Elite IT
We are business geeks and software craftsmen with a
strong passion for business processes and Business Central
About project management
What is project management and why is it important for businesses?
Companies are often characterized by the expertise and competence of individual employees, which enables the company to deliver its services efficiently and competitively. The professionalism and competence of the employees is crucial, and typically the company spends many resources on acquiring, developing, and maintaining the employee’s expertise and competence.
However, successful service delivery is often characterized by the fact that there are many different individual skills and employees that need to be involved, for the customer to perceive the entire delivery and thus the company as a successful supplier. This is where project management becomes essential. Many concepts cover the area, it can be project coordination or project management for instance. Typically, a project is defined as follows:
Definition of a project
A project is a unique task that requires the collaborative efforts from several people, potentially involving machines and auxiliary materials. It consists of various sub-tasks or activities. Project management involves planning and coordinating these activities within the project. In a business context, a project typically includes the following elements:
- Project Definition – Describes what the project aims to achieve and sets project goals.
- Organization – Identifies project participants and their roles. Conducts stakeholder analysis to determine relevant stakeholders (both internal project team members and external parties).
- Project Planning – Develops a timeline for executing tasks and project activities. Utilizes tools like Gantt charts to structure and organize work.
- Resource Planning – Determines which resources (such as personnel, equipment, and materials) are needed and when.
In companies with multiple ongoing projects, portfolio management (or project portfolio management) ensures effective coordination and resource allocation across projects. Capacity planning becomes crucial to allocate resources based on the overall resource capacity.
As most companies are project-oriented, there is a significant need to manage projects within the organization. Typically, Project Management is a discipline that to varying degrees is supported by IT. Some companies have spent years streamlining their project management processes and the tools they use, while others are currently in the process of digitizing their project management workflows.
IT Project Management Tools
Many companies today utilize what is known as an ERP system. The ERP system manages the company’s transactions, and typically it includes modules for financial and economic management, sales and order processing, production management, procurement, inventory management, and in some companies, project management. The distinguishing feature of an ERP system lies in the close interconnection of all modules and transactions. Leveraging these connections within the ERP solution can be advantageous for supporting project management. Project management is typically closely linked to sales and order management, inventory control, procurement processes, capacity management, and financial management within the company.
In practice, IT tools must support various disciplines and work areas, depending on each company’s work style and the degree of digitalization in the project domain. At Elite IT, we have worked intensively for many years to streamline and digitize project management for businesses. Our project management software is built as an add-on to the project module in the ERP solution Microsoft 365 Business Central, formerly known as Navision and Dynamics NAV. This integration ensures that the project solution maintains all connections to other standard modules within the ERP solution (Dynamics 365 Business Central). For instance, there is full integration with financial management, allowing standard Navision to be used for post-calculation to determine if the project remains within budget. At Elite IT, we prioritize specific project management tools and areas to enhance efficiency and effectiveness for our clients.
The planning process
In project management, effective planning and resource allocation are critical for successful project execution. The solution includes simple manual or automatic task creation, as well as basic high-level scheduling of project tasks over time. There are features to provide an overview and create a detailed plan where employees’ time is allocated to the project tasks. In practice, different templates are typically used for quick project setup and associated tasks, thereby standardizing the types of projects being worked on. The high-level time planning can be initiated, and resources can be allocated automatically and manually using visual drag-and-drop functionality in the Gantt chart. The Gantt chart provides a visual overview of project tasks and their timelines. Additionally, the project budget can be established for subsequent project monitoring and post-calculation.
Integrated and Simple Time Tracking
Efficient time tracking is essential for effective project management, and providing user-friendly tools enhances productivity. In ERP systems, project management is sometimes referred to as time and case management because time tracking is often a central function within the solution. It is crucial to allocate employees’ time efficiently and accurately to their tasks, as this forms the basis for financial monitoring and post-calculation. In the Elite IT project management solution, significant emphasis has been placed on making this function as easily accessible to employees as possible. Time can be recorded directly on tasks or in a separate window that provides an overview of weekly hours. Additionally, mobile phone-based time tracking is also available.
Document Management
In the context of projects, document management is often extremely important. It can involve drawings, manuals, project documentation, and more. With the solution, there are plenty of options for attaching documentation at the task and service task levels.
Task Chat and Communication Log
The solution also allows for linking chat communication to individual tasks. This ensures that communication remains connected to the relevant tasks, enhancing transparency and simplicity in coordination and execution.
Integration with Standard Functionality
It is crucial for the solution to directly integrate with the standard project module. This way, all standard functions in Business Central/Navision can be consistently utilized. For example, the standard procurement process can be implemented for purchasing and potentially stocking items for projects. Another example is using standards from the financial management solution (Business Central/Navision) for cost calculations and Work in Progress (WIP) tracking.
Effective document management, task communication, and integration with standard functionality contribute to successful project execution.
With Elite IT’s tool, project managers receive the best tools for planning, leading, coordinating, and monitoring project activities.