Justify yourself!
From the Easy in theory, difficult in practice Blog
by Kiron Bondale
My musings on project management, project portfolio management and change management.
I'm a firm believer that a pragmatic approach to organizational change that addresses process & technology, but primarily, people will maximize chances for success.
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A project manager asked me this week whether I was aware of any studies which could be used to justify the assignment of a "real" project manager to manage a project as opposed to having this function performed by someone else within a team. While I'm sure PMI and other project management associations have researched this thoroughly, I felt this would be a good topic for an article.
In some companies, such justification is not needed on a project by project basis. Organization policies or standards might require that projects exceeding a given estimated total cost or those that are over a certain level of complexity must have a project manager assigned. However even in these companies if perceptions fester that the role isn't adding value, standards owners may be pressured to raise the thresholds at which project managers are required.
But in those companies where such standards do not exist, the battle might need to be fought at an individual project level. Convincing the funding authorities for these projects that a project manager is needed could be done in a couple of ways.
A fear-based approach might be used. This requires creating a sense of urgency by highlighting data from project failures or by communicating the personal risks to the stakeholder if something were to go wrong as a result of not having a project manager assigned. A decision tree could be used to compare the expected cost outcomes of both sides of the decision. While this might seem to be a reasonable approach, unless you are dealing with a particularly risk averse stakeholder, optimism bias is likely to cause the sponsor to ignore your arguments.
A different approach might focus on promoting the upsides of using a project manager. While this approach will be much harder to justify using financial projections, it doesn't put the sponsor in the uncomfortable position of having to imagine their pet project failing and the emphasis is on showing the incremental benefits which they might achieve by having a project manager. Increased outcome predictability, improved communications, better focus by other team members on delivery, higher levels of stakeholder and team member engagement are just some examples of the advantages which could be communicated.
Regardless of a company's level of organizational project management maturity, ensuring that the costs incurred by a project manager are providing some value in return is important otherwise it shouldn't be a surprise if sponsors push back on the need to assign one.
Posted on: December 09, 2018 07:00 AM |
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Comments (13)
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RAJESH K L
Project Manager, PMP| Bharat Electronics, Bengaluru, India
Bengaluru, Karnataka, India
Hi Kiron, I remember a conversation though quite old, from a very senior person, saying, PM role is not billed how can we justify a PM in the project. Ask another PM (who was billed in another project) to manage this project as well. So the fear of justifying a PM on a project continues to haunt.
Thanks Rajesh! Agreed, Ganesh - it's unfortunate that in spite of all the evidence showing the benefits of project management, some leaders are still reluctant to engage PMs.
Kiron
John Farlik
Program & Project Management| SPX FLOW
Waxhaw, Nc, United States
I find it interesting that organizations don' t have to justify having a network engineer or an accountant on a project. Clearly the expertise is understood and the "value" is inherent with that skill set. As "projects" become a more and more prevalent way of achieving results, we may see that the "justification" of a PM is replaced by an inherent value as well. When I started my most recent position one of my co-workers asked me "so are you a real PM?". I think the way to convince these skeptics is to be so good and to deliver so much added value that they can no longer ignore us. Thanks for the interesting topic (as always) Kiron!!
Rami Kaibni
Community Champion
Senior Projects Manager | Field & Marten Associates
New Westminster, British Columbia, Canada
You make a very good point. Ive seen situations were leaders are hesitant about engaging PM’s.
As usual, Kiron, you have provided us with an interesting point for discussion. I look at the value of Project Management as allowing the Operations team and leadership to focus on their specialties while I accept responsibility for ensuring that the project delivers the value envisioned.
Thanks John - very few other professions have to justify their existence as frequently as we do. Change managers might come close...
Thanks Rami & Glenn!
Drew Craig
Sr. Agile & Product Coach| Vanguard
Philadelphia, Pa, United States
Thanks, Kiron. Good points.
Tamer Zeyad Sadiq
Assistant Cost Manager| Turner & Townsend
Riyadh, Ar Riyad, Saudi Arabia
John Vinas
Program Manager| Teradyne
Calabasas, Ca, United States
John Farlik hit the nail on the head. The best way to demonstrate a need for a Project Manager is to demonstrate the "Value added" of having a PM on a project. I've worked at three successful companies where there was a culture of having a PM lead the project and the "slip rate" of projects was in the 15% range. I've worked at one troubled company and when things got rough financially, the "easy" solution was to save money by reducing PM leadership and the results were predictable. Thanks for sharing.
Mark Steward
Director| Arrow Zee Australia
Sydney, Nsw, Australia
Thanks for sharing Kiron. I think John Farlik also makes a good point, I find this is more so in organsiations that are relatively new to project management and lack the understanding of its value. The cost of project management shows up straight away, but the value does not, this takes time to materalise.
Also in these cases the cost of project management may have not been considered when the idea was first muted. When PM and other delivery costs are added in, then the argument for undertaking the venture may weaken or disappear altogether; leading sponsors to start seeing project management as an obstacle to their progress.
If organisations are going from no formal project management to formal project management, they might want to consider not fully costing this back to individual projects, at least not until the organisation has delivered sufficient projects to fully establish and embed the capability within the organisation.
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