Talk to nearly any corporate executive today, and you're likely to hear stories of frustration regarding projects gone awry. With the challenging nature of managing multiple projects, measuring their success and aligning their costs with objectives, it's no surprise that solid success stories are few and far between. Many companies improve their odds by implementing an Enterprise Project Management Office (EPMO).
Whether it's a merger, integration, spin out or some other large project, C-suite executives employ EPMOs to help handle major programs. Such projects generally run horizontally across the enterprise, impacting many areas. The EPM office is all about taking each project and measuring it twice -- understanding its requirements and risks while managing expectations and ensuring consensus of success. Use it effectively, and your projects will come in on time and on budget.
Controlling project chaos
Imagine yourself a retailer considering a project like a major store refurbishment. Perhaps you're introducing a new logo, theme, or look. This might include changing the physical appearance along with the product mix or displays -- all of which impact multiple departments -- from the office of CFO through marketing, pricing, sales, construction, and operations. Once you see the wide impact such an initiative can have, you see why every function must be well coordinated.
Corporate programs that are not managed by an EPM function are often poorly executed, missing deadlines, or budgetary requirements. But with a program management function in place, the success rate is much higher. Because redundancies and missteps are avoided, costs are also contained -- even 10-20 percent less than a project done on an ad hoc basis.