Not everyone is familiar with the Six Sigma method and especially what it is for. We will try to break it down in this article.

Digital transformation has become the buzzword of this decade.

New technologies and tools are supporting the transformation path of large and small organizations that are competing for a larger share of the market in an extremely competitive environment.

Although digital transformation quickly follows the growth of an organization, it must be equally supported by management methods of quality control and business transformation.

Focusing on emerging markets and processes, the American company Motorola developed a new concept of quality management process in 1986.

Over the years, this process has been refined into a defined process aimed at corporate transformation.

This method is called Six Sigma.

What is Six Sigma?

Six Sigma is a set of management tools and techniques designed to improve the business by reducing the odds of error.

It is a data-based approach that uses a statistical methodology to eliminate defects.

The etymology is based on the Greek symbol “sigma” precisely – σ – a statistical term that measures the deviation of the process from the average or target of the process.

“Six Sigma” is taken from the bell curve used in statistics, where a sigma symbolizes a single standard deviation from the mean.

If the process has six Sigma, three above and three below average, the defect rate is classified as “extremely low”.

The 5 Six Sigma key principles

The Six Sigma concept has a simple objective: delivering near-perfect products and services considering business transformation with the aim of optimal customer satisfaction.

Six Sigma has its foundations in five key principles:

1. Customer Focus

The primary objective is to offer the ultimate benefit to the customer. For this, an organization must understand its customers, their needs and what drives sales and retention. This requires the definition of quality standards defined by what the customer or the market require.

2. Measuring the value flow and identifying the problem

Mapping the phases in a given process to determine the areas of waste and collect data to discover the specific area of the problem to be addressed.

3. Removal of defects

Once the problem has been identified, adjustments must be made to the process to eliminate activities that do not add value, thus removing defects.

4. Engaging and training stakeholders

Engage all stakeholders and adopt a structured process in which the team contributes and cooperates in problem solving. Six Sigma processes can impact an organization in general, so the team must be competent in the principles and methodologies used. Therefore, training and specialist knowledge are needed to reduce the risk of errors and ensure that the process works optimally.

5. Guaranteeing a flexible and reactive framework

The essence of Six Sigma is business transformation and change. When a defective or inefficient process is resolved, a change in work practice and/or employee approach is required. A corporate culture of flexibility and responsiveness to changes in procedures can therefore offer an advantage. The people and departments involved should be capable of adapting to changes with ease.

Six Sigma in project management

The Six Sigma methodology is generally implemented for project management and includes the following steps:

• Define the objectives and scope of the project. Relevant process and client information is collected at this stage.
• Measure: data on the current situation and process metrics are collected.
• Analyze: collected data is analyzed to identify the root causes of the problem.
• Improve: solutions to the problem are developed and implemented.
• Check: the implemented solutions are evaluated and, if the outcome is positive, the mechanisms are introduced and standardized in the process.

Six Sigma Criticisms

The Six Sigma method certainly shows several advantages but, like all methods, there are also critical remarks about it. This is why:

• Scope: the implementation of Six Sigma in the management of the project scope would require a clear definition of requirements and strict management of changes. The risk could be that this application could inhibit innovation.
• Time: the application of Six Sigma in time management. It would require a better planning, set deadlines, close monitoring of progress, immobile risk management and the application of better resource management. The risk could be that this application could encourage further planning freeze and increase buffers.
• Cost: The application of Six Sigma in cost management would imply absolute budgets, the imposition of accurate cost audits and effective forecasting. The risk could be that this implementation could require an “untouchable” budget.
• Quality: the implementation of Six Sigma in project management could set strong quality objectives and a rigorous selection of standards. The risk could be that this application could cause hidden problems and blame others for defects.

Some believe that Six Sigma promotes a process of incremental improvements, hindering and disregarding radical improvements, such as a major technological innovation.

Therefore, it would seem not to fit well in the case of projects or organizations geared towards the search for new innovative methods and processes.

Moreover, in project management, the person in charge is the project manager. For Six Sigma, it is generally the so-called “Black Belt” person.

When it comes to executing projects, these two types of leaders may have a different focus.

Project managers use project management methodology tools that focus on executing a project on time and on budget, aligning it with overall business objectives.

Black belts, on the other hand, are generally more focused on solving a specific problem and finding a solution as quickly and efficiently as possible.

In general, neither approach is the perfect answer in every scenario and a lot depends on the people involved, the type of project and the type of organization.

“Traditional” project management and Six Sigma focus on different aspects, but this does not mean that they cannot perform well together when used in the right way.

To understand what timeboxing is, it is imperative to think about it and consider a regular working day.

What is the standard approach when you have a list of things to do?

Most people, as well as most project managers, chooses an activity to start with and work towards completion.

You cannot move on to anything else until that first task is successfully completed.

Only then will you choose another task and repeat the process once again.

This is the standard method of doing things, but is it really always the most effective?

What if, for example, one of the tasks on the to-do list is so broad and complex that you won’t be able to work on anything else during a certain period of time?

In this situation, the timeboxing technique can help you to better manage your time.

What exactly is timeboxing?

We have already discussed time management in projects several times, such as the GTD method, when we talked about time management or when we mentioned the smoothing, but we never brought up the timeboxing technique.

Timeboxing is a very simple technique to manage time and become more productive.

The concept is to allocate a certain period of time to a task in advance and then complete this task within that time.

A practical example is to plan a meeting agenda and determine in advance how long you want to work on each topic.

During the meeting, you then set a timer and when the time is up, you move on to the next topic.

What makes timeboxing effective?

Timeboxing is a tactic designed to help you stay focused and achieve significant progress by focusing on time rather than the activities in question.

This technique is based on the psychological principle called “Parkinson’s Law” which says the work grows to fill the time for its completion.

To give you an example: If you allow yourself a week to complete a two-hour task, this task will expand to fill the whole week.

It may also not fill the extra time with more work, but only with stress and strain from having to complete it.

That’s why when you set a time limit, you focus solely on getting the activity done.

What are the advantages of timeboxing?

Obviously, the aforementioned sense of self-imposed urgency is one of the major advantages of timeboxing, but this approach also carries a number of other positive aspects, including:

• Enhanced focus: timeboxing increases the level of attention when performing an activity. There will be no room for distractions and productivity will increase.
• Recurrent revaluation opportunities: Most people do not spend time evaluating their performance until the end of the working day, when they look at their to-do list and see clearly how much remains to be done. Timeboxing allows you to analyze and evaluate your work when your time is up.
• Less stressful projects: when dealing with a particularly demanding and activity-packed project, work can become intimidating. The project seems to stretch infinitely and you feel overwhelmed. Here’s how timeboxing becomes useful in these cases: it’s much easier to think, “I’ll work on this activity for an hour”, than to think, “I’ll work on this activity until it’s over”.

How hard is it to implement Timeboxing?

Especially when you have a workflow that focuses on activities rather than time, how difficult will it be to turn the perspective upside down and make use of the timeboxing technique?

Here are some tips to start applying timeboxing in your workflow and, why not, in everyday life as well:

• Instead of starting with a daunting project, select a relatively small and simple task or job, something that you can complete in a short space of time and without too much stress. In fact, nobody runs a marathon without first training step by step.
• Likewise, set short time intervals when starting to adopt this technique. The best option is to start with 15 or 20 minutes for an activity and, if possible, to start at the stage where you are most careful, focused and energetic.
• Set a timer on your phone or computer and, when the time runs out, observe it and finish the job.
• Focus and force yourself to work, without any interruption, for that set period of time. This is probably the most difficult part and means, basically, not answering the phone, not looking at emails, not surfing the internet and no small talk with colleagues.

In the end, it is important to examine how things went and make the necessary changes for the next time.

Do you really need to check your emails during the activity? Is answering the phone mandatory due to your role in the company?

By following these steps and tweaking them over time, you will be able to effectively implement the timeboxing technique to your workflow.

However, it is also important to underline that timeboxing is not a wonder and will not automatically make you more productive and efficient.

Moreover, it is not suitable for all types of activities or meetings. For example, when it comes to creative activities or brainstorming, you will need time that often cannot be as limited as with timeboxing.

It is also important to always pay attention to the quality of the results.

No matter if with or without timeboxing, the goal of every project manager, project team and organization in general should always be top quality work.

Project benefits are referred to as “the measurable improvement deriving from a result perceived as an advantage by one or more stakeholders, which contributes to the achievement of one or more organizational objectives”.

Basically it means that the benefits should represent an improvement resulting from the project.

The purpose of launching any project is, in fact, to provide some kind of benefit as a result of the delivery of the output.

It is obvious that not all projects bring the same benefits to the organization. Let’s look at some types of benefits that can be achieved.

Types of benefits in a project

The types of benefits are, as stated earlier, variable. Here are some concrete examples:

• Quality improvement,
• Production cost reduction,
• Error rate reduction,
• A higher level of customer service,
• Increased customer retention rate.

Benefits can be classed as tangible and intangible benefits.

A tangible benefit is quantitative, i.e. something that can be measured, such as a reduction in operating costs.

An intangible benefit is something that cannot be measured accurately, although its effects can be seen, such as increasing brand awareness.

The performance management plan describes what the benefits of the project will be and how they will be classified and measured.

In order to measure the delivery of some benefits, such as cost reduction, a study of current costs within the organization is needed so that a comparison can be made after the delivery of the project.

The benefit management plan will therefore include the following key elements:

• A description of the benefit that should be provided.
• The “owner” of the benefits.
• How the benefit will be determined.
• Assumptions and risks considered in determining the benefit.

This plan will be reviewed regularly throughout the project lifecycle to ensure that the stated benefits remain on the project’s delivery path.

Some benefits, in particular, may be awarded even after the project has been delivered, which is why monitoring and measuring benefits may expand beyond the completion of the project.

Benefit management process

The project benefit management process can be divided into four distinct phases. In each phase there are a number of associated key objectives, activities and results. These are:

Benefit definition

The project must clearly outline what benefits will be provided and how they will be quantified before the start of the project.

The audience for this communication consists of all stakeholders who share an interest in the project.

When defining the benefits, it is important to take into account that most of them occur after the distribution of the output.

Therefore, the measurement and communication of benefits should also – and above all – continue after implementation.

Benefit structuring

It can be tricky to know when and how to assess the benefits of a project, but it is important to make sure to specify:

• What is measured and what is expected.
• What measures will be used and how these measures comply with the general measures of the organization.
• When and how the benefits will be assessed.
• What is the threshold of success for the realization of the benefits.
• What will be the impact on the project if the measured benefits do not match the expected benefits?

It is imperative that the method of measuring the benefits is established before the launch of the project.

Implementation and monitoring of benefits

Once the project starts, it is also important to measure and report on the actual outcomes against the expected results throughout the entire life cycle and not just at the end of it.

These reports can be used during periodic reviews to assess whether a project is still on track in terms of benefits.

Often it may seem that a project is on track, but if there are no formal reports it may be impossible to know that for sure.

Regular reporting will clearly show whether a project can achieve its objectives.

Clearly, in many cases the final benefits cannot be determined during the project, however it is possible to measure progress towards the benefits and then determine whether action is needed before it is too late.

Often the achievement of benefits can be influenced by factors external to the organization, such as government, competitors, and customers.

These factors must then be included in the measurement and taken into account to determine whether the project is still valid.

Benefit assessment

Monitoring the benefit measures and comparing them with the expected benefits identified at the start of the project will provide a good indication of a project’s performance.

This performance evaluation can be a useful guide in determining what course of action should be taken in relation to the project.

It is a fact that projects do not always achieve the expected benefits and that there are several levels of success.

Having hard data and comparing it to a predetermined threshold will help the organization maximize the potential of a project and know when there is no benefit to it.

The benefit management process certainly offers a structured approach to managing the benefits of a project, but this does not mean that this is a mechanistic activity; it is proactive and takes into account changes.

7 reasons why projects fail to deliver benefits

Sometimes it can happen that a project cannot deliver benefits. How come?

The reasons are different, but mainly this is due to:

• The initial work on identifying strategic benefits has not been expanded or developed.
• Poor definition of the corporate objectives of the projects.
• No mechanism or strategy in place to manage the achievement of the benefits.
• Lack of commitment from key stakeholders to delivering the benefits.
• Lack of unambiguous ownership of the benefits.
• Lack of robust processes to monitor benefits.
• Lack of updating in case of changes during the project lifecycle.

That is why it is important to have a clear and structured benefit management process.

To be successful, this must become standard practice for the organization, especially every time a new project is started.

During the life cycle of a project it may be necessary to change objectives, change priorities or redefine desired outcomes in light of changing circumstances.

It is critical that this process continues throughout and beyond the life of the project to ensure that the benefits are achieved.

Many employees will be working from home for the first time because of the pandemic we are currently facing.

Many companies around the world have, in fact, implemented remote working in a near mandatory way. These employees will therefore have to face the challenge of remaining active and productive in a new environment to which they may not be accustomed.

We have talked about time management before. We have done so, for example, when discussing time management in a project, or when we spoke about the GTD method, but we would have never talked about how to manage time working from home.

Coronavirus or not, the key to working from home is just proper time management and finding the balance between work and private life.

So here are some tips that will help whoever is facing home working for the first time to have a productive working day.

6 tips for best time management when working from home

If you are a Project Manager you might also appreciate reading this article on how to remotely manage a project team, if you’re part of a team, instead, then you need some advice.

You should know that the worst enemy of productivity, when working from home, is time running relentlessly. Often you get to the end of the day tired, but you realize you haven’t really achieved much.

So here are 6 tips for time management (which you must absolutely put into practice) when working from home.

1. Create a list of daily and weekly activities

You can begin by drawing up a list of the activities to be carried out during the week. These activities will then be spread out, according to priority or other important factors, over the different days of the week.

In this way the workload will be evenly distributed and you will not be faced with work overloads on one day and downtime the next.

In addition, during each working day, you will be able to tick off the list of activities carried out. This will create a psychological sense of well-being in seeing that you are making progress at work.

2. Plan your breaks

At work, it is frequent to have lunch breaks and coffee breaks and often many people, during their daily activities, take regular breaks to recharge their batteries.

This routine could be totally altered in the case of home working, which is why it is essential to plan breaks.

The time of lunch and coffee breaks will be decided in advance and, unless something important happens, these schedules will have to be observed.

During breaks it is important to leave your computer and/or phone, so that you can really enjoy this time.

Prevent distractions

When working from home, it’s much easier to be distracted.

There’s no one controlling how many times you look at your mobile phone, your personal Facebook page can be open all the time and notifications can always be on, your landline can ring at any time… In short, we’ll be subjected to a myriad of uncontrolled distractions.

Maybe this is one of the most difficult steps to take, but when it’s time to get to work, you have to turn off – or at least put on silent – your private mobile phone and close all social pages.

This way you can carry out your work faster and more efficiently, leading to great satisfaction at the end of your working day.

4. Remember to eat

This section is somehow connected to point number 2, even if taking a break doesn’t necessarily mean eating.

In fact, it is important to remember to eat correctly and healthily, especially considering the fact that we are currently fighting against a virus and the stronger we are, the less vulnerable we will be.

This also requires planning in order not to end up eating a box of biscuits or a bag of chips at the last moment.

In fact, lots of people may be accustomed to having a company canteen or favourite restaurant around the office.

Working from home therefore means facing the “problem” of finding food in another way.

Just as we said in point 1 about creating to-do-lists of work activities, similar actions should be done for food as well.

One suggestion is to draw up a list of what you will eat during working hours at the beginning of the week so that you can plan your shopping accordingly.

5. Remember that it’s a job

Surely working from home gives you the chance to sit in front of the computer in pajamas and with your hair messed up by a night’s sleep, but as tempting as this scenario might be, we strongly discourage you from doing so.

Taking a shower and dressing as if you were going to the office will make you more focused on what you are doing and working and not just surfing the internet for fun.

Another suggestion is to do everything you can to create a space that is exclusive for working at home.

Not having a well equipped home office space, especially when you start working remotely, can cause a temporary reduction in productivity.

Clearly not everyone is lucky enough to be able to afford a room that can be fully converted into an office, yet the solution could be something as simple as moving a coffee table somewhere away from distractions.

This also serves as a signal to those who live under the same roof: when you sit dressed at that table, you’re at work.

Having a space to work in and physically preparing for the working day are crucial steps for the mood that enters “work” mode.

6. Manage isolation the best way possible

There are many communication tools: mobile phones for video calls, Skype, email, WhatsApp, etc.

However, even with these tools, the sudden and forced nature that represents the transition from an office to a home environment could make it very difficult to get used to this change.

Because of the coronavirus, it is not even possible to meet with colleagues and friends once the day’s work is over.

Prolonged isolation could also have a major impact on morale and productivity, leading to depression in severe cases.

That’s why, to try to maintain a semblance of normality and camaraderie in unconventional ways, you can hold virtual meetings like a pizza party or a remote happy hour where people connect and share a pizza or cocktail on Skype.

This becomes a good way to preserve relationships or bond even more and, why not, given the oddity of the situation, it can also become a lot of fun.

It is not clear how long people will stay at home, so it is important to become accustomed with remote working in order to deal with it in the most positive and effective way possible.

It would not be bad to take advantage of this period also to try out new working tools. If you have never done so, for example, you could try TWproject for free. Have a great day at work.

I know what you’re thinking… “everything is easy when you don’t have kids at home driving you nuts.”

We have also covered this issue as well! In the next article we will discuss how to manage children when working from home.

What is a project Framework? Let’s try to learn it together.

A strong reason why project management is increasing in virtually all sectors is because the world economy has become project-focused.

Basically, everything that is not considered a routine operation is a project.

Therefore, by adopting project management frameworks and strategies – such as the establishment of clear results and the definition of a work programme – operations can be managed more effectively.

Project management in organizations is no longer an extra, but rather a priority and, in some cases, an essential part.

While the role of the project manager has changed radically over the past decade, largely due to rising technologies, the bases remain the same.

The six stages of the Project Framework

An example of one of the main tools that every project manager uses is the project management framework.

This framework integrates a number of tools and processes to ensure that a project runs smoothly from start to finish.

Depending on the company, this framework may have different names for different phases, but the six phases that comprise all the basic elements are:

Project framework 1. Initiation phase

This phase concerns the launch of a project.

Here stakeholders, the scope and objectives are defined and the requirements of the project are set out. It is during this phase that the feasibility of the project is measured.

The main end result of this phase is the start of the project.

Project framework 2. Planning phase

This is the moment when all decisions are finalized and the project roadmap is developed.

The team develops a project plan and a corresponding timeline and determines which materials and resources will be needed to successfully conclude the project.

It also identifies potential threats that could delay the end of the project or prevent activities from being completed on budget.

The final result in this phase is the development of a project plan.

Project framework 3. Execution phase

The project progresses here from design to development.

This is often the lengthiest phase of the framework and involves developing the results according to the project plan.

Here, the team will often use status reports and hold regular meetings with sponsors and key stakeholders to assess progress.

The main end result at this stage is to obtain approval of the planned product or service.

Project framework 4. Control phase

This is the tuning phase in which project stakeholders will take corrective action in response to deviations from budget, timing and scope.

The project manager could re-evaluate resource levels, monitor project objectives, and arrange meetings with stakeholders to approve changes.

The main outcome at this stage is the reporting of progress.

Project framework 5. Evaluation phase

It is at this phase of the Framework that the performance of the project as a whole is reviewed.

The project manager will use key performance indicators to determine whether the project is well on track or not.

The factors that will be monitored include, but are not limited to:

• if the project is within budget;
• if the project follows the established schedule;
• any change in the scope of the project.

The main end result at this phase is the measurement of project performance and progression.

Project framework 6. Resolution phase

A successful project ends – successfully – when it achieves all the expected results.

The lessons learned will then be collected and documented in a special paper.

This paper provides an opportunity to learn from the mistakes of the past (lesson learned) and implement successful processes for future projects.

Thus, these are the six basic phases of a project management framework.

Clearly, traditional project management processes are constantly evolving with the adoption of new practices.

Finding the right balance between the adoption of new modern tools and established classical methodologies is and will be a great challenge for project managers.

Project management framework in depth

The PMBOK Guide describes a project management framework as a basic structure for understanding project management.

Different frameworks are available and project managers will choose the one that works best for the project within their organization.

In some cases, organizations leverage multiple frameworks depending on the departmental unit or project type.

Let’s see what some of the most popular project frameworks are.

Critical Chain Project Management (CCPM)

The CCPM is designed to address the uncertainties inherent in project management.

This method focuses on resource allocation, including personnel, skills, management and capabilities during the project.

The aim is to maintain the workload level for all resources.

Lean

The key concept of Lean project management is to deliver high value with minimal waste.

The Lean method aims to achieve this through standardization, maximum compatibility, safety, repeatability, interoperability and quality.

Lean often employs the Six Sigma methodology, which is geared towards improving quality by eliminating defects, standardizing and formalizing processes.

Extreme Project Management / Megaproject (XPM)

Extreme Project Management (XPM) is a framework designed to meet the needs of very complex and often highly flexible projects.

XPM is more about stakeholder management than about the timing of activities.

In a traditional project, the result is much less complex, the change is expensive and therefore minimized, the technology is assumed to remain largely unchanged and the project is driven by the project plan.

This is not particularly suitable in high technology environments where change is a constant because the technology is constantly evolving.

XPM is therefore characterized by very short development (sprint) periods of two weeks or less.

Scrum

The Scrum method is also based on short sprints, although Scrum sprints are longer than XPM sprints and generally last two to four weeks.

Waterfall

The Waterfall methodology is generally recognized as a traditional approach to project management.

Waterfall is based on the idea that everything happens in sequence, with one phase of a project ending before the start of another.

Why are there so many project management frameworks?

Every framework has its own strengths and weaknesses, but, above all, every project has its own needs and requires specific resources.

Some elements that can determine which framework to use are the type of activity, the unique nature of the projects and the different departments involved.

A project manager must therefore be aware of what the project management frameworks are and must be able to identify which one is best suited to each occasion.

Only by choosing the right framework can a project be carried out successfully, respecting the corporate culture and the ultimate goal of the organization.

Project information flows are crucial to the Project Manager.

Also due to new design methods, pioneering products, technologies and processes, the amount of information within an organization has increased significantly.

However, the increase in the amount of information available for projects is not being exploited effectively and therefore does not add any value to the project.

This is particularly true for complex projects.

The main reason for this is the ineffective management of the information flow.

 What happens to the information?

To better understand how to manage the flow of information, we must try to familiarize with it. The flow of information requires four components:

• a starting point (source),
• an endpoint (receiver),
• a path (interaction)
• a leading force (mutual relevance).

There are two types of actors that can act as a source or recipient of information:

1) people

2) documents, i.e. tools such as graphs, reports and other documents that allow communication between groups of people.

The role of a person in the information flow is determined by their contractual role within the project.

This role defines:

• the type of information expected from a person,
• the type of information the person can provide,
• how this information is shared and how it is received by it.

Documents affect the flow of information through their structure, their depth of news and the process of information acquisition and use.

This set, i.e. the characteristics of the people and documentation involved in a project, create the potential flow of information, but this does not mean that the available information will actually be embedded in the project.

Interaction between people and documents as a key element for the Information Flow

It is the interaction between these actors that ultimately determines the fate, and thus the actual flow, of information.

Depending on the type of interaction, information may be accepted, rejected or ignored.

In order for information to add value to a project, three critical steps must be executed:

• The information must be shared by an individual in the project team.
• The information shared must be accepted by other project team members. Information that gets ignored or rejected becomes useless and basically disappears from the project unless it is shared again under other circumstances. The information accepted by others is retained in the project team’s collective memory. However, accepting information does not automatically mean that this information is used and creates value in a project.
• It is only when the information is used in a decision that they are finally able to add value to the project

The “Big Four” of interactions and communication

Several factors moderate and affect the outcome of interactions.

Basically, it is possible to reduce these factors to four main ones: trust, commitment, learning and common understanding.

These key factors then determine what information is shared, how it is shared, how it is received and lay the foundation for future interactions.

Trust implies having positive expectations about another person’s future actions when an individual is vulnerable to such actions.

Commitment is the strength of an individual’s identification in a particular organization or project.

Together, these two factors influence a person’s values in relation to the project, such as:

• how one sees others in the project team,
• how one sees their role,
• how much commitment one is willing to put in,
• one’s sense of association and interest in the project.

Learning occurs when the processing of new information changes – potentially – the behavioral range of an individual.

The common understanding comes from an informal agreement on what is relevant for the other team members and the project in general.

Together, learning and common understanding form the mental model of an individual. Mental patterns determine how one:

• Evaluates new information,
• Links new information to their existing knowledge,
• Ranks and sorts information for the project.

Project information flows: Values, mental models and decision-making process

People are rationally limited, which means that they can understand only a limited amount of information.

Therefore, one relies on one’s own values and mental models to limit the amount of information one needs.

Based on their frame of reference, people are only aware of a subset of the total information available.

From this information, people filter the information even further according to what they think is important.

The remaining information is what they use to interpret the situation and make decisions.

Due to different settings, individuals may be exposed to the same situation and information, but they may come up with very different conclusions and ideas on the subject in question.

As far as the project team interactions are concerned, the main purpose is to share information and make decisions.

Consequently, the effectiveness of the interaction becomes one of the most crucial factors in determining the outcome of a project.

In a project team moreover, the way in which others share information and the way in which a person’s contributions are received affects trust building.

This includes issues concerning how individuals feel:

• How are their contributions weighed up by others?
• Are they treated fairly?
• Is there mutual responsibility in the team?
• Have their expectations been met?
• Do project team members show commitment to team goals above their personal goals?

These considerations affect the quantity, type and quality of information shared in subsequent interactions, interpersonal dynamics among team members and people’s willingness to share and accept information.

Therefore, as mentioned above, the effectiveness of the interaction becomes one of the most crucial factors in determining the outcome of a project.

Project information flows: complex cases

In more complex cases, the increasing importance of information management and integration requires a project team entity responsible for social integration and communication flow.

The main role of the integrator is to create an environment that facilitates trust and positive learning cycles. This includes:

• Emphasize the value of individual contributions in relation to the objectives of the project,
• Manage expectations while maintaining responsibility, discipline and fairness by setting clear and consistent objectives
• Understanding of existing mental models and positive interaction between them.

This is how a proper management of information flows becomes crucial for the success of a project.

If the information is not managed correctly, some important details could fall into “oblivion” generating a series of problems that could have been easily prevented.

Working on projects and more in detail project management is not an impractical science, even if some people see it that way.

In fact, project work is a set of tools and practices, a kind of roadmap, which allows managers to lead a project from point A to point B and to do it efficiently and cost-effectively.

Everyone, in any sector, can benefit from project work, with clearly defined roles and a life cycle and structured processes.

Following a project management method can help to avoid negative situations resulting from failure to properly manage events.

A method provides the project management framework to manage the tasks that need to be performed.

Of course, this does not mean that there will be no problems and that all projects will run smoothly, but this will minimize risks and prepare everyone to deal with them.

Since projects depend on people and often one is working on something new, there will always be a certain level of uncertainty in situations. However, being clear about roles, responsibilities, behaviours, skills, processes and models can ensure that the programme is accurate, that adequate resources are available, that everyone understands what is expected of them, what will be delivered and how much it will cost.

Why project work is a method that pays off

The advantages of a correct project work are different:

• The project manager is responsible for managing a project while leading his team and establishing a strategy that will result in the execution of the specific project.
• The client benefits from the fact that they are allowed to give feedback, relying on the knowledge that their input really means something.
• The project team benefits from this because without it the project would not have started in the first place and certainly not finished. In addition, the project team is able to take part in something, work on it, and see a process carried out from start to finish.

In this way you have the perfect triangle for projects: manager, client and employee working together for the common goal.

In fact, it is this application of knowledge, skills, tools and techniques that will ultimately meet the needs and/or expectations of a stakeholder on a given project.

These are the basic rules of working for projects. So let’s see what some of its advantages are.

1. Improved efficiency in service delivery

Project work provides a sort of roadmap that can be easily followed and leads to the completion of a project. Once you know the risks and the general aspect of the path to be taken, it is clear that you will be able to work smarter and more effectively.

2. Improved customer satisfaction

Every time a project is carried out on time and on budget, the client is satisfied. And a happy client is the one who will continue to come back in the future. Smart project management provides the tools that allow this client > manager > organization relationship to continue.

3. Increased effectiveness in service delivery

The same strategies that have made it possible to successfully complete a project will continue to be applied to similar projects in the future.

4. Improved growth and development within the project team

Positive results not only boost respect, but most of the time inspire the team to keep looking for ways to do the job more efficiently.

5. Increased stability and competitive advantage

This isn’t just a good advantage of project management in the workplace, but also beyond it. Word of mouth travels fast and there is nothing like superior performance to ensure a privileged place for an organization in the marketplace.

6. Opportunities to expand services

Great performance brings more opportunities for success.

7. Improved flexibility

Perhaps one of the greatest advantages of project work is the flexibility it allows. Surely project management allows you to map the strategy you want to follow to see a completed project, yet the great thing about such an organization is that if you find a smarter direction to take, you can change it and embrace it.

8. Increased risk assessment

When all players are aligned and the strategy is in place, potential risks will arise. Project management provides a red flag at the right time.

9. Quality increase

This goes hand in hand with greater effectiveness.

10. Quantity increase

An increase in quantity is often the result of improved efficiency.

Project work: achieving the objectives

The implementation of fundamental project work strategies therefore allows to narrow the focus, achieve the desired objectives and, above all, achieve them within specific time and cost limits.

The end result is that everyone comes out a winner, which could be the best advantage of project work ever and the confirmation that it is a method that pays off.

Finally, the main advantage of project work is that it helps to manage projects effectively, allowing problems to be resolved more quickly.

It takes time and money to manage a project, but following good practice can help you to:

• Improve the chances of achieving the desired result
• Get a new perspective on the project and how it fits the company’s strategy
• Prioritize resources of the activity and ensure their proper use
• Set the scope, planning and budget accurately from the outset
• Keep on schedule and keep costs and resources within budget
• Improve productivity and quality of work
• Promote consistent communications between staff, suppliers and customers
• Meet the diverse needs of the project stakeholders
• Mitigate the risk of project failure
• Increase customer satisfaction
• Gain a competitive advantage and increase profits

Not working on projects, therefore, can lead to loss of time, money and in the end, poor performance.

What is the matrix system for risk evaluation and why should we talk about it? Well, it’s pretty simple. In today’s era of changing market trends, risks are unavoidable.

Whether it’s a start-up or a multinational company, in the end everyone faces risks that require the utmost dedication.

Every time you start a new business, one of the most important questions to ask yourself is “what could go wrong?“.

Some issues are in fact destined, in most cases, to go wrong during the life cycle of a project.

It is not easy to assess risks, even less to manage them, and if you are not ready to assess and control these risks, the very survival of the project could be at stake.

Companies spend a lot of time and financial resources analyzing different types of risks and devising valuable measures to reduce their impact.

There are some essential steps that need to be taken for proper risk management.

The risk management process – or risk management – begins with a risk assessment and then moves on to risk analysis and actions to be taken to minimise it.

The project risk analysis is not a simple process and there are various methods for effective risk management and one of those methods used for risk evaluation is the matrix system. So let’s examine it further in this article.

What’s the risk matrix?

The risk matrix is also known as the probability matrix or impact matrix.

It is an effective tool that helps in the risk assessment considering the probability versus the severity related to the potential risks of a project.

A risk matrix is a visual representation of the risks associated with a particular project to help organizations prepare a containment plan and the resulting decision making process.

In a nutshell, it is a tool that helps to reduce the impact of risk that might otherwise result in negative costs for the company.

The matrix consists of a grid, showing the probabilities on the Y-axis and the resulting impact on the X-axis.

These two elements are considered to depict accurately the nature of the risk.

Different levels of risk in the risk matrix

A risk matrix looks just like the one shown in the picture and features different levels of risk:

1. Critical or high priority risks: these risks hold a high call to action. They are an absolute priority and must be addressed immediately.
2. Main risks: these risks are also high, although generally classified lower than the “extreme” risk cell seen previously.
3. Moderate risks: These risks are also referred to as medium level risks. They do not rank high priority and are associated with the development of an alternative strategy to overcome possible blockages during the life cycle of a project.
4. Minor risks: Last but not least, these risks represent a low ranking in the risk evaluation matrix, but this does not mean that they aren’t important. However, these risks tend to be considered only after the major risks have been mitigated.

The grid of a risk matrix is used to assign a certain priority to the risk.

The resulting figure therefore helps to understand the nature of the risk and what needs to be done to minimize it.

In addition to these divisions, as can be seen in the figure, there are three main zones within the matrix.

After having analyzed the risk, it can belong to one of these three zones:

• A low-risk area considered acceptable – coloured yellow;
• A moderate risk zone that may or may not be acceptable, coloured green;
• A high risk area considered critical or unacceptable, coloured red.

These areas makes the result of a risk matrix more open, giving a clear division as to the priorities and future steps to be taken.

The advantages of a risk matrix

Let’s examine some of the advantages of a risk matrix and how it can be effectively used for risk management. A risk matrix helps to:

• Prioritize risks according to their level of severity;
• In risk planning, it helps to neutralize possible consequences;
• Allows the analysis of potential risks with minimum effort;
• It improves the security measures of the organization;
• Gives the team an overview of the potential risks of a project.

Without a risk matrix, chaos can result within the organization and some unexpected circumstances can be faced.

By contrast, using the risk matrix for risk management will not only reduce the probability of the risk itself, but will also reduce the magnitude of its impact on operations.

It provides timely data that quantifies threats and facilitates the organization to take consistent measures to reduce the potential chaos that could occur in the event of ambiguities or wrong decisions.

The numerical values in the risk matrix provide an effective way to represent the organization’s exposure to risks and how much effort is required to minimize them.

For a project manager, it is also possible to create a risk assessment matrix and integrate it into project management software (link to home) or create one directly within innovative project management software.

Having a clear view of risks in any organization is in fact a tool that can change the perception of any project.

However, it is important to understand that a risk matrix is a tool and not a complete solution for the needs of a project.

The final decision and how risks are handled depends on the intellectual value of the people who interpret the results of the risk matrix.

Estimating the effort and costs of a project is, for some project managers, one of the most difficult aspects of project management.

To prepare an accurate and complete project plan, it will be necessary, in fact, to estimate many factors. How much time it will take to accomplish the work, how much it costs, how much money the project will save or earn, the extent of the risk and a multitude of other aspects.

Estimation is the approximate determination of the size, extent, value, cost or nature of something.

As many project managers will say, the key word in this definition is “approximate”.

The core of project management is thus, even with significant prior experience, the uncertainty inherent in any project. This simply does not allow for absolute accuracy in estimates.

Estimation methods for project effort and costs

It is unnecessary to discuss again the differences between effort and duration of which we have discussed in depth in this article Let’s stick to the concept that estimation is essentially a hypothesis, and let’s see what can be done to make it the best possible scenario.

Here are five methods to achieve the most realistic possible estimates:

• Ask the person in charge of carrying out the work to prepare the estimate.
• Ask an expert or a person with experience in that particular area to give their opinion.
• Use existing data – perhaps from similar past projects – and make appropriate changes (lessons learned).
• Use tests, field studies or other simulated experiences as a guide.

All these approaches are definitely worthwhile and, depending on the occasion, some will work better than others.

The best approach will depend on factors such as the availability of historical data, the estimation capabilities of the performers or experts in the field and the amount of time available to prepare an estimate.

Estimates should represent what the project manager believes is the most likely outcome and therefore should not be worried about applying their judgement to the input they receive, as long as they have a reason to do so.

Estimate dangers

Estimation is certainly a difficult process and there are many factors that can undermine the accuracy or validity of a project’s effort or cost estimates.

Among the most common dangers are the following:

• Badly defined workplace: this may occur when the work is not sufficiently divided or the individual elements of work are misinterpreted.
• Omissions: in a nutshell, something has been left behind..
• Excessive optimism: in this case, a successful scenario is used as the basis for the estimate and the worst case is not even considered..
• Padding: This happens when the estimator includes a safety factor in the estimate, a kind of padding that ensures that the estimate is met or not exceeded.
• Lack of risk and uncertainty
• Rushed estimates: if estimates are rushed to meet a deadline which is too tight, they are almost likely to be unrealistic..
• The executor and the estimator both have two different levels of skill: people work at different levels of efficiency and sometimes have a significant impact on the time and cost of an activity. For this reason it is necessary to make an estimate considering who will actually do the work..
• External pressure: Many project managers are assigned specific – and sometimes unrealistic – project effort and cost objectives. If a project manager finds himself in this situation, they should communicate what they think is within reasonable reach.
• Failure to involve the executors of the activity: an estimate developed without involving the executors of that activity could be inaccurate because it is based on erroneous conceptions. This is why a direct comparison between the estimator and the executor is always important.

 Planning Game: an estimation method

In addition to the traditional methods to estimate the effort and costs of a project, another one exists, mainly used by the Agile teams: the Planning Game.

The purpose of using this method is to avoid the influence of other participants.

The Planning Game should force people to think independently and propose their estimate numbers at the same time, without input and influence from other participants.

Let’s see how a planning game normally takes place. Each participant has a series of cards with an estimated value (the values can be those, even approximate, of the Fibonacci sequence).

The individual activities to be carried out will then be taken into account. Each team member considers all the factors of the project activity and selects a card that they will place face down on the table. Once all participants have made their move, the cards are turned.

It is not possible to select two cards for the same activity.

Then, the participants will review the assessments made and discuss together the reasons for their choices.

Each participant, in this way, will think independently and how much effort the team will spend to complete the activity in question.

Once the discussion is over, the evaluation will be repeated until all the participants give the activity the same value. Then, this value will be written on the Activity in question and the process will be repeated for the next Project Activity, and so on until the end.

For each activity, the highest and lowest values attributed will be crucial. It is not necessarily the case that those who have given such assessments are wrong, but it may be possible that these team members may have valuable information or knowledge for a more realistic estimate.

This way, at the end of the Planning Game, a shared estimate of each individual project activity will be made. In this way, no team member and no external stakeholders can blame anyone for incorrect estimates.

The Planning Game is sometimes also called Planning Poker or Scrum Poker, and is a derivation of the Delphi Method, a group decision-making technique in which participants give their estimate to a facilitator who is responsible for providing an anonymous summary of the expert evaluations along with an explanation.

The Planning Game to overcome the risks of estimating the effort: conclusions

Ultimately, the most adequate effort and cost estimation technique for each individual project depends on the experience of the project manager, their preference and the parameters available in each situation.

In addition, there are now project management software programs that use statistics to help project managers calculate contingencies to deal with risks, uncertainties, and unknowns relatively smoothly.

Although there are some minor differences, the basic concept is the same in all tools: to provide a set of possible results for the individual work elements of each project. Have you ever tried the TwProject statistics for free? If you haven’t yet, enjoy the 15-day free trial now.