Monday, May 8, 2023

Maximizing project value

Which are you? 
Government department; non-profit or voluntary; or a "for profit" business?
Have you ever thought closely about these ideas (*) when thinking about the value of your project? 

Business Category and Project Objectives


Business values

Project Objectives

Government department

Mission satisfaction for public constituency

Protection of taxpayer interests

Best value outcomes (most bang for the buck)

Non-profit or voluntary organization

Betterment of target constituents

Organizational sustainment

Donor satisfaction

Simplest outcomes that serves constituent interests

For profit business

Improvement of business scorecard

Shareholder (owner) benefit

Maximize scorecard impact

Is there ever an argument with this?
Projects are most successful when executives, sponsors, stakeholders, and project managers all share an understanding that projects only exist to promote and benefit the organization at large

And no, I didn't leave out beneficiaries, customers, or users. The stakeholders and at-large organization cover those bases. So, no busy work; no painting rocks to absorb excess labor. If it doesn't add value, then do something else.

Concepts of Value

Along the way, value takes on multiple meanings.  At one level, value—or values—is (are) what we believe in, a “truth” of sorts that needs no proof.  It’s just there, and we believe it without reservation. 

Value, defined as beliefs, is often extended to a belief system constructed of beliefs and principles.  Principles are actionable statements of doctrine; they give beliefs behavior. Thus, like any other system, a value system is a structure of elements supporting defined behavior.

At another level, value is worth we place upon something that is really meaningful to us for which we are willing to give up something else.  In the transaction, it’s possible to acquire value-add; indeed, adding value is often, but not always, a transactional objective.  

For value-add transactions to be possible value cannot be a zero-sum game; the value pie can be made larger.  There is no “conservation of value” principle like there is for energy.


At the end of the day, there are these perspectives for the PMO to take into account:

Value Perspectives


Project Managers


Value is achievement of business scorecard objectives

Value is delivery of outputs for the intended business investment

Value is being better off, more effective, and more efficient than before


(*) This posting's material taken from my book "Maximizing Project Value, A project manager's guide". See the cover photo below.

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