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Management problems have been around since the beginning of time. Even in our day and age with advanced technology, our industries are still plagued with management issues. Professionals have proposed many different techniques to resolve these issues. One of newer techniques is Agile Project Management.
Agile Project Management
In the past 10 years, Agile Project Management has been considered one of the most innovative and successful approach. People have claimed that Agile will deliver higher value, and quality within your budget or constraints. Agile has become mainstream in the IT sector with as high as 84% of IT companies practicing agile methodologies and over 5,000 PMI certified practitioners, making it the fastest growing PMI certification.
Broadly defined, Agile Project Management is an iterative process that focuses on customer value first, team interaction over tasks, and adapting to current business reality rather than following a prescriptive plan. Agile is an alternative to traditional methodologies such as the waterfall approach. The Agile approach minimizes the need of expertise. In comparing methodologies, the Standish group found that Agile had a success rate 28% higher than the traditional waterfall approach. The success rate of all agile projects were 42%.
Agile Managements assumes the following:
- No one can see the outcome of a project
- Experts can’t see into the future
- End deliverables of a project cannot be defined
- Separating a project into increments will minimize risk
- More communication is better
The greatest concerns of those adopting agile include:
- Lack of Upfront Planning
- Loss of management control.
- Management opposition.
- Lack of documentation.
- Deficient in predictability.
- Absence of engineering discipline.
Solution to Agile Problems: Best Value Approach (BVA)
BVA is different from any other approach. It requires a complete paradigm shift to understand and implement the approach. The essence of the entire approach is to find an expert, utilize his expertise to make a plan, and execute the plan with clear documentation.
Best Value Approach assumes the following:
- Experts can see projects from the beginning to the end.
- Experts can see into the future
- The end product should be defined in metrics
- Communication should be minimized
- Experts can minimize risk by using simple metrics, a detailed plan, and tracking the plan
The BVA Results
The BV PIPS has been utilized in the United States [31 different states] and five other countries. PIPS has been utilized by Performance Based Studies Research Group at Arizona State University over 1,800 times, procuring over $6B of services [construction, professional engineering, medical and IT services]. When BV PIPS has been implemented correctly, the following are measured results:
- A client/user operator of PIPS can minimize their transactions by up to 90%.
- Vendors can maximize their profit by up to 100%.
- Performance (no vendor generated cost or time deviations, and high customer satisfaction) is maintained at 98%.
- Lower project costs and higher value.
- Higher salaries for technical expertise.
Agile Project Management is a popular approach that does not utilize expertise. As a result, the approach has a 42% success rate. There are many problems with the approach that make it unpredictable and risky. The solution to the inherit flaws of Agile Project Management come from the Best Value Approach. The Best Value Approach centers on utilizing expertise to create a plan that clearly defines deliverables. In this approach there is predictability, a defined end product, and transparency. Due to the fact that Best Value Approach resolves all the issues in Agile, the success rate in Best Value Approach is 98%. Professionals all over the world are now adopting the BVA to deliver services. The Best Value Approach is the Approach of the future!