Significance of Time in Project Management
Time is indeed a continuum of successive events that take place in sequence, from the past through the present to the future. The length of events or the intervals between them may be measured, compared, or even sorted using time. Moreover, the crucial aspect is that time is continually being consumed in one way or other.
Everyone has a unique way of viewing time. The time horizon of a strategy will be determined by the possibilities of performance based on actions and the speed with which we can produce these outcomes.
For illustration, if we take a look at a stock that is priced at $100 on August 12th and receives some positive financial results, the stock price booms to $120 by October 10th. In contrast, if you buy the same in mid of September month, the growth percentage will be lower. If you invest on August 1st, you could earn 20% more earnings.
To make it clear for you,
out of topic, suppose you create a video and upload it to YouTube on August 1st; the more time it plays, the more money it generates, and vice versa.
Into the topic, Lets assume we receive a project on road construction with deadline of 2 years, the longer we postpone the deployment of resources such as manpower, machinery and material the more budget require to complete the project against the planned budget. Moreover, the planned schedule may vary as a result of such modifications by drafting new schedule.
One of the most vital components that must be managed in project operations is time. It is essential in completing projects in time. the elapse of more time in operational works leads to increase in budget on project.
In fact, even when we refer to a balance sheet of company, we talk about a year. To determine efficiency, all management actions are assessed against time. The time that has passed is irreversibly lost and cannot be recovered. As a result, your future is determined by your current performance. You can only act in the present, which is why it is so important in management. Thus, time has a great relevance in management.
Time is a great decision maker. In any event, it decides one way or the other. If you keep a lot of papers pending in a drawer for a month and then open it, you will realize that half of them are no longer relevant and that unfavorable conclusions have already been made without waiting for anybody. We also believe that time is a tremendous healer. It causes us to forget a lot of things. If you do not act in time, time will act on its own, disregarding you.
In project management, project managers must maximize the utilization of time. If projects are delayed, their costs will certainly rise. One of the most crucial managerial characteristics is the ability to react in time. This is how time is used wisely. We cannot buy time; we can only make use of it. Time can only be spent effectively if it is planned. As a result, planning plays a critical role in management life.
Planning? Is it beneficial to plan something in the present for future deeds, and if yes, How far should we plan? One can plan for a period during which no other activities are delayed in completion of other tasks in a project.
for example, If construction materials are to be dispatched tomorrow, the duration to plan will be only a day. likewise, if you intend to achieve 5% revenue in a month then the planning period is one month. Planning is not merely thinking about the future but forecasting and prejudging future and preparing line of actions in form of flow chart or chronological order.
Long term plan and short term plan are used to indicate in comparing time. We can define short term plan as a clear foreseeable future for which we can take specific actions. whereas, long term plan can anticipate but cannot take specific actions.
The more long-term thinking we invest in, the more stable project operations are at greater risks. The more your ability to live in the future, the greater your willingness to accept risks. Because the future is unpredictable, the entire planning process is designed to make it predictable.
One must remember that the first step is to put the decision into action. If you put off making a decision, the outcome will be different. Along with the decision, the time to put it into action must be determined. This is a crucial period, and if the decision is not implemented promptly, it will be useless.
There can be reactive decision and proactive decision. When there is a sense of urgency, one must act quickly. Generally, when there is no time to think about decision, one makes a reactive decision. In competitive situations, if one competitor lowers prices, the other follows suit out of convenience. This is known as a reactive choice. .
The first to make a decision sometimes earns a time advantage. While the person who responds to it by considering how to best take advantage of such difficulties does so with a proactive mentality. For example, he may realize that he cannot manage to hold to such a decision for long, and the competition will raise his pricing once more. In such a case, he may give himself considerable flexibility before deciding to respond. This is a well-considered proactive decision. Hence, Decision making is nothing but balancing long term and short terms plans
In conclusion, It is essential that time in project management plays a crucial role in project operations
If you like this article, please do share this with your friends
And, tell us your queries in the below comment box.
Also Read: What is Earned Value Management and Uses?