Exceeded deadlines, overspent budget, unrealized goals… Sounds like your projects?
Project Management
Nuno Barbosa
2020-01-28

Exceeded deadlines, overspent budget, unrealized goals… Sounds like your projects?

I once had a chat with a CTO of a startup. We talked about potential cooperation because (it’s not a secret) I offered him the services of our software house. When he asked me about the benefits of working with a software development agency, I simply replied: 'achieving goals, meeting deadlines, cost-effectiveness and high quality of services.' But how do we achieve them?

Software development project management

In this article, I would like to share with you my thoughts on effective management of software development projects. It is inspired by my previous conversation with a certain CTO. When I talk to companies about potential cooperation with Codest, I often come across questions about the real benefits of deciding to cooperate with a software house.

My favorite answer to this question is... inverting the question. In such cases, I ask my interlocutor about the problems they are struggling with on a daily basis when developing their products. There is actually quite a lot to talk about! Some complain about problems with keeping the budget in check, others mention exceeded deadlines, there are also those who pay attention to the poor quality of such projects.

Why is this happening? There is only one answer -  poor project management. You can have the best developers in the world, but if you can't manage them and make your project develop effectively, you won't succeed. I know that currently everyone emphasizes that they are Agile. It's very popular and Codest is also a fan of this approach. However, the thing is that software development projects are very difficult and require a more efficient management method from the project manager.

management software development

If you're wondering why managing a software development project is so important, take a look at the statistics below (according to learn.g2.com):

  1. The average project budget is exceeded by 27%, compared to the initial estimates.

  2. On average, ⅙ of projects exceed the budget by 200%.

  3. 55% of project managers point to budget overruns as a major factor in project failure.

  4. 31% of project managers believe that sticking to the budget may be a project success indicator.

  5. Only 28% of companies use available project management methods.

  6. Only 64% of projects are implemented in accordance with the assumed objectives.

  7. Only 2.5% of companies successfully implement all their projects.

  8. On average, 80% of successful projects are conducted by certified project managers.

  9. For 77% of successful projects, dedicated project management software is used.

  10. 71% of the surveyed companies (survey provided by the CIO) declare using Agile methodologies.

PM software development

How to avoid these problems?

First of all, you need an experienced team and, very often, a project manager able to effectively organize the entire development process of your product.

The project management methodology you choose is very important as well. At Codest, we go with Scrum. It is a project management methodology based on the empirical process control theory, which is consistent with the values of the Agile manifesto (2001). It is not a restrictive work methodology, but rather a framework that allows you to produce software without having a vision of its final shape at the earliest stage.

I would not like to bore you with the details of Scrum. If you are interested in some further information, you will find it in our Playbook, where our experts provide in-depth explanations on how to develop projects in accordance with Scrum.

What is the message of this article?

In such a short article, I wanted to emphasize once again the role and importance of skillful management of software development projects. Using the right approach and knowledge within the team, you will be able to avoid unpleasant situations such as budget overruns or delays. Don't underestimate this and give your product a chance. Choose your partners wisely, cooperate with those who have the skills and experience invaluable in such projects.

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