What do I gain strategically from this?

How can you estimate and subsequently measure the strategic contribution of projects?
Projects are often the building blocks of organizations. They enable organizations to develop new products, improve processes or enter new markets. But do your projects actually contribute to the organization’s strategic goals? Assessing and measuring the strategic contribution of projects is a challenging task, but important for assessing the value creation and success of projects. In this blog, we discuss how to estimate and subsequently measure the strategic contribution of projects.
Estimating the strategic contribution of projects begins at the initiative stage. It is important to have a clear picture of the organization’s strategic objectives and how the project contributes to them. It is important that strategic objectives are clearly and SMARTly stated. Only when objectives are translated into measurable outcomes can a project be measured against those outcomes.
 

Then answer the following questions:

 

  • Does the project align with the organization’s strategic priorities?
  • What is the expected impact of the project? What are the potential outcomes and benefits it brings?
  • How does the project fit into the bigger picture? A project rarely stands alone. It is often part of a portfolio of projects and programs. It is important to understand the cohesion and synergy between different projects and ensure that they reinforce each other to achieve strategic objectives.
In addition to estimating the strategic contribution of projects prior to implementation, it is also important to measure the impact and value of projects after the fact. This can be done in several ways:

KPIs and measurable goals

Measurable goals and Key Performance Indicators (KPIs) allow the organization to measure the progress and results of the project and assess whether it is actually contributing to the strategic objectives.

Stakeholder feedback

Collecting feedback from stakeholders is a valuable source of information to assess the strategic impact of a project. Involving stakeholders in the project and regular communication with them allows the organization to understand whether the project has met expectations and created value.

Evaluating the progress of strategic objectives.

Measuring the strategic contribution of projects also involves regularly evaluating the progress of strategic objectives as a whole. Thus, the KPIs as set when the strategic objectives were formulated must be measured in the interim. Failure to make progress on strategic objectives is an indication that a project is underperforming or that its contribution to strategic objectives has been overstated.

It is important to use lessons learned from past projects to improve future projects. By conducting a post-project evaluation and identifying successes and challenges, the organization can learn and apply best practices in future projects. In this way, the strategic contribution of projects can be continuously improved and optimized.
To effectively assess and measure the strategic contribution of projects, it is important to use appropriate tools and techniques. A software solution like Fortes Change Cloud can be invaluable here. It enables organizations to collect and analyze all relevant project information, KPIs and stakeholder feedback in one central place. This provides insight and overview at any time. Want to know what Fortes Change Cloud can do for your organization? Then make an appointment now for a personal demo.
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