The SmartDraw Blog

The Project vs Process Dilemma

Ken Wilson — Tue, 07 May 2013 06:28:00 GMT

How Processes Disguised as Projects Can Hurt Your Business (and What You Need to Do About It Today)

by Alex Hughes

Today's guest blog author is Alex Hughes. Alex is a Solutions Analyst at SmartDraw and has worked here since 2011. In this role, he works primarily with enterprise customers to help them apply the technology of SmartDraw in their efforts to solve issues in management, planning, organization, and process documentation.

Project management is a term that gets thrown around a lot in the enterprise environment. These days, it seems that any organized effort that includes tasks with due dates is deemed to be a project.

But what if it isn’t? Misidentifying it could set your project or initiative back at the very outset.

Ask yourself: “What are the main tasks for my next project?” If you answer with responses such as, “begin requisition,” “send notification letter,” or “log hours,” ask yourself another question. “Is what I am describing actually a project?” Are you sure that it is not in fact a process that you are describing that just happens to have steps with due dates associated with them?

Traditionally, enterprise projects are one-off major endeavors that have resources dedicated to unique tasks that are specific to that one endeavor, as the Venn diagram above shows. When I think of a project, I think of things like replacing an office phone system or switching corporate health care providers. Basically, traditional projects are endeavors that are not part of the regular operational processes of the business.

The point here is that different people define “projects” and therefore “project management” differently. That said, when starting a project using project management software, it is important to define what your specific needs are and what type of “project” you are taking on. What I have found is that a lot of project management mistakes are made at the very beginning during the planning phases. As you might imagine, having project team managers and team members who all have different ideas as to what a project is could prove to be problematic. Here are three pointers to help keep you on track to a solid foundation when working with project management software.

Is it a project or a process?

As I mentioned before, more often than not when I ask a client to start listing off some main project tasks for me, they will say things like “feed client information into computer”, “send kick-off letter”, “request references”, etc.

When I see this happening, I follow up the description with something like, “Okay, how many times do you do this per month?” The client then informs me that they do this “project” all the time.

What are you noticing about this description? What the client is describing in the aforementioned scenario is in fact a process, not a project. This just happens to be a process that requires due dates and sign offs. When starting your project, it is important to note that just because a particular task requires accountability from a certain person, and has a due date, does not necessarily mean that it a project task.

Let’s say the project is “preparing a research report.” If you’re in the business of producing these types of reports on an ongoing basis, it’s likely that you have a process, as shown in this flowchart:

Steps in the process can be broken down into sub-processes, with additional flowcharts, such as this:

Does this mean that you can't use dedicated project management software to help keep track of your operational processes? Not at all! It just means that you have to be prepared to repeat what the software treats as a project as many times as your business process requires you to do. So if there is a process you execute every week, you will need to be prepared to define tasks, associate resources, and build due dates every week. This, obviously, can be a repetitive and time-consuming chore.

Fortunately, SmartDraw can help you with either scenario, or both. Perhaps you have a process, as per the “report” example above, but also need to track each report as a project. Your project chart for a single report might look something like this:

For this project type, you can save repeated tasks and assignments into a task library that you can quickly load in to a new file every time you want to start a new repeated project. From there, all you have to do is add new dates.

Be as specific as possible

Another issue I frequently encounter with clients is vaguely defined tasks. When I ask a client to start listing off some major project tasks and I hear responses like “market research,” I immediately ask something like, “So who is in charge of that? How do you report on that?” Often times, the client responds with, “Well, several people; it is actually quite complicated.” Sound familiar?

I always respond by insisting that the client be more specific with the task. Ask yourself, if you were a project manager, would you rather see tasks like “Marketing” or tasks like “Complete Initial Social Media Research” and “Assemble List of Potential Product Names”? A quick look at this Gantt chart makes it easy to understand why a more detailed breakdown of tasks is a more effective way to ensure everyone understands all of the things they need to accomplish.

The point here is that the more specific the task, the easier it is to comprehend in the grand scheme of the project, assign to a specific person, and most importantly, report on.

Use the tool consistently

Finally, it is extremely important that whatever software you are using is used consistently by your team. This means that everyone involved in the project needs to be familiar with how the tool works but more importantly, use it in the same way. It is important to set the parameters of how your team will use the tool and account for any special uses and idiosyncrasies at the very beginning of the project. For example, if you want to highlight critical tasks in red, set that parameter at the beginning of the project and ensure that everyone is on the same page about it. After all, you wouldn’t want to have your efforts derailed over something as trivial as mis-colored project chart lines.

Have you experienced the dilemma of managing processes that are disguised as projects? Do you have pointers to offer? We welcome your input. Share them in the comments section below!

Business Lessons from Duck Dynasty

Ken Wilson — Tue, 09 Apr 2013 14:23:00 GMT

The SI-ence and PHIL-osophy Behind an American Success Story

The Robertson family is taking the American television airwaves by storm with their hit series, Duck Dynasty, on A&E.

But behind the ZZTop-ish beards, long hair and often-outrageous antics of the clan is a serious multi-million dollar business. Started by patriarch Phil Robertson making cedar duck calls in a shed during the 1970s, the company has flourished under the leadership of son Willie and employs most of the family in various capacities.

And behind many of the hilarious one-liners are nuggets of knowledge and business wisdom. I've come up with a few here. If you have more, please share them in the Comments section below.

Business Lesson	Quote
Make sure everyone understands the deal.	"We'll split it three ways, 50-50." —Uncle Si
Enjoy life today.	"Better a day's catch of fish than a lifetime of crabs." —Phil
Be aware of the environment around you.	"Where I live, I am 9-1-1." —Phil
Have a backup plan.	"When security comes, every man for himself.” —Uncle Si
Stick with what you do best.	“First it's pretty tires, then it's pretty guns...next thing you know, you're shavin' your beard and wearin' Capri pants.” —Uncle Si
Get the right person for the job.	“Hey, you want something done right, don’t ask me.” —Uncle Si
Always communicate clearly.	“Hey, you told me to bring stuff. Stuff is a very broad term.” —Uncle Si
Know what you’re going to say before you open your mouth.	“It seems like a fine line between being a matador and being a rodeo clown.” —Jase
Check the reliability of your information.	“Everything I say is 95% truthful.” —Uncle Si
Sometimes, it’s just crap. Admit it, clean it up, and move on.	“It was like a gumball machine, except instead of gum it was goat pellets.” —Miss Kay
Think creatively.	“I am the MacGyver of cooking. If you bring me a piece of bread, cabbage, coconut, mustard greens, pig’s feet, pinecones and a woodpecker, I’ll make you a good chicken pot pie.” —Uncle Si
Relax.	“Willie is as wound up as a coon dog tryin’ to pass a peach seed.” - Jase
Innovate.	“Phil invented the duck call so he's the Duck Commander. If I invented the beaver call, maybe I'd be the Beaver Commander. Has a nice ring to it, Beaver Commander.” —Uncle Si
Be respectful.	“Hey, I’m like Aretha Franklin. I don’t get no R-S-P-E-C-T.” —Uncle Si
Stay focused.	“They’re runnin’ around like a buncha chickens with their legs cut off.” – Uncle Si
Keep it simple.	“Redneck rule number one: most things can be fixed with duct tape and extension cords.” —Jase
Sometimes, there is no business lesson. You just need a good laugh.	“This snowcone is giving me a brain sneeze. It's when your brain needs to sneeze, but it cain’t ‘cause it’s a brain, so it just hurts.” —Uncle Si
Bad decisions happen. Deal with them and move on.	“Every action in life begins with a decision and unfortunately we don’t always make the best ones.” —Willie
Know when good enough is good enough.	"When you don't know what you're doing, it's best to do it quickly.” —Jase
Become an expert at something.	“I know this like the back of a ham.” – Uncle Si
If your work doesn’t make you happy, you aren’t doing the right thing.	“Work without fun is like peanut butter without jelly.” —Jase
Here’s what it’s all about.	“I like to be happy, happy, happy.” —Phil

By the way, if you haven't discovered how SmartDraw can make your work more fun and more productive, I hope you give us a try. Thanks.

Ken Wilson

Is It Time to Rethink the Org Chart?

Ken Wilson — Tue, 26 Mar 2013 22:31:00 GMT

Why the Pyramid-Shaped Org Chart Might Be Obsolete

A railroad man named Daniel McCallum is generally given credit for creating the modern organization chart in 1854. But McCallum’s chart was not the top-down, pyramid-shaped design to which we’ve become accustom. That was later developed by Alfred Chandler, a Harvard professor. Chandler advocated a top-down hierarchical approach that consolidated power and control in top management.

It looks something like this:

The Big Data Problem

Interestingly enough, McCallum’s org charts were created to combat a new issue facing management: too much information. According to an article by Caitlin Rosenthal published in McKinsey Quarterly¹, the growing use of the telegraph ushered in a new era of “big data.”

For management, trying to capture this information, process it into decisions, and get it into the right hands in the field proved an immense task.

Turning Management’s Thinking Upside Down

McCallum knew that trying to move this new mountain of data up and down a chain of command was inefficient. So he devised a new strategy: delegation of power at the local levels. The organization chart he developed took on the structure of a tree:

A more detailed view at the local level is shown below. McCallum knew that the supervisors here were nearer the action, had the most up-to-date information, and were best suited to make timely decisions.

But McCallum’s goal was not simply to decentralize everyday tasks and empower line supervisors to make real-time operating decisions. He also set forth a plan whereby they collected relevant statistics on a timely basis, such as cost per ton-mile and load per car. These were then delivered to upper management for use in analyzing business strategy and finding opportunities to improve results.

Nordstrom Inverts the Organizational Pyramid

Many organizations have long understood the need to put decision-making power in the hands of their people on the front lines. Upscale retailer Nordstrom is well-recognized for this practice. In fact, during the orientation of their newly hired associates, Nordstrom management gives them just a few basic instructions. One is to instill their hierarchy of importance, with customers at the top. This is shown in the sales funnel chart to the right. Directly below the customers are floor sales staff. Why? Because they are the ones who deal with the company’s most important people—customers—every minute of every day.

As a result, Nordstrom management gives these people authority to make customers happy with their shopping experience. This includes their very famous return policy (which isn't, in fact, an actual policy). New sales associates are told to follow one simple rule: use your best judgment. (They are also told that one of the reasons they were hired was that they met Nordstrom's exacting demands in this area.) This approach has clearly served the company extremely well from a customer relations standpoint.

Making the Old Org Chart New Again

The “big data” issue has come full circle in the 160 years since McCallum designed his first org chart. Maybe it’s time to rethink things and re-examine the applicability of a more decentralized structure.

Many organizations already operate this way, or at least in a manner that isn't a rigid as the "command and control" pyramid. Perhaps, then, it just makes sense to put our view of the organization into a more practical visual structure. Here’s a rethinking of the traditional organization chart that was presented at the beginning of this post (click on the chart to open it in full size for better viewing, or click here to download a copy of the file in SmartDraw format):

As you can see, the org chart been inverted to more closely emulate the pattern of McCallum’s trunk-and-roots structure. It also adopts the Nordstrom paradigm, placing the importance of customers (and prospects) at the top of the hierarchy. Recognizing where these people touch the front lines of the company’s organization could be important in hiring decisions. It will also determine how the organization strives to empower them in the proper handling of customer relationships.

I recommend you read the article by Caitlin Rosenthal below, which inspired this blog post. What are your thoughts? Post them in the comments section below.

Ken Wilson

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¹Big Data in the Age of the Telegraph by Caitlin Rosenthal. McKinsey Quarterly, March 2013.