What is a PMO and why it is Important for strategy & OKR delivery

In today's rapidly evolving business landscape, the ability to manage transformation and strategic initiatives efficiently is critical for success.

This article is part of our "Run-Fix-Change the Business" series, aimed at helping business leaders better prioritize their workload and understand when to work IN the business versus when to work ON it. Within this context, we delve into the crucial role of a Project Management Office (PMO), illustrating its significance through a compelling case study and highlighting how our team utilizes the Hoshin Kanri methodology to drive business success.

Hoshin Kanri: Bridging Strategy and Execution

Our team employs the Hoshin Kanri methodology to assist senior management in mapping their long, mid, and short-term business goals. In the past couple of years, working with clients of all sizes, we have found that when effectively using the Hoshin Kanri (true north) strategic vision mapping logic, we are more successful in setting expectations about what happens after strategy is identified: EXECUTION.

This process involves:

• Identifying Goals: Clearly defining what the organization aims to achieve in the long run and mid-term
• Assigning Strategic Initiatives: Translating these goals into actionable strategic initiatives and supporting OKRs
• Key Metrics: Identifying the KPIs that need to be tracked to ensure monthly & quarterly progress

This approach ensures that everyone, from the board of directors to middle management all the way to the staff level is on the same page regarding resource utilization and strategic direction

The Importance of a PMO

A PMO is more than just a support function; it is the backbone of successful project execution and strategic alignment. For business leaders aiming to manage transformation and achieve visionary goals, investing in a PMO-focused company is essential. Here's why:

1. Strategic Alignment: A PMO ensures that projects and OKRs (Objectives and Key Results) are aligned with the company's strategic objectives. This alignment is crucial for achieving long-term success
2. Resource Optimization: By providing a structured framework, a PMO helps in the optimal allocation and utilization of resources across various projects
3. Risk Management: A PMO monitors project risks and deviations, engaging senior management when necessary to mitigate potential issues
4. Performance Tracking: With a PMO, key performance indicators (KPIs) are identified and tracked, ensuring that projects are on the right path and delivering the desired outcomes.

In short, a good PMO is there to make sure that noone falls asleep at the wheel.

The Magic of the PMO

Once strategic goals are established, the PMO takes ownership of architecting, assigning, and cascading a portfolio of well-thought-out OKRs, projects, and individual KPIs. This structured approach provides middle and lower management with a clear roadmap for managing their teams.

But it doesn't stop here. The PMO acts as a governing body, conducting weekly check-ins with OKR owners and keeping senior management aligned with project statuses. This continuous monitoring and engagement are often facilitated through monthly or bi-weekly steering committee meetings, ensuring timely intervention in case of project risks or deviations.

Our Platform-Driven Approach: Presto PDCA

At the heart of our mission is helping companies enhance their PMO processes through our innovative change management platform, Presto PDCA. This powerful tool empowers PMO teams to manage deliverables with precision, teaching staff members to fulfill their commitments using the Plan-Do-Check-Act (PDCA) cycle and the RACI (Responsible, Accountable, Consulted, Informed) accountability matrix.

Our methodology minimizes confusion, maximizes accountability, and instills a sense of urgency, ensuring that everyone stays aligned and on track.

Over the past years, we have partnered with companies of all sizes, each at different stages of their PMO journey. We often assist Senior Management in translating their vision into a structured portfolio of business objectives, which are then seamlessly integrated into our platform's PDCA OKR management dashboard.

From there, we take a significant workload off the shoulders of Senior and Middle Management. We can act as Interim PMO Directors or coach their existing PMO teams, facilitating weekly check-ins with all project owners and contributors to ensure timely and accurate information sharing.

Finally, we train Senior Management to use our OKR dashboard for self-service status updates, significantly reducing the time required for decision-making and enabling them to swiftly identify where their support is needed. This approach not only enhances efficiency but also empowers leaders to make informed decisions quickly.

Get in Touch

Are you curious about launching a successful PMO in your company or revolutionizing your current PMO? If so, we want to hear from you!

Our team is available for consultations to help your company gain insights and improve your PMO processes. Whether you're interested in a free consultation or receiving a detailed case study, we are here to assist you. Visit our website to learn more, book a free consultation, or contact us directly at info@toppti.com.

Thank you for your time and consideration. Let's transform your business together!

PS: Join Our Webinar

Don't miss our LinkedIn-sponsored free 1-hour webinar on June 19th where we will showcase how Presto PDCA assists team leaders and PMOs alike in assigning and monitoring daily standard work (aka 'Run the Business'). Discover how to automate recurring, standard activities to be executed more quickly and safely. Prior successful implementations have proven to save between 30% and 50% of process time. Sign up now to learn more about how our platform can revolutionize your business operations.