The Project Is Approved Without Recognizing Other Projects And Efforts
In some companies, a high-level manager goes to a seminar,
reads a book, or hears about some wonderful concept for a project. The manager
returns to the organization and presses for the immediate start of the project.
No one wants to take on the manager and explain that there are limited
resources. So the project is approved. We have seen this occur again and again.
Impact
By introducing one more project, management may unknowingly
not only undermine the new project, but also the current projects. All of the
projects then suffer as resources are robbed from regular work and other
projects. In one company the result was bankruptcy.
Prevention
This situation can be prevented by undertaking a review of
all projects and new ideas for projects every 3–4 months. New ideas for projects
can be suggested prior to this meeting and analyzed in terms of resource
requirements. The resources in each location can then be assessed to see what
level of resources can be brought to bear on all of the projects.
Action
If a new project is given a high priority, it will likely
demand many already committed resources. So the first step is to assess the
resource requirements of the new project. Then the current projects can be
studied to see if any can be cancelled or deferred. A resource allocation method
can then be performed to prioritize the work. If you just overlay the project
with other work, the projects will start to be affected one at a time.
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