15 Ways Project Management Helps Growing Business
If your company provides services or products, it will need to find some way of managing multiple projects, especially if you want the business to grow. The term ‘project management’ scares many people because they assume it’s a waste of money so many managers end up implementing counter-productive tools and strategies that result in unhappy clients and stakeholders, not to mention team members and the manager too.
With a project management tool, you can gain improved control and visibility over all your resources and projects, helping improve business effectiveness and efficiency!
Here are 15 ways how project management software can help grow your business:
1. Aids Project Estimation
Project estimation is a critical determinant of project success. It provides open estimation and planning of your expenditure and resource levels. With project estimation you can standardize how PM and sales teams interact with customers, quote work and understand the project’s impact on resources and the operating budget. The result is increased productivity, higher customer satisfaction and more projects delivered on time and within budget.
2. Increases Understanding of Resource Capability
Resource capability enables businesses to analyze the effect of delivering services and projects in real time. This allows companies to manage customer expectations, exceed customer level agreements, reduce costs and improve business productivity. Resource capability provides a consistent and clear visual representation of your work and how it should be delivered.
3. Aids Selection and Prioritization of Projects
This step is necessary to create an optimized practical order of work. It greatly aids those companies facing scarce resources because it maximizes the benefits while eliminating failures. With project selection and prioritization, PMs can easily and quickly assess a project’s ROIs and compare it to expenditure and resource demands/risks.
4. Helps in Project Planning
With project planning, PM helps to plan activities, tasks, responsibilities, roles, and deliverables for each project in the easy and simple method. This helps curb disappointment of overdue projects by reducing risk and projecting exact decision points and timings to ensure project delivery occurs on time and within budget.
5. Optimizes Resource Usage
Resource scheduling is necessary to establish your project’s feasibility and for forming realistic customer expectations. With scheduling resources, project managers can assess the flexibility they possess over aligning tasks, work packages and specific resources with resource availability. In cases where delays are not acceptable, it helps PM plan out alternative approaches, work re-prioritization and finding trade-offs.
6. Provides Real-Time Visibility on Deliverables
Deliverables are quantifiable services or goods that result from a project. Regardless of whether they are tangible or not, a project management tool can provide insight into the status of each assigned task as well as a clear view of how the company will benefit from every project.
7. Improves Cost Control and Budgeting
A project’s budget is essential for gauging the progress and performance of a project. With a project management tool, you can create project budgets from estimates and or plans. In addition, you can monitor planned expenses versus real costs to ensure you’re getting an accurate picture of the budget and future fiscal projections.
8. Advances Service and Product Delivery
Project management software offers effective strategies to aid product/service delivery. It gives your clients the benefit of knowing that their feedback is having an impact on the delivery process. It enables team members to gain a clearer understanding of their role in the project and its delivery. Essentially, a project management tool provides direction with integrated solutions.
9. Facilitates Team Collaboration
Working as a team accomplishes more, but when team members are left to pursue their own aims, then how can you guarantee a project’s success? With project management software you equip your team with a single platform where they can work with each other in synergy. Each team player understands his or her role in the project’s outcome and how it benefits the organization. With team collaboration, your company benefits from more innovation, improved efficiency and problem solving not to mention a reduction in costs.
10. Minimizes Project Failures and Risks
With a PM tool, your organization can mitigate risk in a proactive manner. It enables central management of risks with real-time visibility into the status of each risk, at every point of the process. It also enables you to implement strategies to mitigate risks and limit their impact on the final deliverable. Managing risk at each step of the project’s lifecycle ensures a timely delivery, within budget and a happy customer!
11. Provides a Real-Time Snapshot on Project Progress
Tracking a project’s progress is a huge challenge for most companies. With a project management tool, your business gains a repeatable and standardized way of reporting and capturing a project’s progress. This tool provides a complete spectrum of project progress; from team members updating their percent completion on assigned tasks to PMs conducting a project review to submitting a project status report.
12. Measures Resource Utilization, Project Progress, and Productivity
A PM tool can track employee expenses and timesheets and updates project progress. It has a timesheet component which enables companies to automate the capture, delivery, and approval of expenditures and time in a consistent way. In turn, this update a project’s progress improves cost control and monitors/analyses utilization of resources and productivity. This can help a business improve their revenue recognition and cash flow by automating the project’s billing process.
13. Improves Customer Satisfaction and Response Rates
With this tool, you can provide a quick response time to customers’ queries and issues. This creates a forging relationship with customers. In addition, your team can work in a structured manner to ensure every customer receives an appropriate level of service. By improving your ability to deal with issues, your company will benefit from an increase in the volume of customers.
14. Reduces Billing Errors and Improves Cash Flow
A project management software offers automated billing of services and products. With this software, you will reduce billing mistakes, improve cash flow and maximize revenue. With a billing component, you can automate basic billing types, i.e. materials, time and implement complex requirements such as repeat billing and fixed price.
15. Improves Analytics and Reporting
With a PM tool, you can generate necessary management details in real time such as progress status, project costs, resource utilization, productivity, profitability, customer satisfaction and budget performance.
Are you ready to grow your business? Get in touch with ViduPM today!