The debate between heavyweight vs. light weight PMO is less important than the freedom/authority and reporting given to Program Managers. Often the structure of the PMO is done only to facilitate span of control and less by decision on design of the PMO.
The structuring of projects into logical blocks or programs is an interesting way to control span of control without having a heavyweight PMO (This provides accountability with program managers and also the required span of control). Delivering a KRA definition of Program Managers is critical to success of the organization.
See article from where I picked the picture above for the reference.
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