Stay in control

A new APM guide explains why senior managers should invest their time and their organisation’s resources in project controls

Project controls can save you time and money. They help you take a structured, formal approach to delivering a project, both in the planning phase and through delivery. Project controls are recognised as the analytical element of project management. Effective project controls aim to establish data that forms a ‘single source of truth’ for projects to track progress and make decisions against. When done correctly, data integrity is assured and data sets are integrated to provide holistic management information.

If you apply effective project controls you will increase the likelihood of successful outcomes, improving the basis on which projects are launched, identifying delivery issues earlier and getting the opportunity to take action to address them.

What are the project controls capabilities?

Working with wider functions such as finance and commercial teams, the full range of project controls capabilities enables project professionals to determine how they will deliver their outputs and check performance through to delivery. Once the scope is established, then the core elements of project controls include:

managing time;
managing cost;
managing risk (threats and opportunities);
managing change;
decision‑making and performance management;
information management; and
associated communications.

For each, the scale of application should be tailored to the environment, recognising factors such as size, risk, complexity, contract type, methodology and life cycle stage. The scale and complexity of a project or programme will influence the need for dedicated project controls staff. The project manager may need to cover both disciplines in small projects. At the other end of the spectrum, there will be programmes of a magnitude that justify a team of multiple project managers and project controllers with specialists such as planners, schedulers, risk managers etc. (see box below).

Projects without control

The absence of project controls would be akin to ‘making it up as we go along’. In reality, it’s all about degrees of application, from light touch approaches that cover the key bases through to more comprehensive systems to manage large complex projects. Projects fail through poor scope definition, poor execution, poor estimating of cost and schedule, failure to deliver on time and therefore overspend, with reputational damage to the organisation. Without project controls to monitor the project, there can also be a failure to deliver project benefits to the stakeholders. They often fail because costs and schedules are not monitored adequately, variances are not identified and corrective action is not implemented promptly.

Project controls deliver

The following 12 factors, taken from APM’s research report Conditions for Project Success, provide a framework for project success that defines the environment in which projects can be delivered successfully. Each of the 12 was identified as playing a crucial role in the formation and delivery of a project. Well‑implemented project controls can support these factors.

Effective governance

The project has clearly identified leadership, responsibilities, reporting lines and communications between all parties.

Goals and objectives

The goal of the project is clearly specified and recognised by all stakeholders; it is not in conflict with subsidiary objectives. Project leaders have a clear vision of the outcomes.

Commitment to project success

All parties are committed to the project’s success; any lack of commitment is recognised and dealt with. Project leadership inspires commitment in others.

Capable sponsors

Sponsors play an active role; they assume ultimate responsibility and accountability for the outcomes.

Secure funding

The project has a secure funding base; contingency funding is recognised from the start and tight control of budgets is in place to ensure maximum value is realised.

Project planning and review

Planning is thorough and considered; there is regular and careful progress monitoring; the project has realistic schedules, active risk management and a post‑project review.

Supportive organisations

The environment in which the project operates is project‑friendly; the organisation provides support and resourcing (including financing) and access to stakeholders.

End users and operators

End users or operators are engaged in the project’s design; the project team engages with users who can take on what the project has produced effectively and efficiently.

Competent project teams

Project professionals and other team members are fully competent; the project team engages in positive behaviours that encourage success.

Aligned supply chain

All direct and indirect suppliers are aware of project needs, schedules and quality standards. Higher and lower tiers of supply chains are coordinated.

Proven methods and tools

Good‑practice project management tools, methods and techniques are applied in a way which maintains an effective balance between flexibility and robustness.

Appropriate standards

Quality standards are actively used to drive the quality of outputs. Adherence to other standards is regularly monitored to ensure delivery is to best‑practice levels.

Benefits of project controls

Continuous monitoring gives the project team and stakeholders insight into performance. This identifies areas that are performing well (on time and cost) and any that may require closer scrutiny or change. This proactive approach gives an easy‑to‑interpret view of work completed, work yet to be done and if corrective action is required.
A reduction in costs results from the ability to make timely decisions based on performance data, increased visibility of financial performance and forecasts, and efficiencies in processes enabling the project controls system to become the one version of truth for multiple reporting formats.
Increased standardisation is achieved across your organisation or portfolio, simplifying the process of reviewing project data across a range of projects. Project controls resources transfer between projects through the familiarity of the process, while progress and performance data is easier to analyse, ensures information is easy to find, and supports decision‑making and lessons learnt.
Project controls support the team in reducing and controlling scope creep, understanding the impacts of customer‑driven change, and provide mechanisms for assurance.

This is an edited extract from the APM publication Senior Manager’s Guide to Project Controls by the APM Planning, Monitoring and Control SIG, which will be published in autumn 2022.