PM Network

“Going digital” has been the transformation goal in many sectors for some time now. But there is one industry that has just recently jumped on the digital bandwagon. That industry is real estate. An article in May PM Network^® examines this newly opened playing field.

Both startups and established companies are launching projects to bring technology into the realm of selling and renting property, homes and offices. That technology runs the spectrum, from use of big data to more accurately assess a home’s value, to virtual reality platforms that will enable prospective buyers to view offerings without actually being there, to crowdfunding that will allow people to invest in international real estate.

The numbers show the growth of “proptech”: Investment in this field rose from US$1.8 billion in 2015 to US$9.6 billion in 2018. And 97 percent of real estate executives told KPMG that they expected digital and technological innovation to significantly impact their businesses.

Bringing tech into real estate is a little different than bringing tech into other industries. The resistance to change and lack of awareness of emerging technologies makes it difficult. And testing products with minimum viable products generally doesn’t work because of the high value of transactions, the article reports. Project managers might consider testing products in simulated transactions.

Software dealing with mortgages have similar considerations. In this part of the real estate industry, automated helpers for approval decisions have to take into account variables on loan applicants’ income that might affect these decisions.

Proptech project managers walk a fine line between designing their products to accommodate variables and keeping the cost down to prospective customers. But that might be a line worth walking because of the growth opportunities in this late-to-the-digitization party sector of the world economy.

PMI members can turn to PM Network every month for trends news that you can use in your career.

The answer to that question is yes, if you are working or living in a country where China is investing in infrastructure projects. The March PM Network cover story explains that the downturn in China’s domestic economy is being counterbalanced by Chinese investment outside of the country. Much of the US$1 trillion project investment in the past 10 years aims to support Chinese construction companies and manufacturers. These companies have increased their direct overseas investments by an astounding 47 percent in just the first five months of 2015, and these projects are not likely to be abandoned.

The figure of US$1 trillion comes up in another story this month. This mega-zero figure is the amount of cost efficiencies that would be created by full digitization of government services. Achieving that goal is tricky. Among the challenges are conflicting stakeholder requests, fluctuating budgets and sponsors who change at every election cycle. There is good news among the challenges—the article profiles a very successful project in Estonia that allows entrepreneurs to obtain “cyber-residency” in that country.

Big data may be too big. For many organizations, using big data is difficult to justify from a business-benefits standpoint. But some organizations are taking a more focused, targeted “small data” approach, capturing and using only the amount and type of data relevant to specific projects. Gathering targeted data requires careful risk management involving privacy and access issues.

Résumés are not passé. They are most au courant, as most recruiters still use them to cull out top talent. A well-crafted résumé, one that highlights your skills and experience most applicable to the role being sought, will bring you to the top of the pile. Learn five tips to crafting a winning résumé and get your foot in the door.

A case study this month details the largest Australian military facilities project since World War II. The team responsible for the AU$870 million project worked around military trainings and under close government supervision to move a Sydney-area base to make way for a new freight terminal. The project came in on budget and a month early.

Besides the cover story, March PM Network’s Edge section highlights other news from Asia—specifically about the Trans-Pacific Partnership and its effects on projects in the region. This controversial deal is expected to increase project investment (but not uniformly) in signing countries such as Malaysia, Vietnam and Japan while possibly decreasing economic growth in China, a non-signing country.

Other Edge articles delve into the project management implications of increasingly sophisticated robots in the construction industry; cleaning up mines after mining operations cease; police using data to predict and prevent crime; and projects to upgrade technology on cruise ships.

Every month PM Network presents interesting data in an easy-to-digest infographic format. This month, learn about four global trends that are integrating technology and pedagogy, spurring educational institutions to sponsor new projects.

Practitioners and subject-matter experts share their knowledge on several subjects in this month’s magazine. These subjects include how to build trust on a project team; getting a PMO to support project managers as well as executive decision making; and helping military service veterans discover civilian project management career opportunities.

PM Network introduces two new columnists this month: Bhanu Vadlakonda, CAPM, will write several times a year about “NextGen Project Managers,” and Andy Robinson will discuss project management and organizational strategy.

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