Is your PMO strong enough to support large scale business transformation?

The worldwide COVID pandemic has resulted in a large scale shift in strategy in how organisations produce, sell or deliver their products and services. These changes in strategy will need to be supported by large scale transformational change in the operating model to be successful.  A Target Operating Model (TOM) Programme is most likely to be born.

Key to that Programme, will be the PMO (Programme Management Office) that supports it.  The PMO should not be overlooked as being something that is just for the record keepers and the minute takers. The PMO is the backbone to any project, transformation or change.

A PMO is a governance body, a mentor and a guide, asking the right questions, with the experience of having ‘been there before’ to support the programme to deliver large scale transformation. Think about the consequences of not delivering the strategy well – they most likely include loss of investment, time, market position and profitability.

An assessment is needed to ensure the PMO is strong enough to support the strategic business transformation.

Once you have gained agreement and backing for your change, you need to design a Target Operating Model (TOM). You will need to know what capabilities are needed to deliver that TOM, how and what will deliver that capability, and what the impacts are on the current operations. The PMO can provide a framework for that impact assessment, facilitate workshops and design sessions, and provide standard templates and capture tools.

Having decided to embark on a TOM Programme, you need to also do a wholesale review of the full Portfolio vs the TOM. What needs to stop or continue to support the TOM? What are the dependencies and sequencing? You need a strong PMO to refresh the Portfolio and align it with the new strategy.

The TOM Programme needs to be delivered with a capability driven strategic roadmap. Your PMO needs to be able to define that and ensure it is being delivered.

The PMO needs to build strong business relationships with business sponsors, visionaries and ambassadors. It needs to be aware of other things happening around the business or in the market that impact the direction of the programme, and support the programme to review and agree any necessary changes in the most optimal and agile way.

The PMO needs to ensure that benefits are understood and being tracked and confirm the return on investment is being delivered and benefits are being realised. And question the direction if not.

The PMO needs to support any technical changes to live system environments, working with the solution development teams and product owners to iteratively release controlled changes, and ensure that there is traceability for configuration management if changes need to be reversed.

Is your PMO strong enough to support large scale business transformation? Does your PMO have the appropriate tools, processes, risk management, change impact assessments, readiness checklists and templates to support and control the transformation, and deliver the change in the business?

• Do you have a clearly defined TOM strategy and vision?
• Do you have an overview of the Change Portfolio and have you reassessed what needs to continue, or what may need to stop or change to support the TOM?
• Do you have clearly defined blueprints of the future state and have you captured the assumptions made in defining those blueprints?
• Do you have a way to control those blueprints and assumptions?
• Do you know what impacts the TOM will have on your business operations and people? How will you know if the business operations are ready to take on those changes?
• How will you control changes to live system environments?
• How will you measure success? How will you measure benefits realised and know the TOM is adopted and stable? Or measure to see when you need to change or adapt to the evolving business around you?

Brightrunner are experts in Programme and Change Management for large scale business transformation programmes. If you need any advice or support, we are here for you.