In many companies, especially those who provide services to external clients, the main focus from a project management perspective seems to be on resource allocation and utilisation. People are viewed as individual “resources” and an important goal is to maximise people’s utilisation (Before you say this is not true, think about how important this metric is at your company and that people tend to optimise what is being measured).
I know that especially for vendors who often charge by the hour or have to keep cost down in a fixed price and scope scenario, utilisation is hugely important. That’s fair enough. However, making utilisation the main driving factor, will backfire and ultimately lower utilisation.
Why is this a problem?
By foregoing the team approach, aiming to maximise utilisation and piecing together projects through dynamically allocating and re-allocating people we: