What are Project Benefits? | Summary and Q&A

TL;DR

Project benefits are measurable improvements resulting from project changes that are perceived as positive by stakeholders. Benefits can include financial gains or intangible outcomes, and effective benefits management is crucial for project success.

Key Insights

• 📽️ Project benefits are the positive changes resulting from project deliverables that stakeholders value.
• 💐 Financial benefits include cost reduction, revenue increase, and cash flow advantages.
• 😨 Non-financial benefits encompass improved customer satisfaction, compliance, customer care, and staff morale.
• 📽️ Benefits management is often overlooked in project management methodologies but is crucial for project success.
• 🪐 Net benefits are measured by comparing total benefits achieved to the total project costs invested.
• 🌱 Planned benefits are expected outcomes, while emergent benefits are unexpected positive outcomes.
• ❎ Dis-benefits refer to negative consequences perceived by stakeholders, representing the unfavorable outcomes.

Transcript

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Questions & Answers

Q: What are project benefits and how are they different from project deliverables?

Project benefits are measurable improvements resulting from project changes, while deliverables are the tangible or experiential outputs created by the project. Benefits are the positive outcomes that stakeholders value, whereas deliverables are the products or outcomes themselves.

Q: What are examples of financial and non-financial project benefits?

Financial benefits can include cost reduction, increased revenue or cash flow advantage. Non-financial benefits can include improved customer satisfaction, compliance with regulations, enhanced customer care, or increased staff morale leading to decreased turnover or absence.

Q: What is the difference between planned and emergent benefits?

Planned benefits are the ones expected to be achieved and are part of the project's initial objectives. Emergent benefits, on the other hand, are unexpected positive outcomes that arise from project activities but were not initially planned for.

Q: What are dis-benefits and how do they relate to project outcomes?

Dis-benefits are negative consequences or outcomes perceived as unfavorable by stakeholders. They are the opposite of benefits and can have detrimental effects. Benefits and dis-benefits together encompass the overall impact of a project.

Summary & Key Takeaways

• Project benefits are positive changes that result from project deliverables and are valued by stakeholders.

• Benefits can be financial (e.g. cost reduction, revenue increase) or non-financial (e.g. customer satisfaction, staff morale).

• Effective benefits management is often overlooked but is essential for project managers and can lead to exciting and important project assignments.