In managing and implementing strategic projects, organisations often face a crucial decision: should they rely on internal resources or seek external expertise to fill skill gaps? This decision can influence the project's success, timeline, and overall cost. Below, we explore the key considerations and benefits of using a multi-disciplinary project team that includes staff, suppliers, and external consultants.
Key Questions for Decision Makers
CEO and Senior Management Considerations:
- Internal Capabilities: Do we have specialized functions or departments capable of executing the project?
- Departmental Responsibility: Can the project be integrated into an existing department’s duties, such as Membership, Operations, Finance, or IT?
- Expertise and Capacity: Does the team possess the necessary skills, knowledge, and project management expertise?
- Impact on Operations: Will taking on this project affect the team's ability to handle day-to-day activities?
- Adaptability: How quickly can we respond if key personnel are unavailable due to illness or departure?
Staff Concerns:
- Skill Requirements: What specific knowledge and skills are needed for the project?
- Supplier Management: How can we effectively manage suppliers without adequate technical knowledge?
- Training Needs: Is additional training necessary to ensure successful project management?
- Workload Management: How can existing job responsibilities be balanced with new project tasks?
- Risk Management: What are the implications if the project fails to meet its objectives?
Supplier Considerations:
- Client Competency: Does the organisation have the expertise to define clear objectives and requirements?
- Technical Support: How will technical issues be addressed if the client lacks in-house digital specialists?
- Point of Contact: Is there a dedicated, experienced digital project manager to facilitate communication?
- Support Needs: What level of support and guidance will be necessary, and how will this impact the budget?
Internally resourced digital projects can lead to significant cost overruns due to business disruption, project delays, procurement errors, and additional staffing or training needs. While hiring an external consultant may constitute 10-15% of the total budget, it often proves cost-effective by enabling the organisation to maintain focus on core activities. Consultancies offer flexible services tailored to each organisation's needs, functioning like an insurance policy to mitigate risks and ensure budgetary control and project certainty.
If you’d like to discuss what you have read above, or learn more, then please contact the author, Ben Sturt, founder and lead consultant at Chrysalis Digital at [email protected] or +447469 768 990 or his colleague David Darrah, Business Development Director at [email protected].
