In most outsourcing scenarios, you send out only the actual project work. Meanwhile, your startup business still retains the management function. However, the reverse is also true, as you can outsource the project management function.
But why would you go with this option? And how does it work exactly? Let’s take a closer look.
The Case Of Outsourcing Project Management
This idea of sending project management duties to an external party might seem odd to those new to the method. After all, this is one of the most vital components of any project. However, certain situations can call for it.
Lack Of Staff
The first situation where you might want to outsource your project management work is when you don’t have enough staff for the project. That is typically the case if you have multiple projects running alongside each other. Having your managers handle all of these simultaneously can result in an unsatisfactory outcome for one or more of them.
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However, hiring additional project managers might not always be an option for a small startup business like yours. By outsourcing, you can get project managers on board quickly. And you don’t have to go through a tedious hiring process. With that, you can ensure that your projects can maintain continuity.
Getting Certification
Another significant reason why you might want to opt for an outsourced project manager is if the project requires certification. That also ties back to the above, as hiring certified project managers can be a lot more time-consuming. This is particularly the case if you are looking for one with a specific certification.
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Project management outsourcing firms typically have personnel with different specializations under one roof. This makes the search a lot easier for you. The choice can also become another cost saver since hiring a certified manager can be expensive.
Getting An External Perspective
One concern when working with internal project managers is they can have a rigid perspective about your projects. That is especially the case if they are working for a long time with you. While this is not necessarily bad, it can create limitations in how they manage different projects.
An outsourced project manager can bring in a fresh perspective on how to handle the work. They can work with your in-house managers to develop new strategies for the project. Additionally, they can look at your projects more objectively and help you pinpoint issues better.
Outsourcing Startup Business Project Management Function Correctly
One thing to clarify at this point is that outsourcing project management is different from outsourcing the project as a whole. In the latter, the provider can also take over the project management work as part of their contract with you. On the other hand, just outsourcing the project management functions means that your internal staff will still be the one to work on the project under the external manager.
This important distinction will help you plan out better how to do the outsourcing effort. Here, your main concern is bringing the outsourced manager in line with your startup business managerial policies.
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For instance, they might have a vastly different approach in overseeing different aspects of the project. It does not automatically mean they are incompatible with your company. But you should work with them closely to develop a suitable strategy that remedies this issue.
Another matter to deal with when bringing in an outsourced project manager is internal resistance. Your in-house team might not readily warm up to the idea of an outsider managing them. For this, you will need to put some effort into getting them to buy into the move. Here, you need to convince them that they will also benefit from outsourcing.
Deciding On What To Outsource
There are three key project management areas you might consider outsourcing as needed.
- Planning: This covers work breakdown structure and schedule development, cost estimations preparation, and quality and risk planning.
- Monitoring and control: This is often the bulk of the work, covering cost and schedule analysis and control. The project manager might also oversee support for the team and project audits.
- Closing: Once the project has been deemed complete, the outsourced manager handles the final appraisal and handover of the project.
One thing to note is that you would not want to outsource the initialization phase of the project. That requires the direct involvement of your startup business senior management. They might also be dealing with external stakeholders. Thus, you would want to leave this as internal work.
The Models For Outsourced Startup Business Project Management
Another thing that you need to weigh is what kind of role your outsourced project manager will play. This is important as it will determine how you will integrate the outsourced manager into the team.
As A Consultant
If your organization uses a separate project control function, you can outsource that function to a third party. The outsourced manager will primarily act as a consultant for the team, providing advice that the team can decide to execute. They are considered as an external contractor and not a recognized part of the team.
Project Management Office
In some cases, you might want to outsource only a part of the project control function. Here, the provider can serve as a project management office that supports the control department. They can also serve as a link between you and other outsourced teams you are working with.
Most providers can perform both roles for you as needed. You can further develop these roles to match the exact needs of each project you are handing over. This you do with the assigned project manager, which also helps determine how to bring them into the fold.
Boost Your Startup Business Projects With The Right manager
With the right project manager, your startup business can increase the success of your various projects. Virtua Solutions understands that well. And as part of our customer success services, we can connect you with some of the best project managers around.
Our roster comprises managers and virtual assistants who have worked with different clients. Through that, they gained plenty of experience handling different types of projects. With that, you can be sure that they are competent to handle your projects. Contact us today and give your startup business a strong boost for more success.