If you’ve ever read a project management book, you’ve run across the statistic that 50 – 70% of all projects are over budget. Seen that, right?
What’s up with that? More times than not, I would guess that is a tactic to hook you into something. Maybe, it’s to buy a book. Or, a take a webinar, or buy consulting services. Look closely at the context the next time you see that. I will too. Now I’ve gotten myself curious. 🙂
But I wonder how they know. First off, only organizations that track their projects (time tracking, resource tracking, etc) know if they are over budget. And most people don’t do that. Instead, they fly by the seat of their pants, relying on hunches.
Secondly, so what? When your project is finished, you’ve probably happy about that, and don’t care to look back – unless you’ve taken a real black eye. It’s usually the fit-and-finish that takes three times longer than anticipated, but you’re always proud of the final product. So why worry about a little extra moolah.
How’s your project coming? Is it over budget yet?
How long does it take you to launch a new product? Doesn’t it always seem to take 2-3 times longer than anticipated? I’ve been involved in the launch of over fifty new products, and it’s always the same routine.
We have a great idea, which seems so simple. If we take our existing product and just tweak it a little here and there, we can introduce something new. Simple enough, right? Wrong.
Products take an incredible amount of time to mature. A few tweeks suddenly turns into a handful, and then more. Current products need attention, drawing your resources away from the new one. Excitement wains when people realize the instant payoff won’t be there. This is turning into work… We never expected this!
I’d like to hear your project team experiences with new products, and new revisions. How smooth is it for you?
Have you heard of the “Optimizing Organizational Performance” webinar PMI is hosting? It’s free, and the blurb looks good. I’ve already registered. Here’s the link below.
Here’s why you should attend:
AstroWix quote: Each year, an estimated $10 trillion is spent on projects around the world and almost 50% of them fail.
I’d like to hear your opinions, after the webinar. What did you learn? Was it over your head? Beneath you? Feel free to submit your comments here – that is, if you remember this blog posting after April 30th.
I personally don’t like heavyhanded project methodologies. Anything heavier than a project plan, timesheet, and regular meetings bothers me. I understand the need for process overhead, but sometimes people get carried away. Of course, the simple approach assumes a top-down buy-in from upper management, something I always have. Other organizations don’t have it so good. So, let’s see how this PMI webinar works!
When I develop products, I like them foundational. In other words, simple. Every release of our products is simple. They are almost never a week away from release. That affords a few good luxuries.
First, the products are (almost) alway stable. There are never any huge releases that introduce a dozen bugs into the system. Every release has at least a few small bug fixes and polish. We keep up on that, along with adding new functionality.
Second, we’re nimble. If a customer asks for a new feature, it’s less than a week from delivery. Customers love that, I can assure you.
Lastly, project management is simpler. There are no huge project plans to deal with. Just small to-do lists we can check off rapidly. Does it always work? Yes. Well, maybe not always… Okay, about half the time. But that’s better than deep-dives and unstable products. Wouldn’t you say?
Have you seen the FedEx commercial with the half-pipe? It’s halarious! As employees crash all over the place, the big boss discusses how much time FedEx is saving them, but then asks, “So why aren’t we getting more done”. One of the managers says, “Maybe we should get rid of the half pipe?” The boss ponders for a moment and says, “No, the half pipe stays.”
This kind of environment exploded during the tech boom. The feeling was that all of the dot com’s were going to make millions and competition was not a problem. In order to recruit young talent, companies offered more than the standard benefits, i.e. health insurance, company car, etc. They offered a work environment that became a place where individualism rules. This is where today’s job market and yesterday’s collide.
When my father entered the work place I can picture an old-timer standing at the front of the office cracking a whip. Nobody likes that. Today we have moved to the opposite extreme. We get free massages and our choice of gourmet coffee. There are ping pong and foosball tables and the most distracting item of all…the internet! It’s easy to spend hours on the web planning vacations, reading articles and checking out American Idol results.
In my opinion Ramiele can sing. I think she was robbed. They should’ve sent Kristy Lee Cook home! But that just makes my point. I am guilty like the rest. I could be more focused, after all what’s more important the survival of my job, or playing on a half-pipe? But secretly… I hope Carly Smithson wins. What do you think?
Do you use project planning software like Microsoft Project to develop project plans? How’s that working for you? I have a problem with it, and I’d like to find an elegant solution.
What’s the problem? Well, building project plans is no trouble. I can lay down the phases and breakdowns, add tasks, and assign them to employees just fine. That’s the easy part. I can even track time to tasks. The problem I have is managing them later.
Let’s face it, project plans go obsolete the first week you create them. Something’s bound to change, and managing all those changes is hard. Yes, I know that’s what the PMO office does. But keeping project schedules current rubs me like a cheese grater. It’s an unnecessary overhead, and almost never gets done right. Tasks move, change scope, go away, get added, etc, etc, etc. You know what a headache it is…
Anybody have a better way?
There’s almost nothing good you can say about a plant closing. Especially with potentially 9,000 people losing their jobs. (See: http://www.eweek.com/c/a/Desktops-and-Notebooks/Dell-Closing-Austin-PC-Plant-in-Cost-Cutting-Drive/ )
The PC vendor announced March 31 that it would begin cutting costs and improving its efficiency in the second half of 2009 fiscal year. Besides announcing the closing of the Austin plant, Dell reaffirmed that it plans to eliminate nearly 9,000 positions as part of the cost cutting.
The only thing I’d like to say is, “fight for it!” I remember working for a huge company, where the average workday (in our engineering department) was five hours. Of course, this was a 8-hour shift, but nobody worked it. We got our coffee in the morning, caught up on the previous night’s adventures, and then did a little work before lunch. After lunch, a little more work, and then water cooler discussions of the evening’s plans.
Needless to say, that company cut 40,000 jobs in the late 80’s. I don’t remember ever fighting for the company’s survival, or even for competitive positioning. The culture simply wasn’t there.
I’m sure this is not the case with Dell. They are highly competitive. Sometimes things like this are out of our control. But let’s fight for our positions anyway!
Thank you for visiting projectteamblog.com! This is our inaugural post, and we’re happy you’ve joined us.
This blog is dedicated to project teams. We work with teams every day, developing project management products for them, and supporting them. We work with executives, project managers, engineers, and all types of employees.
Our specialties are project plans, managing resources, and tracking projects. Companies use projects to bill clients, develop products, build in-house tools, service customers, implement software, and plenty of other reasons. Sometimes project costs are most important, sometimes completion time, and sometimes employee allocation. Everyone uses projects for different reasons. We recognize that, and will try to address our readers interests. Please feel free to suggest topics you are interested in.
We know you’re busy, so we’ll try to keep our posts brief. Feel free to drop by any time. And good luck in your business!