Dive Into Benefit Realization Management

Between 60% and 80% of all organization fail in executing their strategies by failing to deliver the expected outcomes of the changing process (Kaplan & Norton, 2008)

The current economic environment is composed by organization continuously changing to improve their processes in order to develop competitive advantage. It is fundamental to understand the relevance of Benefit Realization Management in supporting the successful execution of business strategies. Organizations need to have a strategy execution and project management process to ensure the success of their projects in order to succeed in turning their business vision into reality.

In order to create a successful project management, organization should have sufficient knowledge and experience in managing effectively. Therefore, Multimatics offers project management training and certification program to support your skill and competency enhancement in managing resources and aligning business value for maximum outcomes.

Benefits realization management (BRM) is a systematic approach to ensuring that the benefits of projects and programs are realized. It is a critical component of project management, as it helps to ensure that projects are aligned with organizational goals and that they deliver the expected value. According to PMI® in 2015, organizations with mature processes of benefit realization have significantly better project outcomes than those who don’t.

Benefit realization is gradually being seen by organizations as the most relevant way to evaluate project success. Most companies and professionals agree that the assessment of project success should be performed based mostly on the benefits provided to the business, not only on such measures as timeliness and budgetary performance, but also on the overall performance as well.

BRM is a complex process that involves a number of different activities, including identifying and defining benefits, planning for the realization of benefits, measuring and monitoring the realization of benefits, communicating about benefits, and managing risks to benefits

Benefits of BRM

BRM can provide a number of benefits for organizations, including:

1. Increased alignment between projects and organizational goals
2. Improved project success rates
3. Increased value from projects and programs
4. Enhanced stakeholder satisfaction
5. Improved decision-making
6. Increased organizational agility

Challenges of BRM:

1. Identifying and defining benefits can be difficult
2. Planning for the realization of benefits can be complex
3. Measuring and monitoring the realization of benefits can be time-consuming
4. Communicating about benefits can be challenging
5. Managing risks to benefits can be difficult

Benefits Realization Management Framework

The Benefits Realization Management Framework (BRMF) is a guide that can be used to implement BRM. The BRMF provides a step-by-step approach to BRM, and it includes a number of tools and techniques that can be used to improve the effectiveness of BRM and project management process.

The BRMF consists of five stages:

Stage 1: Initiation

The initiation phase involves identifying and defining the benefits that the organization expects to achieve from the project. This is done by conducting a benefits workshop, which brings together key stakeholders to discuss the project and its potential benefits.

Stage 2: Planning

The planning phase involves developing a plan to realize the benefits that have been identified. This plan should include a timeline, resources, and responsibilities for each benefit.

Stage 3: Execution

The implementation phase involves executing the plan to realize the benefits. This may involve making changes to the organization’s processes, systems, or culture.

Stage 4: Monitoring

The monitoring and measurement phase involves tracking the progress of benefit realization and taking corrective action when necessary. This is done by collecting data on the benefits that have been realized and comparing it to the plan.

Stage 5: Closure

The closure phase confirm the completion of project deliverables to the satisfaction and communicate final project disposition and status to all involved parties and stakeholders

Benefits Realization Management Tools and Techniques

There are a number of different tools and techniques that can be used to support BRM. Some of the most common tools and techniques include:

1. Benefits realization plan
2. Benefits register
3. Benefit tracking system
4. Benefit communication plan
5. Risk management plan

BRM is a critical component of project management. By implementing BRM, organizations can increase the alignment between projects and organizational goals, improve project success rates, increase value from projects and programs, enhance stakeholder satisfaction, improve decision-making, and increase organizational agility.

In order to create a successful project management, organization should have sufficient knowledge and experience in managing effectively. Therefore, Multimatics offers project management training and certification prorgam to support your skill and competency enhancement in managing resources and aligning business value for maximum outcomes.