OK we have finished our project, does anyone have any techniques/tools/processes etc for the implementation of a benefits realisation plan? i.e. how is the business going to harvest the benefits delivered by the project?
It is too easy to blame the project manager for the lack of project benefits, but by the time the benefits are realised we are on to the next project. Saving Changes...
Sort By:
Huw EvansSenior Manager, Projects and Partnerships| Vicinity CentresMount Waverley, Vic, Australia
Hi Julie,
Were the benefits clearly identified in the business case or project charter? If so, you need to find an owner in the business for each benefit - usually the area that would receive this benefit, and let them identify how they will measure the benefit.
eg. if one benefit was increased sales, you could track year to year results from before and after the project. i.e. last Mar we sold x, this year we sold y (hopefully more).
The business should then assign a % portion of the quantifiable benefit to the project itself. So if sales increased by 1,000, and the agreed % applicable of that increase was 10%, the project yielded an additional 100 units sold.
If you can marry the benefits against measures already being reported on by the business unit, then the additional tracking against the project should be simple.
Key to this is getting the managers of the business units to agree to the reporting. Ideally it's something that should be setup at the start of a project, and then continued once the project concludes.
Saving Changes...
Anonymous
Hi Julie,
It is very difficult to evaluate the monetary benefits of the project.
Please find some below points:
- Try to find the tangible and Intangible benefits.
- Check the short term and Long term benefits.
- Figure out the best practice and Lesson Learnt to other project.
- Find out the situation, where the role of project is very crucial.
Analyze and Map the above points. And highlight the outcome to the Senior management.
Saving Changes...
Satyabrata PattanayakAssociate Manager - Project,PMP,Six Sigma Green Belt| DubaiDubai, United Arab Emirates
Hi Julie,
It is very difficult to evaluate the monetary benefits of the project.
Please find some below points:
- Try to find the tangible and Intangible benefits.
- Check the short term and Long term benefits.
- Figure out the best practice and Lesson Learnt to other project.
- Find out the situation, where the role of project is very crucial.
Analyze and Map the above points. And highlight the outcome to the Senior management.
Saving Changes...
Hans RobbersSenior Director| SalesforceVlissingen, Netherlands
Julie
Interesting question. It is very hard to define which improvements are a result of which project since often a number of projects are implemented in parallel. A second parameter to take into account is the general trend to the market. Where Huw mentiions compare over time you must include the general market trend and those of your competitors.
PRINCE II is a project methodology which insists a project must have a business case. Managing complex programmes is also from the OCG and introduces the business change manager responsible to follow up the change after the project has been completed. He reports directly to the (former) proejct sponsor in the board.
One of things I applied is after the business case was defined and approved to spend time during the project to define the KPI's to measure the business case, often starting with defining the project objectives in a SMART way.
Hopes this helps
Hans Saving Changes...
Stuart DixonProject Office Manager| Xl CatlinCrowbrough, United Kingdom
Julie
To a great extent I agree with Huw in that the end of the project is the wrong time to think about benefits realisation plan, although most projects do get to the end and start to think about benefits.
I think that the benefits realisation management has its own parallel lifecycle of Deciding, Development & Execution (I am sure people can think of better names for these).
However this doesn't help you out of your current problem.
The easiest way to track benefits is to use already existing metrics devised by the business you are in. The baseline of what the project should deliver is in the business case, you just need to find the person in the business who is responsible for producing these metrics.
e.g. if your project was to build widgets cheaper then I would expect the business case to have something in like x% saving in cost of widgets. This could then be monitored by the business by either the production department or the finance department, and ask the questions - How much profit have I made from selling widgets, how many have I sold, and compare against last year
For Non-financial elements benefits can be measured by surveys e.g. customer/employee satisfaction, brand awareness, with one being done now and another in a set period of time. Of course it would have been better to do one before the project started, but you can't turn back time if you haven't
I hope that this will give you enough to start on. There are some things out there on the internet, but it is slim pickings as I found when I tried to do this for my company at the beginning of the year Saving Changes...
Elyse NielsenSenior Project Manager| Ascension Health Information ServicesHaines City, Fl, United States
Hi Julie,
Truthfully, benefits realization are the domain of sponsorship. Commonly project managers are focused upon implementing the system and assuring the users are trained. Afterwards, we move on to other endeavors, but now the purpose of the system needs to be realized through user adoption. This transformation commonly falls upon the project sponsor. After adoption has occurred, then the goal for which the business benefits can be measured and verified occurs.
In your situation, I would recommend having a leadership discussion with the project sponsor for the support needed to make the system fully adopted. Include in this discussion, the desire to be included upon the announcement of the benefits realization so the whole project team can be proud of the accomplishment. Additionally, on how it helps to promote the sponsor with the ability to realize benefits from a solution.
I would follow up with a process to assure operational production support with the ability to make changes in a prioritized manner. Then there should be a production transition including the needs from the leadership discussion, and agreement on the operational process.
Hope this helps, and please let us know how it turns out!
Elyse
http://www.anticlue.net Saving Changes...
Craig WilkinsProgram & Project Management Consultant| Workgroup ManagementBerowra, Nsw, Australia
Hi all, you are obviously interested and perplexed by this much talked about topic.
Almost a year after your post I have an answer for you and a potential solution.
I have asked the sam equestion you did more times than you can imagine, and I have received many fantastic comments and have hypothesized until the cows came home....still no results.
Therefore, borne out of my frustration, I built a Business Benefits Realisation template wnich is based on a full Benefits life cycle.
If you are still puxxled as to how you can tackle this problem, feel free to contact me.
Attached is the Table of Contents of this template
Regards
Craig
...
1 reply by Ganesh Srinivasan
Jun 15, 2017 8:51 AM
Ganesh Srinivasan
...
Hi craig wikins, thank you for your initiative. I tried to open the file, but it says unauthorised. could you please help.
Thnaks
Ganesh
Saving Changes...
Obiajulum OmoregieHead, Project Management Capability Building| Nawah Energy CompanyDubai, United Arab Emirates
During the development of the business case for each project it is essential that metrics measuring benefits be defined. Who to measure benefits, how will it be measured and the 'when' benefits will be measured should also be defined in the business case. Saving Changes...
I found your business realization template interesting and precisely what we can expect from a successful project. would like to read in details of the contents if possible for you to share.
Regards,
Parag. Saving Changes...
Ganesh SrinivasanGanesh PMO (PMP, PMI-SP, ITIL-F)| MNC BankChennai, India
Aug 11, 2010 8:41 PM
Replying to Craig Wilkins
...
Hi all, you are obviously interested and perplexed by this much talked about topic.
Almost a year after your post I have an answer for you and a potential solution.
I have asked the sam equestion you did more times than you can imagine, and I have received many fantastic comments and have hypothesized until the cows came home....still no results.
Therefore, borne out of my frustration, I built a Business Benefits Realisation template wnich is based on a full Benefits life cycle.
If you are still puxxled as to how you can tackle this problem, feel free to contact me.
Attached is the Table of Contents of this template
Regards
Craig
Hi craig wikins, thank you for your initiative. I tried to open the file, but it says unauthorised. could you please help.
