The Importance of Assigning Tasks and Resources in Project Management

One of the key success factors in an ERP, CRM, or other implementation is that there is good project management. This article touches on some of the features of managing the project: managing Tasks and managing Resources.

The Importance of Assigning Tasks and Resources in Project Management
John Reynolds

There are two major ways to estimate the lengths (i.e., durations) of tasks. The simplest way is to estimate the elapsed time of a task.

If someone says it will take him a week to do a particular task, he is probably offering an elapsed-time estimate. They generally mean that it will take him one work week to get a task done, not that it will take them 40 hours. When estimating elapsed time, people generally account for not working on the project tasks full-time, and for working on other, higher-priority tasks first.

In most projects, however, lengths should be estimated based on the amount of work, not the amount of time. That way, adding resources will shorten a task, and using resources only part-time will lengthen a task. Tasks that fluctuate like this depending on the resources assigned are called resource-constrained tasks.

There are several ways to estimate the resource time for a task. One is to let the project manager calculate the estimates based on an employees performance on similar tasks. Another is to let the employees performing the tasks calculate their estimates, generally based on how they performed on similar tasks. A third way to estimate is to use standard metrics for generic tasks.

Although many project managers like to follow the standards established by these generic metrics, their plans are generally more accurate when they and their employees do their own estimating. It usually takes three to five projects to become proficient, but the eventual accuracy is worth the delay. Sometimes tasks will not be resource-constrained and can be estimated based on the elapsed times. Examples would be training classes or project meetings. Even though two or more people may attend a class or meeting, the length of the task does not shorten. These types of tasks are called time-constrained.

Good project management requires excellent communication forms and documentation. Get professional project manager templates to help you with your next ERP, CRM, or other technology project.

If estimates are being provided from standard metrics or project managers, them resources (i.e., employees) should be assigned after task lengths are determined. If estimates are coming from the employees performing the tasks, obviously these steps will be reversed. Regardless of the order of these two steps, one or more employees should be picked for each task that is resource-constrained.

Employees assigned to multiple tasks are often scheduled for too much work while there are simultaneous tasks to complete and not enough work when there are no task assignments. To maintain a consistent workload, resources need to be ‘leveled.’ There are only two main ways to level resource allocations: by adjusting the task schedule or adjusting the resource assignments. Project management packages generally adjust the schedule to increase the amount of time it takes to finish the project.

Remember these basic principles for assigning task lengths and resources to improve your management proficiency.

John Reynolds has been a practicing project manager for nearly 20 years and is the editor of an informational website rating project management software products. For more information on project management and project management software, visit Project Management Software Web.

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The top 20 ERP implementation tips

Stumbling through various ERP websites, we came across this article that shows some of the key factors for doing an implementation correctly. You should probably read this one…

The top 20 ERP implementation tips
By Jan Stafford, Site Editor
22 Jun 2005 | SearchOpenSource.com

An enterprise resource planning ERP software project can be daunting for first-timers or veterans handling a migration. Get started on the right foot with the top 20 ERP implementation tips from Linux users, consultants and vendors.The top 20 ERP implementation tips

ERP Packages Feature Comparison

ETO ERP: Making the Wrong Choice

ETO ERP: Making the Wrong Choice
Roger Meloy

Enterprise Resource Planning (ERP) systems offer great benefits to engineer-to-order (ETO) companies looking to increase productivity and decrease cost. According to TR Cutler, spokesperson for the ETO Institute, ‘These benefits come as a result of a successful implementation, but not every implementation is successful.’ Cutler asserts that, ‘One reason some implementations are not successful is the selection of the wrong system.’

The ETO Institute has just published a white paper, ‘Why Do Companies Choose the Wrong System?’ This document is written with engineer-to-order companies in mind. It highlights the problems facing ETO companies trying to find and evaluate a new ERP system. The while paper provides some time and simple steps companies can take to reduce the chances of making a critical mistake. (www.etoinstitute.org)

Cutler, who authors regular columns for Industrial Connection magazine (www.industrialconnection.net) and InMFG magazine (www.inmfg.com) is looking for case study profiles of ETO manufacturing companies and their ERP experiences. ‘The good, the bad, the ugly. I want to know what ETO manufacturers think about the ERP selection process, what companies have served them well and which have not. This will provide an interesting profile for the members of the ETO Institute.’

The ETO Institute specifically highlights some of the problems ETO manufacturers face when searching for an ERP system. Go to www.etoinsititute.org and learn more. Registration is free of charge and more than a thousand ETO manufacturers are expected to join in 2005.

Thomas R. Cutler ETO Institute 954-486-7562 www.etoinstitute.org e-mail protected from spam bots

Best Practices in ERP Software Selection

This is a great post that gets right to the point about ERP Selections:

Best Practices in ERP Software Selection
Posted 8/2/2006 by Eric Kimberling (ERP Consultant)

ERP vendor selection can be a daunting task, and one that is often not given the appropriate attention. CIOs or other executives in charge of making such major decisions often make decisions based on perception, gut feel, or faulty information. For example, executives often choose ERP software vendors based on what competitors or other large companies have chosen. However, information such as this does not necessarily reflect what is appropriate or inappropriate for your specific company. Further, planning for a successful implementation involves more than choosing the right software; it also involves preparation to ensure that ERP enables measurable improvements to your business.
In choosing an ERP or IT software package and planning for the overall project, executives need to make decisions based on objective and unbiased information rather than gut feel. In particular, organizations should consider the following:
Read More…

How to Negotiate and Purchase Your ERP System

ERP Negotiations Explained

There are many sources of information on how to select and implement software, but there is little information on how to negotiate and make the purchase of the software. The uninformed can spend thousands of dollars more than they need too by walking into ERP negotiations unprepared. Those that know the “tricks” of the trade can save themselves enough to pay for several modules or a good chunk of the implementation costs.

The first thing in ERP Negotiations to keep in mind is timing. When you buy the system timing is key. As this article is being written, the clock is ticking down to the end of the year. This is an opportune time to purchase a system. Even more advantageous is making the purchase at the end of the software vendor’s fiscal year. Vendors are hungry for the deal. The need to make the numbers for the year. They want to do whatever it takes to boost their sales figures and show a successful quarter. Actually, any quarter end will do, but year end is the time when bonuses are given and certain sales incentives are taunting the software salesperson.

The next thing to do in ERP Negotiations is to keep your options open. Even if you find the best whizzbang system that does exactly what you need, there are probably several systems that will work for you. Keeping your options open and communicating that to the salesperson will only make them work harder for the deal. Even if you know you will buy their software, let them know how much better or cheaper the competition is. Give them a reason to work for the deal.

ERP Negotiations around software pricing

When negotiating software pricing, keep in mind that you may not need all of the licenses up front. You can delay purchasing the entire suite of user seats until you are ready to go live. Get enough to cover your testing and implementation phases and be sure to lock in the pricing for a year or for the planned duration of the implementation.

Don’t forget that the implementation and how it will occur is negotiable. The terms of payment are negotiable. Who will be on the project from the vendor’s side is also a point of discussion and can be changed. There are many things that you can plan out and ask of the software provider or reseller.

Considerations for ERP Negotiations

Remember that most everything is negotiable. Software price, implementation rates, duration, and sometimes even annual maintenance contracts (those these are usually the most difficult). Perhaps negotiating when the maintenance begins will be possible. If you are splitting the user seats, have the maintenance pro-rated during the implementation phase.

Unlike the year 2000 preparations, there usually isn’t an absolute deadline as to when you need to purchase, so if you must, hold off for a month or two, if it is to your advantage. Or, tell the salesperson that you plan on doing so, so what can he/she do now?

Properly planned, the negotiation will more than pay for the time spent doing it correctly. Following the vendor’s lead will lead you to an overpriced system. Keep the money in your company’s bank, not the software company’s. Some negotiation strategies will work and some will not. The key is to remember that you are driving the sale. Get what you want at the price and terms that is fair to you.

Additional resources:
http://www.managingautomation.com/maonline/channel/exclusive/read/4063236

http://dealarchitect.typepad.com/deal_architect/enterprise_software_negotiationsbest_practices/index.html

File as: ERP Negotiations