The methods and tactics applied for managing projects depend on the kind of project you deal with. The project structure, processes involved varies based on the kind of products or services you offer, and the market it is concerned with. For example, the project management tactics applied in a product manufacturing firm will be different from that of a construction firm.
Here is a look at a few factors that affect project management.
7 Factors Affecting Project Management
1. Deadline
Deadline is one of the key aspects that determine how a project is managed. Missing a deadline creates a bad impression for your team. However, completing a project on deadline does not mean that you compromise on quality. You have to be both alert about time and have a keen eye on quality. If the project has narrow deadlines with strict clients or stakeholders, project manager should be alert to all possible hindrances from before and take appropriate precautions, so that on-time delivery of quality products or services can be ensured.
Not only should the manager be on their toes but they should instill the same kind of attitude among the team members. Team members should flag issues, problems and hindrances the moment being faced so that solutions can be looked out for immediately.
2. Budget
Budget is another critical factor that determines a project’s progress and management. In case the budget is high, then the number of days for completion of the project is also more and so is the number of resources allocated to it. Do not rush in such situations; rather focus completely on delivering products or services that are of best quality, with maximum utilization of resources.
However, if the budget is less you have to adjust with limitations such as unavailability of resources, lack of time, and money. However, you cannot compromise on quality which means the stress level of you and your team increases. You may have to motivate your irritated overworked team members by encouraging them for their good performance and recognizing their efforts through rewards.
3. Stakeholders
Techniques of managing projects will vary depending upon the kind of stakeholders for the projects. In case a project has multiple stakeholders from different backgrounds, there is a possibility of disagreement between them. In such cases, project management becomes extremely challenging as you cannot afford to have unhappy stakeholders and clients. Great convincing and negotiation skills are required in such cases to reach a consensus. It can be time-consuming and hence the actual time dedicated to resources will reduce. The project manager needs to adopt tactful approaches in such cases and get the work done.
4. Project Members
Project management techniques are also determined by the challenges faced by a project manager which, in turn, depends on the kind of team he or she is handling. If the team consists of members with diverse backgrounds and skills, a gap in terms of team spirit may exist. This obviously impacts work. Therefore, a project manager should apply techniques to bring the team close. He should ensure that regular team meets happen which can be both formal and informal. In team meetings and outings, people from various backgrounds are bound to interact. This creates a bond between members and they are ready to be there for each other.
5. Demand
Demand is another key factor that influences project management techniques. Demand itself depends on a few factors such as type of products or services, usability, etc. If the product is a perishable item such as grains or vegetables, the nature of demand will be different from that of garments that can be stocked and used for months. In case of services, such as creation of instruction manuals for electronic products, the demand depends on the number of users in the market. Depending on the kind of demand and the nature of the product or services offered, a project manager needs to apply appropriate management techniques ensuring on time delivery of goods and services.
For example, an app development company is creating a product for a new mobile offering from XYZ which will be released in the market after 6 months. Therefore, the app needs to be ready by at least a month before the release. The project manager will have the details in mind, while forming the team and allocating resources. Some of the techniques may involve daily morning stand-ups, regular testing sessions, survey within his or her organization, pilot testing among selected technology geeks.
On the other hand, if an organization conducts training sessions on project management certifications, the project manager’s technique may involve researching the market, offering services at lower than market rate, looking for potential candidates who can take up the certifications, offering discounts if a person takes more than one course, having an online marketing team to promote the services that are offered at attractive prices etc.
6. Supply
In order to meet the demand within a stipulated date and time (which we came across as deadline), supply of resources is necessary. A project manager needs to ensure that supply is adequate, so that deadline is not compromised for want of resources. For example, the company has scheduled a training session with 15 students on a given date.
Students have paid fees and they have been given the date, time and venue of the session. However, more people started registering for the session and the total number reached 25. The current venue has a capacity of 20 people. Now, the training provider should be in a position to arrange another venue immediately for the training session. If the session gets cancelled due to lack of space, it will be a big loss for the company both in terms of money and reputation.
7. Price
Price is an important aspect of project management. Price is determined by high level managers in consultation with project sponsors after studying market trends. Price is an important determinant of the sales and profit and should be determined after careful calculation. The type of product or service is an important factor to be considered when talking about price determination.
For convenience, we will categorize products into three 3 types: perishable products, non-perishable products, and specialized products. There are two factors that need to be considered here: the quantity that needs to be sold and the price that the buyer is willing to pay for it. In case of non-perishable items like cooking oil, grains and pulses, coal, demand is never a limitation. Additionally, being non-perishable, the products can be stored and marketed throughout the year. The storage and demand factors balance out the price. These kinds of products are usually not exorbitantly high priced.
However, it is different for perishable products and seasonal items. These are in the market for a short duration and are in high demand for that period. Owning to the high demand and limited supply, price is usually high. For example, an organization focused on export of fruits and vegetables, will have enough supply of the items during winter.
Project management is a complex concept. There is no one rule for managing projects as there is no single type of project. Services and products are the two key categories of offerings in the market and the management method differs significantly for both. Within each category, there are multiple varieties and again project management will vary depending on the type of product or service in question. The factors mentioned in this article will give you a clear idea regarding the key determinants of project management methods and techniques.
