You should never run out of resources
Google the top reasons for project failure and we can guarantee that shortage of resource will figure quite high in the results.
However, shortage of resource on a project is not a valid reason for project failure.
In fact, we could argue there is never any excuse for insufficient resources on a project.
If your projects run out of resource, we need to dig a little deeper and get to the root cause of why. Running out of resources is a symptom of deeper problems.
Let us look at some of the reasons projects run out of resource and what we can do to stop it happening.
1. Taking on more than you can chew
Probably the most common issue and the one with the biggest impact on your ability to deliver is having unrealistic expectations about what your resources can achieve.
Organizations will always be able to generate ideas for new projects. That’s what innovative organizations do and we don’t want to kill that innovation.
But we need to corral and review those ideas and ensure we don’t end up committing to more work than we can realistically achieve.
The trick is to know when you have reached the capacity of your resources and stop taking on new work.
A problem resource managers often run into is actually proving resources are maxed out and cannot take on more work when challenged by senior management.
To do this you need to know how much your resource pool can provide in terms of productive hours and compare this to the estimates coming in from your projects.
This analysis should form the cornerstone of your resource capacity planning process. Take a look at our resource management guide for a deeper dive into capacity planning.
Capacity planning is tricky to do as rarely is there one correct answer to the planning puzzle. It requires you to model different mixes of projects, resources and timescales to get the most work done within the resource constraints you have.
Capacity planning is one of the main features you will find in Kelloo.
2. Resources working on the wrong projects
A follow on from the point above is that organizations are often working on the wrong things.
This is normally a failure to prioritize and select projects effectively. More often than not, the person who shouted loudest or did the best sales job on their pet projects gets the resource. You can learn more about how project prioritization fits into the portfolio resource management process.
When working out what projects you can take on, make sure you back fill resources onto the highest priority projects first.
Too often we see resources working on projects that are no longer important to the organization because no one has questioned if previous priorities are still valid. Prioritization and re-validation of work should be an ongoing part of the portfolio planning process.
3. Resources are over stretched
Once projects are selected and approved, the next common resource management issue crops up when managers start allocating actual resources onto projects.
Often resources are not dedicated to one project at a time, they may be working on multiple projects concurrently each managed by a different project manager.
The challenge here is to ensure that resources are scheduled within their daily capacity for work and there are no cross-project scheduling clashes.
Planning resources across multiple projects can be a bit like whac-a-mole. Changing one things just leads to another issue popping up.
This is where a resource planning tool such as Kelloo can really pay dividends as it allows you to take a multi-project view of the resourcing landscape and understand how making changes in one area can impact another.
One common mistake is to try and use a project planning tool like Microsoft Project to do resource planning. Microsoft Project is a great project planning tool, but when it comes to resource planning it really is not a great choice.
4. Agile makes it difficult to forecast resource needs
Another factor, especially in IT organizations is the use of agile development techniques (if you are looking for some best practice tips for agile resource planning this is a good place to start).
We love agile at Kelloo and it is how we develop our software.
However, agile has a near term focus and does not lends itself well to helping organizations figure out what resources they need in the medium to longer term.
Organizations are often working out their road maps 6 to 12 months in advance and need to start making commitments to customers about what they are delivering when.
And this often leaves a gap in terms of what resources the organization needs to deliver its projects.
Tools like Kelloo can help with this process as they let you build longer term resource plans and forecasts and include your agile, waterfall and business as usual activities in the same resource plan. Meaning you get a holistic view of your resource needs.
5. Plans and forecasts get out of step with reality
Once a project is kicked off, it is essential that work estimates on the project are monitored and changes incorporated back into the planning process.
Things change and work often takes longer than expected.
But too often a plan is put together and never reviewed once the project is underway.
So over time your capacity and resource planning drifts out of line with reality.
There are various reasons why this happens, but often because people choose tools like Excel or spreadsheets to do their resource planning when a better use may be resource planning software.
The problem with Excel or spreadsheet based resource planning is that it looks simple and efficient at first but quickly becomes a major headache to maintain.
So it does not get done.
It is essential that changes can be easily incorporated into the resource planning process and the impact easily understood which is where resource planning tools like Kelloo can really help.