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Exhibit 8 

– Strategy execution and change management moving towards the future state.
All forms of PMO examined thus far will contribute in varying ways to the execution of strategy and
delivery of results and change, but will not act as the vehicle for doing so. For that purpose, we are of the
belief that yet another type of PMO is needed. One that builds on the logic of Tier-One through Tier-
Three, and is not handicapped by the disadvantages listed in the previous sections of this paper:
Tier-Four PMO: The combination of all the above roles in a Portfolio, Program, and Project
Management Office, PPPMO or P3MO, we will continue to label ‘PMO’ for convenience. This model
has been deployed in various organizations and has performed effectively in being a vehicle for the
execution of strategy and delivery of change. It must possess a highly advanced level of maturity. It needs
to perform multiple roles effectively and in an integrative manner, thereby creating vertical synergies
between the organization's strategy, portfolio, programs, projects, as well as interface with any and all
corporate systems.
 
Exhibit 9 – The role of the Tier-Four Portfolio, Program, and Project Management Office.
Although not explicitly labeled a Tier-Four PMO, the description given by Paul Jones, head of PMO,
Fujitsu UK & I on “The Work of the PMO,” as part of the New York Times interviews series on the PMI
YouTube Channel, is aligned with our conclusion:
A PMO will give you the ability to look across all your projects and programs and give a common
language and a common way of reporting and…judging success or failure. And that enables senior
management to make decisions of whether to stop a project, to continue and spend more money on a
project, [or] to implement change to that project or program. PMOs are sitting at the center of project
delivery; they are the heartbeat of projects and programs.
He added that: “The PMI Pulse of the Profession™ clearly identified investments in project
methodology and standards and investment in the people that deliver them as key differentiators between
high-performing and low performing organizations in terms of project delivery.” This highlights the role
of the PMO as the core manifestation of such investments whereby they would materialize in the form,
proceedings, and role of the PMO. This must be separated from the investments made in individual
portfolios, projects, or programs. Investments in the PMO and its constituents are allocated to project and
program budgets as overheads.
Paul Jones further explains that “PMOs can help in taking the risk out of deliveries by giving the
executive board a view of exactly what is going on across your projects and programs, across your
portfolio and also helping to support project managers in their delivery,” which is again another role that
we believe is key for the execution of strategy: that the PMO supports and takes over delivery of the
projects and programs.
So far we have only addressed one side of the equation: the PMO. The second component that needs to be
addressed is strategy. The body of knowledge around strategy formulation and strategic management is
extensive, encompassing different approaches, different schools, and different ways of addressing the
matter. However, our research and practical experience reveal that strategy can only be implemented
through initiatives that are temporary and deliver a unique set of outcomes. Hence, such initiatives qualify
as projects. Furthermore, sometimes it is better to manage a group of strategic initiatives together, and
hence increase benefits and/or control (and hence programs). All initiatives have an inherent level of risk.
Therefore, project and program management are essential to the execution of strategy, and hence, the only
means of delivering strategic objectives, results, and change is through projects and programs.
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