Scaling Your PMO: Navigating the Horizontal vs. Vertical Horizons

In the realm of Project Management Offices (PMOs), the decision to scale is often a pivotal moment that can redefine the impact and influence of your organization's project management capabilities. Two primary scaling dimensions, horizontal and vertical, offer distinct pathways – each with its unique challenges and opportunities. Let's explore the dynamics of both and understand why a balanced approach is key to a thriving, well-regarded PMO.

?

Horizontal Scaling: Broadening the Horizon

Definition: Horizontal scaling involves expanding the PMO's reach across programs or departments, diversifying the breadth of work it oversees.

?

Advantages:

- Diverse Portfolio Management: Horizontal scaling allows the PMO to manage a diverse range of projects across various programs and departments, fostering a holistic understanding of organizational needs.

- Enhanced Collaboration: It encourages collaboration and knowledge-sharing across different project teams, promoting a culture of unified project management practices.

?

Challenges:

- Coordination Complexity: Managing a wide range of projects requires robust coordination mechanisms to ensure alignment with organizational goals.

- Resource Allocation: Balancing resources across diverse projects becomes a strategic challenge that demands careful planning and execution.

?

Vertical Scaling: Rising to Greater Heights

Definition: Vertical scaling entails moving up to a divisional, state, or enterprise level, elevating the PMO's seniority and influence.

?

Advantages:

- Increased Influence: Vertical scaling positions the PMO as a strategic entity with the ability to shape organizational policies and decisions.

- Unified Governance: It provides an opportunity for a more standardized approach to project management, fostering consistency and best practices.

?

Challenges:

- Top-Heavy Management: A vertically scaled PMO may risk becoming top-heavy, requiring careful attention to maintain agility and responsiveness.

- Organizational Resistance: As the PMO ascends to a more influential position, it may face resistance from those accustomed to existing power structures.

?

Balancing Act: A Healthy PMO Ecosystem

?Leadership and Sponsorship:

- Successful scaling, whether horizontal or vertical, hinges on visionary leadership and strong sponsorship. Leaders must navigate complexities, communicate effectively, and champion the value proposition of the scaled PMO.

?

Healthy Indicators:

- A well-regarded PMO often showcases the ability to strike a balance between horizontal and vertical scaling.

- An organization demonstrating proficiency in both directions signals a PMO deeply embedded in strategic initiatives.

?

Watch Outs:

- Cultural Adaptation: Scaling efforts should align with the organizational culture. Rapid scaling without cultural adaptation can lead to resistance and inefficiencies.

- Continuous Assessment: Regularly assess the effectiveness of your scaling strategy. Adaptability is crucial, and adjustments may be needed based on evolving organizational needs.

?

Striking the Right Balance for PMO Success

In the ever-evolving landscape of project management, the choice between horizontal and vertical scaling is not binary but a strategic decision guided by organizational goals. A healthy PMO ecosystem acknowledges the merits of both approaches, cultivating a dynamic and adaptable framework that ensures the PMO's enduring relevance and impact. As organizations navigate the scaling journey, let it be a testament to their commitment to excellence in project management practices.

Want to know more: Simplifying Project Management

Need help simplifying project management in your team or business to save time, stress and money reach out to my team here or simply connect with me on LinkedIn.

Want to know more: Subscribe to the AMO newsletter

Subscribe to our monthly newsletter for access to free publications, blogs, events, insights, advice and more. No spam, I promise.

Or check out my popular podcast Agile Ideas - wherever you access podcasts!