FUTURE TRENDS IN PROJECT MANAGEMENT

As a project management executive responsible for the livelihood of 200 project managers around Australia, I spend a considerable amount of my time trying to predict the future trends in the industry and the impacts these will have on my business and my teams.

In this post, I wanted to outline for you some of the trends that I believe will have major impacts on the field of project management over the next 5 to 10 years. Some of these trends have already begun, others are the natural extension of the current research and learning that is taking place in the project management academic community right now.

From Chains to Networks

Much of our profession is built on the premise of Michael Porter’s ‘Value-Chain’. Current project management theory, frameworks, methodologies and tools are designed around the assumptions of linearity and sequentiality which are inherent in this model.

However, the world has changed since the Value-Chain model was first developed. Recent project management research indicates that we create value, not by managing a Value Chain, but by managing complex, adaptive, Value co-creation Networks.

This new research has significant and profound impacts for our profession. The frameworks, systems and tools that we needed to manage the old Value Chain model are not the same as the frameworks, systems and tools that we will need to manage a complex, adaptive, Value co-creation Network.

As a result we can expect to see many of the processes and tools that have served us well for decades replaced with new ideas. Ideas such as:

1.  An increased focus on Complexity Theory and how it impacts project management.
2. An increased focus on Design Thinking and Design Thinking tools.
3. New scheduling and programming methodologies and tools to replace lineal CPM tools such as Gantt Charts.

From Time, Cost and Quality to the Project ‘Experience’

As a result of the move from Value Chains to Value Networks we can expect to see more and more focus, not just on what we deliver, but on the delivery ‘experience’ itself. One of the most significant differences between how a Value Chain and a Value Network are managed is that a Value Chain focusses on the delivery of Functionality where a Value Network focuses simultaneously on Functionality and the Representation of Value.

Functionality means that the final output that we deliver needs to achieve the core purpose that the final users want to put it to. Functionality refers to the technical aspects of what project managers do. We can measure Functionality objectively against pre-determined metrics such as time, cost, quality and scope.

Representation of value is everything, other than Functionality, that people are expecting to achieve through their involvement in the project. Representation of value refers to the human side of what we do. This includes, not only the personal benefits that stakeholders might get from using the product, but also any emotional satisfaction that they might derive from being involved in the process. As you can imagine these Representations of value can be wide and varied. Representation of value in assessed subjectively by stakeholders against expectations that the project manager may, or may not, be aware of - making it by far, the more difficult aspect of the Network to manage.

As a result of this move from purely objective project assessment criteria, to a dual objective/subjective project assessment criteria we can expect to see the following changes to our profession:

1. An increased focus ‘soft’ project management skills.
2. The inclusion of ‘Emotional Intelligence’ as a a core project management requirement.
3. An increased expectation by stakeholders to be intimately involved in the project delivery process.

From Project Implementers to Strategic Managers

To keep up with the increasing pace of business, more and more corporations will begin to realize that ‘Projectification’ will need to replace ‘Business as Usual’. When this happens we will see a shift in how project management is viewed by Top Management Teams and the C-Suite. They will begin to realise that strategic management and project management have some striking similarities. For example;

• Both manage a process that will result in a unique outcome to create a competitive advantage.
•  Both operate in complex delivery environments that are subject to ambiguity, variability and uncertainty.
• Both recognize that these environments require predictive frameworks which help capitalize on opportunities, mitigate risk and manage unpredictability.
• Both require practitioners to view their subject matter as generalists, rather than specialists.

As this change occurs, we can expect to see the following changes to our profession:

1. Corporations changing their business systems to more project management based systems.
2.  An increased focus on the ‘Iron Triangle’ of time, cost and quality being incorporated into corporate strategy; and as a result of this
3. The rise of the Chief Project Officer, who sits on the board alongside, or potentially replacing, the Chief Operating Officer.

Conclusion

We are at an exciting and challenging time for our profession. Much of what we currently know and think about our role is about to be challenged in a myriad of ways. For any other profession this might create some consternation – but fortunately, project managers are not like other professionals. We thrive on change and find ourselves excited by challenges that others would shy away from. As a result, we are well placed for these future trends, and will no doubt be able to capitalize on the opportunities that these changes present.