September 28 & 29, 2020 | Virtual
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Interesting your question
Thanks for sharing
When planning the project, it is necessary to take into account: "Assets of organizational processes" and "Environmental factors of the company"
Was it not taken into consideration or payment terms and conditions?
thank you for your participation to think with me
it was involved of course.. my concern is imagine this with me:
you raised that there are some polices will effect negatively on the project progress according to the project type that you are managing.. you have approved budget "for example" and the finance should secure the cash follow
can we change the OPA? there are some organization rejecting this request?
or in some organization the HR & Finance have more power than the PM because they are reporting to the main stakeholders directly passing over the MD for example?
what you think?
In some regions of the world we run projects and programs where never you will get a pay before 30-60 days after presenting the invoice. So, I do not see the problem...hehehehehe
it is happening.. this is what i meant the 30-60 days that you mentioned can effect on project time or execution?
i took the payment as example but there are many organization processes or polices impede the project or program progress?
Many Organisation processes and Policies can be problematic to a project. The key is to identify them early, and in some cases, they can be some adjustment on both part. You need to have this with the proper level of approval, but it can be done sometimes.
agree with Sergio and Luis as this should be part of planning (of the payment schedules). I would regard this rather an EEF than an OPA, since it cannot be changed by the project. And it should not be since payment terms fall in the responsibility of finances and may impact financial results of the whole organization.
At best the contract with the subcontractor includes a term that is is aligned with the policy, maybe in the fineprint, Ts&Cs.
Informing yourself about the regulations that apply to your project is a duty of the project manager, even mentioned in the PMI Code of Ethics.
It would depend on the terms of credit agreed between your organization and the supplier in question.
It is very rare that a supplier is paid immediately upon receipt of invoice and the length of period between receipt of invoice and payment can be anywhere between thirty days to ninety days and in some cases one hundred and twenty days.
The reason for this time period is in times gone by debtors would have to wait for their own creditors to pay them so that they could pay their own bills. If everybody paid everybody at the same time there would be a log jam in the system and payments would start backing up.
In the modern days of electronic payment this is not really the case anymore but business being business a lot organizations still honor these terms of doing business.
Thanks for your participation...
agree with you that should be part of planning
my concern that is the organization benefit comes when the project succeed.. meanwhile the organization should facilitate the process during the project??
Thank you for your participation.
agree with you all that should be part of planning.
my concern that is: the organization benefit comes when the project succeed.. meanwhile the organization should facilitate the process during the project??
as Mr. Vincent mentioned Many Organisation processes and Policies can be problematic to a project.. and as Mr. Serigo also said governance could be taken for some people as roadblocks as EEF.. again i took the payment terms as examplebut there are many things else.
for the OPA, the project manger may has some power to discuss it with the management.
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