Redefining Project Management: Embracing Value Delivery Offices for Enhanced Organizational Performance

Abstract

This paper explores the transition from traditional Project Management Offices (PMOs) to Value Delivery Offices (VDOs), marking a shift from a process-centric to a value-centric approach in project management. Utilizing a mixed-methods research approach, the study combines quantitative data analysis with qualitative interviews and case studies from various industries. This study provides clear insights into the benefits and strategic impacts of adopting VDOs. Key findings include the pivotal role of change management in facilitating this transition and the introduction of the Value Delivery Maturity Model (VDMM) to assess value delivery progression. The paper discusses practical implications for organizations, recommends strategies for effective implementation and management of VDOs, and identifies potential challenges and solutions in the transition process. This research contributes to the evolving field of project management by highlighting the significance of value-centric approaches in contemporary business environments.

1. Introduction

In the dynamic landscape of modern project management, a significant evolution is underway, transitioning from the traditional Project Management Office (PMO) model to the innovative Value Delivery Office (VDO) [1]. This shift reflects the growing need for organizations to align projects with strategic objectives and deliver enhanced value to stakeholders [2]. Unlike traditional Project Management Offices (PMOs), which often emphasize process adherence and compliance, VDOs prioritize value creation and delivery, offering a more dynamic and holistic framework for managing projects [3] (Ansari et al., 2015).

In today’s project-oriented organizations, VDOs are particularly relevant as they address critical challenges faced by traditional PMOs. Conventional PMOs often struggle to align project outcomes with broader business values and strategic goals. This misalignment can slow down innovation and reduce responsiveness to market changes. VDOs, by contrast, emphasize strategic alignment, agility, and continuous improvement, ensuring that projects contribute meaningfully to the organization’s overall value proposition [4].

The primary research problem addressed in this study revolves around the limitations of traditional PMOs and the advantages offered by VDOs. While the existing literature highlights the transformative impact of digital technology on project management [5,6,7], there remains a gap in understanding how these innovations can be effectively integrated into project management frameworks to enhance value delivery. This research seeks to fill this gap by examining the VDO model’s potential to improve project management practices (Plantinga et al., 2020) [8].

The research problem at the core of this study revolves around the challenges and limitations inherent in traditional PMOs and how the VDO model proposes to overcome these hurdles. Despite the widespread adoption of PMOs [9], there remains a persistent gap in their ability to align project outcomes with broader business values and strategic goals [10]. Al Blooshi et al. [11] highlight the transformative impact of digital technology in project management, noting how it accelerates delivery, optimizes production, and introduces new operational efficiencies, thereby redefining traditional project management approaches and objectives. This study investigates this disconnect and proposes the VDO as a more effective alternative. The objectives of this research are multifold: (1) to identify and analyze the limitations of traditional PMOs in contemporary project management settings; (2) to explore the concept and operational framework of VDOs, delineating how they differ from and improve upon the PMO model; (3) to examine the role of VDOs in enhancing value creation and delivery within organizations, focusing on their impact on strategic alignment and business agility; (4) to provide empirical evidence and case studies that illustrate the transition process from PMOs to VDOs (Figure 1), highlighting the challenges and successes encountered; and (5) to offer actionable insights and recommendations for organizations considering or currently transitioning to a VDO framework.

The study aims to fulfill five primary objectives, explicitly linked to corresponding research questions and research methods, summarized clearly in

Table 1. Summary of research objectives, questions and corresponding methods.

Research Objective	Research Question(s)	Corresponding Method(s)
1. Identify and analyze the limitations of traditional PMOs.	What are the main limitations of traditional PMOs in contemporary project environments?	Literature Review, Qualitative Interviews
2. Explore the concept and operational framework of VDOs.	What constitutes the Value Delivery Office (VDO) framework, and how does it differ from the PMO model?	Literature Review, Qualitative Interviews, Case Studies
3. Examine the role of VDOs in enhancing value creation and delivery within organizations.	How do VDOs contribute to enhanced value creation and strategic alignment within organizations?	Qualitative Interviews, Quantitative Surveys, Case Studies
4. Provide empirical evidence illustrating the transition from PMOs to VDOs.	What are the practical experiences, successes, and challenges organizations face when transitioning from PMOs to VDOs?	Case Studies, Qualitative Interviews
5. Offer actionable insights and recommendations for transitioning to a VDO framework.	What practical strategies and recommendations can organizations implement when transitioning from PMOs to VDOs?	Mixed-methods analysis (Synthesis of Interviews, Surveys, and Case Studies)

.

The increasing complexity of project environments necessitates a shift from process-driven project governance to value-centric management, ensuring that projects contribute measurable benefits to organizations and stakeholders. While previous studies have explored PMO limitations, there remains a lack of empirical evidence and structured models guiding the transition toward Value Delivery Offices (VDOs). This study aims to bridge this gap by analyzing the functional, structural, and strategic implications of VDO implementation through quantitative analysis, case studies, and the introduction of the “Value Delivery Maturity Model” (VDMM). By integrating insights from recent advancements in Agile methodologies, digital transformation, and value-driven project governance [14,15,16,17], this research provides a practical framework for organizations seeking to enhance project outcomes and strategic alignment. The study contributes to the evolving discourse on project management transformation, offering new perspectives on how VDOs redefine organizational agility, innovation, and business value realization in modern enterprises [18].

This study contributes to the advancement of project management research by introducing a comprehensive framework for VDOs, moving beyond traditional PMO models. Unlike prior studies that primarily focus on governance and process efficiency, this research provides empirical validation, case studies, and a structured Value Delivery Maturity Model (VDMM) to assess and guide organizations in their transition to VDOs. The study’s key contributions include the following: (1) demonstrating how VDOs enhance strategic alignment, agility, and measurable business impact through quantitative and qualitative analysis, (2) integrating hybrid project governance models, combining PMI, PRINCE2, and Agile methodologies into a flexible, value-driven framework, and (3) developing the VDMM, offering a structured approach for organizations to assess value creation maturity. By addressing these gaps in the literature, this research provides both theoretical advancements and practical guidance for organizations seeking to optimize their project management structures for long-term value realization.

2. Research Background

2.1. Overview of Project Management Offices (PMOs) and Their Traditional Role

PMOs have long played a critical role in organizations by standardizing project management practices, ensuring governance, and facilitating strategic alignment [19]. However, the structure and function of PMOs are not uniform across all organizations and are influenced by the chosen project management methodology, such as those defined by the Project Management Institute (PMI), the International Project Management Association (IPMA), PRINCE2, and Agile frameworks [20]. Each of these methodologies brings a unique perspective to PMO structuring: (1) PMI-Based PMOs: Grounded in the Project Management Body of Knowledge (PMBOK^® Guide [13]), these PMOs emphasize process standardization, governance, and the alignment of projects with an organization’s strategic objectives. They focus on best practices, risk management, and performance measurement to ensure efficiency and predictability in project execution. (2) IPMA-Based PMOs: Unlike PMI, which prioritizes process frameworks, the IPMA approach integrates competency-based project management, emphasizing leadership, contextual awareness, and behavioral aspects. These PMOs adopt a more dynamic role in capability development, project governance, and stakeholder management. (3) PRINCE2-Based PMOs: PRINCE2 is a process-driven methodology that structures projects into defined stages with clear roles and responsibilities. PMOs under this framework focus on controlled project execution through rigorous documentation, stage-gate reviews, and outcome-driven management. (4) Agile PMOs: With the increasing adoption of Agile methodologies, many organizations have transitioned to Agile PMOs, which emphasize adaptability, iterative project cycles, and stakeholder collaboration. These PMOs integrate frameworks such as Scrum, SAFe, and Lean, enabling rapid response to market changes while maintaining alignment with organizational objectives.

PMOs are established to provide a standardized approach to project management, offering guidance, governance, standardized processes, and best practices. This has become widely seen as an important part of organizational structure which helps improvement and promotion of project management practices [20]; however, in recent decades, many experts in project management have become aware of the limitations and restrictions of this unit in organizations [21]. PMOs serve as a centralized unit responsible for overseeing the planning, execution, and delivery of projects, ensuring alignment with organizational goals and objectives. Common problems include taking longer than expected, permanent budget overruns, payments not received, too many amendments, and overtime [22].

The traditional role of PMOs often encompasses a broad range of functions, including resource allocation, schedule management, budget oversight, and quality assurance [23]. Fey and Kock [24] found that innovative resilience behavior is crucial for project success, especially under adverse conditions, as it enables teams to identify and correct course deviations, a capability that becomes increasingly important as the level of adversity rises. They act as repositories of documentation, methodologies, and standards, playing a crucial role in knowledge sharing and management. For example, some PMOs may put more emphasis on monitoring and controlling of projects while others may focus on innovation and agility [25]. PMOs provide a framework for project managers and teams to operate within, offering tools, techniques, and metrics to enhance efficiency and effectiveness.

However, the focus of traditional PMOs has predominantly been on compliance, control, and adherence to established processes. This approach, while ensuring consistency and risk mitigation, has often led to rigidity that can impede adaptability and innovation. Focusing too much on processes and standards may neglect value delivery and strategic alignment, which are critical in today’s rapidly changing business environment. Traditional PMOs often face challenges related to lack of transparency and open communication which can also lead to lack of effectiveness [26].

This overview sets the stage for understanding the evolution of project management offices and the emergence of VDOs as a response to the changing demands and complexities of modern project environments. The VDO is completely different to the traditional PMO model because its emphasis is on providing value to the organizations and their stakeholders (Davies, 2004) [27,28].

2.2. Introduction to the Concept of the Value Delivery Office (VDO) and Its Emergence

Organizational capabilities depend on knowledge gained from learning, which can be routine or innovative [28]. In response to the evolving needs of modern business environments, the concept of the VDO has emerged as a compelling alternative to traditional PMOs. The VDO framework represents a paradigm shift from process-centric to value-centric project management. While PMOs have focused predominantly on adherence to processes, methodologies, and project delivery timelines, VDOs prioritize the realization and delivery of value to stakeholders, aligning projects more closely with the strategic objectives of the organization. The VDO’s main concern is to deliver value to the organization by making sure that the project outcomes and results are aligned with strategic and business objectives [29,30]. Khalife et al. [16] emphasize the critical role of establishing a customized Value Attributes List (VAL) as a foundation for value delivery in construction projects, advocating for a methodical approach to project planning that prioritizes stakeholder-focused value assessment [16].

VDOs emerged because traditional PMOs often struggle to encourage innovation and quickly respond to market changes. VDOs address these gaps by fostering a culture of strategic alignment, agility, and continuous improvement. They are designed to not only oversee project execution but also ensure that projects contribute meaningfully to the business’ overall value proposition. This involves a more dynamic approach to project management, where decision-making is guided by value optimization rather than just schedule and budget adherence.

VDOs integrate principles of agile management, business analysis, and strategic planning into their operational model. They emphasize collaboration across different business units, encourage innovation, and facilitate rapid adaptation to changing market conditions. The core objective of a VDO is to ensure that every project undertaken is directly contributing to the business’s strategic goals, whether through enhancing customer satisfaction, driving growth, or improving operational efficiency.

The emergence of VDOs marks a significant step towards more holistic and adaptive project management practices. By focusing on value delivery as the primary measure of project success, VDOs offer a more flexible and results-oriented approach that is better suited to the dynamic and complex nature of today’s business challenges [31].

2.3. Gaps and Limitations in Existing Research

While the literature provides substantial knowledge on PMOs and value management, several gaps remain. First, there is a limited understanding of how PMOs can evolve to encompass a more comprehensive value-delivery role. Current PMO models primarily focus on governance and control, with insufficient emphasis on continuous value optimization. Second, the integration of value management practices into PMO functions is often superficial, lacking robust methodologies for consistent value assessment and enhancement. Lastly, the dynamic nature of contemporary projects necessitates a more flexible and adaptive framework that traditional PMOs may not sufficiently provide.

The identified gaps in the literature justify the need for a new concept like VDOs. VDOs aim to bridge the gap between traditional PMO functions and the evolving demands of value-centric project environments. By incorporating systematic value management practices and focusing on continuous value delivery, VDOs can enhance project outcomes and stakeholder satisfaction [31].

3. Theoretical Framework

The public sector is witnessing a significant shift in project delivery methods, where collaborative arrangements and lean management practices are increasingly being adopted to drive value generation and improve project performance (Tillmann et al., 2022) [32]. The transition from traditional PMOs to VDOs aligns with performance-based management principles, including Pay-for-Performance (P4P) models. P4P frameworks emphasize outcome-driven compensation structures, where financial incentives are tied to achieving specific performance metrics rather than merely completing tasks or following processes (Sefton and Tierney, 2023) [33]. Similarly, VDOs shift project governance from compliance-based oversight to value-driven execution, ensuring that project success is measured in terms of strategic impact, stakeholder satisfaction, and tangible business outcomes rather than rigid adherence to predefined methodologies. By integrating performance-based KPIs and continuous value assessment, VDOs reinforce the principles of P4P by aligning project incentives with actual business value creation, making organizations more responsive to market dynamics, innovation, and customer-centric goals. This alignment underscores how value realization in project management is no longer just about process efficiency but about delivering measurable impact, mirroring the fundamental objectives of P4P compensation frameworks.

3.1. Exploring Theories and Models of Value Creation

The concept of value creation serves as a fundamental underpinning for the transition from PMOs to VDOs. This shift necessitates a deep understanding of various value creation theories and models, which provide a multifaceted perspective on what constitutes value in a business context. These theories encompass a range of dimensions, including economic, functional, social, perceived, cultural, personal, strategic, and intrinsic values, each contributing uniquely to the understanding and implementation of VDOs. For example, green buildings optimize site potential, energy use, water efficiency, product selection, indoor environmental quality, and operational and maintenance practices to reduce environmental impact [34].

• Economic Value: This aspect of value creation focuses on the tangible, monetary benefits generated by projects. Economic value theory emphasizes measurable outcomes like return on investment (ROI), cost savings, and revenue enhancement, which are traditional metrics of project success [35].
• Functional Value: This pertains to the practical and utilitarian aspects of project outcomes. Functional value is measured in terms of the utility, quality, and efficiency that projects deliver, contributing to the operational effectiveness of an organization.
• Social Value: This dimension addresses the impact of projects on society and communities. Social value creation involves considerations like corporate social responsibility (CSR), ethical practices, and community engagement, reflecting a broader societal impact beyond the organization’s immediate objectives [36].
• Perceived Value: This concept relates to stakeholders’ perceptions of the value delivered by projects. Perceived value is subjective and can significantly influence stakeholder satisfaction and loyalty [37]. It underscores the importance of aligning project outcomes with stakeholder expectations and experiences.
• Cultural Value: This encompasses the values, beliefs, and norms influenced by organizational culture. Projects aligned with cultural values foster a sense of belonging and purpose among team members, enhancing motivation and engagement [38].
• Personal Value: Personal value refers to the individual benefits and satisfaction derived by stakeholders, including employees, customers, and other partners [39]. It highlights the importance of addressing individual needs and preferences in project management.
• Strategic Value: Strategic value involves aligning projects with the long-term goals and vision of the organization [40]. It ensures that project outcomes contribute to the broader strategic objectives, facilitating sustainable growth and competitive advantage.
• Intrinsic Value: Intrinsic value refers to the inherent worth of project outcomes, independent of external measures [41]. This includes aspects like innovation, knowledge creation, and skill development, which may not have immediate tangible benefits but are crucial for long-term organizational resilience.
• Sustainable Value: This value refers to the creation of value through practices that ensure long-term benefits for both the organization and society. It emphasizes a balance between economic growth and the environmental and social aspects of operations [42]. This approach integrates principles of sustainability into value creation, considering factors like environmental stewardship, social responsibility, and economic viability. Sustainable value is about creating a positive impact that lasts beyond immediate gains, ensuring that the organization’s activities contribute to a healthier environment and society, while also being economically profitable.

  Table 2. Summary of the various theories and models of value creation. (Adapted from [12,13]) (Riis et al., 2019).

  Value Type	Description
  Economic	Focuses on the monetary aspects of value, such as cost-benefit analysis, ROI, and financial gains.
  Functional	Relates to the practical and utilitarian benefits of a product or service, like usability and efficiency.
  Social	Encompasses the social aspects of value, including community benefits, social responsibility, and reputation.
  Perceived	Involves the customer’s or stakeholder’s perception of value, which can influence their decision-making and satisfaction.
  Cultural	Pertains to value derived from cultural significance, heritage, or alignment with cultural norms and values.
  Personal	Refers to individual personal preferences, experiences, and emotional connections that create value.
  Strategic	Involves long-term planning and strategic benefits that align with organizational goals and objectives.
  Intrinsic	Relates to the inherent or self-evident value of something, often tied to ethical, moral, or philosophical beliefs.
  Sustainable	Balances economic success with environmental and social responsibility, aiming for long-term benefits and positive societal impact.

  summarizes the various theories and models of value creation.

3.2. How Value Creation Theories Underpin the Transition from PMOs to VDOs

Karasu et al. [17] discuss the interplay between Integrated Project Delivery (IPD) and Building Information Modeling (BIM) as essential collaborative concepts in the architecture, engineering, and construction sectors, fostering advanced value creation and supporting the shift towards more integrated and effective project management practices [17]. The transition from traditional PMOs to VDOs is deeply rooted in the expanded understanding of value creation as encapsulated by the aforementioned theories. This transition represents a fundamental shift in the approach to project management, with each value creation theory offering a unique lens through which the role and impact of VDOs can be understood and appreciated.

• Economic and Functional Value: The emphasis on economic and functional value in VDOs aligns projects more directly with tangible business outcomes. Unlike PMOs, where the focus may be predominantly on adherence to process and budget, VDOs prioritize projects based on their potential to drive economic growth and functional efficiency, ensuring a more direct correlation between project execution and business performance.
• Social and Cultural Value: The consideration of social and cultural values in VDOs reflects a broader understanding of a project’s impact. VDOs extend the scope of project management to include societal benefits and alignment with organizational culture, thus fostering projects that not only benefit the business but also resonate with wider community values and internal organizational ethos.
• Perceived and Personal Value: By recognizing perceived and personal value, VDOs ensure that projects are closely aligned with stakeholder expectations and individual needs. This focus enhances stakeholder engagement and satisfaction, a crucial aspect often overlooked in traditional PMO settings, where the emphasis might be more on meeting predefined metrics than on stakeholder-centric outcomes.
• Strategic and Intrinsic Value: The integration of strategic and intrinsic value in the VDO framework ensures that projects are not just aligned with immediate business needs but also contribute to the long-term strategic goals and intrinsic worth of the organization. This approach facilitates innovation and long-term sustainability, moving beyond the often short-term, task-oriented focus of conventional PMOs.

The transition from PMOs to VDOs can be seen as a response to the limitations of a purely process-driven approach, moving towards a more holistic, value-oriented model. This shift is underpinned by a comprehensive understanding of value creation, encompassing economic, functional, social, perceived, cultural, personal, strategic, and intrinsic dimensions. VDOs, therefore, represent a more agile, responsive, and stakeholder-focused approach to project management, equipped to navigate the complexities of the modern business landscape and drive sustainable organizational success.

4. Research Methodology

Malvik et al. [15] emphasize the synergy between Target Value Delivery and Opportunity Management, demonstrating how these methodologies collectively enhance value in projects by focusing on maximizing operational value and fostering innovation within project budgets (Malvik et al., 2021) [15]. More worryingly, managerial focus on project failures serves to mystify such complexities (Sage et al., 2014) [43]. A 2023 study underscores the importance of integrating knowledge management processes with dynamic and operational capabilities across project phases to enhance competitive advantage and efficiency in organizational project delivery (Salwan et al., 2023) [44]. The methodology employed in this study is designed to comprehensively analyze the transition from PMOs to VDOs, utilizing a mixed-methods approach that combines both qualitative and quantitative research techniques. This approach is selected to provide a holistic view of the subject matter, enabling an in-depth exploration of the complexities involved in this transition.

Qualitative Research: The qualitative aspect of the research primarily involves case studies and interviews. Case studies of organizations that have transitioned from PMOs to VDOs are examined to understand the practical implications, challenges, and outcomes of this shift. In-depth interviews with project management professionals, organizational leaders, and other stakeholders provide insights into the experiences, perceptions, and attitudes towards the adoption of VDOs. This qualitative approach allows for a detailed exploration of the nuances and context-specific factors influencing the transition.

Quantitative Research: The quantitative component includes surveys and data analysis. Surveys are conducted with a wide range of organizations to gather empirical data on the prevalence, effectiveness, and impact of VDOs compared to traditional PMOs. Statistical analysis of these data helps in quantifying trends, relationships, and differences, providing a solid empirical foundation to support the qualitative findings.

Integrative Approach: Using both qualitative and quantitative methods provides a clearer and deeper understanding of the shift from PMOs to VDOs. While qualitative data offer depth and context, quantitative data provide breadth and generalizability. This combination ensures that the study captures both the detailed experiences of individual organizations and the broader trends observable across different sectors.

The research design and approach are structured to capture the multifaceted nature of the transition to VDOs, ensuring that the study is grounded in both theoretical understanding and empirical evidence. This methodology provides a balanced perspective, essential for drawing meaningful conclusions and practical recommendations for organizations considering or undergoing this transition (Bhattacharjee et al., 2023) [45].

4.1. Data Collection Methods and Analysis Techniques

In this study, a variety of data collection methods and analysis techniques are employed to ensure a thorough examination of the transition from PMOs to VDOs. These methods are designed to gather both depth and breadth of information, facilitating comprehensive analysis.

4.1.1. Data Collection Methods

Qualitative Data Collection

Case Studies: A multiple-case study approach was adopted to explore real-world PMO-to-VDO transformations. The selected cases include organizations from diverse industries, ensuring variability in governance structures, project complexity, and strategic alignment. Each case study involved the following:

• Document Analysis: Reviewing organizational policies, historical project reports, and VDO implementation roadmaps.
• Observational Research: Examining meeting records and value-delivery tracking systems.
• Performance Evaluation: Analyzing pre- and post-transition project outcomes.

Semi-Structured Interviews: To capture insights from key stakeholders, 20 semi-structured interviews were conducted with the following:

• Project Managers and PMO Leaders: Providing perspectives on governance, reporting structures, and strategic planning.
• Senior Executives: Offering insights into the organizational benefits and challenges of shifting to VDOs.
• Operational Staff: Assessing changes in project execution, collaboration, and performance measurement.

A thematic analysis was performed on the qualitative data, ensuring patterns and relationships were systematically categorized.

Quantitative Data Collection

Surveys: A structured survey was distributed to 120 project-based organizations across different industries. The survey aimed to quantify the impact of VDO implementation on the following:

• Project efficiency (measured by budget adherence and schedule compliance).
• Stakeholder satisfaction (assessed using Likert-scale feedback).
• Value realization (using ROI and performance-based KPIs).

The surveys include questions about the structure, performance, and impact of PMOs and VDOs, capturing broad trends and statistical data. The survey design ensures that responses can be analyzed using various statistical techniques to quantify the effectiveness of VDOs compared to traditional PMOs.

The structured survey was carefully developed to ensure validity and reliability. The initial set of survey questions was derived from an extensive review of the existing literature on PMOs, VDOs, and organizational value delivery practices. To ensure robustness, a two-phase validation process was adopted. First, a pilot test was conducted with a small representative group of 15 experts from industry and academia to evaluate clarity, relevance, and comprehensiveness. The feedback from this pilot was used to refine the questions, ensuring that each item was clear, unbiased, and directly relevant to the research objectives. Subsequently, a Delphi method-based validation involving two rounds of reviews was carried out with a panel of 10 experts. This iterative feedback process led to further refinement and consensus on key survey questions, enhancing the instrument’s reliability and relevance.

Regarding sample size justification, a targeted sample size of 120 respondents was selected based on recommendations from methodological guidelines in mixed-methods research [6], ensuring a statistically significant representation across various industries. The sample size was also designed to ensure an acceptable margin of error (±8%) at a 95% confidence level, thus balancing research rigor with practical feasibility in data collection.

Sampling Strategy

Purposive Sampling: For the qualitative component, organizations that have undergone the transition from PMOs to VDOs are purposefully selected to ensure that the case studies and interviews provide rich, relevant data. This approach allows for the selection of cases that are particularly informative and exemplify diverse experiences with VDOs.

Stratified Random Sampling: For the quantitative component, a stratified random sampling technique is used to ensure a representative sample of organizations across different industries and regions. This method helps to capture the variability in the adoption and performance of VDOs, providing a robust basis for statistical analysis.

4.1.2. Analysis Techniques

Qualitative Analysis

To capture real-world insights into VDO implementation, the study explores three case studies from organizations in construction, IT services, and finance, each undergoing the transition from traditional PMOs to VDOs. These case studies were selected using purposive sampling, ensuring industry diversity and different levels of project complexity. Additionally, 20 semi-structured interviews were conducted with the following:

• Eight Project Managers—To understand project-level execution challenges.
• Six Senior Executives—To explore strategic decision-making and governance shifts.
• Six Operational Staff Members—To assess workflow changes and adaptation to VDO structures.

Interviews were transcribed and analyzed using thematic coding to identify key patterns. Selected direct quotes from participants provide contextual evidence of emerging themes, for example:

“Our previous PMO structure was too rigid. With the VDO model, we now have greater flexibility to align projects with real business needs.”

(Senior Project Manager, Construction Firm.)

“The biggest challenge was the mindset shift—moving from process adherence to value measurement.”

(Executive Director, IT Services.)

These qualitative findings informed the quantitative phase, ensuring that key themes were tested on a larger scale.

Descriptive Statistics: Descriptive statistics are used to summarize the survey data, providing an overview of the prevalence and characteristics of VDOs across the sample.

Inferential Statistics: Inferential statistical techniques, such as correlation analysis and regression analysis, are employed to examine relationships between variables and to test hypotheses about the impact of VDOs on organizational performance.

Integrative Approach

Triangulation: To enhance the validity and reliability of the study, a triangulation approach was applied, integrating three data sources [46]: qualitative interviews, case study analysis, and quantitative survey results. Methodological triangulation ensures that findings are not solely dependent on one data type, reducing bias and increasing credibility. In this study, the following were used:

• Qualitative data (interviews and case studies) provided in-depth insight into the organizational shift from PMOs to VDOs.
• Quantitative survey data validated qualitative themes by measuring scalability, impact, and statistical significance.
• Document analysis (internal project reports, financial data, and performance dashboards) cross-checked reported findings with actual organizational records.

By integrating these sources, triangulation strengthens the reliability of the results, ensuring a comprehensive and well-rounded understanding of VDO effectiveness.

4.1.3. Ensuring Validity and Reliability

Several measures are taken to ensure the validity and reliability of the findings:

• Pilot Testing: The survey instrument is pilot-tested with a small sample of respondents to ensure the clarity and relevance of the questions. Adjustments are made based on feedback to improve the instrument’s validity.
• Inter-Coder Reliability: Multiple coders are used in the thematic analysis of qualitative data to enhance reliability. Inter-coder reliability is assessed to ensure consistency in the coding process.
• Member Checking: Participants in the qualitative study are given the opportunity to review and confirm the accuracy of the transcriptions and interpretations of their interviews, ensuring the credibility of the findings.

By employing a mixed-methods approach with rigorous data collection and analysis techniques, this study provides a comprehensive and credible examination of the transition from PMOs to VDOs, offering valuable insights and practical recommendations for organizations considering or undergoing this transition.

5. Findings and Discussions

This section of the findings elaborates on the distinct organizational structure of VDOs, emphasizing their integrated approach, specialized units, and focus on value streams. It highlights how these structural elements contribute to more effective and agile project management.

5.1. Key Findings Related to the Organizational Structure of Value Delivery Offices (VDOs)

The study’s investigation into the organizational structure of VDOs revealed several key findings that build upon and extend the existing literature and methodologies, such as those outlined by the Project Management Institute (PMI). These findings not only corroborate established principles but also provide new insights into how VDOs differ from traditional PMOs in terms of structure, roles, and functions, ultimately contributing to more effective project management and value delivery.

• Integrated Organizational Structure: One of the most significant findings is that VDOs adopt a more integrated organizational structure compared to the often-siloed structure of traditional PMOs. This aligns with PMI’s emphasis on strategic alignment and cross-functional collaboration. This integrated structure allows VDOs to enhance agility and responsiveness to market dynamics [12].
• Centers of Excellence (CoEs): The establishment of specialized CoEs within VDOs emerged as a critical structural innovation. These CoEs—focused on areas such as Innovation, Business Analysis, and Agile Project Management—serve as hubs of expertise, providing guidance, best practices, and support to project teams. This finding reinforces PMI’s advocacy for knowledge management and continuous improvement but adds depth by illustrating how CoEs are specifically tailored to address the unique challenges of value-driven project management. For example:

  ○

  Innovation Center of Excellence: This CoE nurtures innovative ideas and approaches, ensuring that projects contribute to the organization’s innovative capabilities. This aligns with the recent literature on innovation management in project contexts [47].

  ○

  Business Analysis Center of Excellence: This unit offers expertise in analyzing business needs and ensuring that project outcomes align with these needs, addressing a gap often observed in traditional PMOs [48].

  ○

  Agile PMO Unit: Dedicated to implementing and promoting agile methodologies, this CoE enhances flexibility and responsiveness, reflecting the growing emphasis on agility in project management [49].

• Retention of Operational PMO Functions: While VDOs emphasize value delivery and strategic alignment, they often retain certain operational aspects of traditional PMOs. This hybrid approach ensures that projects adhere to established standards and methodologies while incorporating agile and innovative practices. This finding aligns with PMI’s recognition of the need for balance between structure and flexibility but provides new insights into how VDOs achieve this balance in practice.
• Focus on Value Streams: A defining characteristic of VDOs is their emphasis on value streams rather than merely project outputs. This approach ensures that projects contribute significantly to the organization’s value chain, enhancing overall business performance. This finding resonates with PMI’s Value Delivery Framework but extends it by demonstrating how VDOs operationalize value streams through specific structural and procedural adaptations.
• Contribution to Existing Knowledge: These findings collectively indicate a fundamental shift in the organizational structure and approach of VDOs compared to traditional PMOs. While the existing literature and methodologies, such as those from PMI, have highlighted the importance of strategic alignment, agility, and value delivery, this study provides empirical evidence of how these principles are implemented in practice. Specifically, the study contributes to the literature by the following means: (1) Demonstrating how VDOs operationalize cross-functional integration and strategic alignment in ways that go beyond traditional PMO structures. (2) Highlighting the role of specialized CoEs in fostering innovation, business analysis, and agile practices within a value-driven framework. (3) Illustrating how VDOs balance operational rigor with strategic flexibility, addressing a key challenge identified in both academic and practitioner literature. (4) Providing a detailed understanding of how value streams are prioritized and managed within VDOs, offering actionable insights for organizations seeking to enhance their project management practices.
• Operational and Traditional PMO Units: While emphasizing value delivery and strategic alignment, VDOs often retain certain aspects of traditional PMOs, especially in handling operational aspects of project management [50]. These units ensure that projects adhere to established standards and methodologies while also incorporating the agile and innovative practices endorsed by VDOs.
• Emphasis on Value Streams: VDOs are characterized by their focus on value streams rather than just project outputs [51]. This approach ensures that projects are not only completed efficiently but also contribute significantly to the organization’s value chain, enhancing overall business performance.

By adopting a more integrated, value-focused, and agile structure, VDOs are better equipped to meet the demands of contemporary project management. These findings not only validate existing theories and methodologies but also offer practical guidance for organizations transitioning to a VDO framework, thereby bridging the gap between theory and practice.

5.2. Role of Change Management in Transitioning from PMO to VDO

The transition from traditional PMOs to VDOs is not merely a structural or procedural change, but a significant organizational shift that requires effective “change management”. The findings of this study underscore the critical role of change management in facilitating this transition. Key aspects of this role include the following:

• Facilitating Cultural Shift: One of the primary roles of change management in the transition to VDOs is to facilitate a cultural shift within the organization. Moving from a PMO to a VDO often requires changes in mindset, attitudes, and behaviors, particularly in terms of prioritizing value delivery over traditional project metrics. Change management initiatives help in cultivating a culture that embraces innovation, agility, and continuous improvement, which are essential for the success of VDOs.
• Stakeholder Engagement and Communication: Effective communication and engagement strategies are vital in managing the transition. Change management involves keeping all stakeholders informed about the reasons for the transition, the benefits of VDOs, and the impact on their roles and responsibilities. Regular communication, workshops, and training sessions help in aligning stakeholders with the new approach and in addressing any concerns or resistance.
• Managing Transition Process: Change management plays a pivotal role in planning and overseeing the transition process. This includes setting realistic timelines, defining milestones, and establishing metrics to measure the progress of the transition. It also involves identifying and mitigating risks associated with the change, ensuring a smooth and orderly shift from PMO to VDO.
• Training and Skill Development: The study highlights the importance of training and skill development as part of change management. As VDOs often require new skills and competencies, particularly in areas like agile methodologies, business analysis, and innovation management, providing targeted training programs is crucial for equipping employees with the necessary tools to thrive in a VDO environment.
• Continuous Improvement and Feedback Loops: Change management in the context of VDOs is an ongoing process. Establishing feedback mechanisms to continuously gather insights from employees and stakeholders about the transition is essential. This feedback is used to make iterative improvements so that the VDO remains aligned with organizational goals and responsive to evolving project management needs.

Change management is a cornerstone of the successful transition from PMOs to VDOs (as shown in

Table 3. Role of change management in VDOs [52,53].

Change Management Strategies	Impact on VDOs	Examples/Evidence
Stakeholder Engagement	Enhances buy-in and support for VDO initiatives	Case study of a tech company’s VDO rollout
Communication Planning	Facilitates clearer understanding of VDO objectives	Survey results showing improved alignment
Training and Development	Builds capability for VDO-related tasks and roles	Implementation of VDO training programs
Resistance Management	Reduces barriers to change and promotes adaptability	Example of handling change resistance
Feedback and Continuous Improvement	Allows for refinement of VDO processes and strategies	Feedback loop incorporated into VDO process

). It encompasses a comprehensive set of strategies and practices aimed at facilitating cultural change, engaging stakeholders, developing skills, and promoting continuous improvement, all of which are crucial for realizing the full potential of VDOs.

5.3. Linking Results to Literature Review and Theoretical Framework

The findings of this study are based upon the existing literature while introducing new insights that extend the theoretical understanding of PMOs and VDOs. While previous research has explored the transition from process-oriented to value-driven project governance, this study provides empirical validation and a structured approach to VDO implementation, filling a key gap in the literature. Unlike existing models that primarily focus on strategic alignment, this research demonstrates how VDOs operationalize value delivery through adaptive governance, hybrid methodologies, and performance-based decision-making. By introducing the VDMM, this study offers a framework for assessing the evolution from traditional PMOs to fully integrated VDOs, a concept not previously explored in depth. Additionally, while past studies have discussed the limitations of traditional PMOs in fostering innovation, this research substantiates these claims with quantitative data and case studies, proving that organizations achieve measurable improvements in efficiency, stakeholder satisfaction, and strategic impact through VDO adoption. The integration of agile, lean, and value-stream governance into VDO models represents a departure from rigid, compliance-focused PMO structures, reinforcing the necessity of flexible, results-oriented project governance in modern organizations. This study, therefore, moves beyond confirming existing theories by offering a practical, structured, and data-driven approach to VDO adoption, bridging the gap between theoretical models and real-world implementation.

5.4. Methodological Foundations and Implications for Practice

The research is grounded in established project management methodologies, adapted to support VDO implementation. These include the following: (1) Agile Methodologies: Used to enhance flexibility and stakeholder engagement [17]. (2) Lean Principles: Applied to improve efficiency and eliminate non-value-adding processes [15]. (3) PMBOK Framework: Utilized to ensure structured governance and best practices in project execution [54].

Implications for Practice: The study provides a comprehensive guide for organizations aiming to shift from PMOs to VDOs. Key recommendations include the following: (1) Organizational Mindset Shift: Encouraging a culture of innovation and agility [42]. (2) Stakeholder Engagement Strategies: Establishing clear communication and involvement frameworks [55]. (3) Investment in Training and Development: Ensuring teams possess the necessary skills to manage VDOs effectively [56]. (4) Revised Performance Metrics: Moving beyond time and budget constraints to assess value delivery impact.

5.5. Alignment of Findings with Research Objectives

This section consolidates the findings of the study in direct relation to the four research objectives, ensuring alignment with the exploratory mixed-methods approach. The study integrates qualitative insights from case studies and interviews with quantitative validation through survey data analysis, using triangulation to enhance reliability.

5.5.1. Objective 1: Understanding the Challenges in PMOs That Necessitate a Shift to VDOs

Findings from qualitative interviews (n = 20) and case studies (n = 3) reveal that traditional PMOs face the following challenges:

• Rigid Governance Structures—PMOs focus heavily on compliance and process adherence, limiting adaptability. One project manager stated, “Our PMO was compliance-focused, leaving little room for adapting to changing business needs.”
• Limited Value Measurement—Traditional PMOs prioritize schedule and budget adherence but fail to measure the strategic impact of projects.
• Slow Decision-Making—Hierarchical decision-making slows down response times, reducing the ability to pivot based on emerging opportunities.
• Survey data (n = 120) confirmed these issues, with 78% of respondents agreeing that PMOs do not effectively measure project value beyond cost and time constraints.

5.5.2. Objective 2: Identifying Key Characteristics of an Effective VDO

A thematic analysis of interview responses identified the following as essential characteristics of a successful VDO:

• Value-Driven Performance Metrics—VDOs prioritize business impact over process compliance.
• Decentralized Governance—Decision-making is distributed across Value Delivery Teams (VDTs) for greater agility.
• Strategic Business Integration—Unlike PMOs, VDOs align projects directly with enterprise value goals.
• Hybrid Governance Models—Organizations blend PMI, PRINCE2, and Agile methodologies to create flexible project structures.
• Survey validation showed that 81% of organizations reported improved strategic alignment after implementing a VDO.

5.5.3. Objective 3: Assessing the Impact of VDOs on Project Performance

Regression analysis of survey data (n = 120) demonstrated statistically significant improvements in key performance indicators post-VDO adoption:

• Stakeholder Satisfaction increased by 24%.
• Project Success Rate improved by 18%.
• Innovation Adoption increased by 29%, reflecting better adaptability to market changes.
• Qualitative feedback further reinforced these results, with executives stating that VDOs facilitated faster decision-making and better resource optimization.

5.5.4. Objective 4: Introducing the VDMM for Guiding VDO Adoption

To provide a structured framework for VDO implementation, this study introduces the VDMM, categorizing organizations into five maturity levels:

• Value Seeker—No formalized value measurement exists.
• Initiator—VDO structures exist, but metrics remain process-focused.
• Optimizer—Organizations align project goals with value-based performance metrics.
• Innovator—Advanced analytics and AI-driven performance assessments support project governance.
• Leader—A fully embedded VDO framework continuously evolves based on real-time value tracking.
• Survey analysis revealed that only 12% of organizations have reached the “Leader” maturity level, underscoring the need for more structured adoption strategies.

5.6. Explanation of the Value Delivery Maturity Model

A significant finding of this study is the conceptualization and application of the VDMM in the context of transitioning from PMOs to VDOs. The VDMM provides a framework for assessing and guiding an organization’s progression towards optimal value delivery. This model comprises five distinct stages, each representing a different level of maturity in terms of value delivery capabilities. These stages are as follows:

• Value Seeker: This is the initial stage where organizations begin to recognize the importance of value delivery beyond traditional project management metrics. In this phase, there is an emerging awareness of the need for change, but structured approaches to value delivery are not yet fully established [57]. Organizations at this stage are exploring opportunities and starting to align their project management practices with broader business objectives.
• Value Initiator: At this stage, organizations start to implement basic frameworks for value delivery. There is a shift from traditional project management to more value-oriented practices, although these might still be in their infancy [58]. Initiatives at this stage often include setting up basic structures for VDOs and beginning to integrate value considerations into project selection and execution.
• Value Optimizer: Organizations in the Value Optimizer stage have established and are refining their value delivery processes [59]. There is a more systematic approach to integrating value into all project management activities, with established metrics for assessing value delivery. This stage is characterized by enhanced coordination between different units within the VDO and the broader organization.
• Value Innovator: This advanced stage is marked by a proactive approach to value creation. Organizations at this level not only deliver value efficiently but also innovate ways to enhance value delivery. This involves leveraging new technologies, methodologies, and strategic thinking to continuously improve and expand value delivery capabilities.
• Value Leader: The final stage of the VDMM is where organizations become leaders in value delivery. Here, value-oriented practices are deeply ingrained in the organizational culture and strategy [14]. These organizations are recognized for their exceptional ability to consistently deliver high value, set trends in project management, and influence best practices in their industry or sector.

The VDMM serves as a roadmap for organizations transitioning from PMOs to VDOs, offering a clear pathway for developing and enhancing value delivery capabilities (

Table 4. Stages of the value delivery maturity model (adapted from [13,60]).

Stage	Description	Key Characteristics	Examples
Initiation	Early development of VDO	Ad-hoc practices, low integration with business strategy	Small startup with informal VDO
Inspiration	Structuring of VDO processes	Formalizing procedures, increasing awareness and engagement	Growing business establishing VDO
Ideation	Established VDO framework	Clear roles and responsibilities, alignment with strategy	Established company with defined VDO roles
Implementation	Advanced VDO implementation	Performance metrics, continuous improvement processes in place	Large corporation with performance tracking for VDO
Optimization	Continuous refinement and adaptation	Proactive value creation, strategic innovation through VDO	Industry-leading firms with adaptive VDO strategies

). Understanding and navigating these stages allows organizations to strategically plan their transition, ensuring continuous improvement and alignment with the overarching goal of maximizing value delivery.

5.7. Practical Implications for Organizations Considering the Shift to VDOs

The shift from traditional PMOs to VDOs carries significant practical implications for organizations. This transition, as illuminated by the findings of this study, is not just a change in the project management structure but also a transformative step in how organizations conceive and deliver value. The following are key practical implications for organizations considering this shift:

• Organizational Culture and Mindset Change: One of the foremost implications is the need for a cultural and mindset shift within the organization [61]. Transitioning to a VDO requires moving beyond a focus on process compliance and project completion metrics to a broader emphasis on value creation and delivery. This shift requires organizations to adopt a culture focused on innovation, flexibility, and alignment with strategic goals.
• Enhanced Stakeholder Engagement: Adopting a VDO approach demands a more robust engagement with stakeholders [56]. Organizations must ensure that they understand and align with stakeholder needs and expectations, as the success of VDOs is heavily reliant on delivering tangible value to these stakeholders. This involves a more dynamic and interactive relationship with clients, partners, and internal teams.
• Resource Allocation and Training: The transition to VDOs often requires reallocation of resources and significant investment in training and development. Organizations need to equip their teams with the necessary skills and knowledge in areas such as agile methodologies, value assessment, and strategic project management. This investment is crucial for building the capabilities required to operate effectively in a VDO framework.
• Revised Metrics and Performance Indicators: Moving to a VDO model also implies a need to revise existing project management metrics and performance indicators. Success in a VDO is measured not just by project completion within time and budget but also by the value delivered to the organization and its stakeholders. This requires the development of new metrics that can effectively capture and quantify value delivery.
• Structural and Operational Adjustments: Organizations need to be prepared for structural and operational adjustments. This includes setting up new units or modifying existing ones, establishing Centers of Excellence for innovation and agile practices, and integrating these units seamlessly within the organization. The structural change also involves redefining roles and responsibilities to align with the VDO model [62].
• Long-term Strategic Focus: The shift to a VDO demands a long-term strategic focus, aligning project management with the organization’s strategic goals. Projects under a VDO are selected and managed based on their contribution to strategic objectives, requiring a more forward-looking and strategic approach to project management [54].

The transition to VDOs represents a significant change in how organizations approach project management. While it offers the potential for enhanced value delivery and alignment with strategic objectives, it also demands careful consideration of these practical implications to ensure a successful and sustainable transition (

Table 5. Practical implications for organizations shifting to VDOs (author’s own adaptation based on [12,63]).

Implication for Organizations	Strategies/Recommendations
Need for Cultural Change	Develop a change management plan; promote a culture of innovation and agility.
Enhanced Stakeholder Engagement	Implement stakeholder mapping and regular communication channels.
Requirement for Skilled Personnel	Invest in training programs; recruit or develop talent with VDO-specific skills.
Integration of Technology	Adopt technology platforms that support VDO operations and reporting.
Alignment with Business Strategy	Ensure VDO objectives are aligned with the overall business strategy.
Managing Organizational Resistance	Develop a comprehensive plan to address and mitigate resistance to change.
Continuous Improvement and Adaptation	Establish mechanisms for ongoing feedback, learning, and adaptation.
Measuring and Reporting Value Delivery	Define clear metrics for value delivery and establish regular reporting processes.
Continuous Improvement and Adaptation	Establish mechanisms for ongoing feedback, learning, and adaptation.

).

5.8. Recommendations for Implementing and Managing VDOs Effectively

Based on the findings of this study, several recommendations can be made for organizations looking to implement and manage VDOs effectively. These recommendations are aimed at ensuring that the transition to a VDO is not only successful but also sustainable in the long term:

• Strategic Alignment and Planning: Begin by ensuring that the VDO’s objectives are tightly aligned with the organization’s overall strategic goals. Develop a clear plan that outlines how the VDO will operate within the organization, including its role, responsibilities, and the value it is expected to deliver.
• Leadership and Governance: Establish strong leadership and governance structures for the VDO. This includes appointing leaders who understand both the traditional aspects of project management and the innovative aspects of value delivery. Leadership should also be responsible for setting the vision for the VDO and ensuring that it is effectively communicated and embraced throughout the organization.
• Stakeholder Involvement and Communication: Engage stakeholders early and continuously throughout the transition process. Keep communication channels open to ensure that feedback is received and acted upon. This involvement helps in managing expectations and mitigating resistance to change.
• Tailored Training and Development Programs: Invest in comprehensive training and development programs to equip staff with the necessary skills and knowledge. Focus on areas such as value assessment, agile methodologies, and strategic thinking. Ensure that the training is tailored to meet the specific needs of the VDO and its team members.
• Robust Change Management Processes: Implement robust change management processes to guide the transition. This includes managing the cultural shift, addressing resistance, and ensuring that the organization is ready to adopt new ways of working. Change management should be seen as an ongoing process, not a one-time event.
• Performance Measurement and Continuous Improvement: Develop new metrics and key performance indicators (KPIs) that are aligned with value delivery. Regularly review and adjust these metrics to ensure they remain relevant and effectively measure the performance of the VDO. Foster a culture of continuous improvement where feedback is actively sought and used to refine processes and approaches.
• Agile and Flexible Operational Models: Adopt an agile and flexible operational model within the VDO. This allows for quick adaptation to changes in the business environment and ensures that the VDO remains responsive to the evolving needs of the organization and its stakeholders.
• Leverage Technology and Innovation: Utilize technology and innovation to enhance the capabilities of the VDO. This includes adopting project management tools, data analytics, and other technological solutions that aid in value assessment and delivery.

As illustrated in Figure 2, following these recommendations, organizations can effectively navigate the complexities of implementing and managing a VDO, ensuring that they are well-positioned to realize the benefits of this transformative approach to project management.

5.9. Strategies for Overcoming Resistance and Challenges During the Transition

Transitioning from traditional PMOs to VDOs can encounter resistance and face various challenges. Addressing these effectively is crucial for a successful transition. The study identified several strategies that can help organizations navigate these difficulties:

• Effective Communication: Clear and consistent communication is vital in managing resistance to change (Sexton, 2014) [64]. Articulate the benefits of transitioning to a VDO, and address concerns transparently. Use a variety of communication channels to reach all levels of the organization and ensure that the message is understood and embraced.
• Inclusive Stakeholder Engagement: Involve stakeholders from all levels of the organization in the transition process (Choi et al., 2023) [55]. This inclusion helps in understanding their perspectives and addressing their concerns directly. Stakeholder engagement should be seen as an ongoing process, not just a one-time consultation.
• Leadership Support and Advocacy: Strong support and advocacy from the leadership are critical in overcoming resistance (Prabhu, 2017) [65]. Leaders should champion the transition, demonstrating commitment and setting an example for the rest of the organization. Their active involvement can inspire confidence and motivate others to embrace the change.
• Phased Implementation Approach: Implement the VDO in phases rather than all at once. A phased approach allows for gradual adaptation and provides opportunities to adjust the strategy based on feedback and initial outcomes. It also helps in managing the scale and complexity of the change (Grocholski, 2022) [66].
• Employee Empowerment and Participation: Empower employees by involving them in decision-making processes related to the transition (Gomez et al., 2015) [67]. Encourage their participation in VDO-related initiatives and provide opportunities for them to contribute ideas. This empowerment can foster a sense of ownership and reduce resistance.
• Training and Skill Development: Offer comprehensive training programs to develop the skills and knowledge required in a VDO environment. Focus on areas where employees might feel uncertain or unprepared. Effective training can alleviate fears and build confidence in the new system.
• Recognize and Address Cultural Barriers: Acknowledge and address any cultural barriers that might impede the transition. This includes adjusting organizational norms, values, and behaviors to align with the principles of a VDO. Creating a culture that is open to change is essential for overcoming resistance.
• Monitoring and Feedback Mechanisms: Establish mechanisms for monitoring the transition process and gathering feedback. Regularly assess progress, identify areas of resistance, and adjust strategies accordingly. Actively seeking and responding to feedback demonstrates a commitment to addressing concerns and improving the process.

Figure 3 shows strategies for overcoming resistance and challenges during the transition. By employing these strategies, organizations can effectively manage and overcome resistance, ensuring a smoother and more successful transition from PMOs to VDOs. These approaches emphasize the importance of communication, stakeholder engagement, leadership support, and cultural adaptation in navigating the challenges of change.

5.10. Strategic Implications of Observed Improvements

The observed improvements, particularly increased stakeholder satisfaction and higher project success rates, have profound strategic implications for organizations adopting a VDO model. Enhanced stakeholder satisfaction leads to stronger and more sustainable relationships with key stakeholders, resulting in improved organizational reputation, trust, and market competitiveness. Over time, this fosters customer and partner loyalty, enabling sustained business growth and enhanced market positioning. Furthermore, increased project success rates directly improve resource efficiency, reducing costs associated with delays, rework, and resource misallocation. This allows organizations to strategically reinvest resources into innovation, product development, and market expansion activities, fostering long-term competitive advantage. Thus, adopting a VDO framework not only improves immediate project outcomes but also positions organizations strategically for sustained success and agility in a competitive marketplace.

5.11. Implementation Challenges and Industry-Specific Adaptations for VDMM

While the Value Delivery Maturity Model (VDMM) provides a structured pathway toward enhanced organizational value delivery, implementing the model presents several practical challenges. Firstly, the cultural shift required for adopting a value-centric mindset can face resistance, especially in traditional, highly regulated, or hierarchical industries such as construction, manufacturing, or government organizations. Organizations in these sectors might struggle with the flexibility required by higher maturity levels, necessitating deliberate change management initiatives, continuous stakeholder engagement, and robust leadership support.

Secondly, data availability and quality can pose significant challenges. Accurate measurement of value delivery demands reliable and consistent data collection systems, which might not be readily available in smaller enterprises or in industries less mature in data governance practices. Thus, building strong data infrastructure and capabilities must precede or accompany VDMM adoption, especially in sectors such as healthcare, construction, and public services where data standardization may lag behind.

Thirdly, industry-specific characteristics necessitate model adaptations. For instance, in technology-driven sectors such as IT and software development, the maturity levels of VDMM could incorporate more agile-specific criteria emphasizing iterative delivery, rapid prototyping, and flexibility in performance metrics. Conversely, for capital-intensive industries like infrastructure and energy, the model might require clearer integration with existing rigorous compliance and risk-management frameworks, placing greater emphasis on the alignment between compliance, project governance, and value creation.

To address these challenges and enable practical implementation across various industries, organizations are encouraged to perform preliminary assessments of their internal readiness, adapt VDMM criteria to align with sector-specific operational realities, and integrate the VDMM within existing project governance frameworks rather than creating entirely new processes. Such adaptations enhance the model’s practicality, encouraging broader adoption and successful operationalization across diverse organizational contexts.

6. Limitations and Future Research Directions

While this study provides valuable insights into the transition from PMOs to VDOs, several limitations should be acknowledged. First, empirical validation is based on a limited sample size of organizations, which may not fully capture the diversity of industry-specific challenges in implementing VDOs. Future research should expand the dataset by incorporating longitudinal studies and cross-sector analyses to validate findings across a broader organizational spectrum.

Second, the study primarily focuses on the structural and strategic transformation of PMOs into VDOs, with limited examination of cultural and behavioral aspects. As organizational culture plays a crucial role in value-driven project governance, future research should explore change management strategies, leadership dynamics, and employee adaptability in the context of VDO adoption.

Additionally, while this research introduces the VDMM as a framework for assessing VDO progression, further empirical testing is needed to refine its applicability in different business environments. Future studies could enhance this model by integrating real-time performance analytics, AI-driven project insights, and advanced predictive modeling to better optimize value delivery practices.

Lastly, this study does not deeply explore the financial implications of transitioning to a VDO framework, such as cost-benefit analyses, investment risks, and return on investment (ROI) metrics. Future research should investigate the economic feasibility and long-term financial sustainability of VDOs, helping organizations quantify the direct financial impact of adopting a value-driven project management approach.

By addressing these limitations and exploring these future directions, researchers can further develop the theoretical and practical understanding of VDOs, ensuring that organizations can effectively transition toward more adaptive and value-centric project management frameworks.

7. Conclusions

The comprehensive investigation into the shift from PMOs to VDOs underscores a critical evolution in the field of project management, aimed at bridging the gap between traditional project delivery methods and the imperative for value-centric approaches in modern organizational contexts. Through extensive mixed-methods research design, this study has meticulously analyzed the emergence of VDOs as a strategic response to the inherent limitations of PMOs, emphasizing the alignment of project outcomes with overarching business strategies and stakeholder value expectations.

Our findings delineate a clear theoretical framework for understanding value creation in the context of project management, integrating economic, functional, social, and strategic dimensions of value. This framework not only redefines the objectives and benchmarks of project success but also facilitates deeper engagement with the diverse values that stakeholders associate with project outcomes. Furthermore, the organizational structure and operational dynamics of VDOs, characterized by their emphasis on value streams and Centers of Excellence, represent a significant departure from the traditional PMO model. This restructuring is instrumental in fostering a culture of agility, innovation, and continuous improvement, pivotal for sustaining competitive advantage in rapidly evolving market environments.

The role of change management in this transition emerges as a pivotal area of focus, encompassing cultural shifts, stakeholder engagement, and the adoption of agile methodologies. The study highlights the criticality of managing these changes effectively, proposing a VDMM as a guiding framework for organizations navigating the transition to VDOs. This model offers a structured approach to assessing and enhancing an organization’s capacity for value delivery, outlining a pathway from initial value seeking to leadership in value innovation.

Practical implications of this research extend to the recalibration of project management training and education, advocating for a curriculum that mirrors the shift towards value-driven project management practices. The necessity for project managers and teams to develop competencies in strategic alignment, agile methodologies, and stakeholder engagement is more pronounced than ever, reflecting the evolving demands of the project management profession.

In conclusion, the transition from PMOs to VDOs signifies a paradigmatic shift towards a more strategic, value-oriented project management practice. This study contributes to the burgeoning discourse on value delivery in project management, offering empirical insights and practical frameworks that can assist organizations in navigating this transition. However, the journey towards fully realizing the potential of VDOs is fraught with challenges, necessitating ongoing research into their implementation, impact, and optimization across diverse organizational settings. The future of project management lies in its ability to adapt to these changes, fostering an environment where value creation and delivery are paramount.

This study highlights the critical shift from traditional Project Management Offices (PMOs) to VDOs, emphasizing the need for organizations to transition toward value-driven project governance. By integrating insights from empirical analysis, case studies, and theoretical frameworks, the research demonstrates how VDOs enhance strategic alignment, stakeholder engagement, and business agility, addressing key limitations of conventional PMO structures. The introduction of the VDMM further provides a structured approach for organizations to assess and improve their value-driven project management capabilities.

The findings indicate that organizations adopting VDOs benefit from enhanced project outcomes, particularly in stakeholder satisfaction, financial performance, and adaptability to changing market conditions. Unlike traditional PMOs, which often prioritize process compliance and governance, VDOs emphasize business impact, customer value, and continuous innovation. This research provides a foundational framework for companies looking to redefine project management success metrics beyond schedule and budget adherence, focusing instead on measurable value creation.

Despite these contributions, the study acknowledges several limitations, including the need for broader industry validation, deeper cultural analysis, and financial impact assessments. Future research should further explore the economic feasibility of VDO implementation, as well as the role of emerging technologies, AI-driven analytics, and real-time performance tracking in optimizing value delivery frameworks.

In practical terms, this research serves as a guide for organizations seeking to transition toward value-centric project management models, providing actionable insights into structural transformation, hybrid governance models, and outcome-based performance assessment. As project management continues to evolve, embracing VDO principles will be essential for businesses striving to maximize efficiency, foster innovation, and maintain a competitive edge in a rapidly changing environment.

By expanding the conversation around value-driven project governance, this study contributes to the ongoing evolution of project management methodologies, bridging the gap between theoretical advancements and real-world implementation. Organizations that successfully integrate VDO principles will be well-positioned to navigate complexity, drive strategic growth, and achieve sustainable long-term success.