Dead beat by project overruns!
Here are a few pointers on how to curb marketing project overruns and point number 5 is one not to miss.
In this blog, I am going to take you through a short journey on how to keep cost overruns at bay and your marketing budget intact without compromising quality.
Here’s how to fireproof your marketing project budgets from spilling overboard:
Tweet this: Without a project schedule, the plan is doomed to fail
Do proper planning
No matter how small or big the project, if the basic details aren’t ironed out from the beginning, any mishap can happen. When the objectives are not clearly defined and are misunderstood, you could be heading for an early marketing project catastrophe and the repercussions can be very costly on your budget. You can prevent this by setting aside enough time to plan. Without a project schedule, the plan is doomed to fail. Don’t seek to prioritize what’s on your schedule but rather schedule your priorities efficiently.
“Proper planning and preparation, prevents poor performance.” – Stephen Keague
Collaborate with others
No one person is an island. Human beings depend on one another. That is why proper marketing project execution requires team effort. It’s important to walk through the project from beginning to end with other people for input. Having multiple individuals involved in the planning phase is a very good way to create a solid plan which will help safeguard unforeseen problems during project implementation. Coordinate talents well for all tasks to avoid project errors. This saves you a great deal of time and money in your budgets.
“Alone we are smart. Together we are brilliant!” – Steven Anderson
Communicate clearly with vendors
Give your vendors accurate and complete details. Marketing projects will incur extra costs if your vendor is given information that is not straight to the point. Vendors should not be left to assume things. The best way is to provide every detail to the vendor and make a follow up call and go through what is needed again to cross check if everyone is clear on what is needed. Establish reasonable and realistic timelines. Get everyone’s buy-in and then establish benchmarks to constantly measure progress. A trusted, experienced vendor will usually advise on more cost-effective options.
“Good communication is the bridge between confusion and clarity.” – Nat Turner
Adapt to scope changes
This is a 2-sided coin; cost overruns caused by changes in the scope of supply from vendors and also by changes from clients. Changes in the scope of supply within a marketing project frequently cause cost overruns. On one hand, a vendor may run out of stock on the exact items you need and may recommend similar items which may drive costs higher. On the other hand, a client may request more additions to the project, more features, better quality, etc. All of these require more time and work. If you are not charging for these additional changes, you will find yourself eating into your budget with every change. You need to put strict rules on additional changes to the marketing project so that you do not incur extra costs.
“Beware of little expenses. A small leak will sink a great ship!” – Benjamin Franklin
Use good project management software
The evolution of technology makes it easier to effectively implement projects. One of the main functions of marketing project management is to forecast and track costs to avoid cost overruns. Procurementexpress.com helps companies stay on budget by keeping everyone in the loop with project spend. So it avoids duplicate spending. It also helps you stay on budget by giving you the total of budget leftover, before a purchase is approved. You can also load your preferred vendors as fixed suppliers, so your project team cannot spend money on suppliers you don’t approve of.
“Today’s leading real-world retailer, Wal-Mart, uses software to power its logistics and distribution capabilities, which it has used to crush its competition.” – Marc Andreessen
Trying to keep to your project budget can be a challenge when there are many factors that can contribute to cost overruns. Understanding the afore-mentioned factors and taking steps to correct them will guarantee an increase in profits.
Procurementexpress.com runs your budget for you and gives you the freedom to focus on other aspects of marketing project management. It’s an easy to use application and any of your staff can master in a few minutes.
Try it for free! Our 24-hour customer- success ninjas are waiting for you!