PMI editor-in-chief Dan Goldfischer and book editor Donn Greenberg colluded to bring me to PMI's North American Congress in Denver, Colorado, USA to participate in a book signing for Things Your PMO Is Doing Wrong. I must admit, I was somewhat apprehensive before arriving, having never participated in a book signing before. As it turns out, everything went swimmingly, just as Dan and Donn said it would.
Well, almost everything.
What was plain to me (and, presumably, every other congress participant) was that considerable energy and intellectual capital has been spent in support of a definitive study investigating the ROI of implementing project management. Of course, I would rather trim my fingernails in a Cuisinart than support such an undertaking. Why? Well, I have two reasons.
One, ROI is an assessment tool for evaluating assets. Yes, that's right, it's something our old friends the accountants use and regular readers of The Variance Threshold know what I think of them. You may as well calculate the cost performance index (CPI) on a bulldozer. Taking an assessment tool out of the asset managers' toolbox and trying to use it in the project management domain doesn't work, in my opinion. Sorry about all the effort.
Second, what's the practical application of a study like Researching the Value of Project Management? Does anybody really believe that we project management types can plunk a copy of this study down and exclaim, "See! Project management really is worth your while!" And have them answer, "You're right! Let me make room for you at the boardroom table?"
It'll never happen. Cost performance information translates into sheer organizational power, and our suspender-clad brethren will not simply stand by and allow project management types to own that information stream.
But hope springs eternal. Who knows, maybe I'm all washed up, and this ROI study will provide many a project manager with the leverage he or she needs to further the project management agenda within their organization, leading to the inescapable conclusion that I've become too cynical to have my writings taken seriously.
But I don't think so.
Editor's note: You can purchase Michael Hatfield's new book, Things Your PMO Is Doing Wrong, in the PMI Marketplace. During the month of October it is available at the discounted rate. Or find out more about PMI's Researching the Value of Project Management study.
Well, almost everything.
What was plain to me (and, presumably, every other congress participant) was that considerable energy and intellectual capital has been spent in support of a definitive study investigating the ROI of implementing project management. Of course, I would rather trim my fingernails in a Cuisinart than support such an undertaking. Why? Well, I have two reasons.
One, ROI is an assessment tool for evaluating assets. Yes, that's right, it's something our old friends the accountants use and regular readers of The Variance Threshold know what I think of them. You may as well calculate the cost performance index (CPI) on a bulldozer. Taking an assessment tool out of the asset managers' toolbox and trying to use it in the project management domain doesn't work, in my opinion. Sorry about all the effort.
Second, what's the practical application of a study like Researching the Value of Project Management? Does anybody really believe that we project management types can plunk a copy of this study down and exclaim, "See! Project management really is worth your while!" And have them answer, "You're right! Let me make room for you at the boardroom table?"
It'll never happen. Cost performance information translates into sheer organizational power, and our suspender-clad brethren will not simply stand by and allow project management types to own that information stream.
But hope springs eternal. Who knows, maybe I'm all washed up, and this ROI study will provide many a project manager with the leverage he or she needs to further the project management agenda within their organization, leading to the inescapable conclusion that I've become too cynical to have my writings taken seriously.
But I don't think so.
Editor's note: You can purchase Michael Hatfield's new book, Things Your PMO Is Doing Wrong, in the PMI Marketplace. During the month of October it is available at the discounted rate. Or find out more about PMI's Researching the Value of Project Management study.
Your article derserves some credit for questioning the relevance of performing ROI on project management. However, I believe that if the prcatice is to be embraced or at least accomodated in some organizations, the stakeholders need to be shown some examples of added value that would result from the use of PM methodologies. ROI might not do the trick but other performance evaluation tools are indispensable to make the case for Project Management