It is challenging to define one factor in the demise of a project. Usually, one bad call or mix-up will lead to another, and it can be like a domino effect until suddenly, the project is behind schedule, over budget, and out of scope. An impact to any of those three project areas: schedule, budget, or scope, will inevitably result in client dissatisfaction and lost company revenue. The Project Management Institute’s (PMI) Pulse of the Profession ™ asserts that improved project management can give companies a competitive advantage in lean times.
The report focuses on the differences between “high performing organizations” and “low performing organizations” with respect to project management. According to PMI, the key to being a high performing organization is to have standardized project management practices, talented staff, and top-down organizational project support. The report also identifies the obvious risks to an organization, should a project fail or underwhelm a client, and the need for training and project management processes within the organization. PMI maintains that organizations can do a few things to minimize the risk of project failure: focus on talent development, standardize project management, and align projects with overall organizational strategy.
It is true that when faced with leaner times, the organizational ability to routinely complete projects on time, in budget, and in scope is truly an asset. References from former projects can be a key player in winning the next project. However, if an organization has experienced some project failures in recent times, are there immediate steps an organization can take to get back on time? On the flip side, if an organization is a higher performer with their projects, how can they maintain that level without spending too much overhead? Certifications and training can be costly and often, the return on investment is not as high as it should be. Employee turnover, selecting the wrong employees to be trained, or unhelpful training techniques for the individual all impact the effectiveness of continuing organizational education.
A key focus when competing for contracts or looking for employment as a project manager or organizational leader is the ability to join standardization and agility. Certifications and accreditations may help land a job or a contract, but without the individual or organizational ability to be agile, they do not translate to project success and client satisfaction. PMI is absolutely correct in the position that standardized project management is key to project success; however, standardized practices without an agile organization can still result in a dissatisfied client and an unhappy team. The process is not and cannot be the project; it has to be a contributing factor to the success of the project.
Organizations that have the ability to bend and flex in order to meet the various project needs are organizations that foster motivated, dedicated, and creative employees. Ideally, the increased scrutiny and care taken on projects during leaner times will actually change company practices and translate to better processes and procedures. Perhaps when forced to do less with more, organizations will understand what it takes to make it as a high performing organization. These are certainly make or break times.
