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March 01, 2005
Project Management
Superior Project Management is the use of the right processes by the right people. Study after study concludes this. Highly successful companies “work smart”, that is, they do things, which are efficient and effective. For most firms who want to improve productivity, improving current processes gives better results every time. For dramatic improvement, adopting best practices is change worth doing.
Processes are key. Following the correct steps in the proper sequence improves effectiveness. Average project managers have improved not by going back to school but by following a disciplined approach to managing the construction process.
Construction is a business. Positive financial results give companies the fuel to grow. Conversely, negative financial results can kill a company. A business approach to project management deferentiates one contractor from his less profitable brethern.
Financial Management and Schedule Management are the two critical factors to a successful project. Most problem projects result from poor financial management or weak scheduling. Those companies that focus on these two areas consistently make higher than average profits and enjoy superior client satisfaction.
You cannot over-communicate in construction. Success often comes in giving everyone information so they may do their job. The project manager is a hub who disperses information to suppliers, clients, subcontractors, governmental authorities and other stakeholders.
Great people come from everywhere. There is no formula. People who like what they do certainly are good at what they do. Additionally, people who believe that their company is a fair and interesting place perform conscientiously. Lastly, those who are trained to succeed perform consistently well.
Follow-up is a key to success. Loose ends end up in someone else’s lap such as the client's. Tying up the final pieces gives the project finality and closure to all involved. Persons who appreciate the small details of project management receive high marks from all stakeholders including clients.
Simplicity means speed. We have championed the concept for several years. This covers all areas of construction. Speed is one of the key demands of a project. Two simple processes beat an elegant one every time.
Measurement is not an opinion. It seeks facts and verifies results. Good measurement will be unbiased giving executives insight into what is happening. Smart contractors measure events—or in other words - both results (after) and behaviors (before).
Matt Stevens is a management consultant who works only with construction contractors. He can be reached at mstevens@stevensci.com His firm, Stevens Construction Institute is located at stevensci.com
Posted by Matthew S. Stevens at March 1, 2005 04:59 AM