How to Give a Project Liftoff With a Creative Brief

Image represents Creative Brief Examples

It’s easy to relish excellence when we see it. Not a few of us watch the Super Bowl just for all those creative commercials that reel us in, inspire us and make us laugh. Or we might have made a memorable trip to an iconic building that captures the soul of a city, such as the Dancing House in Prague. And all of us have discovered a product that fits so well into our lifestyles that after just a few weeks we wonder how we ever lived without it.

In all of these instances, the creator had a firm grasp of the project’s essence, and the function it was meant to serve.

More often than not, however, the final deliverable in a creative project conjures up a ‘meh’ response. Every day we come across architecture that’s blah, products that are full of flaws, and commercials that land with a dud. In these instances, it’s quite likely the project lacked coherence from the start. The client and creative team never crystalised the project’s “why” and so the deliverable was fuzzy and subpar.

During the initial conversations of any project, the job of creatives on a team is to assemble the hodgepodge of musts, desires and ideas a client brings to them. In essence, this criteria comprises the creative brief. It identifies the limitations and clarifies the essence of what “there” looks like, as well as propels the team onto innovation and creativity.

Let’s take a deeper dive into the topic of creative briefs and consider the functions and components of one, then look at a few examples of creative briefs shared by professional artists and makers.

Image represents the Function of a Creative Brief

The Function of a Creative Brief

A creative brief is written at the inception stage for a project or marketing campaign. It is a statement put together by the client and the creative team.

The creative brief is the project’s vision. It’s been given a variety of descriptions to clarify its function within a project. Some call it the project’s DNA, others call it the plot starter for the creative journey and still others call it the “project starter” that allows the project to ferment and bubble during the execution stage. The creative brief articulates the “why” of the project.

True to its name, a creative brief is short. Some say that the best can be summarized in a sentence or two, while most never exceed two pages.

A creative brief sets necessary limits on the project and propels the team to think creatively. This entails including certain information within the brief and keeping other information out.

What a Creative Brief Includes

A creative brief describes the idea or the purpose of a project. More than providing specificity, it explains how the deliverable adds value, what it enables in someone’s lifestyle, or what it compels the end user to do.

Take the example of a project to redesign a backyard. The creative brief doesn’t lay out a lot of specifics to include the end result, such as a fire pit, several Adirondack chairs, a pizza oven and a pergola. Rather, it states that the final deliverable must create a welcoming space for people to gather in the summer.

For a technological product, the brief might state that the aim is to minimize multitasking in the lives of busy professionals. Clearly, a product that solves this problem could take a variety of forms.

And ideally, the brief doesn’t include a whole lot of redundancy. In its final form, it’s a lean document that cuts to the heart of the project.

Creative John C Jay of the marketing agency GX outlines the parameters of a good brief: “The more concise, the sharper the point of view as to what is the problem, the better the work will be.”

A creative brief without too much specificity gives the team clearance to come up with creative and innovative solutions. However, a brief does have one foot firmly planted in reality. For example, it generally includes a timeline and a budget. Oftentimes a project has other limitations as well. The right mix of limitation and latitude positions the team in a sweet spot for creativity to flourish.

What a Creative Brief Doesn’t Include

Although in days gone by, creative briefs laid out specifics around the materials or the media to utilize in the project, the modern briefs tend to exclusively focus on the project’s “why” and to leave the “what” and the “how” for the team to dig in and solve during the project’s execution.

A creative brief that is too long or specific may function like a pair of handcuffs rather than a pair of wings. And so any excess has been carefully trimmed out.

How a Creative Brief Works Into the Project

A creative brief, again, functions as the yeast that allows a project to propagate and grow. It propels the team. And while a solution develops out of the brief, it doesn’t function like a timeline or a Gantt chart and provide a linear solution.

A team might even push up against a creative brief. As he recounts in the film Briefly, designer Yves Béhar of the company Fuseproject assumed the role of the contrarian when designing a chair for a European company. The client pointed out that all mid-range chairs in Europe have a foam or cushion backrest, implying that this chair must as well. Béhar instead designed a chair with a metal backrest.

The creative brief develops and evolves with the project. It’s a reflection of the relationship between the client and the team. Although it provides a creative with a place to start, it may very well change as the project evolves. If the brief starts to constrain or frustrate the team, it may be scrapped entirely. It’s not uncommon for a creative brief to be rewritten several times throughout a project as new ideas emerge or the consumer needs change.

With these parameters in mind, let’s look at a simple formula for creating the outline of a creative brief.

Image represents a Creative Brief Formula

A Creative Brief Formula

Although in its final form, a creative brief often ends up at around two pages, the essence of a strong, well-defined brief can be encapsulated in a few sentences.

Let’s look at a simple formula that helps to distill the essence of the brief and provide it with focus. This formula is known as the “get, who, to, by” method. Here are its four components:

  • Get: This identifies the audience of the campaign or project. Who is going to take action on the outcome?
  • Who: This characterizes the target customers and outlines things like their lifestyle and any problems they need to have solved.
  • To: This states the specific action the target customer is intended to take.
  • By: This explains the “what” of the project. What will the product do? What will the advertising demonstrate?

Let’s look at an example of a creative brief using this formula. This example outlines the vision for a campaign promoting the app for a meal-delivery company.

  • “This advertising campaign aims to GET busy soccer moms WHO struggle to provide their kids with healthy meals because they don’t have a lot of free time in the evening TO order to-go meals BY showing that a healthy, affordable meal is just a click away.”

See how so much about the campaign is crystallized in just one sentence? The customer is identified, her problems are clear and the substance of the advertisement is outlined as well.

In order to maximize the effectiveness of this formula, keep these pointers in mind:

  • A good creative brief uses visual language and isn’t full of business jargon. It paints a picture in the head of the person who’s reading it. In the example above, for example, the audience could have been described as “35-45 year old mothers,” but “busy soccer moms” gives a better visual of the target audience.
  • The formula fleshes out the audience’s problem. The example above might have read like “mothers who need to make dinner for their kids in the evening.” However, the language instead clarifies the central struggle and aspiration of these mothers: They want to provide healthy meals but they cannot find the time. When the problem is stated in sharp relief, it provides a path toward creating a solution that addresses it.

This “get, to, who, by” formula allows you to encapsulate the creative brief into a pithy statement that’s easy for everyone to grasp right away. At this point, depending on the specificity necessary for the project, it’s possible to break things down a bit further.

Image represents components of a Creative Brief

The Components of a Creative Brief

A creative brief blends the pragmatic and concrete with the creative, elusive and romantic. It emerges from close communication with the client, outlining the vision, the shoulds, the musts, the limitations and the unique market position of the client.

Although every creative brief looks a little different, each one includes some elements of the following.

  • Research
    Though short, a creative brief is developed out of lengthy research. It grows out of interviews with the customer, a study of the target audience, and investigation into the competition and competing products. Although much of this knowledge won’t make its way into the brief, any key findings help to shape and mold the parameters of the final brief.
  • The Dream
    A brief, as explained, is a vision. It includes a deep sense of where the company wants to go and its aspirations. It might say something like, “With this product, we aim to incorporate music into people’s everyday lifestyle.”
  • Background on the Company
    In order to provide a deliverable that jibes with a client, it’s essential to have a firm grasp of the company’s culture, its previous products and its customers. This, too, entails research into the company’s history and its mission statement. Culture is often unstated, and so it can be appreciated just by spending time with the client and getting to understand what they stand for.
  • The Problem & the Objective
    The brief identifies and states the problem that the project seeks to solve. It might include something like, “With this alarm clock, we seek to reduce an aversion to waking up in the morning.”
  • The Audience
    The brief describes the target audience with pertinent demographic details. What are their ages, their incomes, their lifestyles? It doesn’t go into great detail here, but it specifies details as they relate to the problem and the objective. It also clarifies the actions required from this audience.
  • Challenges to the Objective
    The creative brief may outline any obvious hurdles to achieving the objective. Maybe there’s a technological hurdle, fierce competition or permits that need to be obtained.
  • The Competition
    Although an organization doesn’t follow its competition, it certainly keeps a scrutinizing eye on them. It identifies how they’ve positioned themselves in the market, what they’re currently working on, where they’re excelling and where they’re lagging behind.
  • Timeline & Budget
    The brief also outlines key constraints such as the budget. It states a realistic timeline, given the work required. These constraints keep the project in check, and can even serve to propel creativity.

This summarizes some of the key components to a creative brief. It’s important to note that a brief shouldn’t read like a list of instructions. Ultimately, the client wants a creative solution, and isn’t looking to have a prescription filled. A good brief propels and enthuses rather than restricts, and so it may not necessarily outline all of these details, but just so many as to clearly define the scope of the project.

Image represents Examples of a Creative Brief

Three Examples of Creative Briefs

Let’s look at some creative briefs shared by professionals in the film “Briefly,” produced by Bassett and Partners.

David Rockwell, Rockwell Group

David Rockwell is the founder and president of the company Rockwell Group, which melds his love for technology, theater, craft and architecture. Rockwell Group provides multi-disciplinary services to clients that include product design, set design and interior design.

In the early 2000s, the Cosmopolitan, a resort and casino in Las Vegas, hired the Rockwell Group to assist with the building’s interior. At this point, the construction on the building was midway. Here’s how Rockwell summarizes the creative brief for the project:

  • “Help us create a resort that is substantially more urban than anything that exists in Las Vegas, will be more contemporary and might in fact relate to the way the world changes so quickly in a way Las Vegas doesn’t.”
  • The brief further acknowledged the limitations and givens of the project. As the building was already half complete, much of the layout couldn’t be changed, including eight concrete columns on the first floor. The layout also required placing restaurants on the third floor, a somewhat inaccessible location.

While one aspect of this project stimulated the creative team, another component limited it. As it turned out, these limitations in fact became features of the project.

The request for mobility and change found expression in enormous open source canvases hung along the eight concrete columns in the resort’s lobby. These canvases became a rotating showcase for contemporary art. Rockwell Group further suggested drilling a hole through the first and second floors, providing a dramatic visual into the restaurant and lounge area, and a space to hang an immense crystal chandelier that’s become a trademark of the resort.

Rockwell’s anecdote demonstrates how a good creative brief balances provocation and limitation. When supplemented with inspiration, constraints in fact provide a project with a fertile creative soil.

John C Jay, GX and Wieden & Kennedy

John C Jay is the president and executive director of the independent global creative agency GX, as well as a partner at the advertising agency Wieden & Kennedy. He’s served as the creative director for Nike and has worked with Microsoft and Coca Cola.

In 1996, Nike hired his agency to create advertisements for the 1996 Summer Olympics in Atlanta, Georgia. After an intense summer of interviewing hundreds of athletes, Jay and his associates came up with this exceptionally terse and provocative creative brief:

  • “Sport is war, minus the killing.”

This set the tone for the campaign, and resulted in images that fell just short of athletes shedding blood. The fierce, unsmiling athletes were captioned with aggressive phrases such as “I’m not just happy to be here,” “You don’t win silver, you lose gold,” “Pageantry is a distraction” and “If you can’t stand the heat, get out of Atlanta.”

And although this brief perfectly aligned with the spirit of the athletes and the event, Jay acknowledges that the team stumbled and felt around in the dark for a long time before arriving at it. Ultimately, it emerged out of a consistent message communicated by the athletes around how they approached competition.

Jay’s anecdote demonstrates that even a short brief is the result of hard work and is backed up with lengthy research.

John Boiler, 72andSunny

John Boiler is a co-founder of the global advertising agency 72andSunny, which is headquartered in Los Angeles and Amsterdam. With his friendly demeanor and signature derby hat, Boiler aims to foster creativity in an ego free environment. The agency’s clients include Target, Nike, Bugaboo, General Mills and Starbucks.

In the late 2000s, Samsung approached the agency with innovative smartphone technology but no marketing plan. Boiler summarizes their creative brief as:

  • “We want to be a credible #2 to the smartphone leader.”
  • The brief also stated that Samsung products featured technologies superior to any other smartphones on the market.

The advertising campaign that developed out of this brief preceded the 2011 debut of the Samsung Galaxy S II, a phone that positioned Samsung as a contender with Apple, the number one in smartphone sales.

This creative brief provides one clear strategy: to emphasize the technological advantage of Samsung’s products over the competition. It also contains a marketing power pellet: an element of secrecy. “See what you’re missing out on,” is a no-fail message to send when pitching any product.

As you can see, in each of these examples the professional artist developed a simple brief. Each scenario encapsulates how a brief functions within a project. The brief captures the vision of the project and leaves out the excess.

Conclusion

From the scope document to the procurement plan, any well-planned project produces several documents in the planning stage. But in a creative project, the creative brief is the project’s secret weapon.

It allows a deliverable to rise above the mediocre. When the brief is focused, supported by diligent research, and includes the right mix of provocation and limitation, it sets the right tone for the project and lights a fire of enthusiasm into a team.

So if you’re aiming for excellence, it really pays to put diligent research and collaboration into producing a sharp creative brief.

Beyond Airtable: Exploring The 9 Best Project Management Alternatives

Airtable alternatives for Project Management

Are you tired of feeling limited by Airtable’s features or pricing? Or are you just looking for an alternative that better meets your project management needs?

Look no further! In this article, we’ll explore the top alternatives to Airtable. We’ll compare features, prices, and ease of use so you can choose the right PM tool for you and your team. From project management software like Teamly and Trello to spreadsheet-based programs like Smartsheet and Microsoft Excel, we’ve got you covered.

In this post, we’ll uncover the nine best alternatives to Airtable and evaluate their features, functions, and potential. It’ll be a thorough investigation that will ultimately lead you to make an informed decision about which alternative is best for your team’s requirements and pain points.

So, without further ado–let’s dig in!

Image represents Airtable Dashboard

But first, what’s Airtable?

Airtable is a popular tool that bridges the gap between spreadsheets and databases. Founded by former Salesforce Product Manager Howie Liu, it became publicly available in 2015 after three years of hard work and investment from prominent investors such as Caffeinated Capital and Andreessen Horowitz.

This online SaaS platform allows users to build collaborative apps without any coding knowledge. It’s like the perfect marriage between spreadsheets and databases, combining the best of both worlds. It provides workspaces and bases that can be shared with teams regardless of size.

Note: Workspaces are collections of projects, while bases act as hubs for particular projects or workflows.

Users can customize tables within a base that are linked together to create dynamic relationships. These can then be shared with other team members for collaboration in grid, calendar, form, kanban, and gallery views. Pro and Enterprise Airtable users also have access to Gantt and timeline views.

Howie Liu had the idea for Airtable while he was working at Salesforce. It helps users manage tasks, work together as a team, and organize resources in a way that doesn’t require them to know how to code.

Airtable’s limitations for Project managers

Although Airtable may boast several capabilities, it’s not an optimal solution for project management due to certain restrictions. For instance, commenting on individual records can be laborious and inefficient when finding relevant information.

Furthermore, the absence of a standard communication system renders this tool inadequate for collaborative teams that require frequent interaction between members.

Secondly, while Airtable allows users to have different levels of access, it doesn’t offer the ability to restrict users to specific views or table columns, forcing users to find workarounds.

This can be particularly challenging for organizations working with sensitive information. Additionally, Airtable is not specifically designed for project management, so it may not be the best choice for organizations with large and complex projects.

Finally, some users have reported issues embedding visual, media, or interactive content, which can pose a challenge for companies that regularly deal with large volumes of images or videos.

While Airtable offers flexibility and customization options, it may not fit every team’s needs best. That’s why exploring other alternatives is important so you can find the best fit for your team…

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1. Teamly

Teamly is a complete solution for managing remote teams that gives teams everything they need to stay organized and get work done. With its intuitive interface and powerful features, Teamly makes it easy to manage tasks, track progress, and collaborate with team members remotely.

Features

Teamly offers a range of robust features for team and task management, including:

  • Real-time chat
  • Time tracking for monitoring employees
  • Screen capture video with audio recording
  • Templated checklists and SOP documents.
  • Task assignment and kanban boards
  • Built-in collaboration tools

Downside to Teamly

Though Teamly is the all-in-one project management solution, it does have one notable downside when comparing it to Airtable…

  • Lacks the spreadsheet feature.

Comparison of Teamly to Airtable

If the inability to build out spreadsheets is a deal breaker, then Airtable is likely the better choice.

But if you’re looking for the necessary team and task management features, then Teamly might be the right fit. It provides users with many benefits, such as an intuitive interface and robust features that are tailored toward remote teams.

In addition, Teamly’s video and audio recording capabilities let you track progress in real-time, while its templated checklists and SOP documents help teams stay organized and efficient.

Ultimately, if you’re looking for an all-in-one project management solution to help remote teams stay organized and get work done quickly, then Teamly is the way to go.

Pricing for Teamly

Teamly has two paid versions, Teamly Pro and Teamly Business, and a free version with limited features (but good enough to get started). Depending on whether you pay month by month or make an annual commitment, pricing ranges from $5 to $9 per user, per month.

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2. Microsoft Excel

Why not just use Excel? It’s a common question when it comes to project management software, as Excel is a widely used and familiar tool for many professionals. However, Excel has its limitations when it comes to project management and collaboration.

Essentially, Excel is spreadsheet software that is part of the Microsoft Office Suite. It is primarily used for data entry, analysis, and visualization. It allows users to create and edit spreadsheets, charts, and tables and also includes basic calculations and formulas.

Features

  • Customizable spreadsheets and charts
  • Basic calculations and formulas
  • Data visualization tools
  • Ability to link multiple spreadsheets
  • Collaboration through shared workbooks

Downside to Excel

While Excel is a powerful tool for data management and analysis, it falls short when it comes to project management. Some of the limitations of Excel include:

  • Limited task management capabilities
  • Lack of built-in workflow automation
  • Limited collaboration and communication tools
  • No native mobile app
  • No built-in time tracking or time management features

Comparison of Excel to Airtable

Excel is a great tool for data analysis, but it lacks the project management features found in Airtable. Excel also falls short when it comes to collaboration and communication tools as well as workflow automation.

Airtable, on the other hand, offers all of these features plus more, such as customizable views and formulas, task management capabilities, and time tracking. Airtable also provides a native mobile app for iOS and Android, making it perfect for teams who need to be able to access their project information on the go.

Ultimately, when it comes to project management, Airtable is a better choice than Excel as it offers more features and flexibility that are tailored toward managing projects and teams.

Therefore, if you’re looking for a better alternative to Excel for project management, Airtable is the way to go.

Pricing for Featured Software

Excel is part of the Microsoft Office Suite, and is included with an Office 365 subscription. Microsoft Excel: $6-16 per user, per month (depending on plan).

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3. Monday.com

If you haven’t heard of Monday.com, it’s one of the most popular cloud-based work operating systems. It was launched in 2012 by Roy Mann and Eran Zinman, under the name dapulse but underwent a name change in 2017 to become what we know today as Monday.com.

Monday.com is a comprehensive work management tool that you can use for various purposes, from project management to sales, HR, operations, IT, and more. The tool operates using boards, which work similarly to spreadsheets, but with a more visually appealing interface.

With Monday.com, you can customize your boards with columns for tracking progress, time, due dates, assignees, and more. The rows, called items, can be anything from tasks to activities; it’s up to you.

And, if you’re looking for a different view of your work, Monday.com has got you covered with a range of visualization options such as files, maps, timelines, Gantt charts, workload, chart, form, calendar, and Kanban. So, whether you’re working on a content calendar, preparing for a product launch, or tracking software development, Monday.com is the ideal solution for you.

Features

  • Visual project boards for task management
  • Built-in team communication and collaboration tools
  • Multiple views to customize your workflow
  • Customizable fields, formulas, and automation workflows
  • Integrations with other apps such as Google Calendar, Slack, Trello and more…

Downside to Monday.com

  • Membership limitations
  • Limited dependencies for tasks
  • Confusing pricing
  • Lacks user-friendly interface

Comparing Monday.com with Airtable

When it comes to features, Monday offers many of the same ones available in Airtable such as viewing team progress in real-time or building custom databases but also uniquely adds visual elements like Gantt charts and status indicators which allows users to be more agile with their project management capabilities.

Additionally, Monday eliminates any paywall restrictions and allows users access to all features regardless of pricing plan which is an advantage over other similar solutions such as Airtable.

Finally, Monday provides dynamic scheduling features that are far ahead of what Airtable can offer, allowing teams to sync events with calendars like Google Calendar or Outlook so everyone is always up-to-date on upcoming tasks or deadlines. With different pricing plans ranging from personal use for solo freelancers up to enterprise plans for larger companies; there is a plan for teams of any size.

Pricing for Monday.com

Monday’s pricing plans start at $8 per user, per month for the Standard plan and go up to $16 per user, per month for what they call pro. plan.

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4. Trello

Trello is a popular project management tool that allows teams to organize and prioritize tasks in a visual way. It uses a board system, where each board represents a project or a specific area of focus.

Each board contains lists, which are essentially columns, and cards, which represent individual tasks. The cards can be moved around between lists to represent their progress and priority. There are also a lot of integrations and apps that can be added to Trello to make it work better.

Features

  • Visual task management using boards, lists, and cards
  • Collaboration and communication tools, such as comments and mentions
  • Customizable backgrounds and labels for easy organization
  • A wide range of integrations and apps available to enhance functionality
  • Mobile app available for iOS and Android devices

Downside to Trello

  • Trello freemium plan limited to 10 boards and default view
  • Power-Ups can add significant expense to Trello
  • Not recommended for complex projects as it lacks Gantt charts and key PM features
  • Lacks functionality compared to other PM software options with missing features like time-tracking and progress reports.

Comparison of Trello to Airtable

Some things about Trello and Airtable are the same, like how they both have visual tools for managing tasks and collaboration. However, Airtable offers more advanced features such as budget tracking and advanced reporting. Trello is better suited for smaller teams or projects, while Airtable is more suitable for larger, more complex projects.

Pricing for Trello

Trello offers a free and paid plan starting at $5 per user per month for the Standard plan and $17.50 per user per month for the Enterprise tier.

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5. ClickUp

ClickUp is a cloud-based project management software that was originally created as an internal tool for a team led by, Zeb Evans.

The team’s initial goal was to create a fraud-proof competitor to Craigslist, but when that idea failed, they shifted their focus to their internal tool, ClickUp. The platform was publicly released in 2017 and is now used by businesses of all sizes for task management, organization, and collaboration.

Features

  • Highly efficient dashboard view and collaboration features
  • Offers a number of features in its free version that are only available in
  • ClickUp’s paid plan, has goals, embedded emails, conditional automation, task checklists, custom task statuses, sprints, and 24/7 support
  • Offers native email, several templates, and free integrations
  • 15+ views for users, including list, board, calendar, box, Gantt, activity, workload, table, embed view, and more, allowing teams to view project data in several different ways for a better understanding
  • Main view is the list view, which is a grid that’s similar to a standard to-do list, featuring key information such as tasks, subtasks, and due dates, as well as the progress of those tasks and who’s responsible for completing them

Downsides to ClickUp

  • Despite its many features, some users may find the platform overwhelming and confusing to navigate
  • Some users have reported issues with syncing and data loss
  • Some users have reported that the platform’s customer support can be slow to respond

Comparison of ClickUp to Airtable

ClickUp offers many features in its free version that is only available in Airtable’s paid plan. ClickUp’s main view is a list view, while Airtable’s main view is a spreadsheet. When deciding which platform is best for your team, it’s a matter of preference.

Airtable has more database management features, while ClickUp is more about managing projects and keeping track of tasks. Some teams might like the flexibility of the spreadsheet view in Airtable, while others might find the list view in ClickUp easier to use.

Pricing for ClickUp

ClickUp offers a free version with limited features as well as a paid version starting at $5 per user per month. The paid version offers additional features such as custom task statuses, goals, and 24/7 support.

Image represents Smartsheet Dashboard

6. Smartsheet

Smartsheet is a spreadsheet tool for team collaboration, workflow management, and reporting. It was first made available to the public in 2006, but because it was hard to use, it failed to gain adoption.

In 2010, Smartsheet, Inc. drastically streamlined the features of their SaaS product and unveiled an easier-to-use version that quickly became a hit with users.

Currently, a multitude of companies trusts Smartsheet’s grids to manage their tasks. These grids are like spreadsheets, but they are much more useful because users can delegate tasks, split up jobs, and assign resources.

Features

  • Team collaboration and workflow management
  • Grids are similar to traditional spreadsheets but with added functionality
  • Allocate tasks, define subtasks, and manage resources
  • Hundreds of time-saving templates with pre-established workflows, automation, and alerts
  • Template sets with prebuilt, customizable sheets, reports, and dashboards
  • Multiple data views including card, calendar, and Gantt

Downside to Smartsheet

The main downside to Smartsheet is that it can take some time to figure out how to use it to derive the biggest benefits from the tool.

  • Steep learning curve for some users
  • No Time Tracking
  • Spreadsheet-style interface may not be intuitive for everyone
  • No Autosave
  • Limited customization options compared to other project management tools
  • Limited access to advanced features without upgrading to a higher pricing plan
  • Limited integrations compared to other project management tools

Comparison of Smartsheet to Airtable

While both Smartsheet and Airtable come with a learning curve, Airtable tends to be easier to use. Even non-technical users can manage project and workflow data using Airtable’s bases thanks to its simple, colorful interface. Add Airtable’s extensive template options into the mix, and the platform becomes even more straightforward for new users to get up-to-speed with. Users on several review site rate Airtable higher than Smartsheet for ease of use.

Pricing for Smartsheet

Smartsheet offers several pricing plans for its customers, including PRO for $7/month per license, billed annually; BUSINESS for $25/month per license, billed annually with a 3 license minimum and ENTERPRISE and SMARTSHEET ADVANCE, both of which require contact with sales for pricing information.

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7. Asana

Asana is a popular project management tool that teams use to stay organized and work together. Dustin Moskovitz and Justin Rosenstein created it as a PM tool for use at Facebook. They quit and formed their own company, Asana, in 2008. Since then, Asana has continued to develop its flagship product before launching the software commercially in 2012.

Features

  • Multiple views for users, including list, board, and calendar
  • Timeline view for premium, business, and enterprise members
  • Feature-rich experience
  • Helpful structure for managing multiple projects
  • User-friendly interface

Downside to Asana

Overall, Asana is a solid project management software with many features, but it has its limits…

  • Too many features that ratchet up the complexity
  • Less user-friendly with a learning curve
  • Subpar customer support
  • Cannot assign tasks to multiple users
  • Trustpilot reviews rating of 2.7 out of 5, with 36% of users rating Asana as “Poor” or “Bad.”

Comparison of Asana to Airtable

Asana and Airtable are project management tools but have different features. Airtable is more of a database management tool, while Asana is geared more toward project management.

Airtable has more customization options and is excellent for teams managing large amounts of data. Asana, on the other hand, is better for teams that need to manage tasks and workflows.

Pricing for Asana

Asana offers three main pricing options:

Their first tier plan is BASIC, free for teams with up to 15 members. Their next tier is PREMIUM, which is $10.99/month per user, billed annually. Their BUSINESS plan is $24.99/month per user, billed annually. If you are looking for an ENTERPRISE option, then you have to contact their sales department.

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8. Basecamp

Basecamp is a web-based tool used by teams for work management and collaboration. The tool was initially created in 2004 as a project management tool for a web design firm, 37signals. In 2014, the company changed its name to Basecamp. Today, the latest version of the product is known as Basecamp 3.

Although Basecamp is sometimes referred to as a PM tool, it lacks some standard features found in traditional PM software, such as time-tracking, Gantt charts, and board views. In Basecamp, users can create “hubs,” which are essentially repositories of information for either teams or projects. Each hub has six sections: Message Board, To-Do’s, Docs & Files, Campfire (real-time chat), Schedule, and Automatic Check-Ins.

In these sections, users can make group announcements, assign tasks, check due dates, and make their own questions that will be asked of the team at set times. Basecamp also has hill charts that let users see their to-do lists as hills, with the midpoint of a project at the top of the hill.

Features

  • Message Board for group announcements
  • To-Do’s for task assignments
  • Docs & Files for file storage
  • Campfire (real-time chat) for communication
  • Schedule for deadlines
  • Automatic Check-Ins for user-defined questions to be asked to the team at specified intervals
  • Hill charts for visualizing to-do lists as hills

Downside to Basecamp

  • Lacks time-tracking
  • No Gantt charts or board views
  • Hill charts are subjective and based on user feelings rather than objective data

Comparison of Basecamp to Airtable

Basecamp and Airtable are both project management tools with different features. While Basecamp is more of a task-oriented tool, Airtable is more of a database management tool.

Airtable has more customization options and allows users to create their own fields for storing information. On the other hand, Basecamp’s hill charts are subjective and based on user feelings rather than objective data.

Airtable is a powerful and flexible platform that offers a variety of features such as time-tracking, Gantt charts, and board views that Basecamp does not have. Airtable is also more customizable compared to Basecamp and is well-suited for complex projects. However, Airtable can be more overwhelming for users who are not tech-savvy.

Pricing for Basecamp

Basecamp offers exceptional value for larger teams. Most software programs in the same category charge a hefty fee of between $6 and $12 per month per user. In comparison, Basecamp’s affordable flat rate of $99/month is a great bargain for teams of 20 or more.

Image represents Wrike Dashboard

9. Wrike

Wrike is an online project management SaaS product founded in 2006 by Andrew Filev. With Wrike, cross-functional teams can manage projects, workflows, and tasks to help streamline efficient collaboration.

The tool is organized around folders, projects, and tasks. Folders are used to group projects together that are related and can be used by departments or representing high-level initiatives.

Users have multiple ways to view project data within Wrike such as list, board, table, Gantt chart, timelog, resources, analytics and other views. This makes tracking progress easier for teams of all sizes and allows users to customize how they use the program.

Wrike effectively eliminates the need for emails and spreadsheets when it comes to managing projects – a vision set forth by Andrew Filev at its inception over a decade ago.

Features

  • Create and configure team workspaces with granular permissions setup
  • Integrations with third-party apps such as email, Slack, Zoom, and more!
  • Automate work intake with “Dynamic Request Forms.”
  • Gain comprehensive insights into your projects and tasks with real-time reporting.
  • Get projects up and running quickly with pre-built templates
  • Time tracking and digital timesheets to Business plan members and above.

Downside to Wrike

  • Limited customer support hours cause difficulty in obtaining help quickly
  • Free plan has a limit of 200 tasks and 2GB file space, making it challenging for smaller teams
  • Added costs with premium add-ons, potentially leading to up to 3x more expenditure
  • Steep learning curve for users new to the software
  • Few features and integrations available in the free version
  • Lacking collaboration and chat features

Comparison of Wrike to Airtable

If you’re looking for an enterprise-level PM solution, Wrike is the way to go. It’s more expensive but comes with features that enable teams to handle complex projects. Also, with Wrike’s comprehensive toolset, businesses can customize the platform to meet their specific needs and have the assurance of secure collaboration.

However, if you’re a small business with less complicated tasks, Airtable might be the perfect fit. For no cost, you can manage data better than spreadsheets and improve company-wide visibility, all while customizing the interface to match your team’s workflow.

Pricing for Wrike

Wrike offers a FREE plan with no cost for your entire team, as well as PROFESSIONAL and PREMIUM plans at $9.80 and $24.80/month per user, respectively. Unfortunately, for more advanced solutions, you have to contact sales.

Conclusion

What project management tool works best for you? That depends on your team’s size, budget, and workflow.

When choosing the right project management tool, there really is no one-size-fits-all solution. But with so many options available in the market, you’re sure to find a program that suits your needs. Considering each platform’s pros and cons will help you make a smart choice.

For the most intuitive project management platform that’s easy to use, Teamly takes the cake. It offers an impressive set of features and integrations at a reasonable price. The intuitive dashboard helps teams stay organized, while time tracking, task delegation, and collaboration features help increase productivity. With all these advantages, Teamly is certainly worth considering as your go-to project management tool.

 

In Search of Greener Pastures: The Best Alternatives to Hootsuite. Plus Three Social Media Hacks from Your Favorite Experts You Can’t Afford to Miss!

Image represents Hootsuite Alternatives

Social media places every organization in a never-ending performance on a global stage. There’s always multitudes of people browsing your announcements as they scroll feeds on Facebook, Instagram and Twitter. And when you least expect it, a customer calls you out in a busy public forum, either to celebrate or criticize you.

Under this spotlight of constant scrutiny, you can appear in the know, like an organization who’s engaged and contributing to the current conversation. Or you can look clueless and irrelevant, like someone who’s never up on the latest buzz and trends.

It’s not easy to consistently make a smart showing in this arena. In the complex, fast-paced world of social media, it’s nearly impossible to keep up on trending conversations across several platforms and to monitor and track individual campaigns to understand what’s working and what isn’t.

There’s definitely no way to do all of this manually. It gets down to having the right tool, a software that distills relevant trends, simplifies processes and brings your attention to what really matters.

Hootsuite, for sure, allows you to stay abreast and keep your head in the game. But by no means is it the only show in town. There’s several strong alternatives out there, each taking a slightly different approach to social media management and positioning itself at a competitive price point.

So if you’re burned out and frustrated with your current social media management system, I’ll let you in on a little secret: there’s a lot of options out there, and amongst them is a superior, bespoke solution that’s going to offer just what you’re looking for.

Let’s take a look at some of the key alternatives to Hootsuite and at how each of them stands out from the crowd.

Image represents the Deciding Factors of an SMM Tool

What to Look For: The Deciding Factors of an SMM Tool

The right social media management tool serves several functions. It keeps you from having to switch between platforms, it allows all the necessary people to view content and it analyzes your impact with meaningful statistics.

Each system is a bit different, and is suited for different clientele. Some are built for marketing agencies with hundreds of accounts, while others are better for small businesses with only a few users and accounts. Each integrates with a different assortment of softwares and social media platforms.

When looking for the right tool for you, there’s a few key areas to hone in on. Let’s go over some of them.

Which Social Media Platforms and Other Softwares Does It Integrate With?

This is central. The social media management tool needs to integrate with the platforms you live on. If it doesn’t, then you’ll have to manually post content on these platforms.

Every tool integrates with the big four platforms: Twitter, Instagram, YouTube and Facebook. Beyond this, each offers a different assortment. If your organization uses Snapchat, TikTok, Pinterest or a niche emerging platform, this rules out several options and hones in on the solution that’s right for you. Social media content agencies develop innovative platform-specific content while managing post scheduling, engagement and performance tracking.

Similarly, each tool integrates with an assortment of other softwares, including communication platforms, photo editing tools and storage drives. Finding something that integrates with the softwares you’re using in your business makes things like sharing posts and analytics so much easier.

What Is Its Capacity?

A small company where one person managers five social media accounts is in a completely different pool than an agency overlooking 100 accounts.

Each social media management tool sets a limit on the number of users and social media accounts within each plan. There’s no need to go above and beyond your means, and you need to have enough capacity for your requirements as well.

Does It Provide Onboarding & Customer Support?

Onboarding and customer support are critical, particularly for a company that’s using a social media management tool for the first time.

Generally, the service a company offers increases with each of its plans. Lower tiers may only offer email support or no support at all, while premium or enterprise tiers have access to chat and telephone support.

How Is the User Experience and the Interface?

The usability of the platform can make all the difference. The viewing options for the calendar and each social media account determines how you’ll interact with the tool. Most companies provide demos and videos to demonstrate how its platform operates.

What About Tracking and Analytics?

Tracking and analytics allow you to understand how your content performs on various platforms, when the best times are to engage and what content sparks the greatest engagement.

Each tool offers a robust tracking and analytics system, with a variety of different features. Some break metrics down by country or region, while others let you create charts to download and share with clients.

Is It Worth the Money?

The cost for social media management tools varies wildly, from $60 a month to over $700 a month. And it’s not necessarily a scenario of getting what you pay for. Many believe that Hootsuite’s price is bloated, as other companies provide the whole package at a much lower price point.

Note that some companies boast of a certain feature or service, but it’s only available with the higher tier plans.

These six points address the key areas to survey when shopping for a social media management software. Now let’s look into some alternatives to Hootsuite per this criteria.

Who’s the Fairest: The Six Best Alternatives to Hootsuite

Each SMM management company offers its own competitive advantage, and serves a specific niche or clientele. Let’s evaluate several according to the attributes outlined above.

Screenshot of Looomly

1. Loomly

Loomly is a social media management tool based out of Los Angeles. Just as a loom weaves wool to create textiles, Loomly aims to weave all the social media networks into a tapestry that achieves your marketing objectives.

Loomly began in 2015 by a frustrated French husband and wife team, Noemie and Thibaud Clement. They became flustered with managing a digital marketing agency with an Excel sheet and needed to level up.

Overview & Key Features

Loomly offers an intuitive, easy-to-use interface. Its dashboard provides a clear overview of its tools, which allows you to easily navigate to the right places. The calendar offers multiple viewing options, including the list view, which displays individual posts, and the calendar view, which displays the entire month in overview.

Many companies struggle to put out a continual stream of content, and Loomly assists with this challenge by offering content suggestions around themes such as holidays, throwback Thursday, Twitter trends and RSS feeds.

Customer Feedback & Limitations

Customers like how Loomly allows you to create content for specific audiences. However, some have cited that the mobile app glitches from time to time. They also say it’s a struggle to integrate all of the features of Instagram, such as stories. (This is a common complaint across all SMM services, however).

Social Media Integrations

Loomly integrates with many social media channels, including Facebook, Twitter, Facebook Ads, Instagram, Pinterst, Linkedin, Google My Business, YouTube, Snapchat and TikTok.

It also allows its users to integrate with a custom channel not natively integrated into Loomly. This includes smaller or niche platforms such as Tumblr, Gab or WordPress.

Other Software Integrations

In addition to social media platforms, Loomly also integrates with Unsplash, Giphy and Zapier. Advanced and premium tiers can integrate with Slack and Microsoft Teams.

Price & Free Options

Loomly offers a 15 day free trial.

Its pricing options encompass three tiers, ranging from $25 a month to $359 a month. It offers annual subscriptions for a discounted price. It also offers an enterprise option for custom services. The price for this package varies.

Capacity

The capacity varies depending on the plan. The package at the lowest tier includes two users and 10 social media accounts, while the highest tier includes 30 users and 50 social media accounts. The Enterprise option offers custom amounts.

Customer Support

Loomly offers chat and email support with all accounts. Enterprise accounts have a designated account manager.

Screenshot of Sendible

2. Sendible

Sendible boasts that with its platform, it takes less than an hour to schedule an entire months’ content!

This company started in 2009, inside the spare bedroom of Londoner Gavin Hammar, and evolved to keep pace with the ever-changing social media landscape. Currently it employees around 100 people, and operates mostly out of the UK.

Overview & Key Features

Sendible allows its users to manage up to 100 accounts and to post with multiple clients, making it a go-to for a digital marketing company.

With its “Scale” plan (the highest tier), users can build analytics reports and save them in pdfs to share with stakeholders and clients. It’s also possible to save content with the Scale plan.

User Experience

Users say it’s easy to collaborate with other team members on Sendible. They also find some of its features superior to Hootsuite. For example, its tracking tool provides metrics on hashtag views, which makes it easy to identify effective hashtags in posts. It’s also possible to schedule posts down to the minute, whereas Hootsuite only schedules within five minute intervals.

Social Media Integrations

Sendible integrates with Instagram, Facebook, Twitter, Linkedin, Google My Business and YouTube. Unlike many other tools, it also integrates with WordPress and WordPress.com, allowing users to manage a blog from the platform as well.

Other Software Integrations

Sendible integrates with Canva, Giphy, Pixels and Google Analytics. With the Scale plan, users can integrate with Google Drive and Dropbox.

Price & Free Options

Sendible offers a 14 day free trial.

Its plans range from the “Creator” plan ($29 a month), to the “Traction” plan ($89 a month), to the Scale Plan ($199 a month). Users can save 15% with a yearly subscription. It also offers a custom plan for larger teams.

Capacity

The Creator plan includes 1 user, 6 social profiles and 100 daily postings. The Traction plan includes 4 users, 24 social profiles and 200 daily postings and the Scale plan 7 users, 49 social profiles and 300 daily postings.

Customer Support

All plans provide email support, live chat and group training sessions. The Scale plan includes a dedicated customer service manager.

SocialChamp Website Screenshot

3. Social Champ

Social Champ is a social media management tool that empowers businesses to effortlessly schedule posts, collaborate with colleagues, and gain valuable insights into their audience engagement. It comes with a user-friendly interface, allowing users to schedule posts for optimal timing, collaborate with team members without credential sharing, and leverage bulk upload features for maximum efficiency.

Overview & Key Features

Social Champ is considered an all-in-one tool, offering multi-platform support. With features like content creation and scheduling, team collaboration, advanced analytics, repeat and recycle options, and integration with visual content creation tools.

Additionally, Social Champ also extends advanced social media functions, such as auto RSS feeds, repeat and bulk uploads, an AI Suite for content and image creation, a centralized dashboard, and more.

Social Media Integrations

It allows integration with all major social media platforms, including Facebook, Instagram, Twitter, YouTube, Pinterest, LinkedIn, TikTok, Mastodon, and Google My Business.

Other Integrations

It further integrates with other third-party tools like Canva, Crello, OneDrive, WordPress, and Wave.video, among others, for seamless visual content creation within the platform.

Price & Free Options

Social Champ offers four pricing plans: Free, Champion (priced at $26/mo), Business (priced at $89/mo), and Agency plan with custom pricing.

Capacity

Social Champ’s Free plan can connect with 3 social accounts, but can only be managed by one user. The Champion plan allows users to connect up to 12 social accounts and collaborate with 2 team members. The Business plan can accommodate 40 social accounts and collaborate with up to 6 team members. With the Agency plan, businesses can connect 100+ accounts and collaborate with 10+ team members.

Customer Support

Social Champ offers customer support via live chat. It also offers customer care via emails, and customers also schedule a demo call.

Screenshot of Zoho Social

4. Zoho Social

Zoho is an Indian multinational technology company. It started in the 90s and currently has over 50 million users. Its name is a play on the phrase “small office, home office.”

In addition to SMM tools, Zoho offers an office suite, a cloud-based documents software, a platform for online meetings, mail services, human resource management tools and accounting services. It is headquartered in India with offices in China, Singapore, Africa, Japan and the United States.

Overview & Key Features

Zoho’s SMM tool offers “the whole package” at an awesome price. It offers collaboration tools, calendars and tracing analytics that call out issue tweets right away. Plus, it’s possible to package Zoho Social with the company’s many other services.

Limitations

Customers wish that Zoho Social integrated with more third party softwares. Some find that the mobile app is not as capable as the desktop version.

Social Media Integrations

Zoho integrates with Instagram, Facebook, Linkedin, Twitter, Google My Business, TikTok, YouTube and Pinterest.

Other Software Integrations

Some other third party softwares that Zoho links to include Canva, Zoho Desk (a project management platform), Linkedin Ads and Facebook Ads.

Price & Free Options

Zoho offers a 15 day free trial.

Its plans range from $10 a month for the standard plan to $40 a month for the premium plan, making it the cheapest tool out there by far. For agencies with 100 to 200 channels, it offers plans that range from $230 to $330 annually.

Capacity

The standard plan offers nine channels and one team member, while the premium offers ten channels and three team members. Additional brands and team members can be added for additional fees.

Customer Support

Zoho offers email support 24 hours a day, 5 days a week for all of its plans.

Screenshot of Brandwatch website

5. Brandwatch (formerly Falcon.io)

Founded in 2007 by Giles Palmer of the UK, Brandwatch currently runs 15 offices in cities across the world, including New York, London, Paris, Singapore and Sydney. Its SMM services are modeled after Falcon.io, which it acquired just a few years ago.

Overview & Key Features

Brandwatch is geared for larger businesses, and its service offers eight products: Publish, Influence, Advertise, Engage, Measure, Audience, Benchmark and Listen. These products collectively offer custom plans that allow teams to develop highly detailed and profitable social media marketing campaigns.

User Experience

Users find that Brandwatch is pricey compared to other SMM services, but they like the platform’s smooth interface.

Social Media Integrations

Brandwatch links with Facebook, Instagram, Twitter, TikTok, YouTube and Linkedin.

Price & Free Options

Brandwatch offers a 14 day free trial.

Its plans start at $108 a month. The company consults with potential clients individually and offers a custom price and services package.

Screenshot of Statusbrew website

6. Statusbrew

Statusbrew has a clean interface and offers the expected range of SMM management tools. This includes stock photos for content and the capacity to modify posts for different platforms and shorten links within posts. Each post can be sent to a team member for approval. Its analytics breaks content down by country.

Social Media Integrations

Statusbrew integrates with Twitter, Instagram, Linkedin, Facebook, YouTube and Google My Business.

Other Software Integrations

Statusbrew also integrates with a host of other communication and storage softwares, including Slack, Bitly, Shopify, Zendes, Google Drive, Dropbox, One Drive, Hubspot, Salesforce, Mailchimp and Zapier.

Price & Free Options

The first seven days of Statusbrew are free.

It offers three plans, ranging from $69 to $229 a month.

Capacity

Its basic plan allows 5 users with 5 social profiles, and its premium plan 8 users and fifteen social profiles. The enterprise plan offers custom features, users and social profiles.

Customer Support

The customer support Statusbrew offers increases with each tier of the packages it offers. It offers email support with its basic plan and both email and chat support with its second and third-tier plan. Phone support is only available with the enterprise account.

Screenshot of Sprout Social website

7. Sprout Social

Sprout Social is a publicly traded company based out of Chicago that was founded in 2010 by Justin Howard, Aaron Rankin, Gil Lara and Peter Soung. Some noteworthy clients include Glassdoor and Shopify.

Overview & Benefits

Sprout social allows its users to create, deliver and measure content, both on a computer and a mobile app. The interface allows content to be assigned to specific people and to be submitted for approval before going live.

Sprout offers a listening tool, “Sprout Listening” that enables users to be in the know, in the flow. This tool integrates with Facebook, Twitter, Instagram, Reddit, YouTube, Rumble and the web at large. Its purpose is to identify relevant conversations, which allows its users to chime in and participate in topical conversations as they’re happening.

Customer Feedback

Customers find that Sprout Social offers excellent customer services and a thorough onboarding process. Some found that there were too many handoffs in the onboarding process, however. Many like it for its clean and easy-to-use interface, and its capacity to duplicate content for repeat posting.

Social Media Integrations

Sprout Social integrates with a lot of the familiar faces: Facebook, TikTok, Instagram, Linkedin, YouTube and Pinterest.

Other Software Integrations

Sprout Social offers integrations with many third party softwares, including Google My Business, Tripadvisor, Glassdoor, Facebook Shops, Zendesk, Reddit, Google Analytics, Slack, Dropbox, Google Drive, Bitly, Canva, Shopify and Feedly.

Price & Free Options

Sprout Social offers a 30 day free trial.

Its plans include three tiers, ranging from $249 to $499 a month. It also offers a custom enterprising option.

Capacity

Sprout Social offers 5 social profiles at the basic level, then unlimited profiles at the middle and highest tier. It only offers one user with each package. Each additional user costs another $200 to $350 a month, depending on the tier.

Customer Support

Sprout Social offers 24 hour five day support that is prioritized for the Enterprise Level.

Hootsuite

Hootsuite: How It Stacks Up

Now that we’ve looked at some of the key SMM management companies, you’re probably wondering how Hootsuite stacks up against them. Let’s get into it.

Hootsuite was started in 2008 by Ryan Holmes. The company is based out of Vancouver, British Columbia and also has offices in Sydney, Mexico City and Rome. Its unusual name emerged from a competition where Holmes crowdsourced suggestions. It comes from the French expression “tout de suite” that means “right now.”

Overview & Key Features

Hootsuite offers the same package as most other SMM management companies: boards to break social media feeds down by various criteria, a message box that gathers messages from all platforms and a calendar with drag and drop features. It also offers robust analytics tools.

Limitations

At over $700 for its premium package, Hootsuite is priced well above its competition. It doesn’t offer customer support for its smaller packages. Some feel that Hootsuite aims to exclusively serve large companies with custom enterprise plans.

Social Media Integrations

Hootsuite integrates with many of the same key players: Instagram, Facebook, TikTok, Twitter, YouTube, Linkedin and Pinterest.

Other Software Integrations

It offers flexible integration options with other softwares, including Canva, Shopify, Hubspot, Zendesk, Google My Business and Dropbox.

Price & Free Options

The first month of Hootsuite is free.

Its plans range from a professional plan that’s $99 a month to a business plan that’s $739 a month. It also offers custom enterprise solutions.

Capacity

The professional plan includes one user and 10 social accounts, and the business plan five users and 35 accounts. The enterprise options start at five users with 50 accounts.

Customer Support

Hootsuite only offers customer support at the Business Tier and Enterprise plan.

As you can see, Hootsuite has positioned itself as a key player in the SMM management milieu. It’s got all the features necessary to fluidly permeate your message across many channels.

However, it’s pricier than its competitors, and doesn’t offer any customer support for lower tier clients. Many other companies cost far less and offer services that Hootsuite does not. So it pays to do your homework and research the right plan for you.

Image represents SMM Strategies

What’s the Next Step? 3 SMM Strategies From Your Favorite Experts

Finding the perfect social media management tool is only half the battle.

Another component to a successful marketing strategy is knowing what to say and how to say it. To this end, here are a few simple pointers from the experts on content marketing.

Gary Vee: Customize Content for Each Platform

Pushing your message across multiple platforms is the ticket to reaching a wide audience. But a simple cut and paste job isn’t going to cut it, SMM expert Gary Vaynerchuk stresses in his most recent book, Crushing It.

Gary points out that each social media platform serves a different function. Twitter is the go-to for news and quick sound bytes, while Facebook is the place to connect with family and friends. And YouTube, often, is the place where people land when they have a few hours to chill on a Saturday afternoon.

In order to connect with our audience, then, the content needs to be adapted to suit each platform.

“Develop high-quality native micro content…This means content that is specifically and purposely designed to suit the platform you’re using to disseminate it. The audience on Twitter isn’t looking for the same kind of content as an Instagram follower. A Facebook post will have greater impact if it’s not just a cut and paste job from your blog or a ten minute video that should actually be living on YouTube.”

This doesn’t mean creating original content for each platform. One large piece of content, such as a blog post or a video, can be splintered and distributed among many platforms. However, the content needs to be molded and edited to suit the platform in order to reach your audience.

Marie Forleo: Consistency Is the Name of the Game

Marie Forleo is the author of the book Everything Is Figureoutable and creator of the popular online program, B-School. Although some believe she’s a bit of a charlaton running a pyramid scheme, she does provide some SMM lessons that are dead on.

One key lesson she drives home is the need for consistency in online marketing.

“Success doesn’t come from what you do occasionally, it comes from what you do consistently.”

Consistency is reflected in where you show up online, how you show up and when you show up. Content is easily recognizable when it uses similar colors, fonts and themes. When customers come to anticipate a weekly blog post or a daily Instagram post, it increases their familiarity with your message and your brand. This “like, know, trust” factor is key to winning devoted customers.

Amanda Slavin: Vanity Metrics versus Real Engagement

The goal of SMM, Amanda Slavin says in her book Seventh Level, is to turn your followers into brand ambassadors who don’t just follow and like your posts, but who market for you.

“Customers are no longer just the purchasers of your product, but people that can serve as an extension of your sales team. They “sell” for you when they advocate for you, follow you, connect with you, and are interested in what you have to say as a brand. Just think about what is more impactful: When you tell everyone how great you are? Or when your most loyal brand advocates rave about how wonderful you are to their friends, family and followers?”

To this end, stats need to be carefully evaluated to identify true engagement. When and how does engagement reflect a dedication to the brand, and when is it just a superficial ‘like’ or ‘follow’?

For example, an account with 10K followers who rarely interact may not have the impact as an account with 700 highly engaged followers who consistently comment, share content, and purchase from your organization.

Conclusion

It’s so common to pour energy into a social media campaign and have it fall flat. No engagement, no increase in sales, no nothing.

Oftentimes, this is because the effort wasn’t centralized.

Good SMM gets down to having the right tools that allow you to elevate and streamline efforts. It gets your finger on the pulse of the fast-paced organism that is social media.

There’s a lot of great SMM management companies out there in addition to Hootsuite, and so it’s worth the effort to research and find the right tool for you. What features do you look for in a social media management tool?

How to Create an Emotionally Intelligent Workplace: With Examples

Image represents Emotional Intelligence Examples

At one time or another, everyone has paid the price for a deficiency in emotional intelligence. Maybe it’s ongoing conflicts in the workplace that lead to low performance and failed projects, or a leader whose communication patterns leave people feeling undervalued and discouraged.

On the other hand, some leaders have the capacity to leave a team feeling enthused, appreciated and connected. And the collaborative environment in certain workplaces generates the kind of synergy that leads to innovative and lucrative solutions.

No doubt about it, emotional intelligence impacts so many parts of a workplace.

It’s easy to recognize an absence of emotional intelligence in other work environments, such as policies that demotivate employees.

But what about in our own workplace? Where does emotional intelligence impact our daily routines and interactions? And where are those places where it’s lacking?

Although “emotions” themselves seem nebulous and unquantifiable, emotional intelligence can be identified and practiced in concrete situations.

Want a little more clarity? This post is going to look at all the ins and outs of emotional intelligence, including why it matters, where it shows up in the workplace, and how to cultivate and practice it in your own routines.

Image represents What is Emotional Intelligence

Definition & Benefits of Emotional Intelligence

“Emotional intelligence” is a term developed in the 90s. It’s been widely propagated by the psychologist Daniel Goleman.

The concept isn’t about being nice and friendly, Goleman says. In his book, Emotional Intelligence: Why It Can Matter More Than IQ, he breaks the concept into four components: self-awareness, self-management, social awareness and relationship management.

Emotional intelligence (EQ) first of all entails an ability to recognize and to manage our own emotions. This includes channeling negative emotions constructively, and accepting failure without becoming defeated. EQ further involves our relationships and communities. It’s about an ability to identify other people’s emotions, and then to use this knowledge to sway social interactions so as to create synergy, connection and rapport. Essentially, it’s about getting along and working constructively with others.

Although some people possess a high emotional intelligence, it’s not an innate attribute, but rather a developed skill. Emotions are physical sensations that we can learn to spot within ourselves with increasing levels of accuracy. Reading others is also a skill that’s developed with time. It often relies on interpreting body language and trusting intuition.

EQ does much more than lead to warm fuzzy feelings between ourselves and others. Incorporating emotional intelligence into our everyday impacts every part of our lives. For example, EQ helps us to:

  • Relate to the opposite sex
  • Overcome chronic negativity
  • Get over a breakup
  • Work through depression
  • Navigate a transition
  • Make life decisions like buying a house
  • Manage money

And in a work environment, EQ helps to:

  • Advance a career
  • Avoid landmines with difficult coworkers
  • Boost sales

A workplace with low emotional intelligence, on the other hand, compounds its issues. Someone with a low EQ cannot set and achieve long-term goals or accept setbacks and failures. When people don’t understand or manage their own emotions, it easily leads to excessive arguments and division.

With these clarifications in mind, let’s turn to some examples of what emotional intelligence looks like in a work environment.

Image represents Emotional Intelligence Examples in the Workplace

4 Examples of Emotional Intelligence in the Workplace

Emotional intelligence impacts many facets of a work environment. It affects how an organization collaborates and innovates, how it resolves interpersonal conflicts and how coworkers interact with one another. It also shapes an organization’s mission and policies, and its culture overall.

Let’s break down just what EQ looks like in the workplace with some concrete examples.

1. Regular Retrospectives

A retrospective is part of the scrum framework, and a routine practice of an agile team. It’s a ceremony that’s held at the end of every sprint or work session.

At a retrospective, the team gathers to share and listen to each other regarding the work it just completed. People share what worked and where they’d like to see changes. Oftentimes, people share emotions, perhaps frustration over an interfering product manager or weak communication within the team.

The retrospective sharpens a team’s EQ in two ways. First of all, the practice of regularly gathering to identify and share emotions increases each persons’ emotional granularity, or their ability to recognize their own emotions. Secondly, it increases the communication and empathy within the team. People understand how others feel, and how their own actions impact everyone else. Then, they work constructively toward cooperative solutions.

2. Empathetic Workplace Policies

An organizations’ policies is another area that reflects its emotional intelligence.

For example, the financial services company TIAA doesn’t give its employees “vacation time.” Rather, each employee can take off as many days as he or she pleases.

With this policy, the leadership demonstrates strong social awareness. It understands that granting employees autonomy over their schedules generates a cooperative and motivated workforce.

In another example, Facebook CEO Sheryl Sandberg changed the company’s bereavement policies following the sudden death of her husband. This communicated empathy with her entire workforce. She communicated that in her grieving, she also acknowledged the predicaments of others.

3. Language that Supports and Energizes

Have you ever worked with a boss or manager who understood exactly how you felt, and then acted in a way that empowered you? Maybe she understood that you felt discouraged by an outcome, and knew that words of criticism weren’t going to make the situation any better. Or, she realized that you were lagging a little, and needed some strong coaching to spur you on.

An incident at Microsoft with CEO Satya Nadella demonstrates how a leader generated a momentum shift with his choice of words. In 2016 Microsoft made an auspicious release on Twitter of an AI chatbot, Tay. Within 16 hours, however, the account was penetrated by hackers posting offensive content, and it had to be recalled.

This humiliation coming on the heels of months of hard work no doubt left the creators of Tay feeling dejected. Whereas Microsoft’s former CEO Steve Ballmer might have jumped on the team and castigated them, Nadella appreciated what was needed in the moment. He sent a message that read, “know that I am with you… key is to keep learning and improving.” This empathy and support allowed the team to quickly move beyond discouragement and to effectively work toward an improved product.

Nadella’s actions demonstrated strong social awareness and relationship management. He not only accurately identified the team’s emotions, but he interacted in such a way as to channel them in a positive direction.

4. A Culture of Gratitude

What’s the secret to a boss who makes you get up and go? The kind of leader who keeps you performing at your best all day long?

This example reveals a possible answer. In his book Payoff: The Hidden Logic That Shapes Our Motivations, author Dan Ariely recounts a study from an Intel factory that tracked the chip production of four groups of employees. Each group received different incentives for its work. One received a small cash reward, one a compliment from the boss, one pizza and one received nothing at all. As it turns out, the groups who received pizza and a compliment produced well above the other two groups.

What does this reveal? That personal attention and tangible gifts make all the difference. An organizational culture that demonstrates appreciation is socially aware, as it acknowledges its dependency on the hard work of others.

As you can see, a high EQ works to the advantage of any work environment. Now let’s look at a few ways to increase emotional intelligence.

Image represents Ways to Develop Emotional Intelligence

3 Ways to Develop Emotional Intelligence

No one’s ever “there” with emotional intelligence. Rather, it’s a skill that’s developed and achieved in degrees. To this end, here are a few practices for honing emotional intelligence, both individually and on a team.

1. Log Daily Emotions

Judging by the language we use everyday, most of us score pretty low in the spectrum of emotional granularity. It’s very common to summarize our emotional state with emotions like “good,” “bad” or “hangry.”

However, the range of emotions we feel over a given day is usually much broader than this. “Good” could really mean anything from “joyful” to “happy” to “fulfilled” to “relieved.”

As self awareness is at the foundation of a high emotional intelligence, the precise identification of our own emotions is the first step to relating constructively with others and taking healthy action in our own lives.

One way to do this is to make a practice of cataloging our emotions at the end of each day, using words more descriptive than “happy” and “sad.” For a reference list of everyday emotions, Author Brene Brown provides a comprehensive summary of 87 emotions in her book, Atlas of the Heart.

2. Write Your Obituary

In his book, The 7 Habits of Highly Effective People, psychologist Steven Covey says that the paradigm or lens through which we evaluate our entire lives ultimately impacts the small actions we take in the day to day. And so developing an EQ starts by looking at the big picture.

Writing your obituary is one way to crystallize this lens. This exercise compels us to identify how we want to be remembered and who we want to impact in our lives.

Covey finds that this exercise also helps to re-shape the story we tell ourselves about our lives, and in doing so overcome chronic negativity and life challenges.

3. Create Emotions on Demand

Certain activities have a tendency to consistently generate similar emotions. A trip to the sauna may generate feelings of calm and quietude, while a trip to a crowded grocery store might generate feelings of agitation.

Once we recognize the “formula” for generating certain emotions, it’s possible to use this to our advantage. For example, maybe certain types of food put us in an anxious or jumpy mood. These might be foods to avoid, then, at the beginning of a long workday where deep focus is required. At the same time, maybe a drink with calm music puts us into a peaceful mood. This might be a helpful practice to help recoup after a long or stimulating activity.

Taking action to shape our own emotions is about self-awareness, which is at the core of emotional intelligence. When we can regulate and moderate our own emotions, it puts us in a place to encounter and constructively work with others.

Conclusion

Maybe at some point in your life you had the kind of boss who read you just right. He understood how you were feeling, and was as concerned with your emotions as he was with his own. He created a space where you felt like you could unload and share how you felt.

7 Relatable Examples of Social Loafing You’ve Definitely Experienced

Image represents Social Loafing Examples

Have you ever been part of a group project where some people didn’t seem to be putting in the same effort?

Well, it turns out there’s a psychological phenomenon for that…

It’s called social loafing, and it refers to the tendency of team members to put forth less effort when they’re part of a group. Here are 7 things you’ve probably seen people do when they don’t want to do anything.

Image represents The Meeting Slacker

1. The Meeting Slacker:

Description:

You notice that a team member consistently shows up late or unprepared for meetings, yet you expect the rest of the team to pick up the slack.

Real-life Example:

John, one of the team members in the marketing department, is always late for meetings and never seems to have his presentation materials ready. As a result, the team has to spend extra time catching him up and making sure his portion of the presentation is ready. The team’s productivity has plummeted, and morale has suffered.

Causes:

John’s lack of motivation, poor time management skills, or a lack of accountability for his activities could all be to blame for this behavior.

Effects:

This conduct might result in decreased productivity, low morale, and poor job quality.

Solutions:

It’s time to establish some very specific expectations for John. After all, while you’re on the clock, time is of the essence. Remind him of the importance of time. But make sure you model and own it so he understands the value of meeting deadlines.

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2. The Invisible Team Member:

Description:

You notice that a team member barely contributes or is never heard from, but they expect their name to be on the final project.

Real-life Example:

Sara is part of the company’s annual report team, but she rarely speaks up in meetings, and when she does, her contributions are minimal. Her teammates have noted that she expects her name to be on the final report despite her lack of participation.

Causes:

This behavior points to Sara’s insecurity. Maybe she feels like she needs to be perfect in order to be accepted, so she’s afraid to make mistakes. Or maybe she doesn’t feel safe within your team’s dynamic.

Effects:

This behavior can lead to a lack of cohesion among the group, decreased productivity, and poor quality work.

Solutions:

To remedy this situation, start by creating a safe space for everyone to voice their opinions and ideas. Give Sara the opportunity to share her thoughts without fear of judgment. Also, be sure to recognize and reward her contributions when appropriate. This will create a sense of camaraderie and accountability within the team.

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3. The Free Rider:

Description:

This is where you have a team member who’s not pulling their weight, but they’re sure enjoying the benefits of the group’s hard work.

Real-life Example:

Mike is a member of the sales team, but he rarely makes any calls or follows up with leads. Instead, he just sits back and waits for the rest of the team to close deals, and then he takes credit for their work. His lack of effort is affecting the team’s productivity and morale.

Causes:

This behavior might be caused by Mike’s lack of ownership of the project, a lack of clear roles and responsibilities, or a lack of accountability within the team. More often than not, accountability is the underlying cause of a free rider.

Effects:

This behavior can lead to decreased productivity, lowered morale, and poor-quality work. And if you want to build a positive team culture, it’s crucial to address this issue quickly. If not, your team will suffer.

Solutions:

Sometimes leadership is like parenting; you have to be both nurturing and firm. Start by setting clear goals and expectations for Mike, and then follow up with him on his progress. Help him understand the importance of accountability and ownership. And finally, reward his successes publicly to reinforce their hard work.

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4. Social Conformity:

Description:

This is when your team member conforms to the group’s norm of loafing and doesn’t put in their best effort.

Real-life Example:

When Greg started working on the project, he had a ton of energy and momentum. But over time, he’s noticed that the team isn’t putting in much effort. Instead of speaking up and challenging the culture, he just follows along with the rest of his team and doesn’t put in any extra effort himself.

Causes:

Greg might not see the value in going above and beyond, or he might feel like it won’t make a difference anyway.

Effects:

This behavior sends a message to the team’s culture that mediocrity is acceptable. It can lead to a decrease in productivity, motivation, and morale.

Solutions:

The best way to get Greg back on track is to set expectations and provide him with meaningful feedback. Reward his efforts and energy and try to get his eyes back on the prize. Most importantly, create a culture of accountability and ownership within the team. Encourage everyone to challenge each other to be better and strive for excellence. Ideally, you would include this in the brief before the project begins so that everyone is working to the same high standards.

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5. Bystander Effect:

Description:

Have you ever heard of the bystander effect? It’s when people in a group fail to help someone in need because they assume that someone else will do it. Or, as the name implies, they become bystanders in the situation.

Real-life Example:

During a company meeting, you ask for volunteers for a task. No one in the team speaks up or offers to help, even though they all understand the importance of the project.

Causes:

This is usually caused by a feeling of diffusion of responsibility or an assumption that someone else will take care of it.

Effects:

This can lead to decreased productivity and a lack of ownership within the team. It also shows that the team is not taking ownership of their work, which can be detrimental in the long run.

Solutions:

First off, asking for volunteers is usually a bad idea. When possible, it’s better to actively assign tasks and roles. If you do need volunteers, be clear about the expected outcome and divide tasks into manageable chunks. This will make it easier for people to step up and take ownership of the project.

It’s also great to reward people who do take ownership, to show that their hard work is being appreciated. This doesn’t mean you have to pay more, though financial compensation is always good; just simple social recognition is enough.

Image represents The Perfectionist Loafer

6. The “Perfectionist” Loafer:

Description:

This is when someone on your team is waiting for the perfect moment or perfect conditions to start working, ultimately leading to procrastination and reduced effort.

Real-life Example:

Your project has a strict deadline, so you assign certain tasks to your team members and expect them to be completed by a certain date. But one of your team members is constantly pushing back the deadline, saying that it’s not perfect enough or needs more work.

Causes:

Nine times out of ten, this behavior stems from a fear of failure or not wanting to make mistakes.

Effects:

This can lead to a decrease in morale and productivity, as well as missed deadlines.

Solutions:

The best way to address this is by focusing on the progress made rather than the end result. Make sure that your team members are aware of their progress and celebrate small wins along the way. This will help them focus on what’s been accomplished instead of trying to achieve perfection.

Additionally, encourage your team members to ask for help when they feel stuck or overwhelmed with a task. This will show that you’re accessible and willing to provide support, which will make them more comfortable taking risks.

Image represents The Too Cool Loafer

7. The “Too Cool” Loafer:

Description:

They think they’re above the task at hand and put in minimal effort, thinking it won’t affect the outcome of the project.

Real-Life Example:

You assign a task to one of your team members, and they don’t take it seriously. They may joke around or make light of the situation and dismiss the importance of what’s being asked of them.

Causes:

This behavior is often caused by a sense of superiority or arrogance. Most likely, they don’t think the task is worth their time or effort.

Effects:

This can demolish a team’s morale and productivity, as well as lead to missed deadlines or unfinished projects.

Solutions:

This should not be tolerated on any team. It’s a bad way of thinking that can quickly spread to other people on the team if it’s not stopped.

But if you are wanting to remedy this problem without firing the person, the best approach is to make sure they understand how their behavior affects the outcome of the project. Explain why it’s important that everyone contributes, and show them how their work fits into the overall goal. This will help them see the value in what they are doing, as well as bring everyone closer together as a team.

Conclusion

We’ve all encountered it in one way or another.

Social loafing can be a real pain in any collaborative effort, whether you’re the one taking a back seat or trying to compensate for others’ shortcomings. But, through greater consciousness and proactive solutions, this obstacle can be conquered.

Always remember to reward effort and progress, and if all else fails, don’t be afraid to take drastic measures and make sure everyone is on the same page.

It’s in these moments that we can create a truly collaborative and productive team, one where everyone feels valued and respected. That’s when our true potential as a team will shine through! Happy team-building!

Structure Matters: How to Design an Effective Team for Your Organization

Image represents Team Structure

Back in grade school, did you ever have a class where you aced every test and answered all the questions right, and then the following year, you had a teacher and a classroom where everyone else seemed to understand what was going on, but you didn’t have a clue?

Or have you ever seen a group of talented musicians come together to create an unlistenable, screechy album?

These sorts of things happen all the time. They suggest that factors such as environment, structure, collaboration and leadership can be game changers.

Yet it’s difficult to see how an organization might be getting in the way of its own success. Maybe you have a disorganized system where the new hires get assigned to the high-tier clients. Or you have a talented team, but the projects tend to flop due to bickering and infighting.

Phrases like “empowering a team” and “unleashing potential” sound elusive, like one of those water snakes that slip through your fingers when you try to grasp it. But really, there are concrete ways to build an effective team. As it turns out, capacity, design and structure have as much to do with team effectiveness as anything else.

Are you interested in learning some of the secrets to building a high-power team? About the optimal way to design your team for the output you’re looking for, and those things to avoid?

In this post, we’re going to look at powerful tools for designing a team structure that manages itself and delivers results, and at organizational principles and designs to build an effective team that works for you.

Image represents a Team Versus a Group

A Team Versus a Group: Definitions

Teams aren’t necessarily people who work together in the same space and who perform the same tasks. Let’s get down to the basics first off and clarify just what is meant by a team versus a group.

A group, loosely defined, means two or more people who have significant things in common. However, a group may or may not function as a team. Here’s an example to illustrate this point. A group of people boards a ship to take a cruise, but a team of people devises a plan when the ship starts to sink.

This example clarifies the key distinction between a group and a team. Although a group has significant things in common, a team works toward a common goal.

Scott Tannenbaum and Eduardo Salas, authors of Teams that Work, the Seven Drivers of Team Effectiveness have outlined five characteristics of a team.

  1. A team must consist of two or more people. Nobody working solo is on a team.
  2. Team members interact continually (though not necessarily daily).
  3. The people within the group see themselves as a unit (but not exclusive to other teams).
  4. The members of the group are aligned around the same purpose, and work toward the same goal.
  5. Members of the team have roles and separate duties. They rely on one another’s skills to achieve goals.

Teams can be remote, where the members never see each other in real life, or in-person, where the members work alongside each other every day. Oftentimes teams are formal, with assigned roles, and are designed to last for some time. This isn’t a requirement, however. Some teams casually band for the space of a few hours, then disband once the purpose is achieved.

Teams function in every aspect of life, to solve all sorts of problems and work toward a variety of shared purposes.

A basketball team seeks to score more baskets than the opposing team, and a tennis team to score more points than the players on the other side of the net. A flight crew seeks to safely and comfortably bring its passengers to the destination, and a restaurant staff to deliver hot meals with a smile. A software team collaborates to build a product that solves the client’s problems. SWAT teams work to mitigate a crisis, and military units to safeguard the common good.

In a variety of capacities, we’ll all experience being part of a team. And as we all can attest, it certainly isn’t always easy.

However, a team provides many benefits above and beyond those of a group. Teams generate synergy, a capacity to solve problems and achieve goals that wouldn’t be possible within a group where everyone works in silo. Competition is minimized in a high-functioning team. Everyone shares best practices and the environment generates camaraderie and innovation.

This highlights another key distinction between groups and teams. A group evaluates people individually, it rewards individual performances. A team, on the other hand, evaluates everyone as a unit. It measures performance based on the group.

As we’ll discuss more in this post, a team’s success is in large part determined by its design. A poorly designed team gets in the way of its own objectives, while a carefully crafted team leverages all its potential. As Naomi Stanford writes in her book, A Guide to Organization Design, “Risk of failure can be completely avoided by consciously designing a new organization or redesigning an existing one in such a way that it performs well and adapts readily to changing circumstances.”

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Characteristics of an Effective Team

Tannenbaum and Salas are both organizational psychologists who have studied teams for over thirty years, in industries ranging from health care to financial services to airline travel. Over this time, they have identified three characteristics of an effective team.

1. Manages Resources

An effective team understands the resources required to achieve an objective, and utilizes a resource management plan to get there.

Resources include everything from materials, to equipment, to facilities, to the skills and time of team members. Effective resource management includes procurement plans that ensure the prudent acquisition of materials, systems that facilitate work-life balance for each team member and resource leveling to distribute work sensibly throughout a project.

2. Works Through Challenges

An effective team isn’t one that never has hiccups, disagreements or failures. In fact, open and honest disagreements are a sign of a collaborative and healthy team. And any team that takes risks is sure to fail from time to time.

However, an effective team doesn’t lose its productive capacity in the midst of challenges. It functions within a culture that fosters psychological safety so that the people feel valued and respected in the midst of conflict or failure.

3. Adapts and Innovates

An effective team isn’t fixated on one goal. A quarterback, for example, isn’t afraid to call an audible at the line of scrimmage when he feels a different play is more likely to achieve a first down.

An adaptive mindset allows a team to back track or change course when that’s more likely to achieve the objective. It doesn’t hesitate to develop new skills, and realign its structure when necessary.

Tannenbaum and Salas have also identified the components of an effective team. Here are the “Seven Cs” that make up a team.

1. Capability

Although skill isn’t everything, it certainly is necessary for teamwork. A software team must be fluent in the language it’s going to use to build a product. A fishing team must understand how to weather a storm, drop anchor and navigate by the stars. A financial advisor knows the sales techniques to move products. Generally, skills are distributed within a team.

2. Coordination

The coordination of a team impacts productivity every bit as much as the capability of its individual team members. This point lies at the heart of this paper, in fact. Coordination is the reason for why some teams with seemingly mediocre skills flourish, while other teams with stellar skills fall flat. Poor coordination is one of the key causes of social loafing.

3. Communication

Have you ever been on a team where someone chimes in with a warning, and is completely ignored, then later, when it’s too late, the team realizes it should have heeded the counsel?

A healthy team is receptive to listening to all perspectives. It gets the right information to the right people at the right time. Fluid communication is facilitated by good communication tools, regular check-ins and a transparent culture that values individual contributions.

4. Coaching

Even the most autonomous team functions best with some supervision and leadership. Leadership sets the tone, reinforces the culture in the team, boosts momentum and aligns a team around goals.

5. Cooperation

Cooperation, fundamentally, is about trust and openness. It means people feel comfortable bringing their full selves to the team. Oftentimes cooperative teams generate a swarming effect where everyone works together on the same task to bring it completion.

6. Cognition

Cognition, according to Tannenbaum and Salas, means that teams have a mutuality or a similar approach. Organizations with strong cultures excel here, as people are more likely to have similar priorities and be incentivized for the same reasons.

7. Conditions

Every team works within a specific range of resources. Members have access to a certain amount of materials and equipment, work within a given facility or digital platform, and give a certain amount of time. These conditions in part influence and determine the team’s output.

Regardless of its structure or industry, every effective team carefully selects the proper conditions to cultivate success.

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Four Teamwork Myths

We all have an idea in our head of how the ideal team functions and behaves. Maybe it includes team members laughing with each other during rapport building activities, slapping each other on the back and going out for beers together after work.

Although this description may characterize an effective team, these attributes aren’t fundamental. Let’s bust up some commonly held notions about what a team must be.

1. A Team Needs the Best and the Brightest

We’ve seen sports teams composed of seemingly mediocre athletes who win championships, and teams with star players who don’t even make it to the playoffs.

Although it may seem counterintuitive, skill isn’t the most important criteria for a great team member. Emotional intelligence matters every bit as much, and sometimes more, than skills. Characteristics like attitude, humility and a willingness to learn also impact an individual’s contribution to a team.

2. High-Functioning Teams Communicate Every Single Day

The widely-propagated agile principle promotes face-to-face communication and a daily scrum meeting. It has set an expectation that a team must be in constant communication, or else things go off the rails.

However, a team’s structure determines its ideal communication patterns. In some designs, requiring every member to communicate with every other member is simply excess and wasted energy.

3. Teams Produce More Together Than They Would Individually

Although teams possess the capacity to create a “one plus one equals three” phenomenon, this doesn’t occur automatically.

The synergy of a team must be cultivated. If it isn’t, then the opposite may occur instead. Sometimes when a group coalesces into a team, a phenomenon called social loafing occurs, where people produce far less than they might if they were working on their own. Some studies have shown that in group settings, individual output decreases by as much as one half.

4. Large Teams Are Bad

In this day of agile, any team over six or seven members is seen as an anathema, as though it’s asking for failure. This simply isn’t so. The size of the team is determined by the project at hand.

Sometimes the best criteria for team success is how long its members have worked together. Teams become the most productive after it’s gone through the storming and forming phases, and each understands his or her role. Strong central leadership can eliminate some of the infighting and conflicting priorities that take place within a large group.

Although there’s no one right way to build a team, certain conditions almost always preclude growth. Now that we’ve busted up a few teamwork myths, let’s look into why team structure matters.

Image represents Conway’s Law

Conway’s Law: Why Team Structure Matters

In 1968, the computer magazine Datamation published a research paper from Melvin Conway, a computer programmer, scientist and doctor of mathematics. The Harvard Business Review had already rejected the paper. And Conway buried the thesis at the very end.

Pithy insights have a way of surfacing eventually, however. Seven years later Frederick Brook featured Conway’s thesis in his book of technology essays, Mythical Man-Month, using the moniker “Conway’s Law.” The principle gained traction, and today this law is widely applied not only in software companies, but in the design of organizations in general.

Conway’s Law Defined

Conway’s Law essentially states that the structure of software mirrors the structure of the team that built it. More broadly, the product, output or service of an organization is reflected in the communication structure of the team that creates or provides it.

As Conway himself explains: “Organization which design systems…are constrained to produce designs which are copies of the communication structures of these organizations…the very act of organizing a design team means that certain design decisions have already been made, explicitly or otherwise”

Examples of Conway’s Law

As an example, take the companies Chevy and Tesla, and more specifically the cooling systems built into the automobiles of each. Tesla uses a simple organizational structure, and its engineers designed a car with one cooling system to handle the entire automobile.

Chevy, on the other hand, is a much larger company with a decentralized organization that assigns separate teams to specific components of the car. Its cooling system reflects this. A Chevy automobile has three cooling systems: one for the battery pack, one for the cabin, and one for the battery.

Conways Law is reflected in software design as well. A team of three software engineers who each know three different languages inevitably builds a system with a three-tiered architecture.

All this is to say, an organization with complex communication structures can’t create a simple product. An organization with many different teams, where each reports to a different VP who’s incentivized to reach a different goal, and where an individual on one team must interact with several people to communicate with a member of another team, creates a product that reflects this complexity.

As many leaders and project managers attest, there’s no getting around Conway’s Law. No matter how much it might want to, a team cannot build something counter to its design.

A Solution to Conway’s Law

Conway poses a solution to his principle: “Ways must be found to reward design managers for keeping their organization lean and flexible. There is a need for a philosophy of system design management which is not based on the assumption that adding manpower simply adds to productivity.”

This notion has come to be known as the Inverse Conway Maneuver. The maneuver is about creating a clear structure, and limiting the cognitive demands of individual team members on the team. Essentially, it means that if you want to create something that’s simple, or to provide fast, straightforward service, utilize a simple team design.

The Big Lesson from Conway’s Law

One overarching takeaway from Conway’s law is that a team cannot focus exclusively on what it wants to produce, be it a widget, a website, or a service experience. In order to achieve its goal, it must focus on the design of the organization as well.

And so when a team is stuck in a hairball of a mess, sometimes the solution is to simplify the team structure. As Conway emphasizes, this means that organizations must continually be open to re-design.

Conway’s Law convinces us that design matters with respect to team effectiveness. But what should this design look like? As it turns out, there’s many options. Some that work, and some that definitively do not.

Image represents Team Structures that Always Fail

Four Team Structures that Always Fail

Although there’s no one right way to structure or design a team, certain formulas just aren’t going to cut it at any time or anywhere. Let’s look at some of these.

1. Required Skills Nowhere to Be Found

As discussed earlier, capability is a key component to an effective team. Although at some level this is a no-brainer, sometimes it requires a little digging to identify required skills, and then classifying each individual’s skills on a spectrum.

Take, for example, an accounting firm that only has a few skilled members and many entry-level members. It’s quite possible that the team’s skill mix won’t correlate to what’s required by the clientele. A junior member who’s just cutting his teeth may be assigned to a top tier client outside of his skill range, and provide shoddy service.

A successful team clearly defines the skill levels required for the work at hand, then looks for suitable matches to create the team.

2. Work Performed in Silos

Sometimes roles and duties are so clearly defined that one team member can perform one task, then pass the work right onto the next team member. However, if the first person immediaely closes the books and moves onto other things, it opens the door to failure.

Take, for example, a restaurant where the cook prepares a meal, and the server delivers it to a patron. It’s quite possible that the patron may have changed his or her mind, or made a mistake in placing the order. Both the cook and the server need to be in constant communication with one another in order to correct this and provide satisfactory service.

As stated earlier, one fundamental characteristic of a team is that the members are dependent on each other.

It’s easy for this silo work pattern to occur in remote teams. One way to solve it is with solid communication systems.

3. Spiderweb Communication Networks

Oftentimes in a complicated team design, one person has to go through several channels just to speak to someone on another team. This forces things to proceed at a pace that’s slower than molasses in January. It may even mean that the effort to communicate does not take place at all. Yet fluid communication is imperative to a project’s success.

As discussed, Conway’s Law can’t be fought, rather it needs to be dealt with. The solution to a complex team design is to simplify structures as much as possible.

4. Teams Without Autonomy

Building strong rapport is central to a cooperative and productive team. And according to forensic psychologists Laurence and Emily Alison, authors of Rapport: the Four Ways to Read People, autonomy is a key to achieving this.

A top-down, command and control structure stifles teams. When team members are told what they can and cannot do with rigid specificity, it may well lead to high incidences of social loafing.

Granting a team the license to determine when it holds meetings and who receives which responsibilities means it’s more likely to go at things with a gusto.

In pretty much any scenario, a team that reflects any of these characteristics sets itself up for failure. Now let’s look into some options for team structures that really work.

Image represents Successful Team Structures

Five Successful Team Structures

There’s no one right way to design a team. A right structure varies depending on the industry and the objectives of the organization. And each organization can succeed under a variety of structures. One component, however, to any successful design is flexibility. As Melvin Conway says,

“Because the design which occurs first is almost never the best possible, the prevailing system concept may need to change. Therefore, flexibility of organization is important to effective design.”

Before looking at possible team design structures, let’s first consider a few more principles to guide good design.

Principles to Guide Good Design

In her book A Guide to Organization Design, Naomi Stanford writes that organizing an enterprise “…needs to include the culture, group processes, leadership, measurement and stakeholder engagement if it is to result in an organization that is aligned in a way that will achieve the organization’s strategic goals.”

She specifically lays out these principles to guide good design.

  • Design for Business Reasons
    Lay out the business case for the design, and whenever possible include the anticipated growth or ROI. An organization needn’t be redesigned for innovative technology or to suit a senior executive’s preferences when these changes don’t have an underlying business reason.
  • Design a Team in Light of the Entire Organization
    An effective team structure doesn’t operate as its own fiefdom within the company. Rather, it considers the organization as a whole, carefully considering its communication networks and dependencies on other departments.
  • Design for the Future
    As much as we want to fix things for right now, it’s necessary to look ahead and incorporate anticipated changes into the design.
  • Allocate Specific Resources to Design
    As discussed, successful output hinges on good design. Conversely, a poor design may well spell failure even to highly skilled teams. And so a high-functioning organization dedicates resources, possibly even an entire team, into researching good design.
  • Design for Continual Transformation.
    More than likely, you’re never “there” with design. It’s something to continually monitor and tinker with.

Bearing these principles in mind, let’s consider various organization structures, and the benefits and downsides of each.

1. Centralized Organization

Centralized design is a structure where key decisions, plans, strategies and budgets are established by a single leadership or team. A centralized organization may have multi-disciplinary teams, where one manager oversees many disciplines. In a marketing organization, for example, both a designer and a marketer would report to the head of product design.

The Benefits

Overall costs tend to be lower in a centralized organization. Things like procurement are centralized, so there’s no paying double for the same services in various departments. Additionally, there’s a standardization across the entire organization. Each team inherits the best practices of another team, and there’s a consistent culture throughout.

Centralized organizations allow a company to innovate and grow quickly, and so it’s popular in small developing companies.

The Downsides

Centralized organization can slow processes and complicate communication systems. People from different departments who work on the same assignment cannot communicate and make decisions directly, but must instead correspond through several channels.

Example

Apple is a well-known organization that utilizes a centralized organization structure. Both historically and currently, the CEO of Apple makes decisions for the entire company. Apple benefits from this centralized organization by having a consistent culture and shared core values throughout the entire company.

An organization might adopt a centralized organization if it’s either poised for growth or needs to streamline processes and cut costs.

2. Decentralized Organization

In a decentralized organization, the same key functions of decision making, budgeting, strategizing and planning are distributed to many people across several departments. In a marketing company, a decentralized organization divides teams into distinct departments such as content, research and design.

Team members report directly to the manager within his or her discipline. Designers report to design managers, researchers to research managers, and so on.

The Benefits

This structure works well in an organization that has many different types of products or services, or that serves many different regions. It fosters innovation, as more people are empowered to make decisions, and allows for easy communication due to its small teams. It’s easier to recruit talent because there’s so much possibility for growth within the company.

The Downsides

In a decentralized organization, processes aren’t streamlined, and so costs tend to be higher. There’s a lack of cohesion, and an organization may develop a scattered or incoherent culture, and operate more like several fiefdoms rather than one large company.

Examples

Netflix is a company with a decentralized structure. In his book No Rules Rules, founder and CEO Reed Hastings explains how he’s built a culture that has eliminated most controls and empowers individuals to make decisions. This structure has allowed Netflix to expand worldwide, and create content for specific regions.

Johnson and Johnson is also notable for its decentralized structure that has allowed it to develop a wide range of bestselling products.

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3. Structure for Anticipated Demand

This structure considers the demand for a product or service, and structures the organization accordingly. For example, in a financial services company, leadership first considers the skill level required for the markets it plans to serve. A member with good interpersonal skills might handle high-level clients, while the new employees would be assigned the “C” or “D” clients. Someone who’s experienced but doesn’t have great communication skills would be a team leader.

The Benefits

This structure aligns the right skills with the correct services. It eases the hiring process, as human resources knows the precise level of skill required from recruits.

It also considers capacity right from the start. The leadership understands where and how to leverage the company when it wants to modify services, and who needs additional training.

The Downsides

In this structure, an individual may feel locked into a role. As this design determines demand in advance, it’s difficult for an individual to move up within the organization. Additionally, there’s little crossover or sharing of tasks.

Example

Financial services organizations such as Fidelity structure its organization to meet anticipated demand. It’s also utilized in food service organizations looking to serve a specific clientele.

4. Stream Aligned Teams

These next two team structures are taken from Matthew Skelton’s book, Team Topologies.

This first is the stream aligned team. This is a small autonomous team where members independently plan, build, refine, adjust and deliver a product. As the name suggests, the steam aligned team is designed for flow. It provides continuous delivery, and pivots and adjusts based on team and client feedback.

The Benefits

A stream aligned team demonstrates a huge capacity for growth and development. When the same members have worked together for a while, both the roles and collaborative systems are tweaked for maximum potential.

The Downsides

The autonomous nature of these teams means it may operate in isolation, separate from the rest of the organization. It’s resistant to interference from upper management. As it prefers to generate its own schedule, it’s difficult for a stream aligned team to meet externally imposed deadlines.

Example

This is the quintessential agile team. Many software teams designing websites and new applications utilize the stream aligned structure.

5. Enabling Teams

An enabling team isn’t driven by a client or a product design. Rather, it’s expressly dedicated to research, experimentation and innovation.

The Benefits

Enabling teams allow for innovation and growth. It looks at the current processes within the organization and seeks to improve them. It also considers the future trends and needs of the market, and brainstorms products and aligns services to meet them.

The Downsides

Although an enabling team can lead to huge business growth, it uses resources without immediately adding business value. It’s only viable within an organization with plenty of extra time, money, and labor.

Example

Internal think tanks represent enabling teams. For example, an enabling team within the company DuPont developed what’s come to be known as the critical path method in the 1950s, a concept widely adopted by project managers today.

This list is by no means exhaustive, but it provides some basic guidelines around how to structure a team.

Conway’s two cents are once again worth considering here as a guideline for any structure: “Each individual must have at most one superior and at most approximately seven subordinates.” Another key consideration is the interaction patterns within the team.

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Four Interaction Modes of a Team

In order to determine the right team structure, it’s necessary to consider how the team members interact. Most teams don’t function like the quintessential stream-aligned team, where roles oftentimes overlap and team members can swarm around one task. Here are a few possible interaction modes offered by Matthew Skelton and agile coach Cara Leon.

1. Collaboration

This is the interaction mode where everyone on the team possesses a similar set of skills, and can swarm around a work item and push it through the workflow.

2. Facilitating

In this collaboration mode, one unit of the team enables the next. It’s demonstrated in a manufacturing assembly line, where one person completes his or her portion of a project before passing it on. As previously discussed, these team members do not work in silos, but communicate with each other in order to bring the project to completion.

3. Service

In this mode, a team reaches outside itself for a tool or a service. For example, a team may hire a virtual assistant to assist with administrative tasks. Or an IT department may use the servers of another organization.

4. Consult Not to Own

In this collaboration structure, one team supports another in an effort that will ultimately be the possession of the other team.

And this summarizes some common communication modes for a team. As stated before, determining the right solution means stepping away from the “what” of the project or process and looking at it in broad overview.

Now let’s look at some tools and tips to help facilitate an effective team.

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Tips and Tools for Building a High-Functioning Team

Building a team is as much about the structure of an organization as it is about skills and leadership. Here are some tools and strategies to facilitate a high-functioning team.

Manage Capacity

Capacity may seem like it has nothing to do with an effective team, while in fact, it’s an essential component to one.

Capacity management is a data driven discipline that collects and analyzes data, then creates procedures and systems based on this analysis. The objective of capacity management is to identify where to improve an organization and how to change current processes to increase value and output.

It means, for example, understanding how many additional clients a service organization can take on for each employee it hires. Within the food service industry, capacity management considers things like how many meals a restaurant can serve during lunch hour, given its current space and staff.

Capacity management makes it clear when and where people need to be hired, and helps to get the resource mix right. It builds self-sustaining systems that enable growth.

Use Time Sheets

Although many employees still fill out timesheets, more and more this procedure is falling away.

Time sheets create a self-managed system. When people fill out their own time sheets, it gives them a clear understanding of how they’ve spent their time in a given day. Essentially, it’s a process that allows them to manage themselves. A team runs without constant oversight from a leader, and becomes system dependent.

Increase Employee Engagement

“Every important business outcome lies downstream from the experience and engagement of the people who make the organization go….Success begins and ends with human beings.” Tracy Maylett, EdD and Matthew Wride, JD write in their book, The Employee Experience.

Employee engagement lies at the heart of an effective team. More and more, increasing this engagement means treating employees like stakeholders in the business. People are no longer willing to work for a paycheck or take orders from their boss.

An employee who feels like he is a part of things brings his full self to his role within the team. He’s more likely to stick around for the long-term.

Building employee engagement isn’t a “one and done” process. An organization is never there, really. Rather, it achieves this objective in degrees.
The first step is to look at underlying assumptions around employees. Are they treated like autonomous adults or like “things” the company has acquired?

This gets down to altering the language used around the workplace. Phrases such as “personal time” and “vacation time” imply that an employer gives employees license on how he or she uses her time.

And the second step is about tactics. Pay and benefits, workspace and well-being all play into improving an employee’s experience and increasing his or her engagement.

Use a Pull (Not Push) System

A pull system is demonstrated by the kanban workflow which sets work-in-process limits.

This system prevents the cognitive overload created by multitasking and conflicting priorities. In a pull system, teams work together to complete tasks in order to move into the next work item. It reduces procrastination and increases efficiency.

Just as in carpentry, when a team leader uses the right tools, it’s so much easier to solidly nail, bolt or fasten a team together for success.

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Culture: The Essential Ingredient to Every Team

The functionality of an organization and its culture are closely correlated. A company’s culture makes the difference between a collaborative, innovative team that consistently wows clients, and a bickering team full of infighting that produces mediocre results.

A culture is built and cultivated. It can be deliberately molded. As Lazlo Bock, former executive at Google writes in his book, Work Rules!, “It is within anyone’s grasp to be the founder and culture-creator of their own team, whether you are the first employee or joining a company that has existed for decades.”

The components of work culture include things like purpose, opportunity, appreciation, success, well-being and leadership. Culture is impacted by the systems within an organization that foster work-life balance, as well as its practices to acknowledge and appreciate each employee’s hard work and contributions.

An empowering culture unleashes potential. It gets the best out of each team member. Let’s go over some characteristics of good culture, and explain how to build it within an organization.

Build Psychological Safety

This means creating an open environment where people share opinions and aren’t afraid to take risks. As CEO Reed Hastings reports in No Rules Rules, Netflix goes so far as to censure employees who don’t engage.

“At Netflix, it is tantamount to being disloyal to the company if you fail to speak up when you disagree with a colleague or have feedback that could be helpful. After all, you could help the business—but you are choosing not to.”

As people aren’t afraid to admit to errors, a safe environment catches and fixes mistakes before they become huge problems. It allows a team to seize opportunities, as people are willing to go out on a limb and risk failure.

This openness is created first of all by a leader who shows vulnerability. When a leader admits to mistakes, it creates a space where others can as well.

Show Appreciation

They say that people don’t quit jobs, they quit managers.

But psychologists Gary Chapman & Paul White, authors of The 5 Languages of Appreciation in the Workplace, find that appreciation is so fundamental that employees will quit a job based on this factor alone. Even in a position where the pay and benefits are great, an employee will move onto other pastures if she doesn’t feel appreciated.

Showing appreciation isn’t so simple as saying thank you. It can mean spending time with employees, getting to know them as individuals, providing bonuses and incentives and acknowledging individual contributions to successful projects and endeavors.

Communicate Transparently

Without vigilance, it’s easy for a workplace to devolve into an environment where key information is shared via gossip channels or in games of telephone where the message becomes garbled and misunderstood.

A transparent organization makes a practice of providing regular, dependable communication. In a remote team, this means selecting effective tools and ensuring that everyone checks in and utilizes the tools regularly.

This simple communication structure impacts the team’s collaborative efforts, and ultimately its output.

Keep the Eye on the Ball, Not on Individuals

The team goal is to achieve its objective. Staying focused on this prevents the development of a blame culture where individuals are singled out for mistakes, and which ultimately results in a mistrustful and unmotivated team. Rather it keeps everyone energized on the goal.

These guidelines help to create a friendly, open culture, where people want to speak to each other and engage.

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The Ideal Team Member

We’ve all worked with the downer, the slacker, the jerk, the person who hides within a team and works at 30% capacity. And unfortunately, even the best team structure cannot remedy the negative impact this has on a team.

According to Patrick Lencioni, author of the Ideal Team Player, every team member needs to be hungry, humble and smart.

“During the past twenty years of working with leaders and their teams, I’ve seen time and again that when a team member lacks one or more of these three virtues, the process of building a cohesive team is much more difficult than it should be, and in some cases, impossible.”

In order to build a team with these characteristics, it’s necessary to understand just what they mean.

  • Hungry: This doesn’t mean someone with a penchant for snacks. Rather, it means he or she is self motivated, and driven to learn, grow and succeed.
  • Humble: Even the most skilled team member appreciates that everyone has something to contribute. Listening to other perspectives is key to creating synergy.
  • Smart: This isn’t intelligence, skill, or book smarts. Rather, the “smartness” Lencioni refers to is emotional intelligence. It’s someone who “gets” different kinds of people and collaborates well with others.

When a team is composed of people with these qualities, and it has a good design to boot, it can do nothing but succeed.

Conclusion

Unfortunately, there isn’t a step-by-step guide to building an effective team. Nor is there one right team structure. The right design structure depends on the team’s objective, its resources, and its collaboration modes.

Team structure determines the team’s output. And so every organization puts just as much time into its design as it does into production.

A team structure may be centralized, decentralized, or fall somewhere in between. One guiding principle for any design is to create a communication system that’s as simple as possible. Another is flexibility. This way, it’s possible to both plan a structure then monitor and tweak it later.

If you’re building a remote team, consider signing up for Teamly. Our sophisticated project management platform is just the tool you need to establish the simple communication channels necessary to foster a productive team.

Take the Guesswork Out of Project Planning with Parametric Estimating

parametric estimating in project management

Are you looking for a reliable and accurate way to estimate the cost, schedule, or other project variables before they begin? Parametric estimating can be extremely useful.

It uses statistical data and analysis to accurately predict what will happen and help find opportunities and risks. It’s like having a project management crystal ball.

And best of all, it usually works in sync with other estimation techniques like expert judgment or analogous estimating. So, if you want a better understanding of how parametric estimating works, then you came to the right place.

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What is Parametric Estimating?

Parametric estimating is a way to determine how much a project will cost, how long it will take, and other details using mathematical models and statistical methods.

It uses known connections between variables to make an estimate based on past data. The key is that it uses historical-existing data to make projections.

This method uses statistical analysis to predict the cost or duration of a project based on a correlation between a parameter and a value, like a cost or time.

It’s commonly used in project management frameworks like the PMI’s PMBOK and is a go-to for many industries like construction, consulting, and IT.

To use parametric estimating, you’ll need some data to work with. This could be from previous projects, market data, or benchmarking statistics.

Depending on the size and complexity of your project, there are different ways to use parametric estimating. For example, suppose you’re overseeing larger projects. In that case, it requires more detailed statistical models and regression analysis, while smaller projects can get by with simple functions or the “rule of three.”

Here’s a Simple Example

For example, let’s say you want to predict the cost of materials for a construction project. You can use the following formula to create an estimate: Cost Estimate = A + B (Material Quantity) + C (Labor Hours), where A and C are fixed variables representing overhead and labor costs per hour, respectively. B is a variable that represents the cost of materials necessary for the job. With this formula, we can plug in data from similar projects and get an estimate for our current project.

Parametric estimates can tell us how much a project will cost, how long it will take, and how many resources it will need. By collecting data from previous projects with similar scope or complexity, you can build models that accurately predict how many resources you will need at each stage of our project.

This helps us plan better and avoid mistakes that cost a lot of money because we needed to hire more people or get the resources we needed too late in the project’s timeline.

One thing to remember is that parametric estimating relies on the assumption that there is a correlation between the parameters and the values you’re working with. So, you need good data and expert judgment to make sure your estimates are correct and useful for your project.

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Use-Cases in Project Management

Parametric estimating is used in numerous ways in project management. Here are some examples of how this technique is applied:

  • Forecasting budget – by gathering data from similar projects, we can form an estimate of how much money this particular one will cost us.
  • Predicting duration – by analyzing data from past projects with similar scope or complexity, we can establish relationships between variables such as staffing and time needed.
  • Determining material costs – understanding the price of materials relative to quantities used allows us to better understand how much money needs to be budgeted for supplies.
  • Calculating resources required – by understanding what types of people are needed at various stages of the process, we can make sure that each task has enough personnel assigned to it.
  • Generating progress reports – collecting data throughout the course of different projects allows us to generate accurate progress reports that give us insight into where we are currently compared with our original goals.
  • Building financial models– using established relationships between variables such as labor hours and overhead costs gives us insight into our current expenses and what they could potentially be later down the line if circumstances change.

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Advantages of Parametric Estimating

Parametric estimating has several advantages over other estimation techniques. Here’s a quick list:

  • Increased Accuracy Compared to Other Methods
  • Ability to Update Estimates Easily
  • Ease of Use and Quick Turnaround Time
  • Reduced Bias and Errors in Judgment

Increased Accuracy Compared to Other Methods

One of its most significant advantages is its increased accuracy compared to other methods. In addition, because parametric estimates take into account numerous variables that may affect a project’s outcome—such as scope, complexity, resource availability, geography, and technology level—they can provide more reliable estimates than those generated using expert judgment or analogous estimation.

Ability to Update Estimates Easily

Additionally, because parametric estimates are based on data-driven models rather than subjective opinions or guesswork, they can be easily updated if conditions on the ground change during the project. This is an important thing for project managers to think about because it lets them change the estimate as needed and keep the project moving forward.

Ease of Use and Quick Turnaround Time

Another advantage of parametric estimating is its ease of use and quick turnaround time. Unlike other estimation techniques, which require extensive research or expert opinion collection from multiple sources, parametric estimates can be quickly generated with minimal effort by simply inputting data into a model. This makes it an ideal choice for project managers who need quick answers but don’t have the time or resources to conduct extensive research on their own.

Reduced Bias and Errors in Judgment

Finally, because parametric estimates are based on data-driven models rather than subjective opinions or guesswork, they are less prone to bias or errors in judgment, which can lead to inaccurate predictions about project outcomes. This reduces the risk of unexpected costs or delays and helps to ensure that the project stays on track.

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The Downside Side of Parametric Estimating

Parametric estimating is a powerful tool for project managers to estimate the cost and duration of projects. But, as with any tool, there are pros and cons. In this section, we’ll take a deep dive into the disadvantages of parametric estimating.

Reliability Issues

The accuracy of parametric estimates depends heavily on the quality of the data used in the analysis. Any errors or omissions in this data will affect the reliability of the results given by your software. This means you must have accurate, comprehensive data from past projects or project components to get a precise assessment. If you lack reliable data, you may be unable to use parametric estimates.

Scope Limitations

Parametric estimating also has some limitations when it comes to its scope. It only works for projects that are about the same size and level of difficulty as ones that have already been done. This means that you might not be able to use parametric estimation if you are working on a very unique project or one with many parts that have never been done before because there isn’t enough data from similar projects or parts.

Data-Dependency

Finally, since parametric estimation relies so heavily on past data points to create models, it can be difficult for new organizations or companies lacking historical data to get an accurate estimate from their software programs. In these situations, traditional methods might have to be used until enough historical data is collected to make more accurate models with parametric estimation software.

While these drawbacks can limit its effectiveness in some situations, it remains an effective tool when used correctly and when sufficient quality control measures are considered during the estimation process.

Comparing other estimating techniques

Comparing other estimating techniques

When estimating the resources and time needed for a project, there are a few different techniques to choose from.

Analogous Estimation

One technique that’s similar to parametric estimating is “analogous estimation.” Like parametric estimating, “analogous estimation” relies on data from past projects to predict the outcomes of the current project.

However, it doesn’t use statistical analysis to establish relationships between variables and make projections. Instead, it relies on expert judgment to compare the current project to a similar project that has already been completed.

Three-point estimation

Another option is “three-point estimation,” which involves generating three different estimates for a project: a best-case scenario, a most likely scenario, and a worst-case scenario. These estimates are then combined to create a more accurate overall assessment of the project.

The benefit of “three-point estimation” is that it takes into account the possibility of uncertainty and helps figure out what risks and opportunities might be there.

However, it can be time-consuming to generate the three separate estimates. Also, they may not be as accurate as parametric estimates if the data used to make the estimates is unreliable.

Expert judgment

“Expert judgment” is another technique that can be used to estimate the resources and time needed for a project. This involves relying on the expertise and experience of subject matter experts to make predictions about the project.

“Expert judgment” can be useful in situations where data is limited or there are unique or complex aspects of the project that can’t be easily quantified. But it can be subjective and may not be as accurate as methods like parametric estimating that are based on data.

So, which technique is best for your project? It really depends on the specifics of your project and the resources you have available. For example, parametric estimating is often a good choice because of its increased accuracy and ease of use, but it may only be practical if you have key data to work with.

On the other hand, analogous estimation and expert judgment can be helpful when there isn’t enough data, but they may not be as reliable. Ultimately, the best technique will depend on your project’s specific needs and constraints.

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When to Use Parametric Estimating

If you’ve been following along, you know that parametric estimating can be incredibly helpful for project managers. But how do you know if it’s the right choice for your project?

First, it’s essential to consider the size and complexity of your project. Parametric estimating is most effective when you have enough historical data to create accurate models that can be used to make reliable predictions.

If your project is small or straightforward, parametric estimating may not be necessary. But if it’s large or complex, then parametric estimating can be a great way to get an accurate read on the resources and time needed.

Second, it’s important to consider the accuracy requirements for your project. If you need precise estimates to make reliable decisions, then parametric estimating can be a great choice.

On the other hand, if you’re looking for a more general estimate, then it may be better to use analogous estimation or expert judgment.

Finally, consider the resources and expertise available to you. Parametric estimating can be complex and time-consuming, so you must have access to enough data and knowledgeable experts to make it work.

If you need more resources or expertise, then another estimation technique may be a better choice.

Conclusion

Parametric estimating is a potent tool for efficient and effective project management.

It requires sufficient amounts of data from similar projects or components within a single larger-scale project to produce valuable results, but when done correctly, it provides invaluable insight into budgeting, forecasting durations, calculating material costs, determining resource requirements, generating progress reports, and building financial models for future planning purposes.

In the end, the best way to estimate your project will depend on its size and complexity, the level of accuracy you need, and the resources you have at your disposal.

Risk Response Strategies: Your Project Manager’s Guide to Navigating Uncertainty

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No project is without risk, but some projects are riskier than others. As a project manager, you need to be able to find risks, evaluate them, and come up with plans for how to deal with them.

This can be a daunting task, but never fear. This guide will help you navigate the world of risk response strategies and make your projects a success. So strap on your helmet and get ready to dive into the exciting world of risk management.

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What exactly is risk response, and why is it critical for project managers?

Risk response is a project manager’s toolbox for managing the future of their project. It helps managers figure out what problems might come up and gives them a chance to get ready for them.

A good risk response moves the project forward with confidence. It’s like how good planning gives rocket fuel to the project’s goal, making it easier to get past weaknesses and meet deadlines.

Being able to respond quickly and appropriately to risks throughout the project life cycle is what helps successful project managers stay ahead of the ever-changing game of development. In the end, risk response helps managers get ready for any storm that might come their way, making sure their projects are in safe harbor.

Discuss the different types of risk response strategies for negative risks.

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5 Risk Response Strategies to Combat Negative Risks

Without a plan for managing risks, projects can be derailed quickly by unexpected problems or bad risks. So, what strategies can you use to combat negative risks? Let’s take a look at the five options that are available to project managers.

1). Avoid – Risk Response Strategy

The first strategy for addressing negative risks is to avoid them altogether. In other words, if there is an identified risk that could cause significant damage or harm to the project, it might be best for the project manager to simply not pursue it.

This method does require some foresight on the part of the project manager, but it can be a very effective way to avoid mistakes or delays that cost a lot of money.

2). Mitigate – Risk Response Strategy

The second strategy for responding to negative risks is mitigation. This means taking steps ahead of time to lessen the effects of a risk and make it less likely to happen.

Some examples of mitigation strategies are making backup plans, setting up early warning systems, and staying away from high-risk areas or activities.

3). Transfer – Risk Response Strategy

The third strategy for dealing with negative risks is transfer.

This means putting some or all of the responsibility and possible costs of a certain risk on someone else (for example, through insurance). This usually works best when the project manager has no control over something outside of the project, like the weather.

4). Escalate – Risk Response Strategy

The fourth strategy for responding to negative risks is escalation. This means going up the chain of command to get help with a problem or to solve it quickly in a way that causes the least amount of damage or cost to your organization or project team.

Escalation should only be used as a last resort when all other options have been tried and failed. If done too often or without careful thought, it could cause tension within the organization.

5). Accept – Risk Response Strategy

The fifth and final strategy for addressing negative risks is acceptance. This involves simply accepting that a certain risk exists and choosing not to do anything about it (i.e., letting nature take its course).

It’s important to note that this option should only be used if all other options have been exhausted and there truly is nothing else that can be done about the risk in question (e.g., due to financial constraints).

Each strategy has its own pros and cons, but the best way to figure out which one to use in a given situation is to learn from past mistakes and use good judgment. This will help you have the most success while minimizing the damage and cost of any problems that come up along the way.

Experienced project managers know just how valuable this knowledge can be; now you do too!

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5 Risk Response Strategies For Positive Risks

You’ve just read about how to respond to negative risks. But what about the other side of the coin? How do you handle positive risks? After all, not all risks are bad. Some can be great opportunities for your project or business. In this post, we’ll explore the five risk response strategies for positive risks and discuss why it’s important to have a plan in place for them.

What Exactly Are Positive Risks?

Positive risks are those that present potential opportunities for your business or project. They could be anything from a sudden influx of resources or money to an unexpected gain in market share. These types of risks can have huge impacts on your company if handled correctly, but they can also lead to disaster if poorly managed.

1) Enhance – Risk Response Strategy

When you “enhance” a risk, you work to increase its potential benefit. This means taking steps, like adding more resources or working harder at marketing, to get the most money out of an opportunity.

2) Exploit – Risk Response Strategy

The goal of “exploiting” a risk is simply to take full advantage of it, no more, no less. You don’t want to overcommit yourself by investing too much in something that may not pay off, but you also don’t want to leave money on the table by failing to capitalize on every opportunity that comes your way.

3) Escalate – Risk Response Strategy

An “escalated” risk response strategy means that you’re looking at ways to accelerate the process and take advantage of short-term opportunities as quickly as possible. This could mean hiring more people from outside the company, speeding up production, or putting more money into research and development.

4) Accept – Risk Response Strategy

The simplest way to deal with a risk is to do nothing and just accept it. This could mean that you’re comfortable with the current level of success associated with a given opportunity, or it could be because there isn’t much else that can be done in terms of maximizing its potential benefit (at least not immediately).

5) Share – Risk Response Strategy

Finally, some positive risks may be large enough that a large number of people must collaborate to get the most out of them (or the least amount of costs). In these cases, it’s often beneficial for everyone involved if one stakeholder takes on responsibility for managing and sharing out any profits (or losses).

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A few tips on how to create a risk response plan

Creating a risk response plan is like piecing together a complex jigsaw puzzle. To maximize their success, you need to carefully look at the risks, come up with clear strategies, and use creative methods.

  • To get started, craft a master list of the possible risks to minimize further time and energy waste.
  • Then, figure out how likely it is that they will happen and how likely it is that they will happen in extreme conditions.
  • Next, brainstorm potential solutions to each risk, as well as appropriate countermeasures that prevent greater damage in the case of any threat.
  • Lastly, give clear roles to everyone involved so that everyone knows what their responsibilities are.

Your risk response plan should be a good way to protect against both known and unknown risks. It should be a strategy masterpiece that will stand the test of time.

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Examples of Risk Response Strategies in Action

So, we’ve discussed the different types of risk response strategies for both negative and positive risks. But what does that look like in action? Now, we’re going to dive into five real-world examples of effective risk response strategies in action.

Example 1: Avoiding Risk with a Backup Plan

It’s always a good idea to have a backup plan when you’re faced with an uncertain situation. You might want to stay out of a dangerous situation altogether by making plans and having backups ready. Consider this example: Your business relies on its website as an online storefront, so your IT team has set up redundant servers with multiple backups stored offsite. In the event of power outages or other disasters, those backups can be quickly implemented to keep the website up and running. That’s avoiding risk in action.

Example 2: Mitigating Risk with Insurance Policies

When it comes to mitigating risk, insurance policies are one of your best tools. For example, suppose you own a business that works with hazardous materials and machinery. In that case, it’s important to have liability insurance coverage in place for potential accidents or injuries that could occur on your property. That way, if you ever need it, you have protection from potential lawsuits or fines related to safety issues. That’s mitigating risk in action.

Example 3: Transferring Risk With Contracts

Contracts are also great tools for transferring risk from one party to another. Consider this example: Your company is working on a new software project for a client who is outside of your country. You can protect yourself from any potential legal issues by writing contracts that clearly state which party is responsible for any losses or damages incurred during the project. That’s transferring risk in action!

Example 4: Exploiting Opportunities with Investment Opportunities

Exploiting positive risks can be done through strategic investments and partnerships. Consider this example: Your company has identified an opportunity to invest in a new technology that could revolutionize its industry—but there are some significant financial risks associated with it. You decide to collaborate with another company that specializes in managing such investments, and the two companies split the costs and profits if the investment is successful—that’s opportunity in action.

Example 5: Escalating Risks by Seeking Expert Advice

Escalating risks can often mean seeking expert advice from professionals who understand the nuances of certain situations better than you do, such as lawyers or accountants who specialize in tax law or corporate finance matters, respectively.

Escalating risks can help make sure no stone remains unturned when it comes to addressing potential problems before they arise or become too big of an issue—that’s escalating risks in action!

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How to adjust your risk response plan for maximum success

As we’ve discussed, risk response planning is a critical part of any project. It’s the process of identifying, assessing, and responding to risks that could potentially derail your project’s progress and timeline.

And while it’s important to create an initial risk response plan at the beginning of a project, it’s just as important to adjust your risk response plan as the project progresses. So when should you adjust your risk response plan? Let’s take a look.

Monitoring Changes in Risk Levels

The first thing you should do is start monitoring changes in risk levels. As unpredictable events happen or new information comes to light, be sure to update your risk assessment accordingly. This will help you stay on top of any potential risks that can arise during a project. It also gives you the insight needed to anticipate potential risks before they occur, giving you more time to devise strategies and solutions if and when they do surface.

Recognize New Risks as They Emerge

In addition to monitoring changes in risk levels, be sure to acknowledge new risks as they arise throughout the course of a project. When faced with something unexpected or unknown, don’t assume it won’t affect your plans—instead, document it and create strategies for mitigating the effects it could have on your project’s timeline or outcome. By doing this proactively rather than waiting until issues arise, you’ll be better prepared for whatever comes your way!

Adjustments Based on Project Progress and Results

Finally, make adjustments based on how well (or poorly) the project is progressing and what results have been achieved so far. If all goes according to plan, then there may not be much need for making adjustments—but if things veer off course unexpectedly or go differently than expected, then you’ll need to revisit your risk assessment and come up with fresh strategies for managing any potential risks that might affect the outcome of the project. Doing this will help ensure that everything gets back on track quickly and efficiently!

Conclusion

Risk response planning is an essential part of any project. And by learning and understanding the many types of risk management strategies—as well as how to adapt your risk response strategy to maximize success—you’ll be better prepared to deal with anything that comes your way during the course of a project.

So, take some time today to learn about the different ways to plan for risk response and get ready for any possible dangers that could happen.

Project Governance: A Framework for Success

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It’s not uncommon for a project sponsor to hand over the reins to a project manager and become occupied in other matters, then only chime in at the end when presented with a bill.

Yet, it’s nearly impossible for a project manager to deliver value when crucial people like the stakeholders and sponsors aren’t interested in giving feedback on a project.

Weak communication and supervision, overlooked risks and a failure to perform a risk benefit analysis are some central reasons projects fail to deliver their intended value.

Establishing project governance makes all these problems go away. A governance provides the structure and framework necessary to steer a project in a direction that generates business value and serves the bottom line. It provides a system of checks and balances that properly monitors a project through execution all the way to completion.

If you’re interested in staging a project for success, then project governance is your solution. Let’s look at the meaning and definition of project governance, and some examples and best practices for using it within your projects.

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Project Governance Defined

Project governance provides an overall framework for a project. It’s a central component of end-to-end project management, and is utilized during the initiation, planning and execution stages of a project.

The PM Glossary defines project governance as: “The structure by which roles and relationships between project team members and an organization’s high-level decision makers are defined.”

Project governance, essentially, oversees a project and advocates for the project’s business strategy. The governance board represents many facets of a project in order to ensure that a project doesn’t wander off, but rather progresses in a direction that aligns with the company’s vision and business objectives.

A project governance is established during the initiation stage. Its components oftentimes are determined by previously established systems, or through correspondence between the project sponsor and the project manager. The project governance has a clear understanding of the business justifications for a project. It promotes this business strategy through three central functions.

1. Sets strategic direction for a project.

The project governance establishes a project’s strategy and focus during the planning stage, and monitors it during the project’s execution.

2. Makes decisions during the project.

The governance evaluates a project as it progresses. Team members report and escalate issues to the project governance, who then determine necessary changes to the scope, the deliverables or the overall outcome.

3. Oversees project execution.

Finally, a governance monitors a project at various stages during the execution, to ensure it reaches certain milestones and produces deliverables according to plan.

In summary, governance is like a board of advisers. It’s deliberate, organized oversight, and creates a structure that enables a project’s success.

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Example of a Project Governance Framework

A project governance doesn’t have a fixed or definite structure. The right governance varies depending on the project. A governance with too much control stifles productivity and innovation, while a governance with too little supervision leads to an unfocused and mediocre deliverable. Generally, however, every project governance consists of three central components, with distinct roles and responsibilities for each.

1. A Project Sponsor

A project sponsor is the person who has invested in the project. As all the key decisions rest on his or her shoulders, the project manager works closely with the sponsor and meets regularly for consultation and guidance. In a small project, the governance may only consist of the sponsor who meets with the project manager once a month.

2. A Steering Group

The steering group, or project board, is a group of stakeholders who oversee and monitor a project. They work with and under the sponsor to closely monitor risks and provide expert feedback.

Generally, a steering group is composed of subject matter experts who understand the best practices for a project. They initiate a project, plan it, approve the scope document and monitor a project throughout. The steering group is consulted regarding any changes to a project’s scope, timeline or budget.

Although a project’s governance varies depending on the nature and size of a project, the steering group generally consists of fewer than ten members.

3. Project Manager

The project manager doesn’t contribute so much to the vision of the project as he or she facilitates the objectives of the sponsor and the steering group. A project manager closely monitors a project during its execution, looking closely at expenses versus value, facilitates all communication between stakeholders and oversees changes and course corrections.

These three components make up a governance board for most projects. Some criteria for determining who to include within the governance include the project’s risks, the timeline and the scope.

With respect to agile projects, governance presents a bit of a conundrum. Agile projects tend toward autonomous teams who have strong project ownership. This doesn’t translate into no framework structure, however. Agile projects still retain project governance, but the framework becomes more malleable as the agile team matures.

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7 Steps to Set up a Project Governance

The purpose of project governance is to maintain transparency and accountability, and make sure the project is aligned with the business strategy. These seven steps ensure that a project governance is properly established to achieve these ends.

1. Identify Sponsor and Stakeholders

This first step may sound like a no-brainer, but it can be challenging sometimes to identify the sponsor and all the stakeholders.

A sponsor, generally, is the person who’s initiated and invested in the project and who wants to see it to completion. The sponsor is the main customer, a key decision maker and the number one person for the project manager to communicate with during a project. Although it seems straightforward, it’s not always totally clear who’s sponsoring a project. It’s necessary to clarify this however, as identifying the sponsor provides the project with a focal point for decision making.

A stakeholder is anyone who’s impacted by the project and its outcome. This includes a variety of people, including business owners, sponsors, government regulators and suppliers. It takes some brainstorming to identify all the project’s stakeholders. As this is another group who contributes to the project plan and execution, the stakeholders need to be clarified at the get-go.

2. Establish a Steering Committee

A steering committee, sometimes referred to as a project board, is a group of people who represent the project stakeholders. Generally it’s composed of around five senior individuals in the organization, including the project’s sponsor, the customer, a supply representative and other users impacted by the project.

The purpose of the steering committee is to provide insight, make decisions and support the project to make sure it proceeds smoothly.

The project manager isn’t part of this board, but he supervises it and disseminates information to the group. For example, the project manager may provide project updates with a slide deck at monthly meetings with the steering committee.

3. Create Documentation

The planning stage is probably the most critical to determining a project’s success. If completed thoroughly, it lays a strong foundation and forces the steering committee to think everything through and identify possible risks and issues. Here are some fundamental components of a healthy planning stage:

  • A written document that lays out the sponsor and the members of the board.
  • A project proposal or plan document that identifies the “what” of the project and the “why.” The “what” of a project is also known as the project’s definition.
  • A project’s “why” is its business case, which explains the business justification for the project. Generally, the business rationale for projects are things like improving operational efficiencies, developing a new product or adhering to compliance regulations.
  • The project plan. This is the “how” of the project, and it spells out things like materials, scope, budget and timeline.
  • The “what if” of the project. This is the project’s risk management plan, and it carefully considers threats to any of the project’s assets, and puts plans in place to mitigate, avoid or transfer the threats.
  • A project handover and completion plan. These explain how to resume the project in the instance of a handover, and the criteria for completing the project.

4. Initiate a Boundary-Gate Process

This system evaluates a project at several stages. At the beginning of a project, the project manager divides the life cycle of the project into stages, with go or no-go demarcations at each. When the project reaches a boundary-gate, the steering committee evaluates whether or not it has reached the predetermined milestone, and gives it either a green light, meaning it continues, or a red light, meaning the project ceases.

A boundary-gate (or stage-gate) process allows a project to stay on track and deliver value. This system ensures the proper channels are consulted at each stage, and that the project follows its strategic course.

5. Engage the Steering Group

Chances are, the steering group is preoccupied with many other projects and responsibilities. The duty lies on the project manager to encourage their involvement in and contribution to the project at hand. One way to engage the group is with routine weekly status update meetings that clearly communicate the stakes and the benefits of the project and allow the committee to provide feedback.

6. Engage the Sponsor

More often than not, a sponsor is perfectly happy to hand over the responsibility for the project to the project manager and then forget all about it. However, the project reflects the sponsor’s vision, and the project manager simply facilitates this vision. And so it’s imperative that the sponsor keep a keen eye on the project throughout its execution, in order to be sure it’s on track. For those times when a project manager encounters a passive or uninterested sponsor, here are some engagement strategies:

  • Communicate the benefits of a successful project.
  • Give her a sense of pride in the project.
  • Show how the project might enhance his professional reputation.
  • Identify the risks of not overseeing the project.

7. Allocate Time and Resource to Governance

And finally, appreciate that good governance takes time. Continual, ongoing communication and transparency are fundamental to healthy governance. Meetings can’t be squeezed into a fifteen minute window at the end of a busy day, or continually cancelled and rescheduled. Rather, utilize a proficient project management tool to ensure everyone communicates regularly. Set up processes and procedures for good record keeping.

These eight steps foster a robust governing board which provides a project with a strong and steady framework.

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7 Benefits of Project Governance

The governance board melds many perspectives and establishes a vision for a project. Let’s take a look at the many ways a project benefits from this structure.

1. Aligns a Project With Business Goals

It’s so easy to focus on time consuming things that don’t really align with a company’s culture, mission, or business objectives. This mindless meandering creates stagnation and precludes growth.

A project governance, on the other hand, aligns a project around business objectives. It continually monitors and course-corrects a project, to keep it sailing toward its North Star.

2. Sets Direction and Strategy

It’s no accident that a governance board is also called a steering committee. Just as a steering wheel allows a car to veer away from a ditch, a governance board keeps a project from going off the rails.

The governing board combines its business acumen and expertise to steer the project in a direction that best utilizes the project’s resources.

3. Disseminates Information

So often, a SNAFU occurs simply because the right people didn’t receive the right information at the right time. A governing board establishes a system of continual communication, and procedures to escalate concerns to the right places. With a system of routinely sharing information, everyone keeps abreast of the project and issues are spotted right away.

4. Monitors and Realigns

A strong governing board monitors a project during the execution stage. For example, a furniture company that sets a goal to design a dining room table can easily get side-tracked by custom orders or demanding customers. However, with stakeholders continually overseeing the project’s progress, it provides the supervision needed to keep the project on track.

5. Establishes Good Processes

A project without governance may not have a clear sense of priorities, and may fall into patterns of attending to the squeakiest wheel rather than focusing on the work items that add value. A governance makes sure the project does the right things in the right way. And the combined expertise allows for all of the risks to be properly evaluated.

6. Conserves Resources

Have you ever seen a “ghost highway”? The project was suddenly abandoned during construction, and the highway heads into nowhere. Clearly, in these instances a project board realized mid-project that something wasn’t right and wasn’t afraid to call it quits.

Similarly, a governance board isn’t scared to jettison a bad project. Once it appreciates that the project doesn’t make business sense or the risks are too high, it can nip a project in the bud. This preserves valuable resources and allows an organization to dedicate itself to projects that do add value.

7. Keeps a Project Within Its Scope

Governance has a proven track record. When it’s properly established and engaged, a steering group monitors a project to keep the timeline on track, and spots scope creep before it starts.

As you can see, project governance is well worth the effort. But establishing one isn’t a piece of cake.

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3 Common Challenges to Project Governance

Project governances don’t just happen. At the same time that they provide a project with many benefits, it’s no cinch setting one up. Here are three common challenges to project governance, along with some tips to overcome them.

1. Identifying All the Stakeholders

Stakeholders don’t raise their hands to identify themselves during a project’s initiation stage. Although some are front and center, others lurk in remote places the project manager may not even think to look. Suppliers, for example, are crucial stakeholders that are easy to ignore completely. But forgetting to consider them could mean not receiving the necessary materials at the right time or at the right price.

It takes some brainstorming, delving, and talking to the right subject matter experts to thoroughly identify all the stakeholders. Creating a network diagram also helps to think things through and identify everyone who’s impacted by the project.

2. Selecting the Right Framework

Governance is not one-size-fits all. An overbearing governance can squelch a team’s initiative, while a weak one allows it to go off the rails. On small projects, just the sponsor is sufficient for a governing board, while larger projects may require a board of a dozen people. It takes some teasing to identify the proper governance for a particular project. It means including all the right people to provide the necessary expertise, without letting it become too large or authoritative.

Ultimately, the steering committee determines so much about a project, from the kickoff meeting to the communication tools and the processes used throughout. A project manager determines his or her optimal governance by identifying the stakeholders and clarifying what success looks like. It may take experience to establish the right meld.

3. Ongoing, Daily Communication

Much of the communication necessary for executing a project won’t occur without deliberate planning. In a remote team, a steering committee can easily go for days without contacting one another. And even in a busy office, people are concerned with many other things.

A project manager selects effective tools and a workable schedule to facilitate fluid, ongoing communication. This may include a daily scrum, weekly round-ups or steering group meetings at project boundary-gates.

As you can see, establishing a project governance isn’t so simple as deciding to have one. An effective governance requires some sweat and tears. When aware of the challenges, however, it’s easy to overcome them.

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Project Governance Best Practices

As discussed, governance doesn’t just happen. Rather, it’s formed and developed. Let’s look into the characteristics of a robust governance system.

1. Gate Reviews

A project doesn’t receive a green light at initiation and then proceed like a line of collapsing dominos. Healthy governance, rather, divides a project into stages, defining processes and milestones to reach at each. At each gate review, a steering committee evaluates the project according to predetermined criteria, and assesses if it’s achieved certain milestones. The business case is updated periodically to assist with the reviews. If the milestones aren’t met or if the project reveals a weak ROI, then the project ends.

2. Audit Trail

Alongside each gate review, a system for documenting the steering committee’s decisions allows everyone to understand what decisions were made, and why.

This audit trail shifts the responsibility away from the sponsor and project manager and distributes it amongst the steering committee as well. It creates an environment where everyone is accountable and responsible for the success and direction of a project.

3. Define Governance Roles

Oftentimes things fall through the cracks just because people don’t understand what they’re responsible for. Identifying the stakeholders, the sponsor and each of their respective responsibilities keeps all of the critical aspects of a project under a watchful eye. It also allows teams to understand who to escalate issues to.

4. Project Aligns with Culture, Mission, and Organization Strategy

When both the project manager and the sponsor have a thorough understanding of the organization, it’s possible to plan and steer a project to align with its mission, culture and overall business goals.

5. External Audits

In the enthusiasm of completing a project, it’s common to turn a blind eye to things like compliance and regulations. Allowing external experts to come in and oversee processes keeps everything in compliance and precludes expensive headaches and rework.

6. Transparent Culture

A culture that thrives on secrecy and power struggles, where everyone shirks responsibility and blames others, is fertile ground for stalled and failed projects.

In a transparent culture, on the other hand, responsibilities and roles are clearly understood. It’s clear where to escalate an issue, and concerns are listened to and addressed.

Open cultures start from the top. Leadership rewards the behavior they want to see, listens to concerns and admits to failures and shortcomings.

7. Full Disclosure When Planning

In the enthusiasm for developing a new product or improving procedures, it’s easy to look at a project through rose colored glasses. A grocery store that wants to automate its checkout process, for example, might rush to complete the project without carefully calculating how much time and resources the automation will save versus the costs for new equipment, maintenance and periodic updates.

Other times, stakeholders are interested in getting a project approved simply because it may lead to a promotion or a raise in pay.

Openly and honestly laying all the cards out on the table allows the steering committee to properly evaluate and make decisions. Rather than exaggerate benefits and gloss over costs, considering benefits and costs with pessimistic, likely, and optimistic values provides a full range from which to consider a project.

8. Appropriate Stakeholder Involvement

Not every stakeholder carries equal weight in a project. A supplier who provides a small portion of material, for example, has far less influence than the business owner or the product manager.

A healthy governance delineates these various levels of influence, and involves the stakeholders accordingly. A senior stakeholder, for example, may be regularly contacted by a senior member of the steering committee. Whereas a lower stakeholder with less interest isn’t included in all communications.

9. Competent Resources

Procurement and resource management are central components to a governance. A steering committee carefully looks at all of the materials, labor, equipment and facilities required to carry out a project, and develops plans to acquire the most suitable resources within the given timeline and cost.

These best practices allow a project manager to overcome the challenges of setting up a governance and to establish an effective governance to oversee a project.

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Conclusion

As project managers know, you don’t have to take your eye off the ball for long before you’re whiffing at strikes. It’s so easy for scope to increase without adherence to proper change management processes, for resources to be squandered, and for a project to add no business value to the organization whatsoever.

Good governance sets a project up for success from the start. It eliminates a need to play catch up or rescue a flailing project. Rather, it oversees and monitors a project from initiation to closure.

A suitable governance framework depends on the project. Some may be as simple as a sponsor and a project manager, while others consist of a steering board that includes several stakeholders.

It takes diligence to set up a strong governance. But the effort is worth it. If you’re looking to boost your performance as a project manager, then project governance may very well do the trick.

Reducing Risk and Maximizing Success: How to Tackle Cost Variance in Project Management

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As a project manager, you know that keeping your projects on track and on budget is crucial to their success. One of the key tools at your disposal for doing so is cost variance analysis. But what exactly is cost variance, and how can you use it to your advantage?

In this blog post, we’ll delve into the concept of cost variance in project management and how it can impact the success of a project. We’ll explore how to calculate cost variance, the relationship between cost variance and schedule variance, and tips for containing cost variance. By the end of this post, you’ll have a solid understanding of this important concept and how to use it to your advantage in your project management endeavors.

So, whether you’re a seasoned pro or a newcomer to the world of project management, this blog post has something for you. Let’s get started!

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Defining Cost Variance

So, what exactly is cost variance? It’s simply the difference between the actual cost of a project and the budgeted or planned cost. It’s usually expressed as a percentage or a monetary value and can be either positive or negative.

A positive cost variance means that your project is under budget – yay! – while a negative cost variance means that it’s over budget. No need to panic, though – we’ll discuss how to address this later.

Importance of Cost Variance

As a project manager, tracking cost variance is crucial because it helps you see how well your project is sticking to its budget. This is especially important if you work with limited resources or have strict financial constraints.

Cost variance is often used alongside schedule variance, which measures the difference between a project’s actual and planned schedule. By keeping an eye on cost and schedule variance, you can get a complete picture of your project’s performance and make any necessary adjustments.

Calculating Cost Variance

Okay, so now that we know what cost variance is, let’s discuss how to calculate it. Don’t worry; it’s not as scary as it sounds.

All you need is the following formula: (Actual Cost – Budgeted Cost) / Budgeted Cost. Let’s break it down:

Actual Cost

This is the amount of money your project actually costs. It can be tricky to determine if your project is still ongoing, but you can use your best estimate based on the progress you’ve made so far.

Budgeted Cost

This is the amount of money you plan to spend on your project. If you’re using this formula after the fact, this should be a piece of cake – it’s just the budget you set at the beginning of your project.

Actual Cost – Budgeted Cost

This part of the formula calculates the difference between your actual and budgeted costs. If the result is positive, your project is under budget. If it’s negative, your project is over budget.

(Actual Cost – Budgeted Cost) / Budgeted Cost:

Finally, we divide the difference between your actual and budgeted costs by your budgeted cost to get the cost variance as a percentage. If your cost variance is positive, that’s a good thing – it means you have some wiggle room in your budget. If it’s negative, that means you’re over budget, and you might want to start looking for ways to bring your costs back in line.

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3 Common Reasons Why Cost Variance Happens

There are a few common reasons why cost variance happens, and understanding these can help prevent them from occurring. Here are three common causes of cost variance:

Reason #1 Changes in scope:

One of the most common reasons for cost variance is changes in scope – that is, changes to the scope of work initially planned for the project.

Maybe your client changed their mind about something, or you realized that you needed to add an extra feature to your product. Either way, changes in scope can significantly impact your budget, so it’s important to keep an eye on them and be prepared to adjust your budget accordingly.

Reason #2 Unexpected changes in resource availability or cost:

Another common cause of cost variance is unexpected changes in resource availability or cost.

You may have planned to use a specific vendor for a particular service, but they suddenly increased their prices. Or you thought you had a specific resource available, but it wasn’t as open as you thought. These changes can throw a wrench in your budget, so it’s crucial to be proactive about identifying them and finding ways to address them.

Reason #3 Inadequate budgeting or planning:

Finally, cost variance can sometimes be caused by inadequate budgeting or planning.

For example, you needed to do more research to determine the actual cost of a particular resource, or you needed to account for all of the potential risks and contingencies in your budget. In these cases, reviewing your budget and planning process is important to see where you can improve.

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How to Address Negative Cost Variance

So, what do you do if your project is over budget due to negative cost variance? First, don’t panic – you can take a few steps to address this issue and get your project back on track. Here are a few suggestions:

STEP 1 – Review the cause of the cost variance

The first step in addressing negative cost variance is to understand why it happened in the first place. Take a look at the common causes we discussed earlier in this post – changes in scope, unexpected changes in resource availability or cost, and inadequate budgeting or planning – and see if any of these factors apply to your project. This will help you identify the root cause of the cost variance and take appropriate action to address it.

STEP 2 – Communicate with your stakeholders

Once you understand the cause of the cost variance, you must communicate with your stakeholders – including your team, your client, and any other relevant parties – to let them know what’s going on.

Be transparent about the situation and explain your steps to address it. This will help build trust and ensure everyone is on the same page.

STEP 3 – Adjust your budget

Depending on the cause of the cost variance, you may need to adjust your budget to account for the additional costs.

This might involve negotiating with your client or other stakeholders to secure additional funding or finding ways to cut costs elsewhere in the project. So again, it’s essential to be creative and proactive in finding solutions to get your project back on track.

STEP 4 – Keep track of your progress

Finally, as you address the cost variance, keep track of your progress and continue monitoring your budget. This will help you see how well your efforts are working and make any necessary adjustments along the way.

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The Relationship Between Cost Variance and Schedule Variance

In addition to tracking cost variance, it’s vital to track schedule variance in project management. This measures the difference between the actual and planned schedules of a project.

So, what’s the relationship between cost variance and schedule variance? Well, it turns out that they’re closely related – if one goes off track, it can have an impact on the other.

For example, if you need to catch up on a project, it could lead to additional costs. On the other hand, if you’re over budget on a project, you might have to adjust your schedule to make up for the additional costs.

You can get a complete picture of your project’s performance by keeping track of both cost and schedule variance. If one of these metrics is going off track, take a closer look at the other.

7 Protips for Containing Cost Variance

Keeping projects within budget can be a challenging task, but there are measures you can take to stack the odds in your favor.

Here are 7 tips to help you contain cost variance:

  1. Do your homework: A key factor in containing cost variance is having a thorough understanding of the project’s needs. Take the time to fully grasp the project’s scope and document and confirm every requirement with all necessary parties. If the project is similar to what you’ve done in the past, take that knowledge and refine it.
  2. Plan for the unexpected: Even the most carefully planned budgets can be thrown off track by unforeseen events, such as global pandemics or fluctuations in labor costs, supply pricing, or currency exchange rates. To help mitigate these risks, building some wiggle room into your budget is essential.
  3. Manage change effectively: When change does occur, it’s crucial to have communication tools in place to manage it smoothly. This could include email, chat, in-app messaging, or regular status meetings. Keeping the lines of communication open can reduce confusion, limit surprises, and ultimately better manage your budget.
  4. Monitor your budget closely: Regular monitoring is crucial for containing cost variance. By keeping a close eye on your spending and making adjustments as needed, you can catch potential issues early on and take steps to bring costs back in line.
  5. Negotiate with suppliers: If you’re facing unexpected cost increases due to factors like supply pricing or shortages, it might be worth negotiating with your suppliers to try and get a better deal. This can bring your costs down and reduce negative cost variance.
  6. Consider alternative solutions: If you’re facing a cost overrun, it might be worth exploring alternative solutions that could be more cost-effective. For example, could you use a different supplier or a different type of resource to achieve the same result?
  7. Communicate with your team: Remember the importance of effective communication. Keep everyone informed about the budget and any potential cost issues, and encourage them to bring any ideas or concerns to the table. By working together, you can find ways to contain cost variance and keep your project on track.

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Real-World Examples of Cost Variance

One of the best ways to understand how to manage cost variance in your projects is to see how it has played out in real-world scenarios. This section will explore a few examples of projects where cost variance occurred and how it was addressed.

By looking at these examples, you’ll get a sense of the issues that can arise and how experienced project managers have handled them. Whether you’re facing a negative cost variance or a positive one, these examples can provide valuable insights and inspiration for managing your projects.

Example 1:

You’re in charge of a landscaping project for a client’s backyard. You’ve budgeted $1,000 for the project, but as you’re working, you realize that the ground is more rocky and challenging to dig up than you anticipated. As a result, you end up using more labor hours and materials than you thought you would. Your final bill comes to $1,200.

Calculating the cost variance:
Cost variance = $1,000 – $1,200 Cost variance = -$200
Expressing the cost variance as a percentage:
Cost variance % = (-$200) / $1,000 Cost variance % = -20%

Example 2:

You’re managing a renovation project for a local coffee shop. You’ve budgeted $20,000 for the project, but when you open up the walls, you find more structural damage than expected. As a result, you need to do more work and spend more on materials than anticipated. Your final bill comes to $25,000.

Calculating the cost variance:
Cost variance = $20,000 – $25,000 Cost variance = -$5,000

Expressing the cost variance as a percentage:
Cost variance % = (-$5,000) / $20,000 Cost variance % = -25%

Example 3:

You’re in charge of a marketing campaign for a new product launch. You’ve budgeted $10,000 for the campaign, but when you book the ad space and run the ads, you find that the prices have increased significantly since you first planned the campaign. So your final bill comes to $12,000.

Calculating the cost variance:
Cost variance = $10,000 – $12,000 Cost variance = -$2,000

Expressing the cost variance as a percentage:
Cost variance % = (-$2,000) / $10,000 Cost variance % = -20%

Conclusion

As you’ve learned in this blog post, cost variance is a crucial aspect of project management that can significantly impact your project’s success.

By understanding cost variance and how to calculate it, you’ll be better equipped to manage it effectively. And by following the protips for containing cost variance and learning from real-world examples, you’ll have a better chance of keeping your projects on track and on budget.

So, as we wrap up this blog post, remember the importance of keeping an eye on cost variance and taking steps to manage it. Whether you’re facing a negative cost variance or a positive one, being proactive will help you stay on top of your budget and achieve the best possible outcome for your project.

Thank you for reading! I hope this blog post has provided valuable insights and tips for managing cost variance in your projects. Good luck with your future project management endeavors!