Why Project Management is Important to Organizations
Within the past few years, there has been a significant shift in the way organizations operate. We’ve all witnessed the massive digital transformation and many of us have been forced to upskill and become more tech-savvy. Along with the digital transformation, project management maturity has increased by more than 45% over the past few years.
This is largely due to the need to cut costs and run businesses more efficiently. In one of my recent roles, I had the chance to be a part of a huge business and digital transformation. To really kick things off, we had to establish a PMO (project management office) and build processes around the way we manage projects.
Helping to reach business goals is the number one reason why project management is important to organizations. I’ve listed below a few ways project management supports this:
Improves strategic alignment to business goals.
A solid project management process should include the submission of a project charter and a business case. These documents are the backbone of every project. Business leaders, usually a steering committee of executives, review these documents to ensure that the project is worth the required resources.
At this point in the process, a project can either be approved or rejected based on the current business priorities and other important criteria.
When project management is not a part of an organization, the organization runs the risk of wasting time and monetary resources on projects that don’t make sense for the business.
Enables businesses to make quality decisions.
This is another really important reason why project management is important to organizations. When projects are properly documented through the use of standard project templates, an organization can compile data into reports and dashboards. This effectively enables businesses to make better decisions based on the data.
Without project management, it would be really difficult to track the progress of projects and make decisions that could propel the business forward.
Provides a clear strategy to achieve key objectives.
In an organization, there are usually key objectives and core values that drive growth. These objectives should be measurable and should align with the organization's core values. Having a project management process is an excellent way to ensure the right projects are being done.
It’s extremely helpful to have a PMO in place to work in conjunction with business and technology leaders to increase the impact across the organization.
Simply put, projects should be prioritized based on company objectives set by leadership. Project management helps to achieve these objectives by completing the right projects on time and within budget. For the most part, projects should be solving a regulatory problem, or helping the organization to save money or make money.
Check out Chantrice Rachelle as she explains her journey in project management!
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By, Airess Rembert, PMP, Member of Women Of Project Management & Blogger at The Nerd Bae
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