The responsibility for leading the PPM function falls to the person responsible for operations management within the firm. In most organizations, this is the individual who brings together the strategies, measurements, and cash management. It may be someone with the title of chief operating officer (COO) or vice president of operations. It also could be the chief executive officer or president. Also playing key roles on the PPM team are the chief financial officer or vice president of finance, and the CPO, or vice president of projects. While the project management office would have the major role in operating and supporting the PPM practices, it would not own the final decision role. In a firm where information technology is the primary business, the chief information officer would certainly have a significant role. Rounding out the PPM team are representatives of the various functional operations and the marketing function.
Here, we are assuming that the functional departments own the critical resources that will be used on projects. Hence, the importance of their participation on the PPM team. In addition, because the management of the projects portfolio will require consideration of future engagements and resource demands, the marketing operation will have to contribute forecasting data to the PPM function.
Note that there are no new functional positions defined for PPM. Rather, we are viewing PPM as a process, to be supported by the PMO and senior personnel already in place in the firm. The PPM process will be added to the responsibilities of these senior members, who will function as a team to manage the projects portfolio under the leadership of the COO (or equivalent). It's not as if these newly defined (or redefined) responsibilities are changed. What is different within the PPM process is that the individual responsibilities for the project portfolio are executed within a structured, integrated PPM team.
A growing popular term for the process of guiding the portfolio is governance. This is especially so in the information technology area, where the term IT governance is becoming synonymous with PPM. Further discussion of organization and roles is presented in Chapter 2.3. IT governance is also addressed in Chapters 5.3 and 6.2.
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What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.