Enterprise Project Governance
How to Manage Projects Successfully Across the Organization
By Paul Dinsmore & Luiz Rocha
Rio de Janeiro, Brazil
This is the first article of the series Enterprise Project Governance (EPG): How to Manage Projects Successfully Across the Organization. It will cover the what, why, who, when, and where of EPG.
The field of managing projects shows an ever-broadening scope – from ad hoc single-project approaches to a complex all-encompassing view of portfolios, programs and projects. This evolution peaks at the level of enterprise project governance, the umbrella of policies and criteria that comprise the laws for the sundry components that make up the world of projects.
In real life, scenarios of governance in project management vary from free flowing laissez-faire to formalized corporate PMO oversight. The typical ways project management is handled in organizations are:
- Laissez Faire (“whatever will be will be”). Projects are carried out as required using intuitive approaches or methodologies that vary from one project to another. Nobody knows how many projects are underway in the company or the status of all the projects.
- Departmental (“territorial”). Each department or area develops methodology and practice appropriate for that department. No cross-fertilization exists with other departments.
- PMOs, project management offices (“one or several?”). Some companies have multiple PMOs, either at different levels or different regions. They are sometimes connected, yet often operate independently.
- Corporate level PMO (“top down oversight”). Here,a chief project officer, or corporate project management office, or strategic project management office, cares for the implementation of strategic projects and for the overall project management practice in the company, including project portfolio management.
EPG goes a step further, proposing an all-encompassing approach to the management of projects across an enterprise, involving all players, including board members, CEO, other C-level executives, portfolio managers, PMO managers and project managers. This book focuses on this over-riding issue of enterprise project governance and shows how the components of projects fit under its protective umbrella.
What is EPG anyway?
Enterprise project governance is a framework residing under the umbrella of top management and corporate governance aimed at ensuring the alignment of the corporate portfolio and its programs and projects with overall strategy, and that actions are pro-actively taken to confirm that everything stays on track to ultimately create value for the organization.
This series includes articles by Paul Dinsmore and Luiz Rocha, authors of the book Enterprise Project Governance, published by AMACOM in the USA in 2012. The articles are extracts and summaries of key topics from their book, providing information and guidance on one of the most important aspects of portfolio, program and project management today – governance. For information about the book, go to http://www.amacombooks.org/book.cfm?isbn=9780814417461.
About the Authors
Paul C. Dinsmore
Paul Dinsmore is President of Dinsmore Associates, and a highly respected specialist in project management and organizational change. A certified project management professional (PMP), he has received the Distinguished Contribution Award and Fellow Award from the Project Management Institute (PMI®). He regularly consults and speaks in North America, South America, Europe and Africa. Paul is the author and / or editor of numerous articles and 18 books, including the AMA Handbook of Project Management. Mr. Dinsmore resides in Rio de Janeiro, Brazil.
Luiz Rocha has 35+ years of experience in the industry and business consulting. Luiz worked with Andersen Consulting and Delloite in the USA and Europe when he had the opportunity to manage multi-cultural and geographically dispersed projects in Latin America, North America and Europe. In Brazil he worked with Dinsmore Associates and Petrobras. Luiz is an engineer by background, MSc. in industrial engineering from UFRJ – Brazil, PMP-PMI and IPMA certifications. He is also a published author with two previous books, Business Metamorphosis, in Brazil, and Mount Athos, a Journey of Self-Discovery, in the USA.