In July 2005, Ontario's special task force report on the management of large-scale information and information technology (I&IT) projects concluded that project management should be considered a core business of the public service.
At the technology and business solutions branch of the Ministries of Education and Training, Colleges and Universities, we have found that the key to making this happen is to set up a project management office (PMO).
The purpose of this article is to share some lessons we've learned and perhaps clear up some misapprehensions about what to expect from a PMO. A PMO does not manage projects; nor does it impose top-down rules on those that do. And if it wields a stick, it also offers a carrot.
When I took up my post as branch director in early 2005, I inherited a challenging array of projects, including sophisticated applications that interface with other sectors. One of our projects, for example, involves building a database of historical information on 2.1 million students in Ontario schools. Another will enable apprentices to apply for support services online. In all, the branch (part of the government's community services I&IT cluster) has a portfolio of some 25 projects involving an investment of millions of dollars.
I quickly realized that rigorous project management was essential to successfully deliver these complex projects. But each of the branch's 20 project managers had their own interpretation of project management, and practices, skills and commitment varied widely.
The cluster CIO, Jim Hamilton, and I agreed that a PMO was needed if we were to meet our executive accountabilities for oversight of the portfolio. We were convinced by research showing that organizations with formal project management structures delivered projects more reliably and built applications more cost-effectively.
Core Control
The first step was to find resources for what is generally perceived as an overhead cost. By inserting a small project management charge in the budgets for individual projects and through some internal streamlining, funds were located for a small team of staff, plus interns, secondments and other occasional help, under the leadership of Paul Burns.
We launched our PMO in August 2005. The timing could not have been more apt, just after the release of the special task force report with its emphasis on project management as a core business. The report also noted that an "organization must retain control of project management or else it will lose influence over its projects."
The branch was already following this prescription, as all project managers were internal staff. Even where deliverables are fully outsourced, our project managers oversee progress at every stage. No longer do we simply issue a purchase order and wait for the goods to arrive.
As I've suggested, the term "project management office" is something of a misnomer, as the office does not manage projects. It actually supports, facilitates and monitors the management of projects by others, specifically the 20 project managers who work with business areas and internal and external IT experts.
The overriding goal is a cultural change to make project management the way the branch operates, day in and day out: that is, to make project management a core business. The branch is fostering this cultural change through five fundamental processes: systems, standards, services, co-ordination, and controllership.
A PMO cannot simply proclaim project management as a core business and expect results. Moving forward has taken a collaborative effort with the community of project managers in the branch. The project managers together formed an active consultancy, with terms of reference and open meetings, that helped select the system, develop standards, design training and other services and shape the controllership approach.
The gains we made were largely due to the contribution of several highly experienced project managers and the constructive participation of the majority of the group. While we did not achieve unanimity on all issues (it would be surprising if we had), our project managers as professionals were committed to the success of the initiative and determined to achieve its goals.
Project management is not a new discipline. An established body of knowledge has been developed over literally decades, together with the tools to put it to use. Our task was to tap into this body of knowledge. To do this, the PMO worked with project managers to configure a project centre: a readily accessible online system with templates, guidelines, methodologies, and standards.
Our standards are based on industry best practices and indicate exactly how projects are to be managed and controlled. In early 2007, the latest release of the project centre introduced schedule and cost control that calls for regular comparison of baseline values with actual values to track project performance. We also have detailed standards for managing project scope, risks, issues, changes and planning.
Continued:
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