PMO vs Project Manager: Roles, Differences, and How They Work Together

Within an organization, the PMO provides structure and support for project delivery. Its responsibilities are often poorly understood, which can sometimes complicate its relationship with the project manager.

Because the PMO's value is so little known, people sometimes question whether it's needed at all — after all, isn't the project manager already there?

Here's a closer look at the responsibilities of the project manager and the PMO, and the ties between these two key players in a company's transformation.

Who is the PMO?

The adoption of project management methodologies has put the role of the Project Management Office in the spotlight. Within the company, the PMO is the structure or person responsible for coordinating the various projects so they stay aligned with the company's strategy.

For example, when an organization wants to reduce its carbon footprint, it will rely on an internal person or structure to make sure that every project it initiates or leads complies with the requirements of its environmental program. In this case, the PMO facilitates the sharing of resources, tools, methods, and techniques to align projects with that specific organizational goal.

There are several types of PMO, each with different roles and responsibilities.

A company or organization may have an EPMO. Its goal is to align all of the company's programs and projects with its objectives by putting the right governance in place. In the example we just covered, it plays a strategic support role.

But a PMO can also sit within a department or a portfolio. Concretely, a department such as logistics or procurement can have its own PMO to support the department's teams. It then acts as the company's channel for carrying its objectives into the projects the department manages.

Finally, there is the Project Management Office that supports the project team. On the project, it works directly alongside the project manager to establish their processes. It's the one that takes charge of the compliance of the project's documents and processes.

What is the role of the PMO?

The PMO can sit at various levels of the organization's hierarchy. Yet it always has a cross-functional view of the company's projects and portfolios, and holds a strategic position within it.

In the workplace, the PMO's role and responsibilities are rarely explained. As a result, the value of having a PMO in the organization is often misunderstood.

The PMO's mission is to guarantee that projects are operationally and economically aligned with the goals of the company or organization. It provides structure and support in the delivery of the various projects.

Its position also requires it to coordinate projects and, when necessary, prioritize some over others in line with the organization's current and future objectives and commitments. It's also its duty to support the business teams as effectively as possible so they can deliver on the organization's vision.

Finally, by spreading good governance through project management methodology, it becomes the guarantor of the distribution of rules, document templates, procedure manuals, processes, and so on.

What are the differences between a project manager and a PMO?

You may have gathered it already: while the PMO oversees the company's entire project management practice (owning the processes and methodologies in place), the project manager is in charge of organizing the different phases of one particular project (or several).

In most companies, there is no hierarchical relationship between the project manager and the PMO. However, the PMO is often expected to keep a macro view of the work of the organization's various project managers. It has to supervise and control the project portfolio, manage budgets, and allocate the resources each project manager needs so they can focus on the operational side of their role.

Why set up a PMO when you already have a project manager?

The PMO faces some real challenges. One of them is overcoming the obstacles and pushback it encounters within the company. Many people are convinced that hiring a PMO when a project manager is already in place is a waste of the organization's resources.

Yet every organization needs a person or structure with enough distance and a broad enough view to align projects with the organization's strategy. What's more, the PMO is the guarantor of good governance. In that capacity, it distributes the validated processes that give everyone the assurance that projects will run smoothly.

The PMO also adds value to project management through its ability to bring better control over deadlines and budget. It puts key performance indicators in place and tracks them to make sure projects stay healthy. Because at the organization level, depending on the responsibilities assigned to it, the PMO is the guarantor of projects running well and of the balance between quality, time, and cost.

Very often, the project manager doesn't have the PMO's big-picture view — which is exactly why the PMO needs to be there. Who better to track internal changes (mergers, reorganizations, acquisitions, strategic initiatives…) and monitor new opportunities in order to identify the best tools and processes? Who is better placed than the PMO to handle requests from outside the project and spot the need for new skills or new processes?

Moreover, even with a project manager in place, the organization may decide to establish a PMO. Several reasons can drive this strategic choice:

• A change of processes and the need for change management support,
• A new internal organization,
• A new governance model based on clear communication and well-defined responsibilities,
• Establishing and managing compliance with standards,
• A heavy workload for project managers, creating a need for support and structure in project management,
• Risk review and risk management,
• The rollout of new tools, regular reporting, or complex schedules.

In short, the PMO's objectives can overlap with a project manager's. That's notably the case when both are working to deliver projects on time and on budget. It's also the case when they have to report tracking KPIs and progress rates, or in their shared obligation to follow and embed the processes.

However, where the project manager focuses on hitting objectives concretely, on the ground, the PMO must make sure projects stay true to the company's strategy. It takes a step back and plays a harmonizing role. That's what allows it to act as a coach for project managers — standing at their side and helping them.

And it works: a recent study conducted in France showed that with a PMO, projects cost less, are better aligned with company strategy, and succeed more often and faster. Clients, in turn, are more satisfied with productivity, governance, and communication.

To dig deeper, check out our article "Why set up a PMO?"

How do the PMO and the project manager interact?

Between the PMO and the various project managers, communication must be clear and constant. The PMO is meant to be the conductor of the orchestra. It works in synergy with project managers to keep projects consistent and to support them in seeing their projects through smoothly.

The PMO's role isn't set in stone and can vary from one structure to another. Interactions may also vary slightly depending on the type of PMO the organization has. The organization can also decide to evolve its PMO as its needs change.

To go further, take a look at our best practices on how to set up a PMO.

What soft skills does a PMO need to manage the relationship with the project manager?

Within the organization, the PMO carries specific responsibilities. That's why a good PMO must develop a very specific set of skills to carry out their mission:

• Clear, effective communication: to avoid confusion and misperceptions that can cost the project dearly,
• A broad vision: to never lose sight of the project's goal,
• Systematic organization: to structure information and stay effective,
• Strong self-control: to stay calm and make rational decisions without being overwhelmed by emotions or circumstances,
• Critical thinking: to objectively analyze the information received and the facts reported,
• The ability to stay factual and to flag inconsistencies in time,
• Solid diplomacy to manage conflicts and defuse difficult situations one-on-one,
• Intuition: this sixth sense keeps you attentive and alert to inconsistencies, so you can sometimes make decisions based on deep conviction,
• Courage: needed to make tough calls or rein in team members when necessary.

Conclusion

It's now well established that the PMO has a major role to play in implementing project management methodology within organizations. Its work coordinating projects with the organization's strategy is critical.

Even though its responsibilities remain little known compared with Anglo-Saxon models, the trend is toward the PMO role becoming standard across organizations.

That promises more effective projects and greater satisfaction for all stakeholders. Better still, it will improve the relationship between PMOs and project managers — two roles with similar technical skills, but in no way in competition.