The Resource Management Continuum: The Path to Dynamic Resource Optimization
Resource management has evolved. But not every business has realized the true potential of their resource management strategies. And for many, resource management may be stuck far in the past, not even providing them with a basic view of supply and demand that so many industry leaders experience in their software solutions today.
This is because resource management (RM) exists on the spectrum of what is known as the Dynamic Resource Optimization (DRO) Continuum, which illustrates the continual evolution of systems from outdated methods of the past and into the exciting future of the practice.
What is this continuum? Are you even on it? What does it mean for your company? And where do you sit on it today? The following three levels exist on the DRO Continuum, scaling up in terms of both precision and the number of resources and projects possible with each. However, a recent Forrester research report revealed that many companies are not even on this spectrum at all, and are instead using spreadsheets to react to changes in resource needs instead of proactively planning.
Gaining insight into this evolved world of resource management will help you and your team make crucial decisions for the future of your organization.
1. Resource Planning and Scheduling Tools
This is the foundation of resource management solutions. However, it has also fallen behind the times in terms of what modern businesses need from their RM solution.
Software solutions at this beginning stage of the DRO continuum are typically only capable of managing a small number of resources and their related practices. While this may not be an issue for start up or very small organizations, these limitations soon reveal themselves over time and cannot scale with a business as it grows in size, number of projects, and complexity of needs. In addition, these low level solutions are mostly only capable of planning, scheduling, and allocating resources under strict circumstances. Any other functions are ad-hoc and the data that might be able to be pulled from the system is non-algorithmic, forcing users to rely on secondary solutions for data insights.
2. Resource Management Within PSA
With the advent of Professional Services Automation (PSA) services, resource management was able to evolve beyond its basic offerings, providing businesses with a new level of insight and support needed for greater demands.
Resource management solutions within PSA provide multiple levels of service in addition to the foundational aspects of resourcing, scheduling, and planning projects. Businesses at this stage in the continuum are able to manage a larger number of simultaneous projects and a larger resource pool than before. In addition, managers have the ability to staff simple projects with a large array of interchangeable resources, who can provide the skills needed to succeed as needed and with a flexibility that can accommodate sudden changes in demand. This stage of the continuum succeeds in process automation between customer relationship management (CRM) software and enterprise resource planning (ERP) software. However, these solutions are not resource centric because they are first and foremost focused on PSA, only provide simple data for managers to use, and have limited scalability, preventing unlimited growth with companies.
3. Dynamic Resource Optimization
The advent of Dynamic Resource Optimization represents the pinnacle of this continuum and its constant evolution in supporting a world of increasingly challenging and fast-paced resource management demands.
DRO is a solution approach that empowers professional services firms to precisely determine the optimal mix of resources for the best outcomes across every project, client, consultant, contractor and practice area. By focusing on resources and enabling adaptation in real-time, Dynamic Resource Optimization helps ensure organizations can field the best team every time and scale the business at any rate necessary. Users of a DRO solution can go far beyond the resource management strategies of old by leveraging a unified data model, advancements in specialized algorithms, intelligent orchestration of their teams, and services engagement science that brings performance to the next level. When combined with private networks of resources, the potential for highly specialized, highly effective work can completely change the long-term success of an organization.
Where do you find yourself today in this DRO Continuum? Where do you see yourself going? No matter where you are, only businesses who are willing to evolve with their resource management demands will be able to succeed in the ways they need. And it’s all possible with Dynamic Resource Optimization.
Harness The Power of Dynamic Resource Optimization
Are you ready to learn what Dynamic Resource Optimization can do for you? Mavenlink can provide you with the constantly evolving support that you need for both today and tomorrow.