Consolidated Edison’s Frank La Rocca did such a great job setting up an enterprise PMO to handle a $200 million portfolio that the energy company has asked him to do the same for $2 billion of spend. What made him so successful? La Rocca understood early on that he had to have the portfolio transparency to know what projects were underway and the financial metrics to gauge their performance. He had to make changes to ensure he had the information he needed to make smarter portfolio decisions from selection forward.
“When I joined, when we would do our selection process, it was lists and lists of Excel spreadsheets of projects with a lot of acronyms on it,” La Rocca explained during a recent webinar. “It was very difficult to compare project to project and get an accurate assessment of each individual project and then have a senior team just select the right projects based upon a list of projects so we tried to standardize the whole create, select, plan, manage and evaluate process.”
La Rocca transformed the way the portfolio is built at Con Edison and his changes have resulted in more accurate forecasting and project managers being held more accountable. Rather than waiting until the end of the year and discovering that projects are struggling to perform, a dynamic reallocation process was put in place allowing money to be taken from under-performing projects throughout the year and reallocated to investments which can deliver ROI.
Learn more about steps Frank La Rocca took to build an Enterprise PMO and see the results. Click here to see his presentation “Changing the PMO Status Quo.”