Good Day Fellow project leaders; how is your experience with outsourcing project management activity for complex projects? Saving Changes...
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Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
In my actual work place we use this model but the external project manager has to use our project governance model then there is a period where she/he has to learn about that.
Whether it is a complex or simple project, there are pros and cons to outsourcing the project management function.
Pros include the ability to leverage experience which you may not have in-house, the lack of other distractions or responsibilities for the role and the ability to be independent and unbiased.
Cons include a higher cost, the lack of organizational political awareness, no established stakeholder relationships, lack of experience working with the organization's standards and potential for resentment from team members and other PMs (e.g. "Why do we always hire folks from the outside when we have the skills in house?"). There is also the issue of loss of valuable knowledge (once the person leaves) and the risk of them focusing too much on the end goals and not caring how they achieve those (i.e. the ends justify the means).
A good sponsor and a "buddy system" can help to address a number of the disadvantages.
As Kiron mentioned, there are pros and cons. Organizational culture, rules, regulations, and previous experiences need to be reviewed and learned by the PM. He/she may not have the power to influence others. Saving Changes...
Thomas WalentaGlobal Project Economy ExpertHackenheim, Germany
May,
yes, have seen this quite often.
Reasons are
- if you do not have the experience available in your staff,
- if you are working with an extended workbench, allowing for breathing space for resources
- an external PM is often more transparent and blunt, as they don't fear for their career or relationships,
- if you want to run the project without internal constraints, cultural limits
- if you really need a specialist PM for a one-off scope
Risks are
- loss of knowledge after project end (a plan for knowledge xfer or shadowing by a staff member can mitigate that)
- acceptance by internal stakeholders may be low
- lack of knowledge of internal processes, in particular if they are not well documented / working
- onboarding time may be long (have seen 2 months) - you need a good process
- internal staff complaining about need to support, incomplete deliverables, hiding knowledge Saving Changes...
If the organization has a mature project management framework, there is little harm in using an external project manager. In such an environment, project management is mostly project process management.
Just make sure you have someone else handling the product management. That's definitely not something you want to outsource. Saving Changes...
Hariprasad K VCoS & Operations Director| RetiredBangalore, Karnataka, India
I have seen some of the tasks such as updating a tracker working with team members, report generation etc., being outsourced to some one good at it, however outsourcing the entire PM responsibility is like you surrendering the project outcome to some one outside of your organization. If the business or part of the business that is being created through the project is non-core then this could be an approach, to free up your precious PM to handle some core projects, otherwise not sure how wise is this to outsource PM job to a thirdparty. Saving Changes...
In my actual work place we use this model but the external project manager has to use our project governance model then there is a period where she/he has to learn about that.
that's a good setup; thnx Saving Changes...
Peter RapinSubject Matter Expect; Project Delivery| Independent ConsultantOntario, Canada
You have to be clear as to the external project manager's assignment. Is it effort (hours per day providing advice) or is it specific project deliverables (a completed design or specific documentation, or maybe staff direction)?
I some situations retaining an external project manager results in duplication of effort and conflict. The client continues to manage the project after having outsourced the job.
As a free-lance project manager I have mostly operated as an advisor or support to the client's manager. Even when working directly with staff I would work in his/her name, possibly with his/her delegated authority.
An other option is to retain external project assistance as "bums-in-the-seat" - like a temp agency. In this case although on a third party payroll, the personnel work directly for the client manager.
So there are options. As stated in the beginning, understand the different options and be be clear as to expectations. Saving Changes...
Latha Thamma reddiSr Product and Portfolio Management (Automation Innovation)| DXC TechnologyMckinney, Tx, United States