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Role of the Enterprise PBMO

SERIES ARTICLE

Role of the Enterprise PBMO in Managing Project-Portfolios, Project Programs, and Projects

Series on Project Business Management and the PMO

By Darrel G. Hubbard, PE 
President, D.G.Hubbard Enterprises, LLC

and

Dennis L. Bolles, PMP
President, DLB Associates, LLC

USA


When we interact with executives and other senior level managers they express a keen desire to obtain organizationally focused information about a typical Enterprise Project Business Management Organization (EPBMO) positioned at the executive-level, before they decide to charter and actually implement an EPBMO. They will want to know:

What is the hierarchical structure for an executive-level EPBMO as a functional business organization?

What are the basic roles, responsibilities, and authorities of each organizational function within an EPBMO?

This article offers some answers to these two key questions and provides the enterprise’s executives and senior management with an organizational model for the EPBMO, which can be customized to meet the business needs and management requirements of their enterprise.

EPBMO Management Structure and Supporting Functions

Figure 1 below shows the organizational structure of a conceptual Enterprise Project Business Management Organization that is responsible for developing and implementing Project Business Management as a core competency for an enterprise. This EPBMO is located at the highest level of the enterprise, and its executive manager reports directly to one of the enterprise’s senior executive officers. Those officers will have titles such as, Chief Executive Officer (CEO), President, or Chief Operating Officer (COO). The EPMO executive should be assigned a title such as “Chief Project Management Officer (CPMO).”

The six primary functions of the EPBMO are project-portfolio management, project-program management, project management, administration, training and education, and managing distributed Project Management Organizations.

Project-Portfolio Management roles and responsibilities include:

  • Developing and maintaining a prioritized fiscal-year forecast plan of portfolios and their associated programs and projects that are established to meet the enterprise’s strategies and related business objectives;
  • Ensuring the portfolios being worked and those portfolios being planned directly support the enterprise’s established strategic business initiatives;
  • Supporting the development of and providing the maintenance of a summary level budget for each portfolio;
  • Developing a master schedule for future portfolios to assist in long-range management of resources across all proposed programs and projects;
  • Developing and maintaining a master schedule of the currently planned and in-process portfolios;
  • Monitoring portfolios status on a monthly basis to measure and report performance against established portfolio performance metrics;
  • Developing and maintaining the list of the enterprise’s Enterprise Environmental Factors and Organizational Process Assets that affect the management of project-portfolios;
  • Developing a prioritized schedule to minimize the use of specific limited resources by staggering the start-up of projects that require those resources;
  • Tracking and reporting the status of projects and programs, at a portfolio level, to the executive management team on a regular basis; and
  • Monitoring portfolio status on a routine basis to measure and report performance against established accomplishment metrics for business objectives.

More…

To read entire article (click here)

 

Editor’s note: Bolles and Hubbard are the authors of The Power of En­terprise PMOs and Enterprise-Wide Project Management (PBMconcepts, 2014); A Compendium of PMO Case Studies – Volume I: Reflecting Project Business Management Concepts (PBMconcepts, 2012); and A Compendium of PMO Case Studies – Volume II: Reflecting Project Business Management Concepts (PBMconcepts, 2016).  This series of articles is based on their books, research, courses and executive consulting experience.

 


 

About the Authors

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Dennis
L. Bolles, PMP

Michigan, USA

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Dennis Bolles
, PMP, President – DLB Associates, LLC, has over forty-five years of experience in multiple industries providing business and project management professional services. He assists organizations, as a Subject Matter Expert (SME) consultant, to achieve their business strategic objectives with the analysis of their business process improvement needs and development of business and project management capabilities.

He has been a member of the Project Management Institute (PMI) since 1985, received his PMP® certification in 1986 (#81), and is a founding member of the PMI Western Michigan Chapter, serving on its Board of Directors and in several positions since its 1993 inception.

Bolles performs speaking engagements and assists Project/Program/Portfolio Organizations (PMOs) start-up teams begin the planning and implementation processes; conducts on-site organizational project management capability assessments; provides virtual and periodic on-site support for development of business and project management methodologies, policies, procedures, processes. systems, tools, and templates for organizational governance and corporate strategy; assists in the implementation of a project business management methodology that integrates strategic planning, business objective development, portfolio management, program management, and project management processes to achieve strategic objectives and maximize operational efficiency enterprise-wide through the development and management of Project Management Organizations.

Bolles served as the PMI Standards Project Manager who led the project core team to a successful completion and on-time delivery of the Project Management Body of Knowledge (PMBOK®) Guide Third Edition in 2004. He has served on and has contributed to multiple PMI Standards bodies over the past 20 years.

He is a published author of many project management articles, is a PMI Congress/ Symposium/Chapter speaker, and author of Building Project Management Centers of Excellence, AMACOM, NY, 2002. He is the co-editor of The PMOSIG Program Management Office Handbook, JRoss, 2010. He is the co-author with Darrel G. Hubbard of The Power of Enterprise-Wide Project Management: Introducing a Business Management Model Integrating and Harmonizing Operations Business Management and Project Management, hardcover – AMACOM, NY, 2007, now in paperback, revised, and retitled The Power of En­terprise PMOs and Enterprise-Wide Project Management – PBMconcepts, MI, 2014, and of A Compendium of PMO Case Studies – Volume I: Reflecting Project Business Management Concepts, PBMconcepts, MI, 2012 and  of A Compendium of PMO Case Studies – Volume II: Reflecting Project Business Management Concepts, PBMconcepts, MI, 2015. He can be contacted at [email protected] and at LinkedIn at http://www.linkedin.com/in/dlballc01. Visit the www.PBMconcepts.com for information about current and future book projects.

To view other works by Dennis Bolles, visit his author showcase in the PM World Library at http://pmworldlibrary.net/authors/darrel-g-hubbard/  

 

pmwj42-Jan2016-Bolles-HUBBARD
Darrel G. Hubbard, P.E.

California, USA

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Darrel G. Hubbard
is President of D.G.Hubbard Enterprises, LLC providing executive consulting and assessment services. He has over 50 years of experience in consulting, line management, and technical positions. He has served as a corporate executive officer; managed the due diligence processes for numerous mergers and acquisitions; managed information technology, proposal, accounting, and project control organizations; was a program manager on engineering projects; was a project manager on commercial projects; and a designated “key person” under government contracts. He has also held executive positions in, and was professionally licensed in, the securities and insurance industries.

He assists organizations, as a Subject Matter Expert (SME) consultant, to achieve their en-terprise’s strategic business and tactical objectives. He provides analysis of their man-agement structures, business processes, general business operations, and project man-agement capabilities, while supplying specific recommendations on business, methodology, and process improvements. Mr. Hubbard also assists companies, as an out-side third party, with the intricacies of the due diligence process in their merger and acquisition activities. He also supports companies in the managerial development and establishment of their Project/Program/Portfolio Organizations (PMOs) and provides work­shops and seminars focusing on the business management aspects of project management.

Mr. Hubbard holds a bachelor’s degree in mathematics and physics with a minor in chemistry from Minnesota State University at Moorhead. He is a registered Professional Engineer in Control Systems in California. Mr. Hubbard joined the Project Management Institute (PMI) in 1978 (#3662), is a charter member of the PMI San Diego Chapter, and was deputy project manager for the Project Management Body of Knowledge (PMBOK®) Guide Third Edition ANSI Standard by PMI. He was the Exhibitor Chairperson for the 1993 PMI North American Congress/Seminar/Symposium, is a published author of many articles, a presenter at several PMI Congresses and other Project Management Symposiums, and a guest speaker at PMI and IIBA Chapter meetings. Darrel is also a Life-Member of the International Society of Automation (ISA).

He is a contributing author to The AMA Handbook of Project Management, AMACOM, 1993 and The ABCs of DPC: A Primer on Design-Procurement-Construction for the Project Manager, PMI, 1997. He is the co-author with Dennis L. Bolles of The Power of Enterprise-Wide Project Management: Introducing a Business Management Model Integrating and Harmonizing Operations Business Management and Project Management, hardcover – AMACOM, NY, 2007, now in paperback, revised, and retitled The Power of Enterprise PMOs and Enterprise-Wide Project Management – PBMconcepts, MI, 2014, and of A Compendium of PMO Case Studies – Volume I: Reflecting Project Business Management Concepts – PBMconcepts, MI, 2012 and  of A Compendium of PMO Case Studies – Volume II: Reflecting Project Business Management Concepts, PBMconcepts, MI, 2016. He can be contacted at [email protected] and LinkedIn at http://www.linkedin.com/in/DarrelGHubbard Visit www.PBMconcepts.com for information about current and future book projects.

To view other works by Darrel Hubbard, visit his author showcase in the PM World Library at http://pmworldlibrary.net/authors/darrel-g-hubbard/