Project Business Management (PBM) - Basics

The Cooperative Transformation

There is a global cross-industry trend in organizations to have less project work done in the protective environment of the own organization, but to outsource it - turning the assets of other organizations into project resources.  

This leads to a growing number of simple one-to-one contract relationships, but also to complex project supply networks of organizations, connected with each other through legally binding contracts and the will to joint success. Ideally.

A survey on trends in Make-or-Buy decisions among 590 project managers from December 2016 showed that in the recent past, the trend was leaning towards Buy rather than Make, and for the future, the expectation is that this trend will go on.

In other words: Project Business is the Future of Project Management.


Project Managers in Customer Projects

Another survey, performed three times between 2015 and 2019 with 245, 325, and 346 respondents, confirms this trend: More project managers are in customer-facing projects, actually profit centers, than in internal projects, that are cost centers. 

The majority of project managers have to bring money home with projects.

To make these projects successful, new skillsets are needed for project manager on both sides, sellers and buyers.


New Interfaces and Roles

In project business, project managers may be located on buyer or seller side. Some work for prime contractors and are both at the same time, serving a paying customer and buying from subcontractors.

On top of project management, all these roles require Additional Skills that project managers get rarely prepared for:

  • Business acumen
  • Legal knowledge
  • Relational contracting
  • Mission definition and communications beyond organizational borders


Ways of learning

The Great Talent Gap

It takes a lot of enthusiasm and educated experts to bring the Cooperative Transformation to organizations and individuals that is the basis for successful Project Business.

In Project Business Management, professionals are needed, who combine project management experience and education with firm knowledge on commercial and legal matters.

This need applies for all sides, clients as well as contractors, and also for prime contractors between them. The challenge for these experts is to ensure mission success in an environment that is sometimes characterized by trustfulness among competent partners, in other moments however by distrust and conflicts and in a worst case by litigation that consumes management attention and can damage an organization's reputation.

Most project managers learn project business management by trial and error. However, in project business, Trial is Expensive and Error even More.


How Can You Participate and Benefit?

Join Project Business Foundation

As an Affiliate Member of Project Business Foundation, you will find yourself in a community of professionals, happy to discuss the burning issues of the discipline and help others when tough decisions need to be made.

You will also be welcome to volunteer for the association and for project business management.

More on member benefits...
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Partner with Project Business Foundation

Types of Corporate Partners:As a corporate partner of Project Business Foundation, you validate your commitment to effective project business management in a cooperative style, your preparation to put completing over competing, and your commitment to a "Mission Success First" approach.
    Become a partner...

    Obtain ACE Qualification from Project Business Foundation

    Each  Approved Consultant and Educator (ACE)  in Project Business Management has gone through a qualification process, showing knowledge in project business management. He or she is able to pass it on to customers and students and to apply it in complex consulting jobs.

    The availability of ACE qualified educators and consultants is a prerequisite for an organization to become an Education & Consulting Partner.

    The ACE for PBM logo makes this achievement visible.

    Get qualified...