PMI Virtual Library

2010 Eri Swager

Project Management: Not Just for

Big Corporations
By Eri Swager, PMP

As the variety of products and services that organizations offer

become more diverse and complex, many businesses are trying to find a
way to become more effective and to keep their competitive edge.

he history of project management is relatively wellestablished. According to Mantel and Meredith

(2002), project management has existed since the
days of ancient Egypt, and it started gaining its current
level of popularity in the 1960s. In order to deepen the
understanding of how project management can contribute
to organizations, many studies have been conducted in a
variety of industries. Different aspects of the subjectfrom
the relation between the project owners experience and
project cost to how cultural barriers influence project
managementhave been examined. There are hundreds
of thousands of papers in the literature on the topic, but
few touch on whether the size of an organization or project
affects project management effectiveness.
As the variety of products and services that organizations
offer becomes more diverse and complex, many businesses
are trying to find a way to become more effective and to keep
their competitive edge. Todays executives consider project
management to be one of the potential solutions to managing
organizational activities and solving corporate problems
(Kerzner, 2002). In fact, more and more large organizations
are adopting project management these days (Milliken, 2005).
So, are small and medium businesses being left
behind? Is project management simply not relevant to these

organizations? Historical events such as the Manhattan Project

and Department of Defense Advanced Research Projects
Agencys Internet project have already shown that project
management makes the execution of the most daunting
activities possible. But is there any example out there that
suggests the usefulness of project management methods for
smaller projects?
When I was in graduate school studying project
management, all of the project case histories we read
illustrated highly public endeavors that cost millions of dollars
and took many years to complete. One might conclude that
project management was only for large organizations such as
IBM and the International Olympic Committee, and that
thats exactly where you would have to work if you wanted a
career as a project manager.
However, throughout my career I have worked
predominantly for small and medium-sized organizations, and
most of the projects I have managed have been rather small
compared with those my professors used as examples.
Ten years ago, I managed inventory software development
for a local telecom company, which had been struggling to
implement a new system for nearly a decade prior to my
involvement. When asked the reason why they were having
such a hard time implementing a new system, many co-

workers suggested that the programmers the company had

hired in the past werent competent. However, it was quite
clear to me that the problem had nothing to do with the
programmers. After conducting an initial assessment, I found
their approach to be very diffused and arbitrary, with no
designated person leading their efforts. What was interfering
with their progress was a lack of process. I came to the
conclusion that project management was the solution that the
company needed.
Upon my suggestion, the CEO issued a charter.
I subsequently assembled a project team and started
approaching software development and system
implementation in a more systematic and cohesive way. The
telecom software project was quite successful in terms of
budget, time, and quality. Most importantly, the company
finally had the system it desperately needed.
This first project management experience proved to me
that project management is not just for big corporations;
smaller organizations can certainly benefit from it, too. Since
then, I have managed many more projects similar in scale,
and today I run my own project management company
that focuses specifically on small and mid-sized businesses.
Unfortunately, many of them approach us for help only
after they realize their project is failing and that they need
professional project management expertise. Over the years,
I have discovered that some alarming patterns have been
developing:
1. Overconfidence Some organizations believe they know
project management, but they find out they really dont
once they initiate their project.
2. Underestimated challenge Sometimes organizations
conclude that they dont need project management
because they consider their project too small and/or
simple.
3. Attempted cost savings Even when companies realize
the need for project management, they talk themselves
out of doing it because they dont want to spend the
money.

Once a project goes off track, it often requires a

significant amount of time, effort, and cost to put it back on
track. It is far more effective to plan things so as to get them
right from the start. Sadly, some organizations have to learn
this lesson the painful way.
What can project managers do to promote project
management to small and medium-sized organizations and
help them avoid the pitfalls? Here are some suggestions based
on case histories of smaller companies:

Educate people on how project management can

help them. Because many people use terms such as
project and project management to describe tasks and
other types of functions, some workers may be confused
as to what project management really is. You should
therefore explain in plain language what it is and how
both employees and management can benefit from it.
Also, explain the difference between a project manager
and other professionals. Many organizations try to utilize
their existing resources, such as administrative assistants
and technical leads, to handle project management. Let
these organizations know that just because someone has
been assigned the responsibility to expedite a project,
this doesnt mean that person is a qualified project
manager. Adequate training is required to achieve project
management competency.
Say No to organizations with no project
management needs. The opposite could happen,
too. Sometimes organizations think they need project
management or a project manager when they actually
need something else. Maybe they need a new assistant or
a functional manager or new processes at the operational
level. Using project management in the wrong arena
could lead to an unfavorable outcome, resulting in the
organizations thinking that project management is
useless.
Scale down implementation as needed. Dont
overwhelm organizations with overly complicated
terminology or analysis. Full-blown project management
practice can be beneficial to some organizations, but
it can be considered overkill for others. Dont shove
excessive process down their throat, as this can
sometimes result in paralysis by analysis. Scale down as
much as you need to, while keeping key processes that
can actually help the project. Only present the essentials
at first. Remember, you can always scale up, but once
employees are repelled by complex project management,
they probably wont come back to hear about the scaleddown version.
Deliver if you ever get a chance! Actions speak louder
than words. If you ever get an opportunity to work
on a project for a small or medium-sized business,
deliver success. Once they know the value that project
management adds, they will come back for more.

At more tactical and practical levels, project managers

working for small or medium-sized businesses can do the
following to ensure successful project management practice:

PMI Virtual Library | www.PMI.org | 2010 Eri Swager

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It is up to project managers working for small or medium-sized

businesses to promote the value driven by project management and to apply its
processes in the most effective manner.

1. A project charter could be tremendously helpful for the

project manager to impart the authority he or she needs
to get the job done. Because almost all small to mid-sized
companies are functional organizations, they are not
accustomed to working under a project manager. You
may experience some resistance from functional managers
or other workers. Get support from executives and make
your position on the project clear to all.
2. The need for documentation remains the same for
projects of all sizes. In fact, many of my clients projects
got derailed before I was called in because they hadnt
documented their plan. While you may not need a 50page project plan consisting of many subproject plans,
you do need critical information documented and
distributed.
3. Smaller projects are as susceptible as larger ones to scope
creep. Its human nature to want more and to change
ones mind. Make sure to have the system in place to
control change requests, regardless of the size of your
project.
4. Likewise, communication issues wont be any smaller
because the organization or project is smaller. In fact,
small and medium-sized businesses can have their
own unique problems. For instance, assertiveness and
confrontation could be more challenging in a familyoriented company with 100 people, where everyone
knows each other. Cultivate the environment that
encourages honest dialogue and help team members
understand that the feedback they receive is not a
personal attack. Have basic communication ground rules
that everyone involved understands, and reiterate them
throughout the course of the project.

Although projects come in different sizes and shapes,

there are common denominators among them. What
traits could a multi-million-dollar highway construction
project and a home remodeling project with a US$50,000
budget possibly share? First, they are equally important
to their owners. Second, both types of projects require a
smooth execution. Ultimately, the objective is successful
completion. That is exactly what project management
does, and as I have discovered, the size doesnt matter. It
is up to project managers working for small or mediumsized businesses to promote the value driven by project
management and to apply its processes in the most
effective manner.
About the Author
Eri Swager, PMP, is president of Luxerge, LLC (www.luxerge.
com). She has worked as a project manager in the IT industry,
both for clientele in the United States and overseas. She
currently serves as an IT project manager at United Nations
Principles for Responsible Investment.

References
Kerzner, H. (2002). Project Management: A systems approach
to planning, scheduling, and controlling (8th ed.). New York:
John Wiley & Sons, Inc.
Mantel, S. J., & Meredith, J. R. (2002). Project management:
A managerial approach (5th ed.).
New York: John Wiley & Sons, Inc.
Milliken, J. (2005). Project management: A win-win solution.
Retrieved June 1, 2005, from http://business.mainetoday.
com/yourbusiness/050520milliken.shtml.

PMI Virtual Library | www.PMI.org | 2010 Eri Swager

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