What is Benefits Realization Methodology, and what are best practices, tools and online templates for teams and organizations?
Definition of Benefits Realization Methodology
The Benefits Realization Methodology is a solution to the problem of actually measuring how successful projects are by measuring their value to the company that uses them. It was developed to assist organizations in effectively measuring the success of their projects, defined as profits resulting from implementing a project.
Description of Benefits Realization Methodology
There are 6 steps for implementing the Benefits Realization Methodology:
- Create a Profit Management Strategy. Outline how the project will achieve the expected benefits, how they will be measured, and who will be responsible for measuring them.
- Identify the benefits and relate them to the objectives of the project. Benefits need to be aligned with the organization’s strategic objectives and must be measurable and quantifiable. The plan should also outline how these benefits will be monitored and measured.
- Plan when Profits will Appear. Benefits, or profits, should be scheduled in the same way other tasks in a project are planned. If profits are due to be realized after the project is completed, a person should be responsible for tracking them. This step should be linked back to the profit management strategy in step #1.
- Set up Profit Management. In this step, management determines how the resulting benefits and capabilities will be transitioned into an operational state to achieve profits on an on-going basis.
- Look at the Benefits. During this step, compare what was expected in terms of benefits versus actual results. Compare the actual results with the goals and strategy put forth in the initial plan and adjust accordingly.
- Identify new profits and Adjust Existing Profits. This step requires ongoing maintenance of the project, as well as determining if the adjustments made in step #5 have resulted in new benefits, or if further changes can be made to optimize results.
Although the goal of the project may be to create a new product or service, the customer’s goal is to realize the benefits (aka profits) that the new product or service will bring. By implementing the Benefits Realization Methodology, these two goals can be closely tied from the beginning and the project is more likely to produce the desired results.
Tools & Templates
Various Project Management methods, as well as a company’s mission and vision documents, can all be used to provide insights, data and additional support when using Benefits Realization Methodology.
upBOARD's Online Benefits Realization Methodology Tools & Templates
Unlike most traditional Benefits Realization Methodology techniques, upBOARD’s online Benefits Realization Methodology tools allow any team or organization to instantly begin working with our web templates and input forms. Our digital platform goes far beyond other software tools by including progress dashboards, data integration from existing documents or other SaaS software, elegant intuitive designs, and full access on any desktop or mobile device.
Learn more about upBOARD’s portfolio of other project management best practice tools and templates including:
Action Item List, Agile Project Management, Benefits Realization Methodology, Critical Chain Project Management, Critical Path Chart, Critical Path Method, Event Chain Methodology, Extreme Project Management, Gantt Chart, Integrated Project Management, Issue Tracker, IT Roadmap, Lean Project Management, Lean Six Sigma, Plan of Intent (PoI), Plan of Record (PoR), PMBOK Project Management, PRINCE2 Project Management, PRiSM Project Management, Process-Based Project Management, Program Management, Project Budgeting, Project Charter, Project Dashboard, Project Portfolio Management (PPM), Project Portfolio Timeline, Project Risk Management, Project Rollup, Project Schedule, Project Scorecard, Project Timeline, Project Tracker, Requirements Breakdown Structure, SCRUM Project Management, Skills Requirement Checklist, Task List, Time Card, To Do List, Waterfall Project Management, and Work Breakdown Structure.