The definition of PMO differs depending on the environment one is talking about, that is the business or industry one is referring. Therefore, understanding in detail, what a PMO is, and all the aspects it involves is important, as it will aid in the understanding of how beneficial it is to a business. PMO serves several important purposes in a business. Many businesses currently use PMO s opposed to several years back when it was not a necessity in many businesses. The market needs have changed gradually over time, and this has brought the need for change in how things are carried out on a business. The benefits of adopting PMO in an organization have been evident in most companies, thus its growth in popularity in the recent years (Hobbs and Aubry, 2010).
A successful PMO is set up following several steps laid out, and which are paramount to follow. It is also important to note that PMO has many advantages if used in a business. One cannot overlook the benefits of having a PMO in a business, as it helps the business in many aspects. Additionally, while making a PMO, one has to consider making one that will benefit the business. There is much to expect from having a PMO in a business. One should also know the characteristics of a better PMO before setting up one. There are several characteristics of a better PMO, which will be covered late on in the paper. It is important to note that despite a PMO having many advantages and being beneficial to a business or organization, it has some limitations. As far as there is much to expect from having a PMO, there are some things that one should not expect. There are also some several misconceptions about having a PMO (Hobbs and Aubry, 2010).
It is imperative for a business to have a PMO due to several underlying reason. PMOs were not famous in the past, as businesses did not have many needs as they do now. As earlier stated, PMO has two primary purposes in a business. Apart from managing projects, PMO creates teams whose performances are very high. However, this can only be achieved by hiring the best people available to carry out the project. On the other hand, development of a PMO is not a simple thing to do and requires skills for it to be successful. The research showed that the longer the PMO has been operating, the more successful it becomes. Businesses operating with PMO for one year recorded a lower success rates as compared to those that had it running for four years.
Setting up a PMO as seen from the research is also not easy, and requires one to follow four distinct steps for it to be a success. Having a PMO has many benefits to a business, and not having it can be very expensive. Two main advantages are critical to having a PMO in a business. These include that it helps in improving the productivity and increase savings on costs, just to mention a few. PMO leaders play a vital role in the success or failure of a PMO. It is, therefore, true to say that PMO play a significant role in the organization and success of a business if in use. Despite it having some limitations, its benefits are overwhelming and, therefore, advisable for businesses to use.
Hobbs, B., & Aubry, M. (2010). The Project Management Office (PMO): A quest for understanding. Newtown Square, Pa: Project Management Institute.