Risk #3: Delivery delays
Why traditional PMO doesn’t work: It over-indexes on status reporting and tracking, failing to draw insights and drive rapid decision-making to ensure the digital transformation stays on time and budget.
PMO tracks progress. TMO drives it. With the right governance and execution, TMO allows organizations to push through the complexity of intersecting workstreams, multiple stakeholders and complicated data dependencies common to large-scale digital transformations. With this approach, the TMO can ignore the noise and focus on what matters: directly tying execution to design and value.
Risk #4: Poor adoption
Why traditional PMO doesn’t work: It underperforms on change management, underestimating the importance of managing the human elements of major changes. In fact, emotions have a huge impact on the benefits realized from a digital transformation program. High levels of fear and frustration can result in a decline in benefits realized by more than 20 percent, while a high level of passion and drive can lead to an increase of 50 percent.6
A well-designed TMO knows human-centric design and journey management are essential. In our experience, if companies must choose between reducing scope or eliminating change management, they are far better off reducing scope. A good TMO brings impacted stakeholders on the change journey so that a well-executed transformation actually delivers the desired business outcomes.
Shifting into transformation gear
In a digital age where transformation is essential to maintain competitiveness, a good TMO capability is muscle that companies need to maximize the value of their transformations. TMO means more than just checking the boxes and managing deadlines—it means shifting your company’s frame of reference completely to one that emphasizes realization of value and business outcomes through transformation.
The end game has shifted—and it will take more than "PMO 101" to play this one well. When undertaking a digital transformation—investing in a TMO ensures that organizations have the best game-plan, the right coaching and the top players needed to get across the goal line.
1 Harvard Business Review, "Digital Transformation Is Not About Technology", March 13, 2019
2 Project Management Institute, “Success in Disruptive Times: Expanding the Value Delivery Landscape to Address the High Cost of Low Performance”, 2018
3 Progress, “Are Businesses Really Digitally Transforming or Living in Digital Denial?”, May 2016
4 Accenture, “Industry X.0 Combine and Conquer: Unlocking the Power of Digital”, 2017
5 Accenture, “Make Your Wise Pivot to the New”, June 14, 2018
6“Big Change, Best Path: Successfully Managing Organizational Change with Wisdom, Analytics and Insight”, Kogan Page, 2015