Project Management Resource Survey 2009 – Results

In June 2009, I worked with an intern from The University of Texas in Austin to collect data about the resource management tools and processes of today’s organizations. Our definition of resource management was the “planning, allocation, and scheduling of manpower, machine, money, and materials” as defined by Wideman’s Comparative Glossary of Project Management Terms.

Last week I talked about how the survey was conducted and described the respondents. This week I want to share with you some of the interesting things we learned from the survey about the State of the Union of Resource Management.

Finding 1: Project Resource Management Tools in use today
The most commonly used tools are Microsoft Project – Desktop and Microsoft Excel (67% and 60% respectively). The next three in order of frequency were: In-House Developed Applications, MS Project Server and MS Access.

Although the most frequently used resource management tools offer good information to the project manager, neither Project – Desktop nor Excel provide the task level information needed to make resource allocation decisions for complex or multiple, concurrent projects. On the other hand, organizations that used more mature resource management tools such as MS Project Server and Oracle’s Primavera were better able to track and status projects and felt more confident that their tools provided the information needed to make project decisions.

Finding 2: How Resource Management Tools are used
The organizations responding to our survey consistently reported that while they had resource management tools in their organizations they were not used consistently. One critical area where the tools were not used effectively was project time tracking.

In software development projects, worker time on task is usually the single greatest project cost category. However, 15% of the polled organizations reported that they did not track employee time on projects while 53% reported that they only tracked time at the account number or project level rather than the more predictably useful task level.

Finding 3: Effectiveness of resource management tools for decision making
The average response to questions on “how effective resource management tools are as the basis of decision making” is the most disturbing implication of the survey—only 10% strongly agreed that their resource management tools gave them sufficient information.

Other concerns were reflected in the 33% of the respondents that reported their resource management tools do not provide timely information and the 60% who said they could not use their tools to find resources with specific skills when they were needed on projects.

If managers cannot get the information they need to understand status, management risks, and plan for new projects from their tools, they are left with a much less effective ad hoc process for resource allocation and management. And that was indeed the report of survey participants. The average and the most frequently responses on allocation indicated that resources were allocated by the resource owners in an ad hoc way, were based on the perceived priority of the project, and did not consider the impact of allocation on existing projects.

The failure of resource management tools and process to support decision making across the enterprise leads to many challenges for project managers. Next week, I will tell you about our findings on perceived challenges and offer some observations on how to more effectively use resource management tools.

 

2009 Project Resource Management Survey—the results are in

Ineffective resource management is a serious threat to project success. Resource management in includes the “planning, allocation, and scheduling of manpower, machine, money, and materials” according to Wideman’s Comparative Glossary of Project Management Terms. However, since many organization’s projects today focus on knowledge workers, the management of human resources is the key to successfully completing projects.

According to a 2008 Gartner report, 15% of all projects fail due to high cost variance, while another 18% are unsuccessful because they were substantially late. Since project resources are the biggest component of both project costs and schedule, we contend that ineffective resource management may be the source of these project failures (Project Time Management: The Foundation for Effective Resource Management  McGraw, B. and Leonoudakis, R.).

In June 2009, I worked with an intern from The University of Texas in Austin to collect data about the resource management tools and processes of today’s organizations.

About the Survey
Our survey targeted C-level executives and senior project managers. We contacted project managers through Linked-In, Facebook, and the PMI portal as well as inviting our blog readers. We received completed responses from organizations across the spectrum of size and type—private, public, government and non-profit.  The total number of surveys completed was 147.

We used an online survey that included 24 questions (12 Likert scale, 9 multiple choice, 2 “select all that apply” and 1 open text).

  • Sample Question: Project managers struggle to find available resources for new tasks or projects

 Characteristics of the Respondents
Of the 147 responding organizations, 87% were commercial (52% public, 35% private), 8% classified themselves as government, and the remaining 5% were non-profit. The respondents represented many industries categories but more than half came from Insurance, IT/Technology, Healthcare/Pharmaceuticals, Financial Services, Energy & Utilities and Consulting.

Respondents represented both upper and lower management within an organization with 47% of identifying themselves as upper-level executives, 44% as project/program managers, 9% as other.

The organizations varied in size also with 22% reporting annual revenues below $100 million, 23% between $100 million and $1 billion in revenue, and 48% greater than $1 billion. The remaining 7% of respondents declined to report their revenue.

Analyzing the results provides some interesting data and insight into what’s happening in resource management:

  • Which types organizations use formal resource management tools
  • What tools are used most often and which are most effective
  • What are the differences in resource management processes across organization types
  • What are the organizational implications of using different resource management tools and processes

Next week, I will talk about The State of the Union in Resource Management—including a summary of our findings.

Project Leadership Requires Sharing Responsibility

In August 2009, I was given the opportunity to present a project management paper with Curt Finch CEO of Journyx on “How to Successfully Execute Projects Every Time” at the 3rd Annual Project Management Symposium at UT Dallas.

There were many excellent papers given at the symposium. One I found particularly thoughtful and filled with excellent ideas was Wendy Overturf’s paper titled, “The Fellowship of Teams: The Power of Individual and Shared Responsibilities on Projects”. Wendy is a Project Management Professional (PMP) and works for Texas Instruments Incorporated.

Here are a few key points Wendy made in her presentation:

  • “The project manager must be willing to share the leadership role with team members through a balance of individual and shared responsibilities.”
  • Each team member should participate in the chartering process. Each should formally commit to doing their best to achieve the agreed upon project results —even when things do not go as planned (based on content from: Project Leadership by Timothy J. Kloppenborg, Arthur Shriberg and Jayashree Venkatraman, in Management Concepts, 2003).
  • The needs of team members follow a track similar to Maslow’s Hierarchy of Needs in which the lower-level needs such as Job Availability and Working Conditions must be fulfilled before higher-level needs like Recognition and Reaching One’s Full Potential can be addressed.
  • “Each individual on the project team is a major stakeholder of the project.”
  • “Traditional concepts and techniques such as the Project Charter, Needs Hierarchy, Bill of Rights, Stakeholder Analysis, and the Responsibility Assignment Matrix (RASCI) can assist project managers with recognizing and tapping into the full potential of project teams…”

I encourage you to read Wendy’s entire paper which has been published by PM World Today – September 2009 (Vol XI, Issue XI). If you have thoughts about or experience in sharing leadership on a project, I invite your comments to share with the PM community.

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