In this module, you will familiarize yourself with:

The PMO 2.0 concept of governance at the project, program and portfolio level by getting a brief overview of the roles, function and main objectives of each governing bodies.





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What is Governance?

Why Governance (2)?

Why Governance (1)?

Why Governance (1)?

Governance comprises the structure, accountabilities, processes, and policies used by an organization to direct and control its activities
to achieve organizational objectives, while maximizing value and minimizing risk.
• It establishes the limits of power, rules of conduct, and protocols that organizations use to manage progress towards the achievement of their strategic goals.
• Specifically, governance consists of decision-making mechanisms and the assignment of decision-making authority


Beyond the establishment and exercise of general governance, there is the need for exercising specifically focused governance components and activities, such as project, program and portfolio governance.
The governance of portfolios, programs and projects is a necessary part of organiszational governance. It gives an organiszation the required internal controls, while externally, it reassures stakeholders that the money being spent is justified.


It is one domain within organizational or corporate governance
and ensures that the organization’s change initiatives support
and achieve the organization’s strategies and objectives.
• It helps “answer the key strategic questions:
• Are we doing the right things?
• Are we doing them the right way?
• Are we realizing the [business] benefits1?

Governance
Why, lien vers diapo 5

Governance

Now, let’s see HOW it works…

Governance
Why, lien vers diapo 5

Project, Program and Portfolio gGovernance framework

Governance Bodies

Key Metrics

Governance Structure



Site Level

A Governance body, in the form of a portfolio committee, will be established for each portfolio level.

P3 Governance Framework - Portfolios
P3 Governance Framework - Portfolios

1. Focuses on Portfolio level decisions, not on project Governance

2. Does not break Delegation of Authority (DOA) nor replace existing processes, but clarifies, applies & includes them

3. Oversees monthly portfolio progress and escalates unresolved issues to upper level committee structure

4. Ensures right mix of projects to satisfy Strategic Plan and local needs (assessing new requests competing with existing ongoing projects)

5. Does the health tracking of ongoing projects

6. Requests arbitration to superior committee structure

7. Provides management committee with appropriate level information (and get feedback)

DUTIES OF THE PORTFOLIO COMMITTEE :

The portfolio committee has several duties,
among them:

P3 Governance Framework - Portfolios
KPI


• Key Performance Indicators are
metrics the governing body may follow during the project, program or portfolio lifetime.
• Planned Value, Return On Investment, Actual Cost are
all project’s KPI that can be used to track and follow progress on project, program or portfolio.



KPIs should contribute to :
Assess value creation vs risks
Assess strategic alignment
Ensure the Portfolio executes a balanced, diversified and optimal mix of projects

KPI
P3 Governance Framework – Portfolio KPIs

Number of KPIs per segment/LOPM :