Why businesses need project management tools
Project management solutions aren’t purely for large enterprises, small businesses need tools to be more efficient. However, they don't always have the skills and resources to implement project, programme and portfolio management methodologies.
Project management offices (PMOs) remain more popular among larger firms, according to a study by PMSolutions, 95% of large firms have dedicated PMOs whilst only 75% of small businesses had dedicated PMOs.
It also showed that PMOs delivered a 33% improvement in projects delivered under budget, 27% improvement in customer satisfaction, 25% increase in productivity, and 25% reduction in failed projects.
Cross-functional teams have become the norm, they improve collaboration across the organisation and ultimately promote innovative ideas. They also ensure that programmes are fully aligned with the strategy and deliver the expected benefits.
More importantly, these teams will guarantee that the project teams have the required tools, processes and competencies to deliver projects on time and within budget.
Strategic planning is a critical activity, but many business leaders fail to produce actionable strategic plans that address the business goals. Most believe that strategic planning is a waste of time, so it's crucial for PMO leaders to ensure they have effective strategic plans in place to prove their value and role.
PMO leaders must adapt to keep pace with digital transformation, it’s redefining all markets and industries. According to Gartner, IT leaders have reported a dramatic increase in both risk tolerance and willingness to change, and have shifted their focus accordingly from risk avoidance to time to market.
It says Zombie project management offices (PMOs) will be slain, traditional PPM roles and structures have to change. PPM leaders must embrace these changes if they are to establish organisational agility and sustain change at a rate that can keep up with digital disruption.
Gartner predicts that by 2021, 50% of large organizations will have integrated disparate business and IT PMOs into enterprise EPMO hubs to enable digital transformation.
PMO is normally tasked to solve specific business challenges like digital transformation, expansion initiatives, budget cuts or restructuring. The PMO focuses on bridging the gap between a company’s strategic vision and implementation thereof. This can only be achieved through processes and operational improvements that will ultimately result in cost savings.
The PMOs purpose is simple, to bring together a team of competent leaders across various businesses units and functions to solve specific challenges or to drive an initiative. They need to do this by using effective processes and finally, produce exceptional results.
The PMO provides structure and brings standardisation across the organisation, it delivers economies of scale by creating efficient systems and processes. Furthermore, it provides an objective and single version of truth from which to base decisions.
To eliminate any misunderstandings later, the participants need to understand the commitment required. Ensure everyone is on the same page, this includes team members as well as the executive team. Successful PMOs have clear goals, timelines, deliverables and outcomes.
PMOs require executive buy-in and engagement to ensure higher chances of success. These initiatives need to be a priority for the CxO’s. They don't need to be actively involved, but they must be visible at key milestones. They also need the right team members, ensure the team comprises empowered participants.
Poor project management is the biggest reason for failure. The PMO needs to have clarity on the ground rules e.g. meeting times, timely reports, status updates, deliverables, next steps from each team member, capturing and tracking actions.
Fluid is an all-in-one productivity and collaboration software solution that helps program teams work smarter and save time.
Additionally, it enables them to collaborate more effectively, in meetings, projects and across activities. Fluid turns data into real-time information that is easily accessible, visible and meaningful.
Fluid improves visibility, increases accountability and puts more trust in the plan. It provides a more agile performance with reduced emails, the removal of meeting timeslot dependency and offers a centralised audit trail for all delivered work.
In conclusion, it’s a Productivity-as-a-Service (PaaS) offering that helps program managers achieve an enhanced level of purpose driven productivity.