currently offers its customers, an all-or-none proposition i.e., either the PMO takes on a project or it refuses a project, due to organizational expectations for complete service and the reality of significant resource constraints within the PMO. The former choice institutes low-quality as a norm since PMO capacity will only allow for quality to be inspected-in (i.e., PMO reacts to fix issues), rather than built-in (i.e., PMO prevents root-causes). In other words, PMO takes on each project as a group of activities and deals with consequences as they arise, rather than having an established process which defines, measures, analyzes and controls the activities from their onset. Historically, this has yielded projects with significantly more: costs, delays and scope errors, than originally anticipated. The latter choice erodes trust in the intent of the PMO to be a useful, dependable service available for easy consumption. This has contributed to the expectation that PMO should largely be utilized as administrative coordinators, after-the-fact of poorly planned project initiation, to schedule meetings, provide minutes, etc. PMO must manage processes with quality built-in, not inspected-in, to best afford meaningful value to CalOptima. KEY: quality built-in, not inspected-in As such, the PMOs audit of prior strategies & existing processes find missing, any exercise to identify the minimum, operational components (execution engine) - which if implemented with disciplined accountability - would build-in quality towards continuous and measureable improvement. In light of the existing challenges, this execution engine should be comprised of the WBS, Critical Path and Earned Value and will holistically, be the central process for PMOs effective excellence. KEY: execution engine = WBS + Critical Path + Earned Value PMO must also leverage the execution engine as a touchstone around which the PMO can create and offer scalable services. These services will be ( &/or fall under): Governance, Consultation and Support. The success of these services will require assignment of tasks which are non-essential to the

PMOs execution engine, to delegates within PMO consumers ( i.e, project planners of vendors, business unit PMs, etc). This will leverage existing capacity to the optimum by: creating a hybrid organizational matrix create the adoption of standardization via real-time application and accountability and allow for greater institutional focus on measureable quality as the norm.

KEY: scalable services = Governance + Consulation + Support

Exhibit (A) - PMO Service Matrix


PMO
Success Factors Achieved via Service Deliverables Project Charter Execution Engine Hybrid Team

Administrative Coordination

1. Management Support 2. Project Plan

WBS

3. Controlled Scope

SOW

Critical Path Earned Value

Scope Change Management Schedule Change Management Cost Change Management

4. Consensus 5. Communication

Responsibility Matrix Communication Plan Meeting Facilitation Meeting Minutes Status Updates

BU Project Lead

PMO Project Team (govern)

PMO Project Manager (consult)

PMO Project Manager & BU Project Lead (support)

BU Project Planner