{"id":318,"date":"2009-10-19T06:32:38","date_gmt":"2009-10-19T13:32:38","guid":{"rendered":"http:\/\/www.projectp.com\/weblog\/?p=318"},"modified":"2022-11-28T10:03:41","modified_gmt":"2022-11-28T18:03:41","slug":"handling-resource-supplydemand-using-project-resource-management","status":"publish","type":"post","link":"https:\/\/www.projectp.com\/ppblog\/2009\/10\/19\/handling-resource-supplydemand-using-project-resource-management\/","title":{"rendered":"Handling Resource Supply\/Demand Using Project Resource Management"},"content":{"rendered":"<h2>Challenges<\/h2>\n<p><span style=\"font-family: Arial;\">Determine if you have a demand or supply-oriented environment<br \/>\n<\/span><\/p>\n<ul>\n<li><span style=\"font-family: Arial;\"><strong>Demand<\/strong> resource management is more prevalent in internal resources, i.e., IT organizations. The primary focus is ensuring that resources are optimally allocated to projects in keeping with the organization&#8217;s stated goals and objectives. Or, in other words, managing the problems of &#8220;everybody is over-booked&#8221; or &#8220;there&#8217;s more work than resources.&#8221;<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\"><strong>Supply<\/strong> resource management tends to be more attuned to billable professional resources. The primary focus is balancing staff retention, skill mix, and gross margins by ensuring that resources are optimized to their maximum capacity. Or in other words, &#8220;Is everybody billable?&#8221; or &#8220;Do we have enough analysts or too many designers?&#8221;<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\"><strong><em>Professional services and other resource-intensive organizations may have both issues simultaneously.<!--more--><br \/>\n<\/em><\/strong><\/span><\/li>\n<\/ul>\n<h2>Solutions<\/h2>\n<h3>Identify\/classify your resources<\/h3>\n<ol>\n<li>\n<div><span style=\"font-family: Arial;\">HR &amp; PA Jobs<br \/>\n<\/span><\/div>\n<ol>\n<li>\n<div><span style=\"font-family: Arial;\">&#8220;Billable&#8221; staff \u2013 know who are the resources you must schedule and track to ensure success.<br \/>\n<\/span><\/div>\n<ol>\n<li><span style=\"font-family: Arial;\">Billable staff are your most directly productive staff members and are critical to the success of a project. Plus, they are generally the key indicator for forecasting project revenues.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Support Staff are essential but generally are resources with less critical skill requirements and are abundant and easy to fill.<br \/>\n<\/span><\/li>\n<\/ol>\n<\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Job Levels<br \/>\n<\/span><\/div>\n<ol>\n<li><span style=\"font-family: Arial;\">It is essential to know who your senior resources are \u2013 whether old in position, skill level, or other management determination.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Generally denotes resource cost, so Job levels help optimize performance and profitability\/efficiency.<br \/>\n<\/span><\/li>\n<\/ol>\n<\/li>\n<\/ol>\n<\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Competencies<br \/>\n<\/span><\/div>\n<ol>\n<li>\n<div><span style=\"font-family: Arial;\">Skill classification \u2013 Primary focus:<br \/>\n<\/span><\/div>\n<ol>\n<li><span style=\"font-family: Arial;\">Demand \u2013 Finding qualified people to do assignments who generally do &#8216;other&#8217; work to balance workloads.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Supply \u2013 Assuring your resource mix is attenuated to your organization&#8217;s needs.<br \/>\n<\/span><\/li>\n<\/ol>\n<\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Grading<br \/>\n<\/span><\/div>\n<ol>\n<li><span style=\"font-family: Arial;\">Demand \u2013 Assuring that project assignment are optimized with the correct level of expertise to meet the prioritization of all projects.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Supply \u2013 Assuring you have qualified resources to meet the client&#8217;s requirements.<br \/>\n<\/span><\/li>\n<\/ol>\n<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n<h3>Be able to classify your project requirements \u2013 Project Roles<\/h3>\n<ol>\n<li><span style=\"font-family: Arial;\">Job Level \u2013 this will help to quickly narrow the field of potential candidates (see above)<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Competencies \u2013 use mandatory competencies sparingly. Using optional competencies helps in prioritizing identified candidates.<br \/>\n<\/span><\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Role Groups<br \/>\n<\/span><\/div>\n<ol>\n<li><span style=\"font-family: Arial;\">If you have a diverse workforce and require many Project Roles, create more Role Groups to minimize the list of Project Roles an individual project manager must deal with.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Roles also help focus standardization of project requirements by eliminating &#8216;ad how project roles.<br \/>\n<\/span><\/li>\n<\/ol>\n<\/li>\n<\/ol>\n<h2>Matching Resources and Requirements<\/h2>\n<p><span style=\"font-family: Arial;\">Automated Processing \u2013 Most essential processes to make sure you are getting the correct resource data on a timely basis:<br \/>\n<\/span><\/p>\n<ul>\n<li><span style=\"font-family: Arial;\">PRC: Automated Candidate Search for a Range of Projects<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">PA: HR Related Updates Workflow<br \/>\n<\/span><\/li>\n<\/ul>\n<h2>Getting Started<\/h2>\n<h3>General Suggestions<\/h3>\n<ul>\n<li><span style=\"font-family: Arial;\">Most small to mid-sized organizations know their resources by name \u2013 so placing them is pretty straightforward using direct assignments.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">These organizations aren&#8217;t searching for &#8216;hidden&#8217; talents \u2013 so complex competency searches are irrelevant.<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Mid- to large-sized organizations rely more on job levels and competencies when identifying candidates for project requirements.<br \/>\n<\/span><\/li>\n<\/ul>\n<h3>Demand Environment Suggestions<\/h3>\n<ul>\n<li>\n<div><span style=\"font-family: Arial;\">Avoid micro-managing resource assignments.<br \/>\n<\/span><\/div>\n<ul>\n<li><span style=\"font-family: Arial;\">The effort involved in maintaining daily changes to forecasts is generally not time efficient<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Forecasting will never be perfect \u2013 allow your variances to help determine what magnitude of changes are most important to track<br \/>\n<\/span><\/li>\n<\/ul>\n<\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Establish minimum requirement guidelines \u2013 examples:<br \/>\n<\/span><\/div>\n<ul>\n<li><span style=\"font-family: Arial;\">Try using a 20% rule: Only schedule resources to an assignment if it is equal to or greater than 8 hours per week<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Ignore forecasting small projects of less than 25% of the time of a resource&#8217;s weekly capacity.<br \/>\n<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3>Supply Environment<\/h3>\n<ul>\n<li><span style=\"font-family: Arial;\">Be sure to track your variance reports of forecasted to actual hours<br \/>\n<\/span><\/li>\n<li>\n<div><span style=\"font-family: Arial;\">Review your over-commitment reports<br \/>\n<\/span><\/div>\n<ul>\n<li><span style=\"font-family: Arial;\">Overcommitments can cause bottlenecks in project schedules;<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Bottlenecks lead to missed deadlines or put pressure on project margins<br \/>\n<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2>Reporting<\/h2>\n<p><span style=\"font-family: Arial;\">Oracle currently provides Discoverer workbooks and Project Intelligence (PJI) reporting. Review what is available before you design your reports. While Oracle reporting out of the box is not always suitable, it can give you a great starting point for developing and conforming to your reporting infrastructure.<br \/>\n<\/span><\/p>\n<p><span style=\"font-family: Arial;\">Note:\u00a0\u00a0\u00a0\u00a0If you are licensed to use Project Resource Management, then you are licensed to use PJI Resource Reporting.<br \/>\n<\/span><\/p>\n<h3>DISCO Workbooks &#8211; Staffing<\/h3>\n<ul>\n<li>\n<div><span style=\"font-family: Arial;\">Scheduled Resource Hours<br \/>\n<\/span><\/div>\n<ul>\n<li><span style=\"font-family: Arial;\">Simple: Capacity, Total, Provisional hours<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Three periods<br \/>\n<\/span><\/li>\n<\/ul>\n<\/li>\n<li><span style=\"font-family: Arial;\">Available Resource Hours<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Overcommitted Resource Hours<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Team Role Details<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Required Project Hours<br \/>\n<\/span><\/li>\n<\/ul>\n<h3>DISCO Workbooks &#8211; Resources<\/h3>\n<ul>\n<li><span style=\"font-family: Arial;\">Organization Competence Summary<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Resource Competencies<br \/>\n<\/span><\/li>\n<\/ul>\n<h3>PJI Utilization Reports<\/h3>\n<ul>\n<li><span style=\"font-family: Arial;\">Projects Resource Utilization and Availability<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Utilization Summary<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Utilization Trend<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Actual Utilization<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Scheduled Utilization<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Expected Utilization<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Actual Utilization Detail<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Scheduled Utilization Detail<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Expected Utilization Detail<br \/>\n<\/span><\/li>\n<\/ul>\n<h3>PJI Projects Resource Availability Reports<\/h3>\n<ul>\n<li><span style=\"font-family: Arial;\">Projects Available Time Summary<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Availability Trend<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Current Available Resources<br \/>\n<\/span><\/li>\n<li><span style=\"font-family: Arial;\">Projects Available Resources Duration<br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-family: Arial;\">Projects Available Resource Detail<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Demand resource management is more prevalent in internal resources. The primary focus is ensuring resources are optimally allocated to projects. Supply resource management tends to be more attuned to billable professional resources.<\/p>\n","protected":false},"author":79,"featured_media":3721,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[115],"tags":[],"class_list":["post-318","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oracle-ebs"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/posts\/318","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/users\/79"}],"replies":[{"embeddable":true,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/comments?post=318"}],"version-history":[{"count":0,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/posts\/318\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/media\/3721"}],"wp:attachment":[{"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/media?parent=318"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/categories?post=318"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.projectp.com\/ppblog\/wp-json\/wp\/v2\/tags?post=318"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}