In-depth analysis: The benefits of external Project Management Consulting firms over in-house Project Managers
Navigating the dynamic landscape of project and property development presents a crucial decision: should you entrust your project to an external project management consulting firm or rely on an internal project manager? This choice can have far-reaching consequences, impacting the success and efficiency of your endeavours.
At Hub Property Group, we bring a wealth of industry experience to the table, and we firmly advocate for the use of an external project management consultancy. By partnering with us, you can expect a comprehensive exploration of the myriad benefits this approach offers.
1. Expertise and Hierarchical Support
Opting for an external Project Management (PM) Consultant unlocks a spectrum of expertise not limited to project managers but extends to heads of projects and managing directors. This tiered structure is particularly beneficial in scenarios involving intricate technical challenges, where senior management’s insight can be pivotal. External firms not only bring a wealth of experience to the table but also implement rigorous internal review processes. These processes involve critical evaluations by senior managers or directors before any recommendations are issued to clients, ensuring a multi-layered approach to quality assurance and decision-making.
2. Comprehensive access to advanced tools, market data, and insights
An external PM firm stands as a repository of the latest construction market insights and data, a resource of immeasurable value in today’s market. Their constant interaction with a wide array of industry professionals, including quantity surveyors, brokers, and financiers, provides them with a rich, constantly updated pool of market trends and data. This encompasses everything from evolving construction costs to sales and marketing strategies for various asset classes. By leveraging these insights, developers can make data-backed decisions, significantly reducing risks and enhancing outcomes. Moreover, these firms employ sophisticated, quality-assured project management frameworks, integrating comprehensive risk registers, development programs, and pre-construction checklists. These tools are continuously refined, drawing from a reservoir of past projects and lessons learned, embodying the principle of continuous improvement thus passing on the benefits to clients.
3. Flexibility, scalability, and resource management
The flexibility afforded by an external PM firm is a game-changer, especially in terms of human resource management. Clients are spared the lengthy and often uncertain process of recruiting and vetting candidates, a task expertly handled by the firm. These firms maintain a dynamic pool of talented professionals, sourced through stringent selection processes and recommendations. This approach is particularly advantageous for developers with limited in-house resources, allowing them to scale their operations seamlessly in response to project demands and saving months in recruitment. This scalability extends to the ease of adjusting or terminating the project management services, no different than a straightforward gym membership cancellation, emphasising the adaptability of these firms to evolving client requirements.
4. Hub Property Group’s general experience
Hub Property Group brings a kaleidoscope of experience to the table, with its team having managed a wide array of projects in different sectors such as Public and Private sectors. Delivering projects from residential developments to large-scale infrastructure stadiums. This broad-ranging expertise empowers developers to venture into new sectors with confidence, backed by Hub’s proven project management prowess. Hub’s commitment to continuous learning and skill enhancement ensures that its team remains at the cutting edge of industry trends and practices.
5. Cultivation of innovation and new perspectives
A consultancy like Hub fosters a culture where innovation and fresh ideas are not just welcomed but actively encouraged. Within Hub, project managers are stimulated to brainstorm novel project management techniques and risk mitigation strategies weekly, keeping in step with the latest construction trends. This environment of perpetual learning and adaptation fosters a culture of growth, improvement, and innovative problem-solving.
6. Insurance and assurance
The presence of robust insurance policies in external project management firms offers a layer of security against unforeseen professional errors or mishaps. This coverage not only provides financial protection but also peace of mind, shifting potential liability away from the developer. Additionally, in the event of unexpected challenges, these firms have the capability to mobilise extensive resources to tackle and resolve issues proactively and efficiently.
7. Economical and value-driven relationships
Building long-term collaborations with external PM firms can yield financial benefits, such as discounted fees for multiple projects. This ongoing relationship enhances team dynamics and operational efficiency, resulting in cost savings and a greater return on investment for both parties in the long term.
8. Enhanced Governance and objective independence
An external project manager brings a level of independence and governance that is hard to replicate in-house. Internal superintendents may face conflicts of interest, potentially compromising their impartiality. In contrast, external managers uphold a standard of professional independence, ensuring stakeholders can trust in the fair and unbiased management of the project. This objectivity is crucial for maintaining integrity and stakeholder confidence throughout the project lifecycle.
To sum up, the advantages of employing an external project management consulting firm, as illustrated by Hub Property Group’s approach, are extensive and multifaceted. From accessing a wide range of expertise and the latest market insights to enjoying enhanced flexibility, innovation, and governance, the benefits decisively tilt in favour of this approach over hiring an in-house project manager. This strategic choice not only optimises project outcomes but also aligns with the evolving needs and complexities of contemporary development projects.