1. Resource management is not a solution for productivity
Productivity is a common objective of resource management. While productivity is an appropriate measure of operational efficiency, it should not be seen as the focus of resource management. In fact, resource management is often quite far removed from the input-output ratio focused on producing the maximum amount of satisfactory output in the least amount of time. This often calls for changes in key processes rather than resource management.
2. Resource management is not a solution for project predictability
Predictability is achieved through an understanding of changes in the operating environment and customer needs. If operations are managed and predicted from a resource-oriented perspective, the focus will shift to the issue of how to produce goods and services that meet expectations and requirements. In this sense, resource management is a mechanism for reacting to changes in predictions rather than a method for making the predictions themselves.
3. Other problems may lie behind challenges to resource management
A common problem is that one key person is required to work on too many projects simultaneously. In such cases the problem is not one of resources, but of decision-making. The resource problem can be mitigated by starting fewer projects. It should also be noted that a greater focus on change management could likely eliminate 80% of problems, which means that it is more effective to invest in improving change management rather than spend time and money on managing problems. Perhaps a significant proportion of resource management problems can be solved simply by starting fewer projects?
4. Resource management fails to produce the expected benefits
Resource management yields different benefits in different areas. In internal development projects, it can help provide a deeper understanding of the share of internal resources of annual development investments in relation to cash flow and delivery projects. In many cases, resource management needs to be linked to knowledge management and personnel expenses. The expected benefits will not be achieved without these links to HR and financial management. Another frequent problem is failing to define the goals for developing resource management and the relevant metrics used to gauge benefits. Has your organization defined effective metrics for measuring benefits?
5. The implementation of resource management is too focused on the individual level
Resource management is often implemented all the way to the level of the individual employee. However, analyzing the situation at the level of individual working days is not always necessary. In many cases the assessment of monthly rather than daily figures is sufficient. It is worth remembering that if resource management at the monthly level requires one unit of a given resource, reliable resource management at the weekly level requires 10 units of the same and resource management at the daily level requires 100 units. It should also be noted that the cost of resource management tools represents less than 5% of the total, while the life cycle costs of resource management represent 95%. It is important to have a clear business case for resource management. The monthly level is often the most effective time span for decision-making and corrective action.
