In: Operations Management
How a project may be affected if Executive Management Support does not exist for a certain project and techniques that a project manager may employ to help ensure that they are in place.
According to the KPMG New Zealand Project Management Survey 2010, one of the most common reasons why projects fall short is a lack of executive support and management buy-in. In addition, PMI’s 2010 Government Program Management Study found that 81 percent of program managers at U.S. government agencies said that strong support from at least one executive-level sponsor had a high impact on project success.
Lack of executive management support will lead following issues
Lack of clarity of strategic objectives: Organizational/strategic objectives can be to increase market share, maximize profits, set new trends, leverage technology for business success or create an innovative product. In a nutshell, lack of executive management support will lead to no clarity in terms of strategic objectives, No crystal clear way ahead for executing the project in line with the strategic objectives and serves the overall business purpose.
No appropriate Project funding: The second-most critical issues that emerges out due to lack of executive management support is unavailability of appropriate project funding. The funding mechanisms are designed and based on the nature of programs/projects, cost and overall impact.
No securing project resources: Lack of support from executive management lead to issues in terms of securing the project resources for effective and efficient project execution; their role becomes critical in functional and matrix organizations. Executive management has the power to influence the functional teams and get the right people assigned for the project.
Lack of Project governance: Executive management support is critical for project governance. Often it is the project sponsor who identifies alignment or potential conflicts between organizational strategies and project goals--and then resolves them in coordination with the project manager. It helps the project if such conflicts are identified and addressed as early as possible to ensure project delivery on time, cost and scope.
Lack of risks mangement: Project managers are managing project-level risks and developing the mitigation strategies with overall consensus of the teams. Risks that are beyond the project managers’ reach need the attention of project sponsors from identification to mitigation.
Lack of decisions making: In projects, key decisions--like allowing schedule overruns, approving funding allocation, authorizing scope changes, etc.--always rely on inputs and the authority of executive sponsors and involved stakeholders. One of the critical roles of project sponsors is making decisions and ensuring that the project moves forward (day-to-day operational decisions are still under the domain of project managers).