The Value Model

In our experience, hitting the target fair and square is one of the most difficult aspects of any development project. Many projects never actually reach completion, but leave behind a trail of different activities that gradually thin out. The Value Model will therefore be defined from the point of view of achieving a successful conclusion.

 

We believe there are three interested parties, in particular, that judge whether or not a development project has been successful. Our objective, therefore, must be to satisfy the needs of these three interested parties. 

 

The customer is, of course, the first and most important of all the interested parties. Don’t forget that there are both external customers outside your organisation as well as internal customers inside.

 

The people who actually do the job are the second of the interested parties. The outcome of the project should be a feeling of success and personal development for all involved. The project team is the core or hub around which all work is organised.

 

The third and final interested party is the sponsor, who represents the owner’s viewpoint in the project. The sponsor is satisfied if the project has resulted in a good business venture without having taken major risks.

 

A successful outcome has been achieved when your development project has produced the following results:

  • the customer is pleased because the project outcome meets his/her needs and exceeds his/her expectations

  • the team feels successful because the project has contributed to the personal development and satisfaction of all involved

  • the sponsor is satisfied because the outcome of the project is a successful business venture that has not involved taking major risks.

 

The professional project manager is a person who can successfully complete a development project where all the important stakeholders are satisfied, without having to go through a lot of fuss and bother.  The project has created value for the customer, team and sponsor.

 

 

Having defined a successful completion, all that remains is to describe how to organise and carry out the work to achieve this result. A process-oriented approach with the objective of satisfying the three interested parties is most effective. Three processes need to be defined:

  • A main process aimed at creating satisfied customers, referred to as Customer Value Creation

  • A support process to deepen relationships and knowledge within the team and between colleagues, referred to as Team Management

  • A support process to ensure that the project is carried out efficiently and results in a successful business venture, referred to as Project Management.​

The objective of the main process is to create satisfied customers. This is a process that starts with the customers by mapping out their future needs and finishes with them when the new product is delivered. The process is successive in nature in that information is gradually captured, concentrated and translated by moving between four descriptive stages or domains. These are needs, functions, solutions and processes. The key to turning customer value into a concrete and practical tool is applying methodical, function- and cost-based thinking throughout the process.

Project Management is a support process intended to ensure that the work is implemented in a resource-effective and safe manner. The objective is to please the sponsor. The sponsor is pleased if the project results in a successful business venture without having had to take excessive risks. The process is repetitive in nature and is best implemented by subdividing the project into a number of stages.

Team Management is a support process aimed at creating a successful team and satisfied colleagues. This can be achieved by strengthening relationships and knowledge. The process:

  • resembles nature. Just as the gardener creates a good environment for his or her plants, you must create a good environment for your project.

  • cannot be standardised or copied. You and all the other members of the team are unique parts of the process. 

  • is not static, but changes constantly. You must continually re-examine and develop your approach to team management.

 

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Copyrigth: Value Model 2017