Project Management Offices (PMOs) is a concept of regulatory transformation established by companies dependent on project-related activities control and correlate several projects. Bredillet et al. (2018a) argue that the main challenge of assessing the value generated by PMOs is that it is unreliable and changes promptly. PMO is, however, significant in introducing standardization of scale economies and replication of projects. Taljaard (2018) asserts that PMO provides a reference for consultation, training, provision of evidence, training, and measuring performance on the best approach of project planning and implementation. PMO is significant in project-oriented organizations because it facilitates collaboration through different departments; nevertheless, organizational size significantly impacts this ideology. The impact of organizational size is evident in implementing PMOs in different companies. To determine the relationship between organizational competitive edge and hierarchy, Turner and Ledwith (2018) researched small and medium enterprises (SMEs). The size of an organization affects job performance and characteristics. Sandhu et al. (2019) state that PMO is an ideology that helps organizations achieve departmental teamwork since a particular project is frequently part of the bigger course of action. PMO draws attention to the interdependence between the project and the approach of attaining it. The function of PMOs is determined by the milestones required and the company’s needs. PMO contributes to the organization’s benefits based on the type and size of the business. Every corporation faces different challenges based on its capacity; therefore, a PMO is formulated dependent on these aspects (Silvius, 2021). The responsibilities of PMO are versatile; consequently, they are applied depending on the requirements of a company. Bredillet et al. (2018b) indicate the execution strategy of PMOs, which is usually through project portfolios. Through PMO, businesses achieve crucial objectives after facilitating structural reforms. One of the challenges associated with a high number of employees is intricacies in communication (Richardson & Jackson, 2018). The team’s size profoundly affects the transmission of messages and the type of communication line to be used. PMO will be tailored depending on the size of the project and the number of personnel required. PMO is crucial in enhancing teamwork and the establishment of a hierarchy of command within a project. It might not be easy to handle a big team; hence, the best action plan is to regroup employees into sub-categories with specific sub-objectives (Richardson & Jackson, 2018). The main purpose of a large group is to ensure the small categories formed continue to be identified and connected to the general team. PMO might be easier to implement in smaller projects; however, several factors determine its establishment. PMO in projects with less employees, financial status, and scope is based on the foreseeable complication of the project, the number of project managers and departments needed and anticipated company expansion. Plaza (2017) notes that the most important undertaking in smaller organizations is meeting stakeholders’ needs. PMO in small companies increases competitive edge by intensifying the relationship between stakeholders and managers. The type of PMO implemented rests on organizational size and consequently execution of project planning strategies. Organizational size affects the type of structure a project will use. Lacruz and Cunha (2018) describe the organizational structure as an asset that can generate a feasible competitive edge, especially when developing into a company’s capabilities. Paton and Andrew (2019) state that organizational structure is contingent on the goals supposed to be met. Therefore, an enterprise with a small number of complex projects will adopt a different structure from an organization with many small-scale projects. PMO is crucial in any organization regardless of the size, even though it offers more advantages to intricate and larger projects. PMO can be used as an important resource because it provides a competitive edge.
What are the requirement put on the PMO when the size of portfolio changes?
Figure 1 The 5 stages of PMO
Short introduction
Short introduction on the matrix; How do we define size? Explain table 1
Table 1 Portfolio size
Few Projects | Many projects | |
Small Projects | Few, small projects | Many small projects |
Large projects | Few large projects | Many large projects |
What requirements are put on the PMO when you have these 4 situations; What stage of PMO should be in place in those 4 situations? (Reference to figure 1)