Insight

Project Management, BRM, Multimatics
Dr. Agus Setiawan

PhD Holder and result-oriented Director with 25 years experience with involvement in all levels of Business Strategy, Sales and Marketing, Managing Project and Product Development. Aside of managing a company, he is also the best corporate trainer and public speaker in seminar and conference.

3 Essential Stages for Benefit Realization Management


Benefits realization management (BRM) is a systematic approach to ensuring that the intended benefits of a project are realized. It is a critical component of project management, as it helps to ensure that projects are aligned with organizational goals and that they deliver the expected value.

When it comes to improving value and outcomes, improvements in managing project is crucial to determine organizations’ success in organizing its project processes and flow. Therefore, Multimatics offers you the opportunity to learn and enhance your project management skill with project management training and certification. With a sufficient project management knowledge, organizations will be able to manage project effectively and gain values from benefit realization management.

When implementing benefit realization process, there are 3-stage processes that needs to take into account, which are:

  1. Identify benefits realization: Identify the benefits that the project is expected to deliver. This includes both tangible and intangible benefits. Tangible benefits are those that can be easily quantified, such as cost savings or increased revenue. Intangible benefits are those that are more difficult to quantify, such as improved customer satisfaction or increased employee morale
  2. Execute benefits realization: Once the benefits have been identified, the next step is to develop a plan for how they will be realized. This plan should include a timeline, resources, and metrics for measuring progress
  3. Sustain benefit realization: Manage the realization of benefits. This includes monitoring progress against the plan, identifying and addressing any challenges, and communicating progress to stakeholders.

BRM is an essential part of project management because it helps to ensure that projects deliver the expected value. By following the three-stage process, organizations can increase their chances of success.

Benefits of BRM

BRM offers a number of benefits, including:

  1. Increased alignment with organizational goals: BRM helps to ensure that projects are aligned with organizational goals by identifying the benefits that the project is expected to deliver. This helps to ensure that projects are focused on delivering value to the organization.
  2. Improved project success rates: BRM has been shown to improve project success rates. A study by the Project Management Institute found that organizations that use BRM have a 70% success rate, compared to 50% for organizations that do not use BRM.
  3. Increased value delivery: BRM helps to ensure that the intended benefits of a project are realized. This can lead to increased value delivery for the organization.

Challenges of BRM

There are a number of challenges associated with BRM, including:

  1. Difficulty in quantifying benefits: Some benefits, such as improved customer satisfaction or increased employee morale, are difficult to quantify. This can make it challenging to measure the success of BRM.
  2. Lack of buy-in from stakeholders: BRM requires the buy-in of stakeholders from across the organization. If stakeholders do not believe in the benefits of BRM, it will be difficult to implement it successfully.
  3. Lack of resources: BRM can be a resource-intensive process. Organizations need to allocate resources to BRM in order to be successful

When it comes to improving value and outcomes, improvements in managing project is crucial to determine organizations’ success in organizing its project processes and flow. Therefore, Multimatics offers you the opportunity to learn and enhance your project management skill with project management training and certification. With a sufficient project management knowledge, organizations will be able to manage project effectively and gain values from benefit realization management (CAPM)

BRM is an important part of project management. By following the three-stage process, organizations can increase their chances of success. However, there are a number of challenges associated with benefit realization process, such as difficulty in quantifying benefits and lack of buy-in from stakeholders. Organizations need to be aware of these challenges in order to implement BRM successfully.



Reference:
Alade, T. A., Bukoye, O. T., Roehrich, J. K., & Edelenbos, J. (2022). Cross-national collaboration in strategic transport projects: The impact on benefits realization. International Journal of Project Management, 40(4), 411-425.
Bradley, G. (2010). Fundamentals of benefit realization. The Stationery Office.
Mikkelsen, M. F., & Marnewick, C. (2020). Investigation of the institutionalizing responsibility of project managers for project benefits realization. Journal of Modern Project Management, 7(4)..
Torres, A. R. (2021). Enabling the Project Owner Role for Benefits Realization Management: a case study of an IT project in a public organization. The Journal of Modern Project Management, 9(1).

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