October 4, 2020 — Peter Nichol published new research highlighting how value management can be applied organizational as a strategic capability.
Innovative CIOs are realigning project management offices (PMOs) to drive strategic value maximization.
Traditional project management offices (PMOs) focus on process sets, standard templates, and delivering more projects. This focus is important and necessary. Conventional PMOs are not trained, educated, or equipped to focus on strategic projects diving data science, next-gen technology, and business transformations.
The value management office focuses on the most strategic organizational projects and ensures that value is maximized.
Peter’s research explores how innovative companies are reframing the concept of a PMO. These companies are shifting from a “projects delivered” mindset to a “value delivered” mindset. How do you know if your team is a traditional PMO or a value management office? If you as an executive are hearing about process reengineering efforts, communities of practice, or delivery methodologies you’re in a traditional PMO. The focus and priority of traditional PMOs are not on your most critical strategic initiatives—but it should be.
The paper explains multiple value frameworks to discover, capture, and present value to ensure your strategic initiatives achieve optimal results.
Abstract — This paper aims to present a practical approach to institutionalizing business value realization as an organizational capability. Business and technology executives are under continuous pressure to justify investments and validate business outcomes. When executives are asked to explain the value generated by their team, department, or company, only then do they realize they lack the in-house expertise to produce the level of quantifiable outcomes expected. Progressive leaders know that the process of discovering, realizing, and optimizing value is an essential organizational capability. This paper presents a practitioner approach offering multiple value management frameworks to assist executives in making informed decisions when building a value-management office. Traditional project-management offices maintain project-management standards, establish best practices, define common languages, develop a resource-management view, and create and maintain project artifacts and tools. Unfortunately, the heavy burden of these core project-management office activities results in no time for strategic planning. The value-management office oversees the execution of all the company’s strategic programs. The company’s hyper-focus on connecting strategy to execution ensures the value maximization of its strategic initiatives.
What will you learn?
- Why the most innovative leaders are reassessing their PMO functions? What value frameworks are working for agile companies? Which are the most impactful options to hyper-focus on your most strategic programs to maximize value.