Why Resource Management?
Resource management entails the effective and efficient distribution and deployment of any organization’s resources, as they are needed. An organization’s resources may include inventory, finance, information technology, human skills and production resources. Resource management software can therefore be used for this purpose, which ultimately involves allocating the developed resources rightfully.
Today, many organizations are finding ways to improve their efficiency and productivity through optimizing and enhancing their resource management processes. As a result they are reducing project costs, eliminating waste and improving their overall profits.
The success of an organization, even in difficult times, is mostly dependent on staff contribution. During bad and difficult times, many of them would result to staff lay off as a solution. However, this will only bring short term relief. This is because by laying off staff, you lose some important expertise and skills that may have been useful to the organization.
Ways to Manage:
The best solution to this predicament is for the organization to implement resource management software as a remedy. This will help eradicate problems that are associated with lack of visibility of individual functions and tasks, poor resource planning, project risks, over or under utilization of staff and lack of decipherable of the available talent in the organization.
By standardizing the resource management processes in an organization, the many benefits will be achieved. First of all, there is going to be evident increase in revenue. By utilizing resource management, you can easily assess how well the entire resource pool has been utilized. This can be done on a daily, weekly or monthly basis, hence guaranteeing that all the most valuable resources are being put to maximum use. It also helps to ensure that the workload has been properly balanced to avoid constant time-out & periods, or periods on the bench, because of over straining.
Another benefit is that it diminishes resource conflicts in the organization, and enhances resolution of those conflicts. This has a direct effect on revenue in that resource conflict can cause a revenue opportunity to be missed, plus reduced customer satisfaction. This will have a future negative impact on the organization and the organization’s future revenue opportunities. With the use of resource management software, whenever there are cases of double booked resources or rescheduled plans, these conflicts can be spotted quickly and resolved.
Moreover, resource management* aids in reducing administration costs in the organization. A good example is when you are using spread sheet based or home grown resource management systems, which are out of date systems. These are burdensome to use and are prone to errors. In addition, the system is probably only reviewed insufficient times such us weekly or monthly. With an up to date central resource management system, you can reduce all the administration costs that would have been used to maintain these old out-dated systems.
Furthermore, resource management helps in improving time management of the organization. Project delivery becomes superior and hence this will in turn reduce project costs and improve profit margins. This is done by allocating resources to work based on a specific criteria (such as skills, location and availability) therefore ensuring that the right person has been assigned for the right job. As a result, there will be good project delivery. Similarly, resource management can enable you to gain real time visibility, into your capability to deliver on time. This results in better management of customer expectations, thereby eliminating any negative effects that dissatisfied customers can have on the organization’s future revenue opportunities.
Resource management software provides the tools that can improve the overall productivity of the organization. Its products aid in optimizing the utilization and operation of skilled resources across various projects and services.
* Referred from https://en.wikipedia.org/wiki/Resource_management