Posts Tagged ‘budget’

Decision Making Drives Organization Structure

November 10th, 2011

For many businesses, this is the time of year when budgets are being prepared, dissected and analyzed. Strategy has been discussed, capital investments have been agreed upon, and the budget for the year is put together. Many think that all we need to do now is finish strong, and get off to a fast start next year. Not so fast. There is one important step that is often overlooked. Have you and your team asked yourselves “are we structured properly to achieve our goals?” Are leaders and teams in the right spot to make decisions quickly and execute?

In my first job out of college, I worked for a very successful manufacturing company. They had great products, strong markets, and were constantly working to create positive changes. Being in finance, I dreaded the grinding nature of the budget, but I was always excited to see the “moves” they made with people. It left a lasting impression on me, and shaped how I viewed the decision-making skills and abilities among my teams.

There was one thing this leadership team did that made me think they were crazy like a fox. It was the way they were bold enough to reshape the organization. It wasn’t simply moving people around to shake things up. It was much more than that. This reshaping was based on decision-making! People were moved to new areas based on how they thought, and not just on what they knew! Those with strong problem solving skills and the ability to make decisions faster than others were often the ones with the new and challenging assignments. Talk about getting people pumped up to make a difference! These moves really did it.

How do you know if you are ready for this kind of reshaping or reorganization? First, your financial results will provide direction. If you aren’t doing well financially, there’s a good chance it’s a function of poor execution and decision-making. Second, your employees and customers will tell you where you are falling short. Do any of us have employees or customers who never say anything? I don’t think so. The third, and maybe the most effective way, is to ask your team directly. You can assign a scale to each statement to help calculate the results. Create some statements in the areas of process, people, and decision-making. Here are a few examples:

  1. Our structure helps us make the decisions most critical to our success.
  2. People understand and execute their priorities.
  3. Processes are in place to promote quick and effective decision-making.
  4. Decision makers have accurate information to make the right decision.
  5. Measures and incentives are focused on making the right decision.

This exercise is about placing people in the right spot to make the right decisions and execute with speed. You are making sure that the important decisions that create the most value are being made by those with the right skill set. If your team is short on those skills, help them develop the talent and behavior necessary to execute more effectively. Lastly, don’t shake things up just for the sake of creating change. Keep the goal in mind. Your team needs to make decisions more quickly and effectively than your competitors. Taking this approach gets you there!

Posted in Team Management

Top Secrets for Successful Project Management

November 2nd, 2011

There are four major tips for successful task management. By learning how to implement these tips, you will be able to speed up the process, have a high-success rate, and more importantly, stick to the estimated budget.

1. Defining and planning the task’s scope

This is mostly done in what is known as a project charter, a document that clearly defines the goals, the estimated timeline for completion, the cost, and all team members who will contribute to the success of the assignment at hand. The charter also defines a goal, or in other words, what success for the task at hand means.

When creating the charter, it is highly recommended that you provide as much detail as you can. Remember this very document will be circulated to all team members, the sponsoring department, and probably the main client.

2. Executive Buy-in

This is where you submit your proposal for approval before the work begins. This is especially important when dealing with large projects, which can benefit greatly from a steering and oversight committee. It would be wise to encourage executive participation in the committee from all departments that will be affected by the assignment.

It is during the committee meetings that you have to clearly define all challenges that you have encountered, or expect to encounter, and state the kind of support you expect from each party involved in order to achieve the stipulated goals within the stipulated time frame. Ensure the committee is up-to-date with the progress, but be sure to avoid the excitement of only reporting positive news. Be open and ensure you ask for support when you truly need it.

3. Time Management

This skill is very important for you as the manager and for the whole team. Take the time to master administration skills to ensure the task remains on schedule. Ensure meetings are scheduled on time, with the agenda provided in advance. Work on sticking to the agenda at all costs. More importantly, ensure each and every team member is doing their part toward reaching the end goal.

4. People Management

People management is undoubtedly the most complex, yet, the most rewarding part of project management. You should get commitment from each team member and ensure you follow through from members outside their reporting arrangement. The main reason why most tasks today fail is because of poor communication and personality conflicts; so you need to also hone your interactive and interpersonal skills in order to know how to deal tactfully with people.

It is important to keep in mind that the skills of managing an assignment, which ranges from organizational to money management skills, is the same regardless of the size, industry, or scope of the assignment at hand. It is also worth mentioning that during the execution phase, alterations to the original plan may be made in order to accommodate new demands and unavoidable circumstances that may affect the outcome of the project.

Posted in Project Management