When your business grows at a dizzying rate, the number of projects that you have to manage automatically increases. While it can be a sign of a successful business, it can get to the point where it’s getting more challenging to consolidate information across company initiatives. In this case, project portfolio management (PPM) software comes in handy.
A robust PPM tool makes it much easier for you to see the big picture, streamline all the daunting tasks, and ensure that all the projects you handle are aligned. But, with many options available out there, it can be easy to make mistakes while selecting the right one for your business.
We’ll dive into some common pitfalls businesses often face when choosing the perfect, ideal project portfolio management software.
Mistakes to avoid when choosing a PPM software
1. Failing to define your requirements
Leveraging PPM software without knowing why you need it and choosing it in the first place is one of the common mistakes businesses make. Without a clear understanding of your needs, you may end up selecting a tool that doesn’t align with your goals. This will not only waste your time but also can cost you bucks.
Before exploring software options, it’s crucial clearly define your business requirements and objectives. Ask yourself, “What am I using the software for?.” Consider factors such as the size of your projects, team collaboration needs, reporting and analytics requirements, integration capabilities, and budget constraints. This way, you know what to expect from the software and how you should use it to perform your tasks more efficiently.
2. Not involving all stakeholders
PPM affects multiple stakeholders in your organization. That’s why an ideal software is one that caters to all individuals involved. Not involving everyone in the organization while choosing the right PPM software will not only lead to dissatisfaction, but also a lack of buy-in and resistance to using it.
Involve key team members, project managers, executives, and other relevant stakeholders in the selection process. Gather their input, understand their pain points, and consider their perspectives.
When stakeholders participate in the decision-making process, they are more likely to embrace the selected PPM software and actively support its implementation. This increases user adoption rates and reduces resistance to change, leading to a smoother transition.
3. Neglecting scalability and flexibility
Before deciding which PPM software to use, many businesses only focus on their business size at the moment. and not thinking much about the opportunities to expand. Remember that as your business grows, your project portfolio management needs will evolve.
That’s the software you choose should have the ability to scale and adapt to accommodate your expanding project portfolio. It should be flexible to handle various project types, methodologies, and workflows.
4. Overlooking long-term costs
It’s easy to be tempted to focus solely on the upfront costs when selecting project portfolio management (PPM) software. But, PPM software can cost you a big buck in the long term as there’s some additional cost you don’t realize lurking in the long run.
Here are at least three aspects you should pay attention to before you commit to one PPM software.
- Licensing and subscription fees – Understand the pricing structure of the software, whether it’s based on a one-time license fee or a recurring subscription. Pay attention to the number of users and any additional costs associated with adding more users in the future.
- Maintenance and support – Research whether the software requires ongoing maintenance and support. Some vendors may charge annual maintenance fees, which cover software updates, bug fixes, and technical support.
- Training and onboarding – Consider the cost of training and onboarding your team on the new software. Determine if the vendor offers training programs or exclusive training content (i.e., YouTube training videos, mini-courses, etc.) and whether they are included in the package or require additional fees.
No PPM software is created the same. That’s why there is no such thing as one-size-fits-all PPM software. The best one is always the one that can fulfill your needs, meet your expectations and match your budget.
By knowing all of the common mistakes that some businesses make while choosing PPM software, you now understand how to choose a better, more well-suited software that can provide the visibility, oversight, and tools to help companies prioritize and manage current projects and resources, as well as future needs and demands.