Why is project management so important to an organisation?
Imagine that you are asked to dive right into 20-ft water without knowing how to swim. Sounds horrifying. Doesn’t it? That’s exactly how taking up projects can be without appropriate management! Project failures can derail the business objectives. This further leads to the deceleration of business growth.
Many people question the need for project management. It can be tempting to save some extra money and overlook project management. But, guess what? This can cost a lot of additional effort and time to get the project completed perfectly.
What sounds better? The success of the project or unnecessary hassle? The prior one. Even though project management can cost a little extra, but, it ensures positive results for your project. But, what exactly is project management? What are the processes involved? Why is the importance of project management stressed so much? Let us answer all your questions.
Project management: An overview
Project management is just considered as organising the tasks, budget management, and scope analysis. But, this is not the case. There is a lot more to it. First and foremost, project management aligns the clients and team and keeps them on the same page. Right from the navigation of risks, planning, creating the goals to the successful project delivery, everything is involved in project management. The person responsible for this is a project manager.
Put down in simple terms, it is defined as the management of resources, skills, tools, and knowledge in the best way to generate successful results. Project management is no less than an asset to boost your business. How is this process carried out?
What are the steps involved in project management?
The lifecycle of a project mainly consists of five phases. It must answer some of the questions mentioned below:
- Which goals need to be accomplished?
- Which results and their reviews are provided to the client?
- Who is the team involved in the process?
- How is the management and approval of every phase carried out?
The following five step project management process is like a roadmap that helps in the accomplishment of project goals. Let’s start discussing them one by one.
This is the beginning stage of the project. Here, a broad view of the project is provided along with its feasibility. It outlines the requirements and goals to be accomplished. In this phase, the stakeholders and the team are included. Further, the team must obtain approvals from the clients.
This phase is the key to how successful the project will be. During the planning process, a blueprint is made which will be followed by everyone. Right from tasks, goals, project implication, budget, timelines and risks everything will be included. It should answer the what, when, how, where, why of the project. The goals so decided should be achievable, realistic, and timely.
Here takes off the project. During this phase, the team must put in their best efforts to make the project a success. Throughout the execution, a lot of things take place simultaneously. And what matters is how well it is managed. The key tasks involved during execution include:
4. Monitor and control:
- Team development
- Task allocation
- Resource provision
- Execution of the plans
- Direction and management by the project manager
- Tracking of tasks
- Status management
- Updating project schedules
- Modification and risk assessments if required
It is the role of project managers to set up the Key Performance Indicators (KPI). Following this, they must ensure that the project meets the KPIs before delivering it to the clients. During this phase, progress and performance are measured. This will be understanding the bottlenecks of the project and improvising them.
5. Project closure:
The last and most important step. This will determine how well the team was able the accomplish the goals. It involves handing over the project to the clients. The project closure will help the team and managers to understand the improvements that can be made in the future.
What is the importance of project management for an organisation?
Still not satisfied with the reasons justifying the need for project management? Here are some of the reasons which will make you consider deploying project management for your business.
1. Strategic project alignment:
Every project and client has some goals. Project management ensures that these goals are accomplished and value is delivered to the clients. The strategic frameworks so created are in alignment with the goals to get the ROI. The business strategy can change through the course of a project. This is where the role of project management gets important. It allows the adaptation of projects with business requirements.
2. Feasible project planning:
You cannot just go about setting up unrealistic goals and worrying about not getting them completed. With project management in hand, you can set realistic expectations around the deliverables, timeline, and budget.
Skilled project managers can effectively tackle all the tasks making the project outcomes achievable in a specified duration. For even better outcomes, the businesses can incorporate project management software. This will allow them to work within reasonable and achievable bounds.
3. Saves money and time:
No matter how financially stable your business is, you always have budget constraints. But, with the right project cost management, you need not to worry about spending extra time on rework. Alongside, you can eliminate any extra expenditure for your project. Further, it allows efficient allocation of resources for maximum utilisation.
4. Quality management:
Projects aren’t just about completion. They are more about what value is delivered to the clients and whether it meets their expectations. A dedicated project management system ensures that the output is tested for quality, ROI, and applicability. It allows the team to the results at every phase of the project to avoid any failures.
5. Risk assessment and management:
Risks are inevitable. But, you must always have a backup plan. It can save you from massive losses and time. During the planning phase, create a robust process for risk management and mitigation. Especially in the case of a complex project, it is a good idea to analyse potential risks beforehand. This will eliminate any future failures.
6. Continuous overview:
How do you check whether the project is going as planned? With project management and software tools, you can easily track the progress. This is critical to get insights into the milestones, assumptions, and project output. Having an overview of the project also makes it easier to understand when it starts deviating from the track. This also allows the team to make effective decisions during the project course.
7. Effective internal communications:
In the case of big projects, the team is divided into departments. This makes it essential that all of them work with each other. Deployment of project management reduces the collaboration complexities. This leads to increased transparency and accountability. You can opt for project management software to easily track and manage the various teams. This will help in effectively completing the tasks well before deadlines.
Best project management software
In addition to project management is the integration of software which makes the complete way easier. You can have everything placed right in front of your eyes, allowing you to make data-driven and smart decisions for the project. Following features for your project management can be interesting:
- Provision of team management under one roof
- Prerequisite tools for your team
- Checking project progression regularly
- Denoting project timeline
- Task allocation to the team
- Reliable project accountability
- Integration with apps
To summarise, if you are planning to take a project on board, ensure that you implement project management for its success. The reasons for the importance of project management are enough to justify its need for every business out there. So, what are you waiting for? Get started right away to deliver successful projects and make your clients satisfied.
Sara Williams is a content writer at PeppyBiz, a platform that enables you to do project planning, scheduling, resource allocation, and change management through project management software.
Key words: Project management, Corporate development, Added value, PM Software