What an organization needs a PMO to do should dictate the type of PMO it chooses. Of course, some orgs achieve these functions in structures beyond a PMO, like a value management office or a transformation management office, so it’s worth noting that other suitable options exist.
This guide details the most common types of functions each type of PMO can provide—and what you need to consider when choosing to stand up a PMO.
Enterprise Project Management Office (EPMO)
Function: An EPMO creates standards, processes and delivery approaches to improve project performance across the organization—and typically is the go-to authority for allocating resources to different projects. Designed to operate at the corporate level, EPMOs hold maximum strategic influence and ensure that projects are aligned with organizational objectives and priorities. By having executive support, EPMOs drive mission-critical initiatives, accelerate change across an organization and report to the highest levels of the organization, like the COO.
Deploy it: When competing projects and priorities threaten organizational cohesion, an EPMO can tighten the grip. EPMOs are designed to ensure that the portfolio aligns with strategic priorities and that each project follows organizational standards.
Avoid it: Project teams that need day-to-day support are often better served by PMO models with a more granular focus. Beyond that, smaller and less mature companies often lack the talent and resources to justify investing in an EPMO.
Sustain it: The power of an EPMO is dependent upon how strongly it’s connected to the C-suite. If an EPMO succeeds at delivering ongoing value to a company’s executives, it can thrive as the nerve center of the organization’s project infrastructure.