Internal organizations should always keep an eye on metrics like productivity and profitability in order to stay in the good graces of company management. Unfortunately, project management is a skill that is underutilized in IT departments, development teams, and other project-oriented business units, which can have a significant impact on their ability to keep costs low and projects on time.
According to a PMI report, for every $1 billion invested in the United States, $122 million was squandered due to poor project performance. Managers must emphasize the importance of project management skills competency and ensure that their teams are prepared in order to remain competitive.
Here are five areas where you should concentrate your efforts:
1. Assess Your Current Productivity Level
Despite the rapid adoption of project management methodologies around the world, many managers still struggle to identify bottlenecks in their processes and identify where projects fall short. According to a PWC study, 97 percent of organizations believe project management is critical to business performance; however, less than one-third of all projects were completed on time and on the budget last year. This disconnect is not surprising; project management makes perfect sense during the planning phase; however, most organizations simply do not understand how to implement the right techniques to achieve success. A necessary first step is to assess your current situation. If you notice a pattern of late and over-budget projects in your organization, you have the data to take decisive action.
2. Make Agile Projects a Priority
Agile project management has transformed the way companies leverage the speed, flexibility, and collaboration in their development organizations, with the Project Management Institute reporting that 71% of companies have adopted Agile approaches. Agile projects are also 28 percent more successful than traditional projects, so it’s easy to see why Agile methodologies have become commonplace for both product and service companies. Many organizations are combining Agile techniques with Scrum, a popular Agile framework for addressing complex adaptive problems and delivering high-value products. An Agile Scrum Master certification is now required to master these critical skills.
3. Priority is given to quality and continuous improvement.
Quality control and the incorporation of continuous improvement into organizational processes have proven to be a game-changer for companies operating in competitive industries. Lean Six Sigma is one of the most effective principles for assisting organizations in employing problem-solving and business knowledge to improve internal processes. Six Sigma employs a structured approach known as DMAIC (Define, Measure, Analyze, Improve, Control) to assist project managers in measuring current performance, identifying projects and root causes of problems, and generating and implementing quality projects. Lean Six Sigma is being implemented across industries, particularly in high-growth industries such as health care. After implementing process improvements, the vast majority of healthcare organizations have seen improvements in patient-facing processes. Lean Six Sigma Green Belt and Black Belt certification training equip project managers with the knowledge and skills they need to succeed with these powerful techniques.
4. Improve Your Project Tool Skills
Whatever methodology your teams choose, they must also become proficient in using the day-to-day project management tools designed for project success. Microsoft Project is the most widely used tool for broad-based project management. MS Project certification training provides participants with a comprehensive overview of project planning and scheduling, resource pooling and consolidation, customized reporting, and an update on the most recent Microsoft Project features to ensure that they are up to date on the most powerful functionality.
Atlassian Jira is the most popular Agile-specific tool used by scrum masters in their projects, and it is usually included as a hands-on component of certification training. Working efficiently with these critical tools ensures that your team can track project activities and complete complex projects on time and on budget.
5. Match Skills to Project Needs
Project managers frequently have unique requirements based on where they are in their careers, the products and services they provide, and the project management culture of their organization. If they are in the early stages of their project management careers and need to learn the fundamentals, the Certified Associate in Project Management (CAPM) degree is a great place to start. Those in higher-level positions should consider obtaining the Project Management Professional (PMP) certification to prepare them for managing more complex projects. The Project IN Controlled Environments (PRINCE2) certification is ideal for a more targeted and knowledge-based approach to the project lifecycle. Project managers must also learn to understand the roles and responsibilities of stakeholders throughout the development process, which allows them to determine which skills are appropriate for each stage.
One last thought. According to a Harvard Business Review study of 1,471 IT projects, all but one had a cost overrun of 200 percent on average and a schedule overrun of nearly 70 percent. Consider this statistic a warning shot, and get your project managers on the right track with the right upskilling program.
