Project Management Leadership

Project Management Leadership

Project management is becoming an essential component of modern business operations. Organizations increasingly use project management to monitor and assess projects and ensure they meet their objectives. Project management entails several complex processes, including project planning, organization, management, control, budgeting, monitoring, testing, and implementation.

Leadership appears to be the art of getting others to want to do something you are convinced should be done.

Vance Packard Quote

Project leadership is the art and science of guiding a team to successful project completion. When project leadership brings people together to work toward a similar objective, the team can do more than they could individually.

Project Management Leadership

Leadership in project management is a necessary ability for completing the project. Like in other business areas, leadership necessitates demonstrating several talents and behaviors in a project context. Leadership is essential to ensure the success of the projects, from team leadership to project governance.

Leadership and project management are closely intertwined. Setting the vision and encouraging the team to work together to accomplish the project goal are vital components of leadership. In a project environment, this is particularly significant. Delivering any project requires a team effort. While some teams work without a clear leader, in business, it is customary for someone to be in the leadership role, guiding and directing the team toward their goals. On the other hand, project management systematically applies processes, methods, knowledge, skills, and experience to achieve the project objectives. Effective project management often requires strong leadership to guide the team through the project’s complexities and challenges.

5 Essential Project Leadership Skills

Project managers execute allocated project tasks through their project teams. They learn the technical, business, and leadership skills to manage their project teams effectively. In addition, they use strong leadership skills to motivate their teams to complete project deliverables and achieve project goals.

Project managers’ essential leadership skills begin with encouraging and inspiring their teams. However, the five critical project leadership skills are equally vital in enhancing team performance.

Project managers need communication, team leadership, conflict resolution, motivation, and solution crafting skills to lead effectively, inspire teams, resolve issues, and empower members to achieve project goals and success.

5 Essential Project Leadership Skills

  1. Communication

One of the most important project management skills is communication. Leaders must communicate effectively because a significant portion of their work includes collaboration. If you can communicate, you can collaborate properly.

Leaders can communicate ideas to people and groups in person, over the phone, or via web conferencing. They can also present their ideas to ensure the message is shared and understood. However, communication is more than just passing on messages and conversing with people. Communication is one of the most important characteristics of a project manager, especially in a leadership role.

  1. Team leadership

The leader establishes the vision and motivates others. Someone with outstanding project leadership skills fosters team agreement and togetherness while managing day-to-day operations.

Team leadership on projects entails establishing an environment in which everyone may thrive. People are lured to the project culture that surrounds them. Stakeholders want to be part of the project because they know you will complete the task while creating a pleasant working environment.

  1. Conflict resolution

Conflict is unavoidable when introducing or modifying something. However, effective leaders understand how to use conflict to their advantage since the finest solutions emerge when ideas are challenged.

Conflict may benefit teams by allowing all voices to be heard and opposing viewpoints to be expressed, frequently resulting in a better solution and more successful project outcomes. However, leaders must be equipped with conflict resolution skills to recognize and address conflict before it becomes a problem for the team. Therefore, another crucial core competency of project management is dealing with conflict in various ways.

  1. Motivation

Leaders motivate others to act even when they are not technically in charge. As a project manager, one determines what makes the other team members feel they’re giving their best. The project leader should do their best to deliver this. Everyone is driven differently, and motivation changes over time. Great leaders see these disparities and establish a great work environment to enable their workers to achieve their full potential.

  1. Crafting solutions

Empowering the team and the larger stakeholder community to participate in developing solutions is part of fostering a positive working culture. That entails removing roadblocks so that each team member may fulfill their work and contribute new ideas without concern about something getting in the way.

Empowering leaders also allows them to make decisions down the hierarchy to the lowest feasible level, allowing specialists to judge the solutions required to keep the project going. This empowerment fosters a positive working culture and inspires team members to take ownership of their work and contribute to the project’s success.

Leadership Styles and Theories

There is no single style to leadership, nor is there a particular type of person who makes a great leader. Instead, according to project leadership theory, a great leader is a mix of traits and the capacity to adapt to diverse conditions. This adaptability reassures individuals that leadership is not a fixed trait but a skill that can be developed and enhanced.

Leadership is something one can learn, and one can enhance one’s talents by understanding leadership theories in management. The three basic leadership theory categories that apply to project delivery are:

Leadership is adaptable, with three main theories: trait focusing on innate qualities, behavioral on actions of leaders, and situational on adapting style to context. Leadership skills can be developed through understanding these theories.

Leadership Theories

  1. Trait theories

Project manager strengths are related to trait theories. This perspective on leadership identifies the abilities and attributes that are beneficial while leading a team. Resilience, honesty, trustworthiness, aggressiveness, and so on are examples.

There was a system of thinking that stated certain characteristics were innate and that you were either born with them or not. Fortunately, this notion is no longer present in leadership concepts and theories. We know that an individual can act to become more aggressive and resilient or develop any other leadership trait.

  1. Behavioral theories

Behavioral leadership theories concern what a leader does. For example, some Corporate leaders are dictatorial and make decisions without consulting their employees. Others are more collaborative, inviting feedback and empowering their employees.

Both strategies are acceptable, and any combination of the two. However, there is a time and place for every style: you wouldn’t expect a combat leader to order a huddle so the team could discuss possibilities, would you? In that case, a choice must be taken immediately. Thus, a collaborative, listening leadership style would better engage the community.

  1. Situational theories

Situational leadership is deciding which leadership style to employ in any given scenario. These leadership theories are often known as contingency theories.

They analyze whether using a task-based or a people-based approach is more effective. They also take into account the individuals you lead. What type of encouragement and support do they require? A leader tailors their leadership style to the demands of the team, the business environment, and project circumstances. Someone who has never done specific work before will require more hands-on assistance from their team leader than someone confident in completing that activity.

Project Management Leadership Styles

Leadership in project management is essential for success. A project is a substantial and necessary endeavor in any business organization that requires full concentration and dedication from all participants. The success or failure of any business project can influence the company’s path. Project management is a critical role that may be entrusted to anybody, especially in today’s technology-driven business environment, where change is inescapable.

The ultimate success of every project is determined by project leaders, who have the authority to manage and oversee all project activities and make critical project choices. Similarly, failure to accomplish project objectives is the responsibility of the project’s leaders or management. Failure or inability to use the authority conferred upon them to ensure the project’s success is regarded as a point of accountability.

It is important to note that any project a firm does should strive to achieve certain goals that will enhance business operations and increase profitability, performance, output, and overall success in its objectives. As a result, project management is a critical function that leaders and anybody charged with project leadership must take seriously and utilize their effective leadership skills to ensure success.

Here are the six important project management leadership styles.

Project management leadership is vital for success. Key leadership styles include affiliative, authoritative, coaching, coercive, democratic, and pacesetting. Effective leadership ensures project success, while failure may result from poor management.

Project Management Leadership Styles

  1. Affiliative Leadership

This leadership style has a positive impact on a project team. This leader aims to create emotional bonds inside the organization to generate a sense of belonging and connection. When teammates require personal assistance or the team has to rebuild trust, the affiliative strategy is most successful. Because a single focus on praising and nurturing may result in poor performance and a lack of direction, this strategy should be used in various ways.

  1. Authoritative Leadership

Authoritarian leaders generate an entrepreneurial spirit and a strong devotion to the cause. Moreover, the traditional method works effectively when the team needs a new vision owing to changing circumstances or when clear guidance is unnecessary. Therefore, more utilization of this style would result in better project team outcomes without negative consequences, as this style has a generally positive effect throughout the organization.

  1. Coaching Leadership

This project management approach encourages team members to expand their capacity and capability as project contributors, which benefits the whole project team. This approach is the most effective coaching technique when a leader wants to assist colleagues in creating long-term personal characteristics that will help them succeed. However, it falls short when teammates are relentless about staying the same or learning or when the leader needs more aptitude.

  1. Coercive Leadership

Project managers rarely use this tactic, which would be more evident in times of crisis, such as when a project deadline was approaching and at risk of being missed.

  1. Democratic Leadership

This leader achieves successful compromises through teamwork. In a PMO, for example, each team member contributes to defining and measuring the PMO’s objectives. When the leader wants the team to buy into or own a decision, strategy, or goal, or when they are unsure and need new ideas from competent colleagues, the democratic method works well.

  1. Pacesetting Leadership

This leader anticipates self-management. The pacesetting approach works most effectively when the team is already motivated and talented and the leader demands quick results. This approach is popular, especially when a project nears major milestones. Although this method generally harms project teams, it can be beneficial in some situations.

Impact of Good Leadership on a Project

Many studies have highlighted leadership as one of the key reasons for project failure. On the other hand, projects with strong leadership and organizational support outperform those without.

Effective project leadership accelerates progress, provides clear direction, resolves conflicts, fosters strong interpersonal skills, boosts morale, maintains honesty, and ensures informed decision-making, all contributing to project success and team trust.

Impact of Good Leaders on a Project

  1. Work moves forward quickly

When an individual actively leads, the work proceeds quickly as the choices are made on time. This move allows the project to be completed on schedule while delivering all planned project scope elements.

  1. The project has a clear direction

A leader ensures that the team knows and supports a common goal. A clear direction gives context for decision-making and ensures that everyone knows what the project will deliver.

  1. Conflict is resolved quickly

The project leader is constantly looking for conflict and can intervene to handle it before it escalates into a crisis.

  1. Interpersonal Skills

Project leaders must have interpersonal skills such as questioning, listening, and speaking to establish successful and compelling interactions with team members.

Experts in project management believe that projects are more likely to fail if project managers lack excellent interpersonal skills. Because much of a project manager’s duties involve communicating with stakeholders, one must have great interpersonal skills to lead from the front.

  1. Creating Excitement and Maintaining a Positive Attitude

The most crucial project manager leadership skills are boosting team members’ enthusiasm and displaying an optimistic attitude, especially in times of crisis. In addition, project management and leadership are about instilling trust in teams that there will always be a solution, no matter how serious a situation is.

  1. Honesty

When defining ethical guidelines and supporting transparency in communication, project manager leadership skills should embrace honesty.

Honesty and integrity are two fundamental traits of project management leadership that project managers should cultivate to increase trust among customers, members, management, and other stakeholders.

  1. Decision-Making

The project manager has the last say in simplifying processes and solving difficulties. As a result, the project manager’s capacity to make informed judgments is a critical function of leadership in project management.

Decision-making is an important project manager leadership skill that directly influences project outcomes. Therefore, to advance in their careers, all prospective project management professionals must master decision-making abilities.

Leadership mindsets are driving the new economy

Mindsets are mental maps that reflect and govern how individuals act in organizations. They convey how individuals work and what they stand for. So, what leadership characteristics do respondents and experts believe are necessary for success in the digital economy? World Economic Forum survey data states four leadership mindsets driving the new economy: producers, investors, connectors, and explorers.

Leadership mindsets driving the digital economy include producers focused on value and innovation, investors committed to sustainable growth, connectors building networks and community, and explorers embracing curiosity, innovation, ambiguity, and risk.

Leadership Mindsets Driving the Digital Economy

  1. Producers

The producers’ mindset blends with creating consumer value, emphasizing analytics, digital savvy, execution, and outcomes. Producers use analytics to expedite innovation that addresses shifts in customer preferences and enhances customer and user experiences.

  1. Investors

Leaders with an investor mindset seek a purpose for their firm beyond improving shareholder returns. They are committed to growth but in a sustainable way. They are concerned about the areas in which they operate, their personnel’s welfare, and ongoing development. They focus on increasing the value of their clients rather than treating them as money sources.

  1. Connectors

Leaders with a connector’s mindset see that mastering connections and networks is the new currency driving corporate performance in the new economy. Connectors understand this fundamentally. It’s how they work. They constantly bring various stakeholders from within the organization and ecosystem partners together. Connectors recognize the importance of building a feeling of community and belonging, which is especially vital in today’s fast-paced, breakneck-speed world when losing contact with the human touch is too easy.

  1. Explorers

Leaders with an explorer’s mindset are curious and innovative and thrive on ambiguity. They constantly experiment and learn by listening to a wide range of voices. Establishing behavioral standards encouraging risk-taking and failure, reverse mentorship, and a deep curiosity about how new forces shape the competitive environment are strong indicators of an explorer’s attitude.

Final Thoughts

Project management is a demanding task requiring effective leadership styles and traits for the project’s overall success. Successful project leadership involves team building, adaptability, communication, and effective planning skills. As a result, leaders play a fundamental and crucial role in project management since their approach decides whether a project will succeed or fail.

Project management is different from leadership. Successful project managers may need to be more effective leaders. However, they can learn leadership qualities and become successful leaders. In today’s firms, competent project managers must also be strong leaders. Successful project managers may use their innovative and creative capabilities to assist them in acquiring leadership skills that will complement their project management abilities by recognizing the difference between project management and leadership and adopting the road to becoming influential leaders.

The common component of project management and leadership is the standard by which the project manager and leader’s performance is judged. A project manager’s success and a leader’s effectiveness are evaluated in terms of the performance of the followers—the team’s performance. As a result, improving project managers’ leadership skills with an emphasis on abilities to increase team performance should be a key factor.

Leadership is critical in project management and must be balanced. It impacts project success and the value offered to the organization. The good news is that the finest project management training incorporates leadership concepts, providing employees with a well-rounded understanding of what it takes to lead a project.

With advanced certifications like PMP®, Agile, PgMP®, and PfMP® certifications, one can develop project management skills, be a good problem solver, be a more competitive candidate for positions, and be a successful project leader. In today’s competitive business world, one must be skilled and experienced to succeed and grow their career.

PMOs Journey into Digitalization

PMOs Journey into Digitalization

Many PMOs recognize digitalization as an essential step in their organizations’ journey toward project management maturity. As a result, the Project Management Office (PMO) must shift its focus from project governance and delivery to supporting digital transformation.

To keep up with the evolving demands and needs of an increasingly digitized world, digital transformation has to be drifted through organizations of all shapes and sizes. However, many realize that successful digital transformation entails changing foundational cultures, structures, and methodologies and implementing digital tools. As organizations expand to accommodate this change, the PMO’s role within those organizations must change to do the same.

Digitalizing PMOs

Digital transformation is a familiar idea. Businesses constantly look for new ways to adapt and leverage emerging technologies to improve their business processes. Before the pandemic, PTC research found that 70% of organizations had or were working on a digital transformation strategy.

The PMO is crucial to achieving an organization’s strategic goals. If PMOs are to be an organization’s strategic drivers, they must expand their role beyond its traditional boundaries. They must assume their strategic role by leading change and capitalizing on opportunities in the digital space. PMOs must be at the forefront of emerging technologies, constantly evaluating opportunities and implementing new strategies. The recent pandemic and sudden shift to remote work have highlighted the challenges of developing community and culture through digital spaces. Here are some ways that PMOs can help the organization drive into digital transformation.

Five ways the PMO drives digital transformation

  1. PMOs can inspire and encourage change.
  2. PMOs act as the strategic arm
  3. PMOs provide support and insight.
  4. PMOs properly manage transformations.
  5. PMOs enable successful digital adoption.
Discover 5 key ways Project Management Offices (PMOs) can be the driving force behind successful digital initiatives in your organization. Learn how PMOs can inspire change, provide strategic guidance, and ensure smooth adoption of new technologies.

Five ways the PMO drives digital transformation

How PMOs can aid an organization’s digital transformation

The nature, ownership, and stakeholders of IT strategy, governance, and management activities are changing dramatically due to digitization. According to Gartner research, 87% of organizations prioritize digitization. Furthermore, technology is now responsible for 77% of an executive’s top priorities.

Traditional PMO processes struggle with the fast-paced world of digital transformation. This article explores 3 key PMO strengths: neutral perspective, influence, and stakeholder understanding. Learn how to leverage these strengths to drive digital success!

Advantages of PMOs

As a result, PMOs are under intense pressure to transform. Unfortunately, their project, program, and portfolio management processes are designed for predictability and consistency rather than the speed and flexibility required to meet digital demand. Most PMOs have three significant advantages, which are either inherent due to the PMO’s role or location or have been developed through previous experience:

  1. A neutral enterprise perspective: As capital allocation and portfolio prioritization approaches change to enable the funding flexibility required for digital work, the PMO’s impartial, enterprise-wide perspective on demand, investment, and resource utilization is hugely valuable.
  2. The ability to operate via influence: As organizational boundaries become more fluid and who “owns” project management becomes less certain, influencing and enabling others, rather than direct ownership, becomes even more critical.
  3. Stakeholder insight: As digitization spreads throughout the business and accounts for an increasing proportion of work, there are more first-time stakeholders and greater stakeholder complexity for each piece of work. Understanding the preferences of these various stakeholders and experiencing synthesizing their feedback becomes critical in delivering results from digital work.

Elements Driving Digitalization

Traditional businesses worldwide have long recognized that digital transformation is the key to thriving in a fast-paced world. Digital transformation involves integrating digital technology into all aspects of a business. It fundamentally alters how businesses operate and provide value to customers. It increases efficiency, transparency, customer experience, employee engagement, and culture and saves time and money. Modern digital tools have elevated the project management process to new heights.

The following are the seven critical elements of a successful strategic digital transformation framework:

This comprehensive guide explores the 7 elements for a winning strategy, including leadership, culture change, data, technology, and more. Discover how to build a successful roadmap for your business.

Elements Driving Digitalization

  1. Strategy and Leadership

An effective game plan is an obvious but frequently overlooked component of a digital transformation strategy. Instead, what matters is “how and who” formulates the strategy. A basic strategy and the appropriate technologies can help you digitize or digitalize your business, but transformation requires the right mindset and guidance. As a result, strategy combined with the right leadership is the first and most important component of an effective digital transformation strategy.

Visionary leadership combined with the appropriate digital transformation strategy can achieve a better, smoother, more cost-effective, and time-effective plan for your business’s transformation.

  1. Culture Change and Communication

Prepare for a massive cultural shift. A company’s clients and employees are typically resistant to significant changes, making implementing any transformation challenging. However, any successful digital transformation program must include culture. Therefore, giving your employees advanced training in good communication will be advantageous.

  • Discuss the digital transformation strategy with your employees and how it will benefit all stakeholders.
  • Conduct training sessions with your employees ahead of time to prepare them.
  • You can prepare your employees by demonstrating the importance of aligning culture with new initiatives.
  1. Optimization of the Process

Every business has various processes and operations that can be improved to make workflows more efficient and effective. As a result, when developing a digital transformation strategy, consider business process optimization.

The strategy must optimize the business process while meeting customer and internal team goals. The digital transformation strategy must cover all interconnected business processes to achieve maximum output.

  1. Data Curation

One of the primary reasons for implementing digital transformation is to eliminate your business’s pain points for your team and your customers. But how will you know what these aches and pains are?

Data analysis and integration can assist you in locating them. People frequently choose their preferred technologies when developing transformation strategies before analyzing their data. Data analysis and the dissemination of its results can assist the team in identifying the best solutions to problems, leading to developing a better digital transformation strategy and making the most of the transformation process.

  1. Technologies to be Implemented

Finding the right technologies for your business is one of the most crucial steps in creating a digital transformation strategy. Introducing new technologies into your business will necessitate a significant financial investment, so it must be done correctly to avoid the need for additional funds. Any impactful strategy for digital transformation will always include options and budget constraints to help you make the best decision possible. Whether dealing with legacy system updates, application modernization, or implementing entirely new digital systems, you must find the best technology.

Some cutting-edge technologies that must be incorporated into your digital transformation strategy are:

  • Cloud and Distributed Platforms
  • Data Analytics & Artificial Intelligence
  • Digital Experience and Digital Reality
  1. Team Structure

Harvard Business Review says digital transformation is about people, not tools. As a result, team structure is a determining factor in delivering results by the Digital Transformation Strategy.

The scope of the project should determine the team structure. The following components should be included in the digital transformation initiative:

  • Pack of Leaders
  • Business Experts
  • The cast of Coders and Designers
  1. Results – How to Measure the Success of Your Digital Transformation Strategy

Your company’s digital transformation outcomes will greatly influence how you lay out your strategy. The outcomes will always vary depending on the practices and technologies used. Your digital transformation strategy’s success is dependent on its agility. First, of course, you must stick to your detailed strategy, but you must also be open to changes if things don’t go as planned.

By developing an effective, clear, and robust digital transformation strategy, you can ensure your company’s digital transformation goes as smoothly as possible. A digital transformation strategy is similar to a personalized road map for significant changes in your business operations. However, it requires significant financial investment, time, and technical expertise.

From Traditional PMO to Agile 

Traditionally, PMOs have focused on maintaining project control to complete projects on time and within budget. However, in today’s increasingly complex and changing competitive environments, agile management is gradually displacing more traditional management methods; PMOs that remain anchored in this “classic” management model risk disappearing if they do not set the following objectives:

Discover how PMOs can evolve from a command-and-control model to a strategic business partner. This article explores the shift from traditional PMO to agile PMO, emphasizing collaboration, value stream alignment, and adaptability in today's dynamic business environment.

Transforming the PMO

  1. Empowering PMOs in the organization’s value streams

Organizations are now focusing on the value they provide to their customers and how different areas and departments contribute to that value creation. Suppose PMOs stick to their command and control model to ensure that projects are delivered on time and within budget. Their contribution to the organization’s value streams will be marginal, and senior management will view them as an unnecessary expense for the company.

  1. Collaboration and agility at all levels of business

Silo-based organizational models need to gain ground in agile and collaborative environments. As a result, PMOs must evolve beyond simply providing Project Managers with the tools they need to complete the organization’s projects.

On the one hand, PMOs must maintain open lines of communication with senior management to align the Project Portfolio with the organization’s goals. On the other hand, it serves as a reference point for stakeholders and project work teams, providing real-time information on project status and support at all levels for proper project implementation.

  1. Towards Agile Project Portfolio Management

Change is the norm in this new competitive environment, with highly volatile markets demanding businesses to bring products and services to market as quickly as possible. As a result, company objectives can shift dramatically quickly, necessitating a rethinking of project portfolio prioritization. This phase is where PMOs must adapt to this new environment and manage key project management issues like prioritization, resource management, budgets, or delivery dates in an agile manner, as well as learn to react to changes in their project portfolios in an agile and efficient way without losing sight of the organization’s objectives.

Post-pandemic challenges for PMO

If PMOs establish these three goals, they might avoid extinction because senior management will no longer recognize their value to the organization.

It will be challenging, and the Project Management Office will face several challenges as it adjusts to the new reality. In particular, the PMO will face some challenges for its role to be perceived as critical to the organization’s value streams:

  • Coincide the project portfolio with the overall strategy of the organization.
  • Resource management is a real challenge for PMOs.
  • Responsiveness to changes in the project portfolio.
  • Fluent in communication with the organization’s senior management.
  • Embrace Agile Leadership.
  • Standardization of processes and workflows.
  • Renewal of project portfolio management tools.

Mitigating mediocre implementation of Programs

There are always equal chances of success and failure in programs/projects. As a result, it is critical to understand how to avoid and overcome project failure. There are numerous reasons why a PMO succeeds or fails. Still, the most common reasons for failure are often not related to process or technology issues but to “people issues” in an organization.

Discover the common pitfalls that lead to project failure and learn how to overcome them. This article outlines essential strategies for successful project management, including planning, risk management, stakeholder engagement, and methodology selection.

How to avoid PMO Failures

Here are the most common reasons why PMOs fail:

  1. Adopt the Proactive Approach

After many years, project managers gain the skills and knowledge needed for the current project from their experience. As a result, an experienced and highly skilled project manager is equipped to deal with customers and avoid project failure. If you are new to project management, consult a professional mentor to discuss your concerns and receive appropriate advice based on their experience. If you have project management experience, you should apply your skills and knowledge to the project and be aware of the common causes of project failure.

  1. Plan the Project’s Strategy and Project Implementation

The most important stage of any project is planning. Most of the time, proper attention is not given during the planning stage. If you plan properly, you will increase the project’s chances of success. After scheduling your project, use the Project Management Life Cycle to begin project execution.

  1. Manage the Project Goals

It would be best to document the project’s decisions, actions, and outcomes before beginning, during, and after completion. To avoid project failure, it is always necessary to ensure project deliverables and work appropriately with customer requirements. Never rely on understanding, verbal agreements, or memory for project implementation decisions.

  1. Avoid Unrealistic Expectations

Always set realistic expectations and time frames with stakeholders, team members, or customers to meet your project’s deadline. This move is related to the proper project start but goes deeper until completion. To avoid project failure, realistic expectations for team members must be set based on their capabilities. It would help if you encouraged them to work enthusiastically and push themselves beyond their comfort zone to meet the project’s objectives.

  1. Track Project’s Progress

Project planning will assist you in determining where your project should be now. In addition, you should know how much of the work has been completed, whether your work is on schedule, proceeding as planned, and so on. These three parameters govern any project and are critical in preventing project failure.

  1. Identify Risk Factors

The best way to avoid risk is to identify, analyze, and respond to risk factors. So, if you identify the risks and potential issues early on in the project, your project team can avoid them with appropriate actions. In addition, identifying and resolving risk factors will assist the project manager in lowering the likelihood of project failure. As a result, you can perform proper risk management and avoid project failure.

  1. Use Correct Methodology

One of the most important decisions a project manager must make is the methodology to use for project management. What you choose will have a significant impact on teamwork. However, each methodology has advantages and disadvantages depending on the project type and scope. Here are some top project management methodologies to consider.

  • Waterfall method
  • Agile/Scrum
  • Hybrid approach
  • Critical Chain Project Management
  • Integrated Project Management Technique
  • Critical Path Method (CPM)

All project management methodologies cannot be regarded as the best for all projects, so one can understand the project requirements and select the best option. The correct methodology will assist you in achieving the project goal within the specified time frame, thereby avoiding project failure.

  1. Focus on Stakeholder’s Requirements

As we all know, a project will only succeed if it meets its objectives and exceeds the expectations of its stakeholders. Therefore, to be successful in project management, all team members must be actively involved in the project and committed to its success. Devoting entails writing down the following stages:

  • The competent initiative assists the team in implementing various tasks throughout the project life cycle.
  • Adequate funding ensures the organization’s cost-generating department has enough money to fund the projects.

Final Thoughts

In today’s fast-paced and dynamic business environment, agile working methods might provide significant added value that should be noticed.

Digitalization is making projects more complex. As a result, the use of technology to manage projects is growing, and project teams must be cross-functional to achieve project goals. Agile project management provides an opportunity to respond quickly to new requirements and be more visible in the market. For organizations that use a traditional approach to project management, the transition to an agile PMO is part of their digital and agile transformation.

It should be noted that this is not an evaluation of “better” or “worse” methods. When used correctly, each project management method can reveal its strengths. It is critical to think about, use, and improve them.

Challenges in a Project-Based Economy

Challenges in a Project-Based Economy

People in the Project Economy have all the skills and capabilities required to turn ideas into reality, regardless of the type of project they are working on. It is the process by which organizations provide value to stakeholders by completing projects, delivering products, and aligning with value streams.

Project-based work has well-defined goals, milestones, deliverables, and a start and end date. Projects can last hours, months, or years, depending on the project and business needs. However, the work is focused on business needs and objectives rather than specific roles.

Project Based Work

Project Based Work

Business leaders always want their teams to be agile and nimble. Adopting a project-based work mindset can help them achieve their goals. In addition, according to a recent MIT and Deloitte report, executives are increasingly viewing their workforce as an ecosystem, drawing on the diverse skill sets of their full-time employees and freelancers to meet business challenges.

Business Leaders Need

Business Leaders Need

The Project Economy Has Arrived

The Harvard Business Review Project Management Handbook (2021) by Antonio Nieto-Rodriguez states that:

  • By 2027, nearly 88 million people worldwide are expected to be employed in project management, and the value of project-oriented economic activity is expected to reach $20 trillion.
  • However, research shows that only 35% of global projects are successful, implying that project professionals waste time, money, and opportunity.
  • To capitalize on the new project economy, businesses must adopt a project-driven organizational structure to ensure executives can sponsor projects and train managers in modern project management.

The Rise of the Project Economy

Berkley’s guide states that the rise of the Project Economy will play an essential role in the Future of Work. The following statistics from the below-mentioned survey make this statement more accurate:

  • Almost 80% of executives believe the future of work will be project-based rather than role-based.
  • More than 85% of all highly skilled independent contractors work in the Project Economy.
  • According to the PMI, project-based economic activity will increase by 68 percent, from $12 trillion in 2013 to $20.2 trillion in 2027. Employers will require 87.7 million PM-related specialists by 2027.
PMI Report

PMI Report

  • 89% have at least one project management office (PMO), and 50% have multiple.
  • Project work is expected to increase by 68% in the future, according to The State of Project Management report by Wellingtone.
Rise of the Project Economy

Rise of the Project Economy

Challenges for the whole organization

The world is changing faster than ever, and businesses need help keeping up. However, savvy companies understand that the solution lies in developing and leveraging their people’s most valuable asset.

According to Global Talent Trends 2022 studies, workers are more stressed than ever. Eighty-one percent report being at risk of burnout, and one in five blame working for a company whose values do not align with theirs.

Human resource and project managers face many challenges in the whole organization.

  1. Close Skill Gap

Planning and managing long-term skill development will become more important as people lead longer, more diverse careers. Digital skills are now expected, and knowledge of business processes and related concepts is considered a core competency in every worker’s skill set.

Analytical and critical thinking skills have progressed from the exception to the norm, while interpersonal and leadership abilities are more valued than ever. Yet, many businesses face crucial skill shortages, particularly in retail, construction, real estate, manufacturing, education, medical and health services. According to McKinsey, 87 percent of executives report or expect skills gap challenges in the next few years.

  1. Initiatives to improve hiring

Hiring talented, qualified people has become critical to business success in a world of labor shortages and job-hopping. But it takes work.

  • According to Josh Bersin’s study, 74 percent of businesses in the United States underperform when hiring, and only 60 percent of newly created jobs are filled.
  • Businesses are attempting to attract not only talented but also diverse employees: The State of DEI Efforts report states that Finding various candidates with appropriate qualifications is the most difficult challenge for 43 percent of respondents.
  • Also, Glassdoor’s Diversity and Inclusion Workplace Survey states that 76 percent of job seekers and employees value a diverse workforce when evaluating companies and job offers.
  1. Leadership development

Living in a volatile, uncertain, complex, and ambiguous (VUCA) world has become the norm. Influential leaders must be agile, constantly reevaluate and iterate their leadership practices, and strongly desire to build resilience for the future.

Organizations must adapt to new levels of complexity and ambiguity due to the COVID-19 pandemic’s disruption of the global economy and traditional modes of operation. The recovery from COVID-19 and the long-term impact of its disruption remain unknown. However, many organizations plan to meet their strategic goals and objectives as things begin normalizing. They must be especially cautious in the VUCA world.

VUCA: Companies and managers must embrace versatility, agility, and discomfort to progress. Covid-19 was the year of the phygital revolution – the physical, digital, and online-offline workplace convergence. In such a VUCA environment, managers and companies must be versatile, uncomfortable, collaborative, and agile to progress in a Phygital world. Therefore, every company and leader must be skilled in being versatile, uncomfortable, collaborative, and agile.

  1. Workforce retention

The ‘Great Resignation’ has resulted in historic numbers of people quitting their jobs, with the following industries suffering the most:

  • Leisure and hospitality
  • Trade, transportation, and utilities
  • Professional and business services
  • Education and health services
  • Manufacturing
  • Construction

Businesses are grappling with the issue of how to retain employees. One solution is to provide employees with opportunities for learning and skill-based career growth. However, employees see professional development opportunities as the most important way to improve and change the company culture.

  • The Workplace Learning 2022 Report states that 46% of L&D leaders said upskilling or reskilling was a top focus area this year; internal mobility, career pathing, and employee retention fell toward the bottom.
  • According to The American Upskilling Study 2021 study, 66 percent of workers aged 18-24 ranked upskilling opportunities as the third-most important benefit in evaluating a new job, and 48 percent of workers in the United States would relocate for such opportunities.
  1. Enterprise agility

To thrive in a highly dynamic world, organizations must quickly adapt to changing technology, markets, and customer needs. Enterprise agility denotes a shift away from traditional hierarchical structures and disconnected teams toward an operating model that optimizes strategy, structures, processes, people, and technology.

Rather than being hindered by the relentless pace of change, agile enterprises are more likely to capitalize on emerging technologies and business trends to differentiate themselves from the competition. However, as per a McKinsey report, two-thirds of businesses say they need to prepare for workforce disruptions brought on by technological and market trends.

  1. The transformational potential of learning

Employees and organizations are moving together as they navigate the complexities of a rapidly changing world. Workers must embrace a culture of lifelong learning to remain relevant. The benefits for businesses are evident, with skilled workers becoming more agile and motivated. In addition, Upskilling and reskilling can transform society as a whole, allowing under-represented groups to participate in the economy and be more involved.

  1. Impact of Emerging Technologies

Emerging technologies continue to influence how we live, work, and interact in a world driven by digital solutions. Many technological advancements are beneficial: they increase productivity, make necessary services more accessible, and generally make our lives easier.

Emerging technologies such as artificial intelligence (AI), robotics, the Internet of Things (IoT), blockchain, cybersecurity, and big data can make products and services more widely available, particularly to those currently unable to use them.

Several significant benefits for business processes should also be considered. Businesses already use a variety of digital solutions to attract customers, such as applications and websites. By 2030, approximately 70% of companies worldwide will have adopted at least one type of AI technology, with other emerging technologies being implemented quickly. Thus, technological solutions will continue to automate and innovate our work.

Future Challenges for the Whole Organization

Future Challenges for the Whole Organization

Perspective Competency and Strategic Envisioning

A better approach would be to stop thinking about today’s challenges in terms of ‘project management.’ Instead, we must reframe the question to how we can do our work most efficiently. This also entails abandoning the notion of project management as a technical discipline in favor of viewing it as a collection of skills and disciplines required to complete work today. Christoffer Ellehuus, in the article Succeeding in the Project Economy, outlines four significant components for this phase.

  1. Strategy

Executing a strategy must be rooted deeply in the organization and must be understood by all. The biggest challenge is selecting the right work and eliminating unnecessary tasks. In addition, identifying opportunities for innovation, growth, and value creation are critical areas for improvement.

  1. Work

Work completion necessitates action in three areas: process expertise, workflow management, and innovation. The most challenging priority is managing multiple priorities and interrelated work streams. Project management is a skill that should be developed in every sector.

  1. People

80% of managers see the need to create conditions for leading in an environment of ambiguity. 79% know the challenge of leading through change or transformation as a priority. A significant shift in how leaders approach people management is required to nurture team members and build the capacity to deal with challenges.

  1. Self

A well-developed ability to manage and improve your capacity is immensely valuable. Therefore, the most urgent focus areas are to build creative, problem-solving, and critical-thinking skills.

Understanding Generation Z in the workplace

A new generation brings a new outlook on work. Generation Z is already an undeniable force in shifting corporate culture. By 2025, Gen Z employees will account for 27% of the workforce, bringing their expectations and values. There may be an area where an existing employee’s opinions, ideas, and working patterns vary. So, there should be an area to bridge the gap between the experienced and Gen Z employees.

Bridging the Gap – Experienced vs. Generation Z

Today, younger generations are entering the workforce. At the same time, older employees remain in the workforce for longer due to economic necessity. In the workplace, the experienced and Generation Z employees may have noticed a few challenges and questions to the management while allocating them a task together:

  • Do these coworkers have difficulty conversing with one another?
  • Do they appear to have opposing processes and preferences for completing their work?
  • Have their differences hampered their ability to generate complementary ideas and collaborate on projects from start to finish?
  • Do they find it difficult to relate to customers of different generations and adapt to their expectations?
  • Are they having trouble identifying common motivators for their team?
Challenging Questions For Experienced & Generation Z

Challenging Questions For Experienced & Generation Z

But it might be better if the experienced employee tries to learn about Gen Z’s as they are thoroughly updated on technologies and adapted to hybrid working culture. Some aspects that may build the bond between experienced and Gen Z employees:

  • Gather inputs from each other
  • Live the culture
  • Create opportunities for face-to-face interaction
  • Facilitate frequent peer-to-peer recognition
  • Form cross-generational teams
  • Implement social technology for building relationships at work
Building Bonds Between Experienced & Gen Z Employees

Building Bonds Between Experienced & Gen Z Employees

The Skills Challenges of the Future Workforce

Technology, globalization, demographics, social values, and changing personal expectations of workforce participants are causing a dramatic change in the future of work and the workforce. As per The Future of the Workforce study, there are four significant workforce causes of disruption:

  • Demographic upheaval
  • Ever-present and changing digital technology
  • An accelerated rate of change and business-model innovation
  • The rise of a new social contract
Significant Workforce Causes of Disruption

Significant Workforce Causes of Disruption

To survive the hypercompetitive, fast-paced future of work, an organization must be laced with strong interpersonal connections across a diverse workforce. In the aspect of a better workforce in the future, the employees need to necessitate the combination of four key work skills:

  1. Digital tools and technological abilities
  2. Good understanding of analytics and data
  3. Business management abilities
  4. Design and creative abilities
Key Work Skills to Survive

Key Work Skills to Survive

Get adapted to change

The projectification of work has rapidly shifted the nature of most professionals’ work, moving away from routine operations and decisively toward project leadership. In this new world, executives must answer three critical questions.

  • Is your organization prepared to thrive in the project-based economy?
  • Do professionals in your organization have the necessary adaptive mindset to carry out critical projects?
  • Do your project managers have the business skills to prioritize competing workstreams and align with shifting business priorities?

The way forward

Great projects don’t just improve work; they improve the world. Key characteristics that leaders must possess to excel in a project-driven world:

  • Project management skills
  • Product development and subject matter expertise
  • Strategy and business acumen
  • Leadership and change management skills
  • Agility and adaptability
  • Ethics and values

Managers and organizations must become comfortable devising strategies driven by change rather than efficiency to transform themselves and thrive in the new project economy. They must delegate more resources, budgets, and decision-making authority to projects and project teams rather than the traditional departmental hierarchy. They will need to develop project management skills and adopt new technologies. Finally, they must encourage a shift in emphasis away from inputs and outputs and toward outcomes and value.

Projectification And The Impact On Societies | Thomas Walenta | Dharam Singh | Episode 62

Projectification And The Impact On Societies | Thomas Walenta | Dharam Singh | Episode 62

Join Thomas Walenta, a renowned Global Project Economy expert, and myself in Episode 62 as we delve into the transformative world of projectification. We’ll unravel how the evolution towards a “project society” reshapes industries. This episode explores the ripple effects of projectification on innovation, digital progression, and the global market landscape. We’ll discuss the dynamic shift towards more agile and flexible work arrangements, the dual-edged sword they present, and the broader societal impacts that extend far beyond project completion.

Engage with us as we challenge the traditional “Business as Usual” model and dissect the evolving roles of PMOs in stable and dynamic organizational contexts. This insightful dialogue, where we share unique perspectives on the topic, is not just about information but sparking thought and discussion on how projectification influences businesses and society.

Don’t miss out on this crucial discussion that is shaping the future of work and societal development. It’s a conversation you need to be a part of. Watch now: https://youtu.be/7IXgqFQc23w

🚀 Seize the opportunity to Elevate Your Project Management Career:
– Register for my upcoming PgMP/PfMP Success Story Webinar: https://bit.ly/4bzs0U6
– Book an obligation-free consultation session on Project management Career, training, and certifications: http://talktodharam.com
– Discover training offers and certification discounts: https://bit.ly/3jWVepD
– Stay updated with our Q&A series and certification success stories by subscribing to the vCare Project Management YouTube channel at https://bit.ly/2YF0wJl
– Follow my podcasts and interviews with Project Management Experts on YouTube at https://bit.ly/2NDY8wd

Three Key Elements for PMO Growth

Three Key Elements for PMO Growth

Three Key Elements for PMO Growth

In the thrust of today’s dynamic business landscape, the imperative for Project Management Offices (PMOs) is not just to adapt but to lead the charge in transforming operations. Today, I want to talk about the pivotal role of Change Drivers in the evolution of PMOs.

The Three Pillars of PMO Evolution

1. Capacity & Skills: The bedrock of any thriving PMO, where deep domain expertise meets the agility to scale up operations swiftly.
2. Rapid Execution: With time a premium commodity, the ability to pivot and deliver at speed is non-negotiable for PMOs aiming to stay ahead of compliance curves and shifting market demands.
3. Innovation: Beyond traditional project management, the focus is now on creating value through Innovation In PM, fostering a culture of Continuous Improvement and Quality Management.

In today’s fast-paced business environment, Project Management Offices (PMOs) must embrace three key elements for growth: building capacity and skills, ensuring rapid execution, and fostering innovation. By transitioning from traditional methods to these pillars, PMOs can deliver value quickly, embed resilience, and lead organizational change effectively.

3 Fundamental needs of change drivers

🌟 As a trainer and mentor, I’ve observed that PMOs transitioning from traditional execution methods to these three core areas deliver value faster and embed resilience and a forward-thinking ethos into their DNA.

đź”— Embrace the shift and become a harbinger of change in your organization. For more insights into PMO strategy and project leadership, follow vCare Project Management.

🚀 Elevate Your Project Management Career:
– Register for my upcoming PgMP/PfMP Success Story Webinar: https://bit.ly/3S53K3a
– Book an obligation-free consultation session on Project management Career, training, and certifications: http://bit.ly/2SbhTOK
– Discover training offers and certification discounts: https://bit.ly/3jWVepD
– Stay updated with our Q&A series and certification success stories by subscribing to the vCare Project Management YouTube channel at https://bit.ly/2YF0wJl
– Follow my podcasts and interviews with Project Management Experts on YouTube at https://bit.ly/2NDY8wd