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Project Manager indicates resource Demand
Functional Manager may fulfill them if they have resources . If FM can give a pool of resources and PM has a luxury to choose the best , that's Utopia.
If Not PM will need to fund the external resource from the Market and FM may help recruit them.
In some cases the company may have an agreement with a Body shop and the PM will raise the demand while the body shop will share resumes of potential candidates and PM will choose or run it past the FM to find the best fit resource for knowledge transfer for Operational Teams and for Project execution.
In most cases the PM is given a BA and maybe an Architect or one of the Subject Matter experts to start the Analysis phase and define the project scope and resource demand
Thank you for sharing your point of view.
Honestly, when I asked the question, it did not occur to me what is common practice today: Subcontracting team members to outside companies that specialize in providing resources (not people), ie body shopping
When you subcontract resources, it's easy and quick to replace until you get it right
Using this strategy (subcontracting), what kind of impact can it have on projects?
What about project management?
I agree with Deepesh, the PM should raise the demand for resources and then depending on the organisation, ti can go to HR, line management, etc. In reality, it can be different. Normally, what I have seen, the PM is just given whatever resources line management decided to assign to a project, or whatever resources are available at that moment.
In one of the companies, I worked for, we had resource management tool, where the PM would raise a resource request, in case some special skills were required, and Resource management would take it from there. This however, requires that the tool is very well maintained and data is up to date - entering resources, their skills, their status/availability.
With regards to subcontracting resources, including PM, the risk with that is that the company loses the knowledge form the project, and not to forget something very important, customer intimacy, in case of external customer. The relationship stays with the external PM. I have seen projects, where the external PM later continues to work with the customer on other assignments, and the company loses some business. There are pros and cons in both cases.
Thanks for your comment and for sharing your perspective.
Having an updated database is not an easy task.
Especially when people work on things that don't have to be necessarily from our organization
In your opinion, who has the last word on the person to hire for the project?
This really depends on the power structure within which that project exists.
In a matrix or functional structure, the functional managers would usually perform this function with the PM having little to a significant level of influence over the decisions made.
In a project-oriented structure, the PM should have full authority over this, but on very large projects, while accountability will reside with the overall PM, they may delegate that authority to work stream leads to cut down on their HR workload.
If we go as per the books, and how we would like to see the process, I am in the opinion that the PM should have the final saying - yes, or no, when hiring a project team member/resources. As the PM should know best what he needs in the project.
The reality is a little bit different. Depends on type of organisation, the decision making process, and the level of authority within the hierarchy.
Believe it or not, but I had more authority saying yes/no in choosing project team members in weak project organisation, as oppose to strong project oriented organisation, where hiring and and/or project assignments have to undergo a heavy hiring process, involving multiple levels of management approvals.
Hiring someone for a job, no matter if this is a permanent position or a temporary project role, requires the evaluation of the relevant skills the candidate has.
The person that makes the decision must come from the same line of work as the candidate. Project Managers should not be allowed to make such decisions unless they come from the same line of work as the candidate. For instance if you want to hire a software developer or assign him to a project then someone with software development background, ideally in the same technology, should make the final decision.
1. If the team members are permanent employees from the organization that is delivering the project then either the functional managers assign them to projects or there is another internal system for assignment.
PMs usually just make the requests but are not given decision making power unless they have the proper technical expertise in the relevant line of work.
2. If the team members are from outside the organization (this also applies for the project managers) then usually they are hired by the relevant functional departments and these departments then assign them to projects. In this case the PM may be involved in looking for suitable external candidates and then seek the approval of the relevant functional managers.
3. If the organization has no relevant functional department, in other words no relevant internal subject matter experts then the PM has to look for team members outside the organization and hire them with no proper evaluation. This is the worst case scenario.
If the PM is managing an engineering project but he/she is not an engineer then how can he/she know what is needed for the project?
From my experience PMs are the people that know very little about what resources are needed on the project. Knowing this is not even the role of the PM in most organizations. What the PM has to do is to engage the people that have the right knowledge to assign the proper resources to projects.
As a PM you must do your best to have the best team members on the project but it is not necessarily up to you to decide who are these team members.
This is true, in practice PMs in functional organizations have more authority than those in the so called strong or projectized matrix organizations. How come? Simple, in functional organizations there are no dedicated PMs and usually senior members or the functional department are assigned as project managers.
In stronger matrix organizations PMs are dedicated but they don't work in the functional departments and have no formal authority over the project team members. In these cases usually some of the project team members are more senior (at the organization level) then the PMs. This contradicts the theory but this is what I have seen.
I think "Recruiting" and "Selecting" are two different works. We can select only if resources are available. In functional organizations, PM should firstly work with functional departments to get proper candidates; in this case, PM is responsible for "Selecting" work. If resource are not available, then normally HR department will be responsible for recruiting based on request from functional departments that will ultimately provide resources to PM; in this case, HR department is responsible for "Recruiting" work. In projectized organizations, PM is responsible recruiting.
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