Investments - Project management benefits

PROJECT

MANAGEMENT

BENEFITS

INVESTMENTS

The customer’s goal is to create revenue.

Projects are investments.

Projects are investments. It can be a hotel, a web site,

the launching a new product in the market;

an airport, a new book or a local gym.

The client invested money to achieve a specific goal by:

• Solving a problem,

• Covering an existing need

• Improving the quality of life

It will also create jobs and potentially attract other investors.

a simple project...

a simple project...

with simple requirements

• Duration: 4 months

• Budget: $25,000

• Resources availability: 100%

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cost

$

Planned duration: 4months

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Budgeted cost $25,000 (distributed per month)


time (months)

cost

$

COSMOS PROJECT MANAGEMENT

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time (months)

cost

$

Resources availability: 100%

Budgeted cost $25,000 (distributed per month)


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time (months)

cost

$


Budgeted cost $25,000 (distributed per month) This is the day the customer

is looking forward to!

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time (months)

cost

$




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time (months)

cost

$



is looking forward to! You meet here, at this

fragile little point…

*spend some time to consider the project as completed. What would you (like to)

read on the closing report?

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time (months)

cost

$




Reporting four months and a week later...

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cost

$


Actual duration: 4 months

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cost

$



Budgeted cost compared to

actual cost per month.

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cost

$





The cost remained $25,000

and the are changes only to

monthly cost distribution.

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cost

$








The customer can

start focusing on ROI!

The paradox:

People tend to take for granted the processes that lead

projects to achieve successfully all the initial requirements.

The paradox:

People tend to take for granted the processes that lead

projects to achieve successfully all the initial requirements.

After applying project management processes and take a

look back, you see nothing more than what it should have

been done.


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time (months)

cost

$





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cost

$


Actual duration: 4 months 2 more months required

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cost

$



Budgeted cost compared

to actual cost per month.

More money required

to finish the project.

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cost

$





More money required


Delivering with 2 months delay.

The customer pays more money

and the ROI will delay too.

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time (months)

cost

$




More money required



Delivering with 2 months delay.

The customer pays more money

and the ROI will delay too.

“Houston, we have a problem”.

To understand the importance of a project for the

customer, think as you are the customer.

The investment goes further than the project itself.

To understand the importance of a project for the

customer, think as you are the customer.

The investment goes further than the project itself.

Delays on achieving the project objectives, delay the

creation of new jobs and opportunities or the pay back

of the business loans.


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time (months)

cost

$





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cost

$


Actual duration: 3months and 2weeks

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cost

$





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cost

$





The project’s cost is $20,000

that means $5,000 under the

original budget!

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cost

$







original budget!

The customer has already

saved money starts

focusing on ROI earlier!

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cost

$






original budget!


The customer has already

saved money starts

focusing on ROI earlier!

Delivering early and under budget the project, is the

way to promote the benefits of project management.

Saving time and money, avoiding to waste resources

and energy.

Delivering early and under budget the project, is the

way to promote the benefits of project management.

Saving time and money, avoiding to waste resources

and energy.

Requires knowledge and experience, but most of all

dedication to the project objectives.

In early, under budget deliveries, everyone is happy:

the customer, the sponsors, the project team

and many other persons for whom this investment

will become an opportunity!

In Brief

In Brief


On time delivery can be CRUSIAL for the

investment.

In Brief


Delays can cause irreversible problems.


investment.

In Brief

to save time, cost and resources is an asset.

Applying PM process


Delays can cause irreversible problems.


investment.

Investments - Project management benefits

Business

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