Role of Consultants in Project Management, Selecting Criteria for Project Manager

Role of Consultants in Project Management

• Getting familiar with the client’s business environment in order to lead projects effectively.
• Coordinating with relevant stakeholders, both inside and outside the organization.
• Allocating tasks to the project management team and providing regular guidance to team members.
• Ensuring the scope and schedule of projects are achievable within the given time and budget.
• Undertaking periodic reviews to make sure that projects are on track.
• Updating project documentations on a consistent basis and conveying them to the management.
• Developing positive relationships with associates and clients.
• Defining the structure of a project, its goals, and resource requirements.
• Applying theoretical, managerial, and technical skills to fulfill identified objectives and deliverables.
• Implementing a solid project management strategy for task interdependency.
• Consulting issues associated with a project with the project management team, clients, and other interested parties.
• Managing project risks, contingency and mitigation plans.
• Maintaining high team performance and productivity.

Some of the benefits of becoming a consultant are:

• You can choose which projects to take on.
• You’re in charge of your time and typically have more schedule flexibility.
• You get to set your rates and often make more money per hour.
• You can work with many different companies and in various industries.

Selecting Criteria for Project Manager

• Exceptional analytical skills
• Proficiency in project management tools and software
• Strong leadership and motivational skills
• Experience in leading both virtual and physical teams
• Ability to collaborate with diverse stakeholders in a variety of project environments
• Excellent time and cost management skills
• Deep organizational knowledge
• Superb problem-solving and resource planning skills
• Expertise in creating project reports
• Solid interpersonal skills
• Efficiency in managing and prioritizing tasks
• First-class verbal and written communication skills

Payback Period

It is a basic selection model that gives you the time a project will require to return the investments. The projects that have a lower payback period are taken over those with a higher payback period.

Scoring Model

The scoring model is an objective selection method. The PMO executives consider every relevant criterion and score them. The value written against each is then cumulatively added to rate the project. The one with the highest score is chosen.

Opportunity Costs

The opportunity cost model tells you about what you will lose if you give up a certain project. In this case, the project with the lowest opportunity costs is taken up.

Discounted Cash Flow

This model evaluates the future value of money against the current one. Of course, USD 2000$ won’t worth the same in the future. It is a critical factor that should be given due importance while selecting a project.

Net Present Value (NPV)

It is the difference between the current cash inflow and the potential outflow of a project. The only difference between the payback period and NPV is that it considers the discounted cash flow rate, enhancing its accuracy. Note that NPV must be positive for the projects you plan to accept.

Internal Rate of Return

The internal rate of return tells you the interest rate at which the NPV becomes zero. It basically means when the inflow and outflow of the project are equal. You will get an idea of project profitability based on the IRR value.