Exploring trends and developments
in project management today.

Project Smart Logo

Bookmark and Share  Subscribe  Follow Project Smart on Twitter!

What is Benefits Realisation?

By Duncan Haughey, PMP
Gantt Chart

You've delivered the project on time, within budget, the customer has signed it off and you've completed your end project report. The end! The project is completed, time to move on, right? Wrong. You can't just expect the benefits to automatically drop out of your project with no effort.

Successful Delivery But no Benefits

Companies spend millions of pounds on projects that never get implemented - not because the deliverable isn't good quality but because there is not the time, energy or enthusiasm to ensure it gets adopted and embedded in the organisation. Often it is because the next big, more exciting, project has come along to distract us.

Have you ever delivered a "successful" project, only to find out later that the product or service was never used or implemented? It's not a nice feeling. So what can you do about it? Benefits realisation could be the answer.

Active Benefits Realisation

As project manager, you are in a unique position to help your customer gain the benefits, detailed in the business case. It can be an additional phase once you have closed the project or run as part of the project itself. It may not follow on directly from the project end and start after a short period of time but before the post implementation review, which typically takes place 3-6 months after the project has been completed.

Opinion seems divided as to whether active benefits realisation is the domain of the Project Manager, but one thing is certain - many projects declared a success never deliver the desired benefit or outcome.

The project manager's role in driving benefits out of the project involves working closely with the customer to ensure the product or service gets firmly adopted and embedded in the organisation. You and your team may be involved in:

  • Carrying out demonstrations and presentations
  • Delivering workshops and training
  • Preparing marketing materials
  • Organising product/service launches
  • Arranging and chairing meetings
  • Finding creative solutions to problems
  • Championing the cause
  • Driving change

To gain benefits you must have change. In their book The Information Paradox External Link John Thorp and DMR's Centre for Strategic Leadership, say that, "It is a central tenet of the Benefits Realisation Approach that benefits come only with change and, equally, change must be sustained by benefits." "People must change how they think, manage and act in order to implement the Benefits Realisation Approach."

Changing the way people think, work and manage is no easy task, but without it your project is in danger of joining a long list of successful project deliveries that never got implemented. So, don't just let your projects deliver and die, ensure the benefits envisaged at the start are realised at the end.

Comments page 1 of 1
Click here to add a comment
Colin
Posted 50 days ago
I dissagree Bruce. A change is necessary to realise benefits whether that be a system or process change. The area of work may not be the direct receiver of the benefit of change, it may be the benefit is realised further along the process pathway. As for tying benefits to change if no benefit is to be realised whether that be direct cash saving or non cash saving (increase in quality). If no benefit is to be realised surely then the reason for change should come into question?

Colin
Redhuan D. Oon
Posted 257 days ago
Tying benefits to change seems too wide a blanket. What are the TORs of changes before they are recognisable as benefits?
Bruce
Posted 659 days ago
I guess a key aspect of change in this context is to ensure that everybody who is effected by the change has some real benefits for them personally.

Bruce
 

Article Categories

Related Articles

Do You Want to Discover the Truth About Your Projects?
The different types of project review each have their own characteristics and benefits. For any review however it is important to decide what the overall purpose is, and who should gain what from the output. This step is missed out in many cases and the design of the review is not given sufficient attention. A review should consider both the project management standards and the subject matter of the project. Mistakes in either or both of these can lead to disaster, and it can take considerable skill and knowledge to uncover the truth.

How Fit is Your Programme?
Across the UK at the moment there will be hundreds of programmes being run, but how well are they being run and how does the sponsor know that his/her programme is in a healthy shape? There are a number of ways to find out, most of them costing money from consultants. Most programmes are complex and are being run using a methodology that fits one of three descriptions.

The Four Levels of Project Success: The Project Management Maturity Matrix
Increasingly these days organisations are project based, meaning that the work they do is split into programmes of projects designed to deliver the organisation's strategies and add value. Good management of these projects is essential if the organisation is going to succeed. Equally important to individual project success is ensuring that the right projects are carried out.

21 Ways to Excel at Project Management
The popular project management e-book now fully updated and available as a website for the first time.