The Advantages and Disadvantages of Business Project Management

Growth hungry small businesses today in the united kingdom and really across the world face the challenge of balancing two competing objectives. Primarily, businesses must maintain and standardize current business procedures to present your business the opportunity to get great at what it does through experience curve effects.  Greater business efficacy normally translates into greater customer experience and higher gains. Secondly, businesses must transform business operations to survive and compete in the long run. How well we’re able to attain the ideal balance for our business will finally determine if we survive and go on to thrive or go the way of so many tiny businesses into market irrelevancy and bankruptcy.

You may well be thinking right now what’s this got to do with project management? To understand we need to comprehend the basic differences between jobs and day to day business operations. Whilst many of the skills necessary to manage your own “business as usual” activities would be just like those needed to manage jobs, there are many significant differences. One of the most critical differences is that job work tends to be at least cross-functional and often cross-organizational and every job will be exceptional in some way rather than after the predictable pattern of business as normal. These characteristics of projects introduce opportunities and risks over and above those encountered in business as normal. In short, jobs are riskier than a day to day business and therefore require a different management approach. Know more about Project Management Software for Contractors here.

Projects are the ways by which we introduce change in organizations. All businesses which are making any effort to accommodate to face future challenges have projects. Frequent examples of jobs in small businesses may include establishing a company website, establishing the workplace in a new location, or implementing a new product but it may be some temporary activity or set of activities that have a specific output associated with that. Businesses increase their effective capacity one job at one time. Really, for ambitious small businesses looking to grow and expand, the requirement to initiate the right projects and achieve the desired results is much more vital l than it is for enormous national and multi-national businesses

Regardless of the apparent need for project management (PM) approach, many small businesses don’t bother. This constitutes a huge missed opportunity as successful project management affects the bottom line. For instance, research from the CBP indicates that project management improvement projects enhance job performance by up to 50 percent for the first project and may continue for every new job if the business offers ongoing project management tools and support. We could highlight this point further by mentioning the Standish Group, who at their CHAOS Report conservatively estimates that 20% of money spent on jobs is wasted because companies do not have a consistent approach to project management. I’ve used this company’s time management software, it helped a lot.

Let’s take a peek at six reasons that I often hear from small business owners that choose not to bother with project management and after that critically deal with misconceptions behind those motives.

1. Project management practices require more time.

Having a procedure to follow may add time to the duration of action. Doing something properly will nearly always take a little bit more time than adopting a slapdash approach. However, if you’re building a house, would you rather have a quality result that took a little longer, or would you want to get it done quickly but with many problems? Given that badly executed projects can be completely de-rail a little business if they go badly, doing it well is essential, and PM processes help ensure things are done nicely.

2. Project management occupies into the cash that I need to cultivate my business.

A common misconception is that it is hugely expensive to implement the PM procedure. The truth is that there are numerous free or low-cost resources of advice, tools, techniques, templates, and project management services readily available and accessible through the Internet. If performed correctly, any small business can execute PM processes, techniques, and tools using hardly any cost. The odds are that small business owners are already using applications and other tools that may be used for project management. By Way of Example, certain email software, spreadsheets, and other common applications offer great templates for project management, particularly if used in cooperation with some of the low-cost project management services accessible for small businesses

3. Project management requires skills that I do not have and cannot afford to employ.

Although it does require technical skills and expertise to be an accomplished project manager, these are skills that may be learned over time. To move further up the learning curve faster, it is likely to bring a PM course in no more than four or five days. Most small business owners tend to have the knowledge needed for project management, and courses such as the Prince 2 Practitioner course would build these skills while introducing the specific concepts, tools, and procedures necessary for project management. Whilst business owners may not emerge out of a course as a job expert, they’d surely learn invaluable skills to apply to their business.

4. I do not want the hassle or paperwork of project management.

Every entrepreneur who begins their own business will, sooner or later, need to do a risk assessment, a marketing effort, or apply for finance. Becoming knowledgeable in project direction and applying associated tools like stakeholder analysis, communication planning, and risk management will not just assist in a number of these tasks but will provide your small business with a competitive advantage over competitors who do not strategy.

5. Project direction will slow me down and I want to stay agile.

Modern PM methodologies all acknowledge the significance of a tailored approach to project management. If your job demands pace, the right methodology will enable you to move quickly. Just as important, however, it will provide you with techniques to understand whether some suggested projects are worth pursuing in any way. Rushing into situations without thoroughly understanding your environment is hazardous to the health of almost any project and potentially to the health of the business for a whole

6. I’m an expert in my industry, I don’t require project management.

Most small businesses are started by a person who already has any experience in their industry. This is unquestionably an advantage; however, project management should nevertheless be used to convert programs into reality. The key reasons for project failure are inclined to be poor planning, lack of capital, and lack of management. Project management, while not a cast-iron guarantee of success, will assist the small business in simplifying some of the common risks that so often cause project failure among small businesses.

Even a brief look at the reasons frequently posited by small business owners for failing to approach projects systematically and distinctly that recognizes their underlying riskiness and addresses some of the more challenging areas of project work shows them to be of dubious merit. Without a doubt, the quality of project outputs would be greatly enhanced and the cost of and time taken in delivering job benefits employing a project methodology appropriate to the grade of the project.