Common Business Questions
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19 Feb 2009
- Last Updated on Thursday, 19 February 2009 05:26
- Published on Tuesday, 29 November -0001 16:00
- Written by Janet A. Harte
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Q: I am looking for ways to increase profitability by minimizing expense. What tools are available to do that?
Q: I am looking for ways to increase profitability by minimizing expense. What tools are available to do that?
A: If you manage complex tasks and activities, consider improving your project management skills and using project management software. A common use of project management software is scheduling people, services, materials and tasks toward a defined objective. The advantages are a clear path for everyone to follow, better planning for resources needed to complete the objective, a way to identify obstacles, tracking against a timeline and, ultimately, making best use of people’s time and your money.
Q: What is the process?
A: No matter the size, there are a few common steps in managing any project:
• Specify the project
• Plan the time, events, resources and money needed to complete it
• Communicate the project to others
• Delegate activities and establish a timeline
• Motivate and inform members of the project along the way
• Measure and review progress and make adjustments
• Finish the project and evaluate performance.
Q: Do I have to spend a lot of money for project management software?
A: It depends on the complexity of the project. If you define an objective that can be accomplished with a relatively few steps, you can create a “critical path” or “Gantt” chart on an Excel spreadsheet and track the activity according to the steps required, the responsible individuals, and the timeline that must be followed. A critical path is simply a visual of the events that depend on each other and their timeline. The length of the whole project is determined by how long it takes to complete each event. A Gantt chart is a way to visually track the time for each activity and the relationships of activities to one another – as well as costs. However, Gantt charts are not as useful at showing interdependency the same way a critical path analysis does. Therefore, it is useful to use the two together in planning. You won’t be able to use these methods effectively if your projects are complex. But there is a good choice of software products on the market – many of which are designed to fit your particular needs and can vary widely in price.
Q: How to I learn more?
A: If you want a basic understanding, Wikipedia does a good job of describing project management software and related terms. There are also books such as “Practical Project Management: Tips, Tactics, and Tools” by H. Levine and “Project Management: A Systems Approach to Planning, Scheduling, and Controlling” by H. Kerzner.
Trade associations are good resource for industry-specific software. But before buying, make sure you evaluate your needs and expectations. A good fit will pay for itself in the long run.
Janet Harte is the director and certified business adviser for the Washington State University Small Business Development Center for Southwest Washington, which offers free confidential business management counseling to small and mid-sized businesses. Call 360-260-6372 or email This email address is being protected from spambots. You need JavaScript enabled to view it. .
