Case Study Of PMO

953 Words2 Pages

What kind of PMO does Atek need and why? Be sure to identify the scope, structures and governance needed to be successful, as well as address any implementation concerns. The PC industry was undergoing a change with the proliferation of Mobile phones, PDAs and web based applications. The industry as a whole was undergoing a consolidation phase and was experiencing tremendous cost pressure. Decrease in profit margins forced the PC makers to implement cost reduction strategies. Founded in 1984, AtekPC experienced rapid growth in the 1990s and enjoyed good profit margins during this period. However there was no formal process in place to control the costs. With the PC industry undergoing a consolidation phase and increasing threat from Asian manufacturers has forced AtekPC to address this critical issue. By the fall of 2006 AtekPC established a Strategic Planning Office (SPO) whose responsibility was to propose business changes. SPO initiated the PMO effort with a focus on IT projects which would later be implemented across the enterprise. AtekPC had developed a vast array of IT applications primarily focused on for the use of business functions like accounting, manufacturing, sales and distribution. There was very little integration between these systems. Most projects were medium sized and were managed informally by the development team (Lead Analysts). Any new development or maintenance projects were undertaken using an informal approach and this led to quick response time and also fewer conflicts. Also the Lead Analysts had long tenures and developed a deep understanding of the business requirements. Changing business needs required complex projects that involved multiple functional and technological areas. The demands of t... ... middle of paper ... ...uality and schedule AtekPC might face many challenges and obstacles while implementing the PMO. AtekPC has an informal way of communication where requests for new projects are done between the lead analysts and the manager of the division. Changing this informal approach to a formal one might be difficult but can be done by explaining to employees the strengths and advantages of this process. The lack of skilled personnel in the PMO is an obstacle that can be overcome by training the current mangers and hiring new staff members. The success of PMO depends on the buy-in of the executive leadership, which if delayed can erode the value of PMO and have a negative impact on the project. There is a high risk that PMO might been seen as an authoritative figure and might face resistance, it is extremely important to clearly set the expectations to avoid misunderstandings.

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