PERFECT VIRTUAL MANAGER
Budget and Schedule.
Some folks see budgets and schedules as limiting, but in reality they are freeing. Without them, the people doing the work cannot move. Every action outside a budget requires permission in order to begin. Every task outside a schedule will lose priority.
Budget and schedule, when understood and handled well can be powerful tools.
Right 4: A Budget and Schedule by Those Doing the Work
In context of any project, it’s rare that those who are not doing the work think through the time and costs of accomplishing the tasks involved. For this reason and for outright accountability, those who do the work have the right and responsibility to generate and manage the budget and the schedule for the project.
As with any quantitative measures that describe the future, budgets and schedules are built upon assumptions that certain information will be fact, that certain human and non-human resources will be available, and that the plan and process for a project won’t change significantly. The budget and schedule, in fact, are business controls that formalize the project plan in order to keep the project within agreed parameters.
Entry level professionals have the right to participate in the basics of building, reading, reporting on budgets and schedules, and the responsibility to understand how they work. They need to know that going over budget or missing a schedule deadline can be a positive, when the resulting outcome is a far greater return on investment. The same folks need to realize that completing a project well under budget and well ahead of schedule can be a negative, when the resulting outcome is an opportunity missed — one in which there might have been a greater return on investment.
Budgets and schedules need to be realistic within the context of the overarching company goals. That means that whatever is driving the company will also drive these two documents.
The fact that they are generated to predict the future immediately reveals the impossibility of a budget or a schedule that will be or should be perfectly met.
Differences in interdepartmental time/goal orientation make these working documents difficult to generate and are often the source of conflict in a political sense. That is the greatest argument to explain why the folks who do the work need to be the folks who generate these documents.
Building the budget and the schedule gets the interdepartmental team to think through and communicate the process before the project begins. Ongoing status meetings to update and manage the documents keep that line of communication open.
Three key points:
- Budgets and schedules give project teams room to work.
- Budgets and schedules get project teams to define and communicate the process before the work begins.
- Ongoing review of budgets and schedules keep lines of communication open.
Why then, do budgets and schedules too often get handed down from management, when the tasks of budget and schedule belong in the hands of those doing the work?
How many reasons can you think of?
Liz Strauss
Behind every Successful business is an Outstanding Manager. — PVM
See also Work with Liz! at Successful Blog