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Benefits of a Consolidated PMO

There are many organizations with multiple business units all conducting and delivering project management services, many of which are working with individual project management offices (PMO) to provide oversight, guidance, and support to their respective project portfolios. While each individual PMO will bring a unique perspective and add their own value to their respective business units, what are some of the benefits of moving towards a consolidated PMO?

Cost of Service Delivery

As with any type of consolidation there are certain cost savings to be had. By utilizing a shared service offering, business units would be able to all share in the cost of a consolidated PMO while utilizing the benefits that it would have to offer. Not unlike other shared services (IT, HR as an example), business units would not need to invest financial resources into hiring, training, and staffing a PMO to oversee their projects.

Improved Resource Management

As we move into the age of the great resignation, many organizations are struggling trying to manage resources and staff projects appropriately. By utilizing a shared and consolidated PMO, organizations can be part of a larger group that would share in the pool of PM resources that would lead their projects. As staffing requirements change (up or down), business units can increase their usage of the shared pool of resources and relieve themselves of the burden of having to appropriately staff their projects. It’s almost like a cloud service of project managers where you can ramp up/down as required!

Consistency of Services

This would be the most compelling argument for a consolidated project management office. Organizations with multiple business units will likely have a similar vertical to which they serve either through services, products, or both. By employing a shared and consolidated PMO, business units would be able to leverage shared knowledge and expertise of a consolidated PMO that develops and maintains a consistent methodology across the board for their group of project managers. A PMO’s responsibility is to develop, maintain and enforce consistency and predictability of project delivery using a strong and consistent methodology. Business units leveraging a shared PMO would reap the benefits of having project managers properly trained and educated in the shared methodology, regardless of the individual project manager assigned.


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