Recently, several the world's leading project management firms took important initiatives to show government management in regards to the strategic importance and advantages of project management. The focus would be to move from individual project management to organisational project management, which these firms keep is a strategic advantage in a competitive economy.
In this essay, Ed Naughton, Director-general of the Institute of Project Management and present IPMA Vice-president, asks Professor Sebastian Green, Dean of the Faculty of Commerce and Professor of Management and Marketing at University College Cork (previously of the London Business School), about his views of proper project management as an automobile for competitive advantage. This compelling mannatech facebook critique article has a myriad of lovely suggestions for the reason for it.
Ed: What do you point proper Project Management is?
Prof. Green: Strategic project management may be the management of those jobs that are of critical importance to help the operation in general to own competitive advantage.
Ed: And what becomes a competitive advantage, then?
Prof. Green: There are three features of having a core competence. The three characteristics are: it gives value to customers; it's perhaps not easily imitated; it opens up new opportunities in the future.
Ed: But how do challenge management produce a competitive advantage?
Prof. Green: You can find two factors to project management. One part is the actual collection of the sort of projects that the company engages in, and subsequently there is implementation, the way the projects themselves are handled.
Ed: Competitive advantage - the significance of choosing the correct projects - it's not easy to establish which projects should be chosen!
Prof. Green: I believe that the choice and prioritisation of projects is something that has not been done well within the project management literature because it's generally been thought away through reducing it to economic analysis. The strategic imperative gives a different way to you of prioritising projects since it is saying that some projects might not be as successful as others, but if they add to our experience relative to others, then that's going to be important.
Therefore, to just take an example, if a company's competitive advantage is introducing new services more quickly than the others, pharmaceuticals, let us say, finding product to market more quickly, then the projects that enable it to obtain the product more quickly to market will be the most important ones, even if in their own terms, they don't have higher profitability than other sorts of projects.
Ed: But if we're going to select our jobs, we have to define what're the details or metrics we're going to select them against giving us the competitive advantage.
Prof. Green: Absolutely. The organisation must know which actions it is involved in, which are the critical ones for it then and competitive advantage, that drives the choice of projects. Firms are not very good at doing that and they could not even understand what these actions are. They'll think it is anything they do because of the power system.
Ed: If an organization formulates its strategy, then what the project management community says is that project management may be the channel for giving that strategy. Then, if the company is good at doing project management, does it have any strategic advantage?
Prof. Green: Well, I suppose that comes back to this problem of the difference between the kind of projects that are plumped for and the way you manage the projects. Certainly selecting the kind of projects depends on having the ability to link and prioritise projects according to an understanding of what the capacity of a company is in accordance with others.
Ed: Let's suppose the method is defined. To be able to deliver the strategy, it has to be broken down, decomposed into a number of jobs. Consequently, you need to be great at doing project management to provide the strategy. To check up more, consider checking out: glyconutrients. Now, the literature says that for an organisation to be great at doing jobs it's to: put in project management procedures, train people on how best to apply/do project management and co-ordinate the efforts of the people trained to work to procedures in and integral way using the idea of a project office. Does taking these three measures produce a competitive advantage because of this company?
Prof. Green: Where project management, or how you handle jobs, becomes a source of competitive advantage is when you can do things better than the others. The 'better-than' is through the ability and reasoning and the knowledge which is accumulated as time passes of managing projects. To research additional information, please consider checking out: mannetech. There's an event curve effect here. Two companies will be at various points in the experience curve as to the information they have developed where the rule book is inadequate to manage these components of projects. You'll need experience and management thinking because however good the rule book is, it'll never deal completely using the complexity of life. You have to manage down the experience curve, you have to manage the learning and understanding that you've of the three areas of project management for this to become proper.
Ed: Well, then, I believe there is a gap there that has to be addressed as well, in that we have now created a competency at doing project management to do projects, but we have not arranged that competency to the choice of projects which can help us to give this competitive advantage. Is project management able to being copied?
Prof. Green: Not the softer aspects and not the devel-opment of tacit knowledge of having run many, many projects over time. Therefore, for instance, you, Ed, do have more familiarity with how-to work jobs than other people. That is why people came to you, since while you both may have a typical book such as the PMBoK or the ICB, you have produced more experiential knowledge around it.
Basically, it may be imitated a quantity of just how, although not if you arrange the smoother tacit understanding of experience into it.
Ed: Organisational project management maturity models are a hot topic at the moment and are directly for this 'knowledge curve' effect you mentioned early in the day - how should we view them?
Prof. Green: in my opinion in moving beyond painting by figures, moving beyond the simplistic idea that that is all you have to do and you may demand this set of capabilities and processes and text book practices and an operation is wholly plastic. In a way, exactly the same difficulty was experienced by the designers of the knowledge curve. It's almost like, for each and every doubling of volume, cost savings occur without you needing to do something, if you show companies the knowledge curve o-n cost. What we all know is however, the experience curve is a potential of a chance. Its' realisation is dependent upon the skill of managers.
Ed: Are senior executives/chief executives in the attitude to understand the potential benefits of project management?
Prof. Green: Until recently, project management has offered it-self in technical terms. If it was promoted in terms of the integration at common management, at the ability to manage over the features lending technique methods with sense, then it'd become more attractive to senior managers. So, it is about the blending of the smooth and the difficult, the strategies with the judgement and the ability that makes project management so effective. If senior managers do not embrace it right now, it's perhaps not since they are wrong. In case you desire to dig up more on asea, there are thousands of online resources people might consider pursuing. It's because project management hasn't promoted itself as efficiently as it should've done.
Ed: Do we have to offer to chief executives and senior executives that it'll produce competitive advantage for them?
Prof. Green: No, I do believe we have to demonstrate to them how it does it. We need to get in there and really show them how they can use it, not merely in terms of offering assignments on time and within cost. We need to demonstrate to them how they can use it to over come resistance to change, how they can use it to enhance capabilities and activities that lead to competitive edge, how they can use it to enhance the tacit knowledge in the enterprise. There's a complete range of ways that they are able to utilize it. They have to note that the proof-of the results is preferable to the way in which they're currently doing it..