WASHINGTON--()--Reduced confidence in government and public pressure to reduce spending are delaying critical programs for highways, public transit and other surface transportation programs, according to panelists today at the first industry-focused discussion organized by the recently launched U.S. House of Representatives Government Efficiency Caucus.
“However, many management challenges identified by the GAO can be addressed through better use of project and program management.”
In order to reduce these costly delays, Project Management Institute (PMI) President and CEO Mark A. Langley and other panelists including members of Congress and experts from CH2M Hill and ICF International discussed how government agencies can adopt private sector practices that increase efficiency and improve benefits realization.
According to Langley, organizations that are not strong in project management risk nine times more dollars on projects – or, an average of 27 percent of each project’s budget – than organizations with mature project management programs. That means that for every $1 million spent on projects, more than $120,000 is at risk.
“Considering GAO estimates that infrastructure expenditures on major highways, rail, air terminals and waterways will exceed $2.3 trillion by 2020, the financial implications of low performing and failed programs are huge,” Langley said. “However, many management challenges identified by the GAO can be addressed through better use of project and program management.”
The session yielded several takeaways, including:
- Transportation projects are growing more complex, especially with increased use of private/public partnerships. Better understanding of this complexity, and having standards in place to manage it, will create more successful, efficient partnerships.
- The roles of project and program managers are still misunderstood, which leads to costly inefficiencies. Creating a formal career path for project and program managers in Government will ensure that the right people are managing the right projects.
- There is a shortage of qualified project and program managers. Implementing a project management job classification at the government level is an important step toward attracting and retaining top project management talent.
With a network of more than 650,000 members and credential holders in 187 countries, as well as global channel partners, organizational alliances and government relationships, PMI develops and delivers standards, certifications, tools, outreach programs and other services that enhance and improve organization performance.
About Project Management Institute (PMI)
PMI is the world’s largest project management member association, representing more than 650,000 practitioners in more than 185 countries. As a global thought leader and knowledge resource, PMI advances the profession through its global standards and credentials, collaborative chapters and virtual communities and academic research. When organizations invest in project management, supported by PMI, executives have confidence that their important initiatives will deliver expected results, greater business value and competitive advantage. Visit us at www.PMI.org, www.facebook.com/PMInstitute and on Twitter @PMInstitute.