Doing Successful Project Business between Customer and Subcontractor
Project managers at prime contractorshave to mediate between the interests and needs of the customer and the subcontractors without losing sight on their own business needs.
In the robustly growing market of customer-facing projects, driven by "Make or Buy" decisions that are more and more often made in favor of the "Buy" option, they are concurrently buyers and seller and have a central responsibility for project success.
Project business is difficult and comes with high risks. Unaddressed problems on both sides customers and subcontractors can drive the prime contractor into crisis.
It is essential in complex project supply networks (PSNs) that all organizations involved cooperate closely. At the same time, each company must protect itself from problems in the other organizations, with whom they are connected in a tight matrix of commercial, technical, and interpersonal dependencies. The central position of the prime contractor allows a lot of influence, but also brings a high risk. Leeways between the often contradictory demands of the other players can become very narrow, and the problems of other players can quickly turn into problems of the own organization and the project.
Project managers should respond to these risks by focusing on their business competency. This competency makes the organization valuable for its contract partners and gives project managers a positive perception by colleagues inside the own company.
Based on experience and knowledge collected over more than three decades, we help companies to make their project business more profitable and their projects more satisfying for all parties involved: We add Project Business Management (PBM) as an additional competency of employees to their already existing knowledge in project management.
Please ask for more details at: team@oliverlehmann.com
New: Join our LinkedIn group "Project Business Management" to share knowledge and experience with other professionals working in projects under contract.
Profitability for Prime Contractors
Doing Successful Project Business between Customer and Subcontractor
Project managers at prime contractorshave to mediate between the interests and needs of the customer and the subcontractors without losing sight on their own business needs.
In the robustly growing market of customer-facing projects, driven by "Make or Buy" decisions that are more and more often made in favor of the "Buy" option, they are concurrently buyers and seller and have a central responsibility for project success.
Project business is difficult and comes with high risks. Unaddressed problems on both sides customers and subcontractors can drive the prime contractor into crisis.
It is essential in complex project supply networks (PSNs) that all organizations involved cooperate closely. At the same time, each company must protect itself from problems in the other organizations, with whom they are connected in a tight matrix of commercial, technical, and interpersonal dependencies. The central position of the prime contractor allows a lot of influence, but also brings a high risk. Leeways between the often contradictory demands of the other players can become very narrow, and the problems of other players can quickly turn into problems of the own organization and the project.
Project managers should respond to these risks by focusing on their business competency. This competency makes the organization valuable for its contract partners and gives project managers a positive perception by colleagues inside the own company.
Based on experience and knowledge collected over more than three decades, we help companies to make their project business more profitable and their projects more satisfying for all parties involved: We add Project Business Management (PBM) as an additional competency of employees to their already existing knowledge in project management.
Please ask for more details at: team@oliverlehmann.com
New: Join our LinkedIn group "Project Business Management" to share knowledge and experience with other professionals working in projects under contract.