Solved: What are some implications of resource allocation when an organization is involved in

Scheduling and resource allocation is a critical part of project planning in multi-project environments. Despite the best laid plans, it is very important to understand that, it is easier to over-allocated resources to multiple projects than to stay right or adequate with the resources. Because, the success of any project depends on how well are the resources allocated. And how well or how sufficiently we could allocate resources to the project without any shortages.

Some of the implications of resource allocation when an organization is involved in several projects are as follows –

1) Failure in scheduling:

Failures in scheduling attributes from resource allocation syndrome to improper scheduling rather than problems of coordination and transition. Further, projects rarely run on schedule, and most of them are delayed. And the delays that are caused by this are difficult to take into account before they occur.

2) Over commitment of resources:

Over commitment of the resources is an other common problem in multi-project environments. This problem arises when there is always pressure to win new business or respond to unexpected changes in the business environment.

3) Effect of accounting methods:

Organisations often bill projects based on hours spent by its employees on projects. In contrast, the time spent on internal activities such as meetings are viewed as costs. In such situations there is an in-built incentive for management to keep as many people (resources) as possible working on projects. A side-effect of this is the lack of availability of resources for new projects.

4) Opportunistic management behaviour:

In many organisations, the allocation of resources is based on project priority. In such cases there is an incentive for project sponsors and senior managers to get a high priority assigned by any means possible. On the other hand, those who already have resources assigned to their projects would want to protect them from being poached to work on other projects.

Resource allocation issues are a consequence of flawed organisational procedures rather than poor project management practices.

Coordination of various elements of the project is considered the most difficult aspect of project execution because, execution processes include – coordinating different resources to carry out project plans and produce effective results. During project execution phase, project managers need to perform multiple tasks such as negotiating with employees and with suppliers, monitoring the team performance, monitoring the performance of the project, and working with personnal and managers of different departments in order to achieve the ultimate goal. There are various elements of the projects that needs a real good attention. And it is really difficult to monitor everything; because, ultimately project has to be successful. And to make it successful, several elements are involved. Hence, coordination is considered as a very difficult aspect of a project execution.