Benefit realization management - Revision history

S220150: /* Purpose and Scope */

2022-03-22T09:33:26Z

Purpose and Scope

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	BRM might appear as a well-defined process, it is however not in the least automated and requires a number of tasks to be completed. Firstly, the most important factor is major commitment in all managerial levels and especially from senior managers. Additionally, adequate financing, assets and personnel with experience are essential for the project or program’s success. <ref name='fundamentals'> Best Management Practice. (2010). Fundamentals of Benefit Realization. The Stationery Office</ref>		BRM might appear as a well-defined process, it is however not in the least automated and requires a number of tasks to be completed. Firstly, the most important factor is major commitment in all managerial levels and especially from senior managers. Additionally, adequate financing, assets and personnel with experience are essential for the project or program’s success. <ref name='fundamentals'> Best Management Practice. (2010). Fundamentals of Benefit Realization. The Stationery Office</ref>
	This plan is important as the benefits to be gained are communicated through it and the probability of their realization grows significantly. Additionally, the development of the case is enhanced, securing the increase of successful projects contained in the company’s portfolio.		This plan is important as the benefits to be gained are communicated through it and the probability of their realization grows significantly. Additionally, the development of the case is enhanced, securing the increase of successful projects contained in the company’s portfolio. [[File:general.JPG\|thumb\|upright=2.8\| Figure 1: Visualization of the purpose and scope of the method. Figure independently created based on: <ref> Bradley, G. (2006). Benefit Realisation Management: A Practical Guide to Achieving Benefits Through Change. </ref> ]]
	Benefit realization management is mostly performed on a project and program level, given that on that the expected value and strategic decisions are mostly done for projects and programs. However, it must be ensured that benefits realization belongs to the general framework of a company’s or organization’s portfolio.<ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>		Benefit realization management is mostly performed on a project and program level, given that on that the expected value and strategic decisions are mostly done for projects and programs. However, it must be ensured that benefits realization belongs to the general framework of a company’s or organization’s portfolio.<ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>

S220150: /* Benefit Dependency Network (BDN) */

2022-03-21T14:37:37Z

Benefit Dependency Network (BDN)

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	== Benefit Dependency Network (BDN) ==		== Benefit Dependency Network (BDN) ==

	[[File:Benefit_dependency_network.JPG\|thumb\|upright=2.8\|[~~figure 2~~] ]]		[[File:Benefit_dependency_network.JPG\|thumb\|upright=2.8\| Figure 2: Example of a Benefit Dependency Network, divided into section for a better understanding of the Benefit Realization Plan. Figure independently created based on: <ref> Benefits Management Enhances the Organizational Competitive Advantage - Scientific Figure on ResearchGate. Available from: https://www.researchgate.net/figure/Benefits-Dependency-Network-Ward-Daniel-2006-p134-66_fig2_260991286 [accessed 21 Mar, 2022] </ref> ]]
	The Benefit Dependency Network is similar to the BDM with the main difference being that BDN focuses mostly on digital investments. The network can be divided in six sections, which are the:		The Benefit Dependency Network is similar to the BDM with the main difference being that BDN focuses mostly on digital investments. The network can be divided in six sections, which are the:

S220150: /* Purpose, Scope and Method of Benefit Realization Management */

2022-03-21T14:33:31Z

Purpose, Scope and Method of Benefit Realization Management

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	In the next chapters, the methodology on how a benefits realization plan will be described and thoroughly analyzed.		In the next chapters, the methodology on how a benefits realization plan will be described and thoroughly analyzed.

	== Identification of benefits ==		== Methodology ==

			=== Identification of benefits ===

	The first step in creating and implementing a BRM plan is the identification of benefits a proposed project or program would give to the respective organization or company.<ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>		The first step in creating and implementing a BRM plan is the identification of benefits a proposed project or program would give to the respective organization or company.<ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>
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	The plan continues on the next step which is the execution of the proposed benefits that were formed in the first step.		The plan continues on the next step which is the execution of the proposed benefits that were formed in the first step.

	== Execution of benefits ==		=== Execution of benefits ===


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	Generally, the supervision of the project and the ensured functionality constitutes a good practice for the execution process. The correct execution plan will ensure that the expected value and benefits will be realized.		Generally, the supervision of the project and the ensured functionality constitutes a good practice for the execution process. The correct execution plan will ensure that the expected value and benefits will be realized.

	== Sustainability of benefits ==		=== Sustainability of benefits ===

	The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. Various tools and metrics can be used for this purpose, such as the Return on Investment (ROI), the Net Present Value (NPV) among others<ref name='eksi'>Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from		The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. Various tools and metrics can be used for this purpose, such as the Return on Investment (ROI), the Net Present Value (NPV) among others<ref name='eksi'>Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from

S220150: /* Annotated Bibliography */

2022-03-21T14:31:33Z

Annotated Bibliography

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	= Annotated Bibliography =		= Annotated Bibliography =

	~~[1]~~ Project Management Institution. (2019). Benefit Realization Management: A Practice Guide. GLOBAL STANDARD. https://www.pmi.org/pmbok-guide-standards/practice-guides/benefits-realization		A. Project Management Institution. (2019). Benefit Realization Management: A Practice Guide. GLOBAL STANDARD. https://www.pmi.org/pmbok-guide-standards/practice-guides/benefits-realization

	The reader can read further about Benefits Realization Management in the Project Management Institute’s website. A step-by-step guide is provided in the form of questions that can be useful for the potential implementation of the tool.		The reader can read further about Benefits Realization Management in the Project Management Institute’s website. A step-by-step guide is provided in the form of questions that can be useful for the potential implementation of the tool.


	~~[2]~~ Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015		B. Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015

	In this article the reader can discover more about the case study mentioned in this article. The failure of benefits realization in this project provides an interesting overview on the limitations/difficulties of BRM.		In this article the reader can discover more about the case study mentioned in this article. The failure of benefits realization in this project provides an interesting overview on the limitations/difficulties of BRM.


	~~[3]~~ Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from		C. Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from
	https://app.knovel.com/hotlink/pdf/id:kt012LZIP2/guide-project-management/business-value		https://app.knovel.com/hotlink/pdf/id:kt012LZIP2/guide-project-management/business-value

S220150: /* Sustainability of benefits */

2022-03-21T14:30:54Z

Sustainability of benefits

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	== Sustainability of benefits ==		== Sustainability of benefits ==

	The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. Various tools and metrics can be used for this purpose, such as the Return on Investment (ROI), the Net Present Value (NPV) among others.		The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. Various tools and metrics can be used for this purpose, such as the Return on Investment (ROI), the Net Present Value (NPV) among others<ref name='eksi'>Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from
			https://app.knovel.com/hotlink/pdf/id:kt012LZIP2/guide-project-management/business-value
			</ref>

	All in all, project and program benefits must be sustained.		All in all, project and program benefits must be sustained.

S220150: /* Sustainability of benefits */

2022-03-21T14:29:28Z

Sustainability of benefits

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	== Sustainability of benefits ==		== Sustainability of benefits ==

	The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. All in all, project and program benefits must be sustained.		The governance team of the project must make sure that the benefits it delivered will remain effective when it is completed. Essentially, the continuous delivered value of the benefits and the general outcomes must be ensured. Various tools and metrics can be used for this purpose, such as the Return on Investment (ROI), the Net Present Value (NPV) among others.

			All in all, project and program benefits must be sustained.
	Additionally, the execution of the plan is evaluated to identify potential mistakes and prevent their recurrence in the future. <ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>, <ref name='tessera'> Project Management Institution. (2019). Benefit Realization Management: A Practice Guide. GLOBAL STANDARD. https://www.pmi.org/pmbok-guide-standards/practice-guides/benefits-realization </ref>		Additionally, the execution of the plan is evaluated to identify potential mistakes and prevent their recurrence in the future. <ref name='tria'> PMI (2016). Benefits Realization Management Framework.</ref>, <ref name='tessera'> Project Management Institution. (2019). Benefit Realization Management: A Practice Guide. GLOBAL STANDARD. https://www.pmi.org/pmbok-guide-standards/practice-guides/benefits-realization </ref>

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	All in all, Benefit Realization Management serves the purpose of helping a company or organization grow.		All in all, Benefit Realization Management serves the purpose of helping a company or organization grow.

	== Difficulties ==		== Difficulties ==

S220150: /* Annotated Bibliography */

2022-03-21T14:26:27Z

Annotated Bibliography

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	= Annotated Bibliography =		= Annotated Bibliography =

	[1] ~~Best~~ Management ~~Practice~~. (~~2010~~). ~~Fundamentals of~~ Benefit Realization. ~~The Stationery Office~~.		[1] Project Management Institution. (2019). Benefit Realization Management: A Practice Guide. GLOBAL STANDARD. https://www.pmi.org/pmbok-guide-standards/practice-guides/benefits-realization

	~~[2]Ospina Avendano, D. (2021).~~ Benefits ~~Realisation~~ Management ~~(BRM)~~. ~~Retrieved [20/02/2022] from toolshero: https://www.toolshero.com/project~~-~~management/benefits~~-~~realisation-management/~~		The reader can read further about Benefits Realization Management in the Project Management Institute’s website. A step-by-step guide is provided in the form of questions that can be useful for the potential implementation of the tool.

	~~[3]PMI (2016). Benefits Realization Management Framework.~~

	[4] ~~Project Management Institution~~. (~~2019~~). ~~Benefit Realization Management~~: ~~A Practice Guide~~. ~~GLOBAL STANDARD~~. https://~~www.pmi~~.org/~~pmbok-guide-standards~~/~~practice-guides/benefits-realization~~		[2] Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015

	[5] Li, Y.~~, Liu, X., & Ning, Y~~. (2021). ~~Disentangling~~ the ~~failure~~ of ~~benefits realization in public institutional building projects: a paradoxical understanding of formalization~~. ~~Journal of Asian Architecture and Building Engineering~~, ~~1–13~~. https://~~doi~~.~~org~~/~~10.1080~~/~~13467581~~.~~2020~~.~~1869015~~		In this article the reader can discover more about the case study mentioned in this article. The failure of benefits realization in this project provides an interesting overview on the limitations/difficulties of BRM.


			[3] Project Management Institute, Inc. (PMI). (2021). A Guide to the Project Management Body of Knowledge (PMBOK ® Guide) – 7th Edition and The Standard for Project Management - 2.7.2.5 Business Value. Project Management Institute, Inc. (PMI). Retrieved from
			https://app.knovel.com/hotlink/pdf/id:kt012LZIP2/guide-project-management/business-value

			The reader can learn more about project management by reading ‘A Guide to the Project Management Body of Knowledge’. It contains a detailed approach on the way of performing project management and the tools can be used and the reader can gain deeper knowledge not only on BRM but project management in general.

	= References =		= References =

	<references/>		<references/>

S220150: /* Benefit Dependency Network (BDN) */

2022-03-21T14:25:22Z

Benefit Dependency Network (BDN)

← Older revision		Revision as of 14:25, 21 March 2022
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	== Benefit Dependency Network (BDN) ==		== Benefit Dependency Network (BDN) ==

			[[File:Benefit_dependency_network.JPG\|thumb\|upright=2.8\|[figure 2] ]]
	The Benefit Dependency Network is similar to the BDM with the main difference being that BDN focuses mostly on digital investments. The network can be divided in six sections, which are the:		The Benefit Dependency Network is similar to the BDM with the main difference being that BDN focuses mostly on digital investments. The network can be divided in six sections, which are the:

S220150: /* Purpose, Scope and Method of Benefit Realization Management */

2022-03-07T10:39:10Z

Purpose, Scope and Method of Benefit Realization Management

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	= Purpose, Scope and Method of Benefit Realization Management =		= Purpose, Scope and Method of Benefit Realization Management =

	The purpose, scope and the method behind Benefit Realization Management includes a detailed explanation of the steps that are necessary for its success.		The purpose, scope and the method behind Benefit Realization Management includes a detailed explanation of the steps that are necessary for its success. Three steps to the process are identified and thoroughly explained. Furthermore, difficulties in implementing this tool are discussed in this section.

	== Purpose and Scope ==		== Purpose and Scope ==

S220150: /* Difficulties */

2022-03-07T10:35:54Z

Difficulties

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	Secondly, the decision-making was not done independently, a process which makes the realization of benefits harder. As was noted in the study “The decision-making of institutional building projects sticks to the codes and standards blindly with little regard for target benefits”. Furthermore, the sense of strong accountability put a restrain on the creative process leading to lack of spontaneity in terms of benefits optimization. <ref name='construction'> Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015 </ref>		Secondly, the decision-making was not done independently, a process which makes the realization of benefits harder. As was noted in the study “The decision-making of institutional building projects sticks to the codes and standards blindly with little regard for target benefits”. Furthermore, the sense of strong accountability put a restrain on the creative process leading to lack of spontaneity in terms of benefits optimization. <ref name='construction'> Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015 </ref>

	Lastly, the lack of an evaluation method put into effect, made the BRM harder. As aforementioned, some intangible benefits are not quantifiable. Thus, a correct evaluation scheme is highly important for measuring the project’s success. In this case, benefit realization was hindered since as is mentioned “project parties [use] an excuse that benefits realization is not their responsibility as they prefer to do what gets measured” and thus non-quantifiable aspects are overlooked. <ref name='construction'> Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015 </ref>		Lastly, the lack of an evaluation method put into effect, made the BRM harder. As aforementioned, some intangible benefits are not quantifiable. Thus, a correct evaluation scheme is highly important for measuring the project’s success. In this case, benefit realization was hindered since as is mentioned “project parties [use] an excuse that benefits realization is not their responsibility as they prefer to do what gets measured” <ref name='construction'> Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015 </ref> and thus non-quantifiable aspects are overlooked. <ref name='construction'> Li, Y., Liu, X., & Ning, Y. (2021). Disentangling the failure of benefits realization in public institutional building projects: a paradoxical understanding of formalization. Journal of Asian Architecture and Building Engineering, 1–13. https://doi.org/10.1080/13467581.2020.1869015 </ref>

	= Benefit Maps and Methods =		= Benefit Maps and Methods =