Tuesday, 3 May 2011

Project Management

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A very important part of project managing is knowing what skills and tools are needed, and being able to balance them to create a functional business place. To be a project manager you need to realize that a business has many different parts that all interrelate with each other. Some of these parts include; people, strategy, management, products, competitors, suppliers, and owners.

There is a very important approach to follow if you want to recognize all of the critical aspects of balancing business factors. This approach is called the balanced scorecard approach from Kaplan and Norton. Following this approach, an organization can achieve financial and social success by first achieving success in strategy. To reach success in strategy you need to balance four main business perspectives; learning and growth perspectives, customer perspectives, internal process perspectives, and the financial perspective. An unbalanced edge to any of these four perspectives can lead to deficient progress in ay other area.

Project managing has stemmed its roots with an overabundance of focus on operations, and an under abundance on finance. The present finds project managers looking to place emphasis in all areas and achieve successful and proportional results from every perspective.

The main goal of any business is to increase the value of the funding that investors have placed into the company. By achieving its strategy, a company can increase this shareholder value. To achieve organizational strategy you need projects. This means that all of your projects should be associated with the organizational strategy of your business, so they can help it along. Because it is important that a business achieves a certain strategy, a project manager must know the basics, and how to form a business strategy.

Custom Essays on Project Management

Concerning the human side of any business, this is where the learning and growth perspective comes to play. In any business, you must develop certain employee capabilities in order for organizational learning and growth to thrive. There is an emphasis on the investment in human power and the operations that support the processes the human power performs. If you are able to manage your human resources well presently, your outcome will be positive for your business in the future. The shareholder value will have a positive aspect in the future through proper decision making in the following areas; team structure, communication, motivation, and management.

The customer perspective is basically which market the organization in currently competing in. Important factors under this perspective are; you’re customers, your competitors, the market segment, and your market strategy. Since your customers are the main source of revenue to your company and you wish to achieve long term financial success, you must create a product that customer’s value and are willing to buy. You must create certain objectives to use as guidelines to achieving your strategy. A good project manager will know the market his company is in, and use value propositions, or the features of the product that are delivered to the target segments based on the project strategy.

The internal process perspective is the process in which project managers recognize the processes that are the most important. In an internal process perspective, there is normally a value chain including innovation processes, operations processes, and post-le processes. An innovation process is where you actually manage to project. The operations processes deal with business management. Project managers must know the expected effect f cost decisions correlated to the businesses financial goals.

The last perspective is the financial perspective, which binds all three of the previous perspectives together. Any decision made in the other perspective eventually end up effecting the financial happenings of the business. The project manager has to know how his or hers decision will effect the allocated budget, and potentially effect the final outcome of the project.

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