deltek insight 2012: best practices: optimize resource utilization and increase project...
TRANSCRIPT
Best Practices: Optimize Resource Utilization and Increase Project Profitability
Henrik Brandt, Director, Product Management, DeltekArno Kirstein, Silversoft – Deltek Premier PartnerPS-63
Session Topics
Resource Optimization | Short, mid and long term challenges
Project Profitability | Issues every organization faces
Demo | Increasing Project Profitability
Implementing a Resource Management System | Best Practices
Lessons Learned from the field | Customers Stories
Tell Us | Feedback, Q&A
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Demo | How to minimize resource optimization challenges2
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Resource Optimization
Short, mid and long-term challenges
3 Biggest Resource Optimization Challenges
1. Short-term planning
“We are not good at optimizing our resources on a short-term basis. We don’t effectively plan and optimize from day-to-day to solve issues”
2. Mid-term planning
“Our utilization rates are low and we still move around resources from project to project – we try to optimize on a 1-3 month basis”
3. Long-term planning
“Should we hire new people in certain areas?”
“Should we plan on reductions?”
“What do we do, if we get the three large orders, we have in our pipeline?”
3 planning modes | 1 solution
Timeline
#1 Scheduling
Who is doing what today and the coming week?
#2 Project & resource
Are we utilizing our people fully for the next 1-3 months?
#3 Long term capacity
Does ourpipeline and projects match our capacity?
Our advice! Start h
ere to
optimize utilitization & get
corporate overview
Scheduling
Scheduling What are my people doing in the coming week?
Scheduling What are my people doing today and next month?
Scheduling | project controlInstead of planning day-to-day, create to do lists by project for the coming week and employees
In addition to viewing to dos in Outlook, employees can mark them complete.
Project & Resource
Project & Resource Staff your projects at project level Detailed project task planning adds no resource overview value
plan by week
Staffing at the project level
Project & ResourceAchieve corporate overviews of staffing conditions = better decision foundation
Value = knowing what everybody is doing 3-4 months ahead
Extending your visability into the coming months on a detailed individual basis
Project & ResourceMake detailed planning to control project deliveries
Detailed planning ensures the right resources are working on the project
Project & Resource |Step 2 make detailed project control against baseline
baseline actuals remainingplans
+ =
New total
Project & Resourceuse skills matrix as an integrated part of your planning to utilize resource compentences
Long-term capacity
Long-term capacityplan portfolio of projects ahead on a monthly basis
Include projects & opportunities Plan on a monthly basis
Long-term capacityPlan on types of people rather than named employees
Long-term capacityachieve corporate overview of pipeline and forecasts versus resource situation
CONFIDENTIAL ©2011 Deltek, Inc. All Rights Reserved20
Demo
How to minimize resource optimization challenges
CONFIDENTIAL ©2011 Deltek, Inc. All Rights Reserved21
Achieving Project Profitability
Issues every organization faces
Juggling all the Variables
Plan for everyone Start plan from allocating at highest level Make Entire Project Plan Visible Implement approval workflow Plan from multiple POV React quickly to changes Accessible Plans & Visible Information Add resource costs
8 Steps to ensure profitability
CONFIDENTIAL ©2011 Deltek, Inc. All Rights Reserved24
Demo
Increasing Project Profitability
CONFIDENTIAL ©2011 Deltek, Inc. All Rights Reserved25
Implementing a Resource Management System
Best Practices
Perceived Value
Stage 1:time registration and invoicing
Stage 2:resource management
Stage 3:project planning &management
Stage 4:Full ERP
increased revenue+ cash flow
increased utilisation
increased project profitability
full decision support
Time
Successful implementation criteria
Successful implementation criteria
Risk of unrealisticTask
Phase
Project
Month Week Day Hour
Effective & Realistic
Best practice
Start at the corporate level ■ Keep it simple ■ Make it universal
Too detailed planning - example
• 100 employees• Run 1,000 projects per year• Average number of tasks per project: 20• Number of people per project: 3
• Planning on project level: 3,000 entries• Planning on task level: 30,000 entries
• 30,000 entries that needs to be updated as the plan changes !
Resource Management| Everyone’s Responsibility
Resource Management is not stronger than the weakest link.
Communication is key!
A successful resource management
implementation and solution still
needs people to talk to each other
Get everybody on board
Make a commitment to remove the siloed thinking and rogue players
Rules to manage the change
Rule #1:
Automation applied to an efficient operation will magnify the efficiency.
Bill Gates
Rule #2:
Automation applied to an inefficient operation will magnify the inefficiency.
CONFIDENTIAL ©2011 Deltek, Inc. All Rights Reserved33
Lessons Learned from the field
Customer Stories
Feedback, Q&A
Thank You!