If You're Running the Business, Who's Running the Project?
We have talented people on our team!
Why aren't we finishing what we've started?
Time to go the last mile.
The other morning, I met a CEO who went through an ERP transformation in a previous company.
He told me that they put their "most talented person" in charge of the implementation. Of course this person could do it!
The project took three times as long as they expected - instead of 12 months, it took 36.
So what happened? Their most talented person was on it, right?
He said they did not realize that their best person was already at 110% capacity. And the basic "blocking and tackling" of the business did not stop just because the organization was going through an ERP transformation. Customers still called, stuff still broke, and the normal business activities were just as busy as ever. In other words, they struggled to take ERP to the last mile.
What to do if you can't afford outside expertise?
1. Consider what project execution really costs.
It makes perfect sense to only pay for help when there is a clear ROI. Your investment dollars must be realized by your anticipated return.
But what about when some of the costs of execution are hidden? How do you calculate those savings, or harder - quantify delayed earnings?
There are many costs of project execution, and some are hard to quantify precisely. For each of the items below, when you don't have hard numbers, go Yelp-style with relative costs: use $, $$, $$$, $$$$ for each category:
Internal Costs: Salaries or wages, system or equipment usage time, cost of scrap if running physical pilots, etc.
External Costs: New equipment, licenses, outsourced expertise
Opportunity Costs: What you can't do because this isn't done yet, or what you can't SELL becasue this isn't done yet
Cost of Risk: Burnout, competition getting it done sooner, obsolescence, etc.
Cost of Delay: Determine the above by month, and estimate the monthly cost of delay. Consider previous projects and whether they were delayed, and by how long. If you haven't done this before, research average delay in the industry - and if that is different with/without a dedicated PM.
Maybe you don't have the cash for the outsourced expertise, but do you have the luxury of allowing for an indeterminate delay?
2. What would it take for OUR TEAM to do this well?
Everyone has been on a project sometime in their lives that has gone well. Think of a sports team you were on that won a championship. Or a theater performance you were in that got standing ovations. Maybe your high school band transformed over your four years to rocking the stadium at football games.
Consider what was true in any great life "team" experience you've had, and articulate what went well. I'm guessing there were aspects of the following:
Alignment: Everyone shares the same goals, knowing what is expected of them both individually and as a team player
Competence: People have the right technical skills or are willing to learn/practice/improve quickly
Available Time: Having sufficient time available to practice, perform, learn, improve, and (importantly!) bond as a team
Structure: Teamwork was not ad-hoc; there was a way it was done, and likely a leader, coach, or instructor who kept everyone accountable
If you want to evaluate your current team in these areas - let me know, we have an assessment for that.
3. Transparency and Measurement
No one feels successful when they are confused, operating in a silo, or unclear how progress is being tracked. After all, "ambiguity is the enemy of execution," as I like to say. And nothing clears things up like a quantifiable KPI. But how do you measure the ability of a team to execute projects?
Well, take the Executagility® Assessment and find out. If your team scores an 80 or more (GREEN!) then chances are your projects are not stalling, and you are accomplishing the project goals you set out to accomplish. Heck, your team can even rattle off the quarterly projects in prioritized order, explain why they are important, and what you expect to have done by the end of the quarter. Each person knows not only their own role in the project, but the role of all the team members including the Sponsor and Project Manager, and they all feel competent and like they have enough time to meet expectations.
Better yet, you are measuring not only project progress and results, but the health of the team as you continue to deliver quarter after quarter.
Does that sound like you?
You probably have great people who are very busy. On a big project like an ERP Selection and Implementation, you may not feel like you can afford the help, but when you consider the components of hidden/true cost, what your team needs to be doing well consistently, and whether you are measuring progress transparently, it is possible you can't afford *not* to get help.
If this scenario applies to you or a friend, give me a call or forward this newsletter. It's time to Stop Starting and Start Finishing - we're here to help you go that last mile.
Friends don't let Friends Stall Before they Finish.
Give me a call.
Andrea
503.957.4392; andrea@ajccompany.com
"Ambiguity is the Enemy of Execution."