Small businesses and even leading companies across the world are embracing project management. With a visible payoff in terms of cost efficiency, organisational expertise and improved customer satisfaction, more and more companies are investing time, money and resources to build project management expertise.
Being able to deliver the project in a specific time period and within a specified budget is a key determinant for succeeding in the next project.
Project management creates a strategic value chain that can help companies gain an edge over competitors while a disciplined project execution leads to project success which in turn is responsible for the organisation’s success.
Project Management covers the entire aspects of a project – starting from planning, to conceptualisation to a timely and secured delivering.
As per a report by Economist Intelligence, 80% of global executives emphasised that having project management expertise as a core competency helped them to remain competitive even in times of recession.
Read on to learn how project management can add immense value to your small organisation.
Elements and Importance of an effective project management system –
- Risk Management – Each project, big or small, comes with risk factors that vary from project to project. Project management devises a mechanism that diligently plans to reduce or mitigate the occurrence of risks. Companies can anticipate the potential risks, proactively work on them to reduce their impact and ensure a smooth flow of the activities of a project.
- Resource Management – Resources are an integral part of any project. Determining what type of resources are needed and at what point of time is a leading factor for project management. With accessible and easy to use project management software, project managers can allocate tasks to different resources, install necessary software & tools to help find a balance when allocating resources to the appropriate tasks/projects. By bringing professional expertise into the system, proper induction and training of manpower can also be conducted for an optimal utilisation of resources to reach streamlined project efficiency.
- Effective Time Tracking – Nearly every project works on two essential parameters namely ‘time’ and ‘cost’. Time stays at the crux of any project. A timely delivery of the project gives the company a competitive edge. Project collaboration software equip managers with tools for planning and scheduling of activities enabling them to set realistic timelines and understand the factors that drive a project’s success. Effective project management has shrunken the time taken for the delivery of a project.
- Cost Management – Cost is one of the key aspects of project management. Cost decisions include budgeting, estimating, financing, etc. Once the project management team receives an approved budget, they can meticulously distribute the budget for each stage of the project.
With all the above-discussed features, teams can become more productive and achieve business efficiency and effectiveness. The advent of technology has made juggling a bunch of tasks much easier for project managers.
So, let us have a look how a simple project management is valuable to the company’s success-
- Project Management encourages team effort
The process under which a group of people work collectively in order to achieve a common goal is known as team collaboration. When different people work in collaboration, project efficiency boosts resulting from harnessing the best skills from every member of the team. Project management software offers a uniform platform for collaboration and information sharing. With the help of a collaboration software, each member shares their individual contribution in the project process and the team synergy becomes the driving force behind innovations, better problem solving, and improved efficiency in project delivery.
- Project Management promotes innovation and knowledge management
An effective project management offers an excellent platform for the entire company to raise its level of calibre by bringing together multiple expertise into the project – multiplying the chances of achieving innovative solutions. These innovations can be further utilised and used as benchmarks in future projects.
- Project Management improves product and service delivery
Improving your product and service is a constant journey. Every business is always searching for effective ways to bring innovation to its offerings. Besides managing different projects simultaneously, project management expertise can also facilitate in-depth viewing across all projects. Moreover, the entire unit or the entire team of employees gain visibility and accountability. Through project management, the organisation can get key insights on decision-making. Your team will be on the same page and every member will get notified about missing or incorrect deliverables.
- Project Management supports meticulous planning and prioritising
Project planning is crucial for every company. The company cannot directly plunge into execution without proper planning. Diligent planning gives a concrete base and an organised shape to the entire process – starting from budgeting to the proper flow of activities. Moreover, prioritising the project tasks well in advance contribute in timely delivery of the project whilst enabling accurate decision-making. Project management software installed with essential tools can help establish precise planning for the entire project. Proper planning of each aspect of the project gives a fair view, makes activities smooth and hence enhances customer satisfaction.
An excellent example of achieving excellence through project management is the multinational technology and consulting organisation, International Business Machines Corporation (IBM).
IBM’s World Wide Project Management Method (WWPMM) is their internal project management mantra for getting the guidance for defining and planning to control a large number of projects and programs.
Established on a global scale, the project management system provides templates that can be altered in order to meet the specific client or business requirement or as per a specific location.
As a result, they have multiple projects successfully running worldwide.
Project management is an incredibly powerful tool used to achieve a high level of success in strategic organisational initiatives. Effective project management solutions are immensely beneficial to companies when they need to provide a structural basis to complex projects, foresee risks and deliver desired project outputs.
Marketing departments can also benefit greatly from project management because of the nature of work, with it being a largely competitive digital environment. A project manager can arrange reporting, campaign deadlines, etc.
Without project management, an organisation would face be plagued with unclear goals, lack of resources, unreliable planning, risks, quality issues in project delivery, budget constraints/misallocation of budgets. Whereas organised project management enables motivated employees, timely delivery of projects and in the end brings a substantial ROI.
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