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Measuring Important Metrics
for Your Team
for Your Team
As a project progresses, your project manager reports on how the project is doing. It’s important to watch the right metrics, so your management understands the health of the project without getting bogged down in details
Tracking resource utilization
Resource utilization is a measure of how well your labor force is being used. The calculation for this rate is simple: billable hours divided by the total amount of hours you pay your employees. The higher that ratio, the more fully utilized your labor is, and less time employees aren’t getting reimbursed by clients.
As a manager, you want to see how much overhead is spent in management and if your people are overloaded or underutilized.
If people on your projects allocate less than 60 percent of their time to billable projects, you may have too much labor on hand. It may also indicate too much overhead spent on managing, as opposed to doing. Every company has a target number for resource utilization, if you aren’t meeting that target, review project updates and notes to find out why.
If your project manager tracks everything your employees do internally, you can see what is taking people’s time. You can then change priorities and processes.
Viewing overdue tasks
Every project management system shows overdue tasks. If these overdue tasks are on the critical path, they directly affect everyone else associated with the project. There may be an ineffective project manager, poor budgeting or forecasting, or changing requirements. The project manager should be able to articulate the reasons for tasks being overdue and take steps to alleviate the problem immediately
Budgeting projects and tasks
Budgeting can be a bit of an art form, particularly when it comes to technology Oftentimes, people are overly optimistic on how long a task or project should take, and the budget may not allocate enough time for testing and getting a product ready for the client/consumer. To be on the safe side, if you’re starting a new project and you’re not sure how much time it will take, double or triple any estimate. The better you can break down requirements, the easier you can estimate the amount of work required. Each piece adds up, as you design tasks and connect them together.