The Project Management Office: Kaiser Permanente Hospitals
The hospital is recognized as one of the leading health care providers and it is also a not for profit health plans. Kiser Permanente Hospitals was founded in 1945. It has coverage of almost eight states as well as the District of Columbia, serving over 11.3 million members. It is also recognized as one the leading healthcare providers in the United States of America. The care for the patients and members is centered on their whole health, and it is guided by the team of personal specialists, physicians, and the caregivers (Aubry, Hobbs, & Thuillier, 2007). Its world-class medical team is supported by the industry’s leading technological advances, tool, and equipment of health care and promotion, diseases prevention methods, delivery of attention as well as chronic diseases management.
- Providing world class heath care services
- Offering affordable health care services
- Improving the communities’ and members’ health
- To be total partners that is trusted in providing the best health care
- To collaborate with the community to assist them to thrive
- To create the healthiest communities in the nation
Kaiser Permanente strives to achieve clinical quality by providing the best possible health care as well as services from the best specialists. Therefore, they organize the treatment option, expand healthcare centers, and use the best technology in the nation (Project Management Institute [Company], 2008). All these are done to make people’s lives better.
Structure and Governance
Kaiser Permanente provides care in eight regions in the United States of America. The hospital’s structure was adopted in 1955 by Kaiser Permanente leaders and physicians who happen to be among the great individual members.
Although all the structures are cooperative and interdependent by extension, each of the Kaiser Permanente hospitals has its governance and management structure. A lot of nonprofit organizations are affiliated with the organization and registered under it. Kaiser Foundation health plan and Kaiser Foundation hospitals don’t have members with the power to elect or appoint board members. It, therefore, means that the boards nominate and appoints new members. After serving since 2002, the Chief Executive Officer and Chairman George Halvorson retired in December 2013 (Kochan, Eaton, McKersier, & Adler, 2013). Halvorson was replaced by Bernard J. Tyson on November 5, 2012, after appointed by the board of directors. He has served as the chairman and the chief executive officer up to date.
The regional entity of the organization has two types of organizations. The types of organizations include;
- Permanente Medical Groups that is owned by physicians. In each respective region, they make arrangements and provide for medical care for the Kaiser foundation health plan members. Kaiser Foundation health plan funds all of the medical groups’ activities. These medical teams are for-profit professional cooperation or partnerships. The first one was founded in 1948 in northern California (Paxton, Inacio, Khatod, & Namba, 2010). After three years in the organization, Kaiser Doctors become permanent stakeholders.
- In order to offer prepaid health insurance and health plans, the Kaiser Foundation health plans work with employees and employers as well as the individual’s members. These health plans are not-for-profit (Paxton et al., 2010). It provides infrastructure and also an investment in the Kaiser Foundation hospitals. To the medical groups, it offers tax exemptions.
Kaiser Foundation hospitals have outpatient facilities in Kaiser Permanente regions as well as operating medical centers in the Oregon, California and Hawaii states. These foundations are not for profit. Therefore, they rely on the Kaiser Foundation health plans for investments and funding. These organizations offer facilities and infrastructure for the medical groups that are for profit.
Kaiser Permanente has administration throughout the eight states. It consists of one parent and five subordinate health plans entities, nine separate, one hospital entity as well as medical groups.
Project Management Office
When establishing a project management office, the first step that needs to be considered is to determine the needs of the organization. The steps of establishing a PMO is put into measures that are project, program and the portfolio. The project’s charter, the projects plan, breakdown of work schedule as well as cost estimate will be captured and are examples of PMI. Define and implement an end to end process of project management that is flexible. Also, it is required to have the necessary project tools for reporting and planning (Shenhar & Dvir, 1996). Through formal coaching, training, and mentoring, PMO leaders should devote their resources to develop project managers that are competent.
Since not all undertakings will require the similar level of expertise or experience, the PMO should have a flexible staffing function. The hiring of new contractors, external services, internal and external hires. The PMO will demonstrate improvement in the project delivery once the best practice basics have been followed (Whippy et al., 2011). The office will gain credibility automatically. To mitigate the business risk through portfolio management and program management, consider broadening the scope of the PMO beyond the project management.
Determining the Organization’s Maturity Level
Sometimes PMO has been established to some level. The recognition of the problem in the organization and how it affects the progress of the business is the first step to portfolio management maturity.
Reactive project management stage
It is the level where the methods are not documented. The schedules, budgets, and delivery reports are not controlled. To track the project progress at this crucial stage, PMO should be able to establish techniques for the project time tracking, schedule, assignments of resources, oversight, project tracking and sometimes using an automated dashboard of the project.
At this stage, the organization has established the original project process and has defined it. However, they are not constantly in use. The company has adopted repeatable processes. At this juncture, the project is at risk of exceeding its budget and scheduled time. The team of the project finds it difficult to repeat the previous successes. This stage is established but the PMO ought to automate the risk, issue tracking, tracking, project requirements, and management of the resources as well as budgeting.
At this stage, the PMO shows commitment to standardized project management and they are proactive. Project management officers use documents that are of a standard to the project and use the norm delivery process. They consistently use these means for the project implementation in the whole organization (Crawford, Skeath, & Whippy, 2013). It is a growth stage, and the project management officers can focus on automating other roles including business processes modeling as well as financial management.
Measured project management
Key performance indicators that are quantitative have been established for the success of the project, and they regularly monitored. At this stage, the PMO is free to become more innovative as controllable and predictable project delivery has been archived.
The organizations that have been established for so long can quickly improve the project management. These are mature enterprises. At this phase the focus of the PMO should be collaboration through the social media and blogs, automating the vendor management, and communicating through texts, videos or mobile phones (Crawford, Skeath, & Whippy, 2013). At this phase, the PMOs ought to create prognostic study dashboards as well as reports and manage the process of the business.
PMO has three stages that are typically involved. In order to ensure that their PMOs master the current stage basics and employ the best practice, the C-level and PMOs Directors play a significant role (Hobbs, Aubry, & Thuillier, 2008). The PMO should be demonstrating results before it moves to the next stage from the tactical stage to the strategic stage and from the projects of departments to the initiative of the department.
- Project management stage
Project management phase is where the project manager is mentoring, coaching, and training has a lot of focus. Risks and metrics, scope, resources, budgets, deliverables and scheduling are giving most attention at this stage.
- Program management stage
In order to coordinate the IT projects and the business, high-level communications programs and senior governance programs are continuously implemented at this phase (Burke, 2013). This stage also constitutes coordination of delivery of the project, comprehensive project planning, results measurement, and change and risk management
- Portfolio management stage
At this juncture, knowledge management and the benefits realization management are consistently given a focus. The PMO manages advantages and risks, overall investments, portfolio scope definition, business environment change adaptation as well as portfolio monitoring (Lavoie-Tremblay et al., 2012). The leaders of the program have a significant duty of matching the program evolution to the needs of the firm (Burke, 2013). Similar disadvantages are realized whenever the program is lagging too far behind or getting too far out in front of the enterprise.
Why do you need a PMO?
- To grow into other regions of the nation
- Differences in culture and experience
- Geographical location
- Poor project performances across all the health centers and facilities.
Project Management Office will help the organization to improve processes, reduce costs, and eliminate waste. It will lead to improvement in the patient care and service levels to the associates, physicians, patients and the public at large.
Why you should include process involvement in a PMO
- To ensure sustainability hinges on process improvement
- To ensure the process fits the project
- Process improvement activities foster projects
- Projects foster process improvement activities
What type of PMO do you need?
Different organizations require various levels of portfolio management. It is important that a company analyzes itself before deciding on what portfolio management level to use (Crawford & Cabanis-Brewin, 2011). In determining this, it is significant to know which PMI process would benefit the business more.
Aubry, M., Hobbs, B., & Thuillier, D. (2007). A new framework for understanding organisational project management through the PMO. International journal of project management, 25(4), 328-336.
Burke, R. (2013). Project management: planning and control techniques. New Jersey, USA.
Crawford, B., Skeath, M., & Whippy, A. (2013). Multifocal clinical performance improvement across 21 hospitals. Journal for Healthcare Quality.
Crawford, J. K., & Cabanis-Brewin, J. (2011). The strategic project office. CRC Press.
Hobbs, B., Aubry, M., & Thuillier, D. (2008). The project management office as an organisational innovation. International Journal of Project Management, 26(5), 547-555.
Kochan, T. A., Eaton, A. E., McKersie, R. B., & Adler, P. S. (2013). Healing together: The labor-management partnership at Kaiser Permanente. Cornell University Press.
Lavoie-Tremblay, M., Bonneville-Roussy, A., Richer, M. C., Aubry, M., Vezina, M., & Deme, M. (2012). Project management office in health care: A key strategy to support evidence-based practice change. The health care manager, 31(2), 154-165.
Paxton, E. W., Inacio, M. C., Khatod, M., Yue, E. J., & Namba, R. S. (2010). Kaiser Permanente national total joint replacement registry: Aligning operations with information technology. Clinical Orthopaedics and Related Research®, 468(10), 2646-2663.
Project Management Institute [Company]. (2008). A guide to the project management body of knowledge. Project management institute.
Shenhar, A. J., & Dvir, D. (1996). Toward a typological theory of project management. Research policy, 25(4), 607-632.
Whippy, A., Skeath, M., Crawford, B., Adams, C., Marelich, G., Alamshahi, M., & Borbon, J. (2011). Kaiser Permanente’s performance improvement system, part 3: multisite improvements in care for patients with sepsis. The Joint Commission Journal on Quality and Patient Safety, 37(11), 483-AP3.