Project management

What is a PMO and when should you outsource it?

When a company runs several projects at once, delays and cost overruns stop being isolated cases. A PMO brings order. Here we explain what it is, what types exist and when it makes sense to hire one externally.

Grupo Spectra teamOctober 27, 20266 min read
Equipo revisando el avance de un proyecto en una reunión de gestión

Many projects don't fail for lack of technical capability but for lack of method: no one consolidates progress, changes go uncontrolled and management learns about problems when they are already costing money. That's what a PMO is for.

What is a PMO?

A PMO (Project Management Office) is the area that defines how a company's projects are planned, executed, controlled and reported. It sets the methodology, templates, KPIs and common rules, and gives management a clear view of the status of every project.

The most widely used reference is the PMBOK guide from the Project Management Institute (PMI), which brings together internationally recognized best practices for managing projects.

Types of PMO

Not every PMO has the same level of control. Three types are commonly distinguished:

TypeWhat it doesLevel of control
SupportiveProvides templates, best practices and training to project teams.Low
ControllingRequires a methodology, checks compliance and consolidates progress, cost and risk reports.Medium
DirectiveDirectly manages projects with its own project managers.High

The choice depends on how many projects you have, their size and your team's maturity. Many companies start with a controlling PMO and expand it as the portfolio grows.

Signs that your company needs a PMO

  • Projects often finish late or over budget .
  • Each manager reports in their own way and management has no consolidated view.
  • Scope changes are approved without measuring their impact on cost and schedule.
  • Risks are managed only once they have become problems.
  • You are about to run a large project, a tender or a construction job in a country where you have no team.

In-house or outsourced PMO?

CriterionIn-house PMOOutsourced PMO
Start-up timeMonths: you have to hire and train the teamWeeks: the team already has methodology and tools
CostFixed payroll, even when the project load dropsAdjusts to the project's scope and duration
ExperienceDepends on the people you hireAccumulated experience in projects across sectors
PerspectiveKnows the company culture in depthBrings an independent view to control and audit

Outsourcing makes the most sense when the project start date is close, when the company doesn't have a large enough portfolio to sustain a permanent team, or when it needs independent control for management or investors.

A middle-ground option is to outsource the PMO design and the management of the first projects, then transfer the methodology to your in-house team.

Foreign companies operating in Peru

For a company arriving in the country, the challenge isn't only technical: you need to understand local suppliers, regulations and ways of working. A local PMO works as a partner on the ground: it coordinates suppliers and staff, controls progress and reports to headquarters to international standards.

How we work at Grupo Spectra

We design your PMO or act as your project office using the PMBOKmethodology, from assessment to follow-up. We have managed projects from USD 50,000 to USD 8 million in Peru, Mexico and Colombia. Learn about the service on our page for project management (PMO); and if your company is an obliged entity, also see our guide on the PLAFT system.

Frequently asked questions

About the project management

Quick answers on this topic.

Have a specific question?Write to us and a person from our team will reply.
What does PMO mean?
Project Management Office. It is the area that defines and controls how a company's projects are managed.
What is the PMBOK methodology?
It is the Project Management Institute (PMI) guide that brings together recognized best practices for managing projects: scope, schedule, cost, risk, quality and communications.
How long does it take to set up a PMO?
It depends on the type of PMO and the number of projects. An outsourced PMO can be up and running in a few weeks.
Do you work with foreign companies?
Yes. We are the local partner of foreign companies carrying out projects in Peru.