Benefit of Setting Up a PMO in Hewlett-Packard

Project Management Office

Hewlett-Packard Company (HP) is one of the biggest information and technology (IT) corporations in the world. HP is a company that is well suited for the 21st Century as it employs its competencies and technological advancements to offer healing, education, and connecting individuals across the world. Hewlett-Packard Company is centered in the information systems industry and is a technology organization that specializes in storage computing, hardware, software as well as network services. HP is well renowned for providing technological solutions to individual consumers, businesses as well as all sorts of entities across the globe. The main mission of Hewlett-Packard is to simplify and advance the manner in which technology and services can enable both individuals and institutions in addressing their issues and challenges. For instance, Hewlett-Packard Healthcare Information System (HCIS) is an information system that is fully integrated has been developed and sustained by the company for leading organization in the health care industry (Hewlett-Packard Website, 2015).

Up until the present day, there is not internationally acknowledged and adopted standard for project management offices (PMOs) and the models which are employed by different organizations are dissimilar and vary a lot. However, there is a regular set of basic requirements, tools and functions of any project management office to be of great value to the company establishing it. A Project Management Office can be described as an organizational entity that takes account of numerous roles and functions with regards to a group of projects. It is an entity that can make the most of project management by systematizing or regulating the practices and merging the various ingenuities across the enterprise. PMOs are not static entities. Most change every few years. Project management office applications and executions are situationally reliant on, and change or alter conferring to functioning, structural, societal, and other forces. More so, these forces do not hamper or impact PMOs in dependable or foreseeable ways (Al-Maghraby, 2011).

Companies are becoming more and more cognizant of the significance of a project management office to govern and control the execution of their piloted projects. This is the reason why increasingly more companies in the information system industry are opening project management offices. This paper will consider the aspect of project management offices with respect to Hewlett Packard Corporation which is one of the largest companies in the information services (IS) industry. It will also shed light on the intended purpose and role of the PMO, the manner in which the PMO is to be established in HP, the essential components needed to be in existence in the PMO together with its organizational structure, and the roles and responsibilities played by the personnel (Al-Maghraby, 2011).

Organization's Mission, Vision, and Values

The mission statement of an organization can be described as the main purpose of the organization in terms of why it exists as an entity. In other words, the mission can be considered as what the organization has determined to attain on the assumption that it is in operation. The mission statement of an organization is articulated for the organization's internal and external benefit. In essence, the mission statement focuses on the present state of the organization. The mission of Hewlett-Packard Company is to provide products, services, and solutions that are of the highest quality and deliver a great deal of value to its consumers; this goal enables the organization to be of service and earn consumers' respect as well as loyalty (Ireland et al., 2009).

On the other hand, the vision statement of an organization focuses on its future state. In other words, it can be considered as the motivational basis or context for the existence of an organization. Different from the mission statement, the vision of the company basically highlights the direction in which the organization intends to go and instigates the strategic plan of the organization. More so, the vision concentrates on the internal aspects of the organization. The vision statement of Hewlett-Packard Company is to perceive change in the market as a prospect for growth, to employ its profits and its capacity to develop and produce services and products as well as solutions that satisfy the emerging needs of the consumer (Ireland et al., 2009). The company has a number of shared values which include integrity and honesty in all of the organization's dealings and organizations. The company also ensures that it works in an effective and collaborative manner, seeking ways to serve its consumers. In addition, the company strives to create an organizational culture that is centered on trust, dignity and respect for all individuals. As well, HP strives for excellence in all of its actions and activities. Lastly, another value of the company is meaningful innovation as HP is the company that comes up with the technology that is not only beneficial but also significant (Ireland et al., 2009).

Hewlett-Packard has seven key corporate objectives which are discussed below.

i. Consumer Loyalty

With regards to consumer loyalty, HP strives to provide its consumers with products, services, and solutions which are of the highest quality and value to its consumers, earning the corporation their loyalty as well as respect. The company is keen on paying attention to its consumers to gain a proper understanding of their needs and thereafter offering solutions and services which transform into customer success, an aspect that is vital to earning consumer loyalty and increasing its consumer base. In addition, the level of quality and invention that is done by the company increases the loyalty of the consumers (Hewlett-Packard Website, 2015).

ii. Profit Another value of the company is profit generated. The company asserts that in order to attain adequate and satisfactory profit to finance its growth, generate value for its stakeholders and also offer the resources, it is imperative for it to attain its other company objectives. The fundamental beliefs that support this objective for HP is that everyone is responsible for the profit generated by the company and that it is vital to have a balance between the short-term objectives and the long-term objectives in order to have profitability. In addition, profit enables the company to attain its corporate objectives and be able to reinvest in new and emerging business prospects. Lastly, profit has a high correlation with the generation of cash which in turn bring about more flexibility to the company's business operations at a lower cost (Hewlett-Packard Website, 2015).

iii. Market Leadership

Hewlett-Packard aims to constantly grow and become a market leader by repeatedly providing beneficial and substantial products, services and solutions to the industries and markets that it offers its services; HP also plans on extending its business operations into new fields and areas which are capable of building and increasing its expertise, capabilities and consumer interests. The company is cognizant that being average in the market and in the industry as a whole is not good enough and therefore it has to strive to be number one in all fields that it participates (Hewlett-Packard Website, 2015).

iv. Growth Another objective for the company is growth in the sense that it has to perceive change in the market place and industry as an opportunity and chance to grow as a business. As a result, it has to employ the profits generated and its capability to develop and manufacture innovative products, solutions and services which are satisfactory to the constantly changing and emerging needs of the consumer. Hewlett-Packard's large size as well as its diversity in business gives it the capacity to ensure any economic cycles and also to make the most out of them. Such growth emanates from being a smart risk taker (Hewlett-Packard Website, 2015).

v. Employee Commitment and Motivation

HP as a corporation aims to assist its employees in sharing the success attained by the company which is made possible by the personnel. The company aims to provide individuals with employment opportunities centered on their performance and to create a safe, interesting, and appropriate work environment that appreciates their diversity and acknowledges the contribution made by every individual; HP also seeks to ensure that the employees are satisfied with the work that they accomplish. The performance of the company is reliant on the motivation of the employees and therefore their loyalty is key. In addition, having a diverse workforce enables the company to have a competitive edge; creating a workforce environment that is stimulating and satisfactory initiates a great level of invention (Hewlett-Packard Website, 2015).

vi. Global Citizenship

Another key corporate objective of Hewlett-Packard is having good citizenship across the world. The company ensures that it lives up to its accountability and responsibility to the society by being an intellectual, economic, and social resource to every community or expanse in which it undertakes its business operations. The company believes that bettering the society is not an aspect that should be done by a few, but rather it is a responsibility that ought to be shared by all and sundry. In addition, HP has a fundamental belief that to develop consumer and investor loyalty it has to operate in the highest standards of honesty and integrity. Good citizenship is good business as it advances and improves the company's brand (Hewlett-Packard Website, 2015).

vii. Leadership Capability

The last corporate objective of HP as a company is leadership capability; the company strives to develop leaders at each and every level of the company who are responsible and accountable for attaining business outcomes and representing the values of the company. Leaders reveal self-awareness and a readiness to receive criticism and constantly develop. Leaders motivate, nurture collaboration and transform ideas and strategies into achievement with dedicated and clear objectives (Hewlett-Packard Website, 2015).

Current Organizational Need for a Project Management Office (PMO)

The key objective of a PMO is to attain benefits from regulating or systematizing as well as following project management policies, processes and practices. In the course of time, a PMO largely will come to be the foundation for direction, credentials, and metrics associated with the practices encompassed in handling and executing projects within the establishment. In addition, a PMO might also take part in tasks that are project-related and keep an eye on project activities through accomplishment. The office might give an account on project activities, difficulties and necessities to decision-making management as a strategic tool in sustaining implementers and decision makers heading toward steady, commercial-focused or mission-focused aims and objectives. In general, a PMO centers its project management philosophies, practices and procedures on a type of industry standard method or approach for instance Project Management Body of Knowledge (PMBOK). These kinds of methods are steady with the requirements linked to ISO9000 and to government regulatory desires; for example, the U.S. Sarbanes-Oxley (SOX) program (Rouse, 2012). In accordance with Hallows (2002), a project management office (PMO) has come to be well engrained and deep-rooted in information system and information technology organization. All of the organizations in the IT industry have plenty of projects most of which are small in scope. Hallows (2002) argues that the 20/80 rule is applicable to projects in the sense that 20% of the projects take up 80% of the resources available.

Hewlett-Packard will benefit from the establishment of the PMO from conceptual, corporate management, and process perspectives. Conceptually, the company will benefit as the PMO will function as a central integrator for project and program activities in the corporation (Needs, 2014). Irrespective of whether the PMO enthusiastically manages projects openly or functions as a principles and consulting association. In addition, the project management office, which functions as a central place for project management, can offer substantial value. The members of Hewlett-Packard, which encompasses the personnel, can strive for guidance and attain solutions to project management issues. In addition, the notion of PMO will offer a ratification of project and project management oversight in Hewlett-Packard; it will also generate a perceptible aspect for project management that is acknowledged further than just the project management workforce, representing a comprehensive organizational obligation to the undertaking of project management (Letavec, 2006).

With regards to the objectives of Hewlett-Packard's corporate management aspect, the project management office (PMO) might serve as the main oversight body accountable for offering strategic project standing material and information to management. Intrinsically, the PMO might be beneficial for HP in the collection of project status data and offering the managers the capability of having a particular perspective of the project landscape within the company; they can also obtain combined information with regards to projects being done in Hewlett-Packard as required. When the company has the PMO to function as a central repository for project data, HP will benefit by having data gathered. This will, in turn enable commanding management reporting as well as tendency analysis that would be otherwise challenging in the company. In addition, HP will benefit from having a PMO as it can make the most of the organization to accomplish oversight project commissioning, to merge risk reporting and organization, and other comparable governance actions that make certain a suitable level of control over the projects undertaken in the company (Letavec, 2006).

Lastly, a PMO can benefit HP with regards to the processes of the company. This is for the reason that the PMO will play a vital role in offering governance, administration, and standards setting for project procedures within the company. Particularly in a large corporation such as HP, it can be difficult and challenging to make sure that consistent and steady project management best practices are followed. As for HP, instituting a PMO with accountability for generating and sustaining project standards, can offer focus on examining and instituting best practices standards within the company, an aspect that cannot be consistently attained solely through the determinations of individual project managers. Regardless of whether these standards are centered on acknowledged external standards, or are more advanced by means of documenting and reprocessing best procedures within Hewlett-Packard, the PMO conception is well-matched to consolidate and integrate the corporation through broadcasting and looking after project management best practices. By having common project management processes and procedures across the corporation, Hewlett-Packard will benefit as its prospects and outlooks will be uniform. In addition, another benefit the company will have is that team members, managers, as well as stakeholders in the projects will attain confidence that irrespective of the project, the company will have a certain group of vital methods for project management that will be constantly applied to ensure that the projects are successful (Letavec, 2006).

Five Industry/Organizational Specific Goals for the PMO

Being in the information security industry, Hewlett Packard has developed a PMO framework that encompasses dignified project management procedures and a project management training program, a determination which takes account of a forward-thinking level, week-long enlightening program referred to as Project Management University (PMU) (Al-Maghabry, 2011). Hewlett Packard continues to form a corporate culture positioned around project management. It systematizes informal interacting occasions to embolden knowledge sharing among project managers and it advances new systems for apprehending project information, systems that allow HP to improve its knowledge base, its project management practice, and its project management teaching program (Project Management Institute, 2013). This particular section discusses industry as well as organizational specific objectives for the project management office.

1. Timely Completion

This is one of the main objectives for the corporation when setting up the project management office. In addition, this is one of the most challenging objectives for the PMO for the reason that more often than not, the company's initial schedule was likely optimistic to begin with. As the requirements of the projects change and vary, the PMO will have the objective of ensuring that these projects are completed in good time (Westland, 2010).

2. Satisfying the Consumers and the Organization as a whole

One of the organizational and industry specific objectives is to offer role-centered, exception-focused perceptibility into information technology inclinations, standing, and deliverables to assist the organization in making and implementing decisions that are real-time. In addition, there will also be support for information sharing with other functions or corporate thresholds by making use of industry standards. In addition, the consumers will be satisfied as the projects contracted will be finished in a timely manner, have standards similar to the industry, and also include an up-to-date focus (Project Management Institution, 2013). As mentioned, one of the main objectives of HP is to provide products, services, and solutions that are of the highest quality and deliver a great deal of value to its consumers; thus resulting in earning their respect as well as loyalty (Ireland et al., 2009).

3. Improved Staff Development

Another objective is enhancing the training and organization support for the staff who deliver the projects. The PMO has the specific objective of ensuring that there is the successful implementation of the projects through the use of the tools, procedures and people. This is done through the planning, designing, developing and coordinating of project management training as well as improving the educational and training requirements as well as the curriculum that is employed. It also enables the provision of specialized timely sets of skills which would not be difficult and expensive to attain and be developed in any one project. Cultivating a project manager's skills regardless of whether it is in terms of guidance, headship, business insight or technical competency can only increase project performance and distribution (Westland, 2010).

4. Project Performance

The ultimate and eventual objective of the project management office is that all of the projects being taken into consideration ought to attain success (Jedd, 2005). The performance objectives of the PMO are to positively and effectively guide as well as support all of the projects to attain success. Its structural goals are to offer all support to all projects as well as project practitioners in the way of suitable best practice guidance or headship and services which are just in time. The objective is to develop a top best practice competence and capability to help and support programs and provide well-planned projects that effectively bring anticipated results within budget, on the exact time period, and affiliated with program and portfolio aims (Hawaii Government, 2012).

5. Project Supervision and Guidance

Another organizational specific objective of the project management office is to provide program and project management supervision, bearing, ability, understanding, and coaching to teams for presenting, preparation, and handling representations and activities. The key accountabilities are to manage and regulate the limitations by guaranteeing plans are executed on time, within budget as well as within scope. The objective is systematizing or regulating the practices and merging the ingenuities across the enterprise. This is in line with HP's objective to perceive change in the market as a prospect for growth, to employ its profits and its capacity to develop and produce services and products as well as solutions that satisfy the emerging needs of the consumer (Ireland et al., 2009).

Mission and Vision of PMO

The mission of the project management office is to provide program and project management guidance, direction, proficiency, understanding, and teaching to teams for introducing, preparation, and managing enactments and accomplishments. The key responsibilities are to manage and regulate the limitations by guaranteeing plans are executed on time, within budget as well as within scope. Sustaining placement to the strategic goals and mission of Hewlett-Packard is imperative to having successful and fruitful program and project management. This is irrespective of whether these projects are managed for the profit of a company division or for the benefit of the entire corporation as well as the adjacent community. Integrating program and project management organization with best practice approaches and principles that are either centered on Hewlett-Packard's Strategic Plan or solitary in determination and scope make certain steadiness is applied successfully and is accessible to be directed across different sized projects.

The vision of the PMO is to encourage and support best practice standards and methods into a program and project management criteria that progresses the fundamental vision and mission of Hewlett-Packard's strategic plan through all-inclusive and frequent development encompassing tutoring, teaching, and a set of managing philosophies. The ultimate and eventual goals or objectives of the project management office is that all of the projects being taken into consideration attain success. The performance objectives of the PMO are to positively and effectively guide as well as support all of the projects to attain success. Its structural goals are to offer all support to all projects as well as project practitioners in the way of suitable best practice guidance or headship and services which are just in time. The strategic objectives of the project management office (PMO) are to develop a top best practice competence and capability to help and support programs and provide well-planned projects that effectively bring anticipated results within budget, on the exact time period, and affiliated with program and portfolio aims and objectives

Process for Establishing and Staffing the PMO

The manner in which a project management office (PMO) is designed or structured and staffed for supreme effectiveness is subject to a variability of organizational factors, which consist of targeted goals, customary strong suits and cultural essentials. In general, there are three kinds of organizational styles for a PMO.

1. The project repository

More often than not, this kind of model takes place in organizations that authorize and sanction distributed, business-oriented project proprietorship, or enterprises with fragile governance that is centralized. The project office basically functions as a basis of information on project practice and criteria. Project managers continue to give an account to, and are financed by, their corresponding business capacities.

2. The enterprise project management office (PMO)

This particular model makes the assumption of a process of governance that consists of the project office in all projects being undertaken irrespective of size, permitting it to examine scope, apportion resources and authenticate or validate time interval, budget, impact and risk assumptions prior to the start of the project. In general, funding is a mixture or arrangement of direct, accounted apportionment for reference point services and a fee-for-service payment for others.

3. The project coach model

This particular model makes the assumption that there is a readiness and inclination to share a number of project management procedures and practices across business functions and employs the project office to organize and bring together the communication. Practices which are deemed to be the best are documented, reported, and shared and the performance of the project is monitored dynamically. In this kind of model, the PMO is a perpetual and long-lasting structure that consists of staff and has some management responsibility for all projects.

The following diagram indicates the staffing of the project management office (PMO)

Project Management Office (Function or Service offered)

Staffing

Percentage in terms of time for assignment

Vacancy to be filled

Portfolio Management

Vacancy

1

Policies & Standards (Supervision) and Program Management

Vacancy

1

Project Performance Accountability

Vacancy

1

Project Planning Services

Vacancy

1

Centralized Management Tools

Vacancy

1

Project Records/Artifacts Management

Vacancy

1

Project Management Workforce Assessment

Vacancy

1

Professional Development (Supervision)

Vacancy

1

Program Manager

Vacancy

6

Project Manager

Vacancy

8

Project Support

Vacancy

5

Program Specialist - Acquisition

Vacancy

1

Program Specialist - Risk

Vacancy

1

Program Specialist - BPR

Vacancy

1

Program Specialist -- Communications

Vacancy

1

Program Specialist -- Change Management

Vacancy

1

Program Specialist -- Requirements

Vacancy

Program FTEs

Planned

The following outline shows the roles and responsibilities of the personnel mentioned above:

Program Manager:

i. Regulates and controls the quality of the project, the risks experiences, the scope, and also the time scheduling of the project

ii. Responsible for the everyday tasks and work of the program iii. Outlines and manages program risks

iv. Provide leadership, coordination and facilitation of the team's preparation and implementation of jobs and deliverables

v. Accountability towards the success of the tasks and deliverables expected of the team

vi. Makes certain fittingly skilled program partakers are obtainable when required vii. Formulates and presents program information to suitable levels of management viii. Ensures that the issues within the program are resolved and there is elevation of risks

Chief Information Officer Council (CIOC):

i. Approves funding for PMO Program

ii. Presents program outcomes to main investors and other decision-making organizations iii. Enables resolution problems outside of the program

iv. Approves and sanctions project management strategy and course of action

v. Assesses project performance outcomes

vi. Cultivates and drafts project leadership and commendations vii. Cultivates, evaluates, and remarks on drafts guiding principle viii. Authenticates project performance directly or by use of self-regulating validation and verification and incorporated standard assessment

Organizational Chart with PMO

CIO Council

PMO

Project

Manager

Department Contract Services

1st

Priority

2nd

Priority

The project management office internal organizational structure is shown the by figure detailed above. It imperative to take note that in order to make adjustments to the fluctuating and shifting project management demands, the PMO is organized to leverage together with the available resources for the Departmental Project Manager and therefore, Departmental is represented with the white color while PMO is signified by the blue color. It also influences contract backing when required via the reimbursable contract service and therefore the project management policies are represented with the yellow color in the diagram. In summary, the positions shown above are responsible for the management, coordination and performance of the PMO services listed as:

i. Project management policy