The Latest Report from House of PMOThe latest Inside PMO Report from the House of PMO focuses on the future of PMO, specifically if the PMO could and should be a business function, much like the finance and HR departments are.

As organisations increasingly use portfolios, programmes and projects as the primary drivers of value creation and organisational success. Organisations recognise that projects are how they achieve their strategic goals, deliver products and services, and adapt to changing market conditions.

The PMO serves as a central hub for project and change management practices, processes, and standards within an organisation. Its primary responsibilities include providing support, guidance, and governance for projects across the organisation. In the emerging project economy, project management becomes a critical competency for organisations and professionals alike and it makes good business sense if there is a permanent business function to oversee the central role of projects in driving value, innovation, and competitive advantage in today’s dynamic business environment.

Is the PMO the missing business function in businesses today?


Inside PMO – The PMO as a Business Function

The concept of a Project Management Office (PMO) remains a topic of ongoing debate, as there is still no universally agreed definition for what constitutes a PMO.

Inside PMO - The PMO as a Business FunctionThis lack of consensus highlights the need for further education and understanding regarding the capabilities and functions of a PMO, as well as how to determine the specific role each PMO should play within an organisation.

To maximize its effectiveness, it is crucial for a PMO to adopt an integrated model that spans across the entire organisation. By incorporating the PMO into the firm’s infrastructure as a default structure and process, it can truly operate as a business function.

While the role of a PMO in strategy formulation is important, a key indicator of its status as a business function lies in its involvement in portfolio definition, encompassing both internal projects and customer projects. However, to operate at a portfolio level, PMO members must continuously upskill themselves. Furthermore, the potential of data analytics should not be overlooked, as it has the power to propel PMOs into a portfolio-level position.

To ensure the PMO’s full effectiveness, the presence of a dedicated PMO Director or Head of P3O reporting directly to the Management Board is crucial. While some organisations have recognised the PMO as a business function, they remain in the minority. The House of PMO plays a vital role in driving the profession forward through education, challenging established norms, and showcasing exemplary practices.

Access the Latest Inside PMO Report


Key Insights


  • There is still no universally agreed definition of what a PMO is – much more education is required on what a PMO can do and how to decide on what each PMO should do.
  • A PMO is more effective with an integrated PMO model across the organisation.
  • The PMO as a business function is achieved when organisations set up their firm infrastructure, and PMO is part of the default structure and process.
  • A key indicator in whether a PMO is seen as a business function is not its role in strategy formulation but its role in portfolio definition – this holds for portfolios of internal projects and those that comprise customer projects.
  • PMO members need to upskill to perform effectively at a portfolio level.
  • Data Analytics has the potential to springboard PMOs into a portfolio-level position.
  • For the PMO to be fully effective, there needs to be a PMO Director/ Head of P3O who reports directly to the Management Board.
  • There are a number of organisations where the PMO has been recognised as a business function, but they are in the minority.
  • There is a role for the House of PMO to continue to drive the profession through education, challenging the status quo and showcasing good practice.


Find out more about the report’s contents from the PMO Conference / London 2023 launch session.

Launch at the PMO Conference