Project the term itself sounds like the process of achieving a goal. Similarly, management can be defined as art of getting things done with respect to time and resources. Now, if both terms are merged then we get that project management can be defined as process of achieving goal using art of getting things done with respect to time and resource. Today every field requires project management to deliver a successful product or to provide a service. Project management involves steps of process which may vary from business to business.
Project Management has five phases-
a. Initiation-
The project is actually discussed using various business cases. Requirements are basically explained and the feasibility of the project is checked during this process.
b. Analysis and planning-
Research and analysis are done in various aspects. Multiple plans are made in order to proceed further. Deadlines are set with respect to resources.
c. Execution-
The actual work of the project starts in this phase. Plans are executed and tasks are completed by assigning them to a particular resource.
d. Monitoring-
In this phase status of the project is measured with respect to the budget, resource and timeline. Changes in projects are verified with quality delivery.
e. Closure-
It is the final stage where project gets completed. Whether project is successful or even may fail but some learning is taken as a conclusion. Future enhancement is also made on this basis.
Project management has different methodologies like agile, traditional, waterfall, adaptive, critical path, pert, RUP, critical chain, extreme, scrum, six sigma, crystal and joint application development. Best suitable model is recommended as per analysis of project. The banking sector and finance both are considered as a backbone of a country's economy. Compare to other fields banking sector and finance being crucial requires proper project management. So let’s first elaborate about project management in banking sector. To get idea about how project management works in banking sector we can compare traditional banking with today's modern banking. Traditionally bank was considered as an institute with purpose of only saving money using old transaction mediums like use of cheque or cash being in queue. Today's modern bank is considered as an activity with purpose of managing money with various schemes supporting online transactions. Nowadays e-banking or online banking supports easy, fast and safe electronic transactions. Bank sector have also embedded the IT department for automation using more software for ease of process. There has been vast change from traditional banking to e-banking describing paradigm shift. This has given rise to many competitors who are trying to attract more customers by improving services. Project management in banking is required to sustain competition, use of new technologies and to create more new customers. So project management professionals joining the jobs are expected to be fully equipped with project management skills along with new technology.
Project management in terms of finance involves analyzing, executing and controlling financial activities. It is just applying project management phase for financial resources of the enterprise.
There are some objectives of Financial Management-
1. Proper utilization of funds within enterprise.
2. Returning adequate amounts from profit to shareholders.
3. To secure earnings.
4. To minimize cost capital.
5. Maximization of profit.
6. Resource management for financial activities.
7. Coordinating with other departments.
8. To maintain various finance reports.
Financial manager plays a key role in managing finance department. Financial manager takes important decisions related to all finance activities and also plays important role in communication with other departments in firm.
Roles of Finance Manager-
1. Demand for enough funds- To run organization enough fund is required in terms of cash and equity. Within organization if funds are required for any reason then finance department is responsible for all money matters. So manager plays vital role for estimating enough funds and requesting it from organization.
2. Utilization of funds- As finance team is responsible for all money matters. Utilization of funds also plays critical part. Manager decides how much funds to be sanctioned by properly analyzing the reason.
3. Profit planning- The basic motive of any enterprise is earning. So finance team is responsible to increase profit margin of organization. Manager plays key role in creating strategies for business in terms of profit.
4. Understanding Capital Markets- Company has it shares in stock market. There is huge risk involve when securities traded in stock market. So financial manager should have good knowledge about stock market and should have ability to take calculative risk. The important job of financial manager is to distribute adequate share from profits earned among stakeholders.
6. Resource allocation- Manager being the head of finance department also allocates resources on task related to finance activities. Manager is also responsible for solving queries and taking task updates from team executives.
7. Coordinator- Finance department is responsible for all money activities in organization. So if any departments have any demand for funds or finance related queries then it is duty of financial manager to coordinate with other respective departments.
8. Maintaining reports- Finance team is responsible for maintaining all types of reports related to finance and accountancy. It is job of manager to overview reports before its final submission to head director or CEO of firm.
So this was all about Project management in banking and finance. We have also discussed about roles of financial manager. The motive of writing this article is to brief the importance of project management and also to understand the scope of job opportunities for project management professionals. After completing education one turns out just to be a degree holder. But to work as project management professional in finance one needs to be smart in acquiring skills and firm based knowledge. As management is art of getting things done it is based on practical experience. So Monks Learning Lab is providing best course of PMP training for banking and finance professionals. It will surely provide firm base practical knowledge from experts who are experienced bankers and finance professionals with respect to advanced technologies.
Course with respect to project management in banking and finance cover following objectives-
Project Integration Management: Co-ordination of various project elements like task, resource, stakeholders and many more.
Project Scope Management: To clearly understand requirements of project.
Project Schedule Management: To set deadlines after planning with respect to resources available.
Project Cost Management: To estimate and control budget for project.
Project Quality Management: To deliver quality product or provide service.
Project Human Resource Management: To hire, develop and manage proper resource allocation for project.
Project Communication Management: To plan for efficient communication within and outside organization.
Project Risk Management: To analyze the risk involve for execution of project plans.
Project Procurement Management: To collaborate with outside vendors to purchase goods or get service on contract basis.
Project Stakeholder Management: To identify stakeholder, to analyze their requirements and create strategy to work with them.
As opportunity knocks only once so it is recommended to take advantage of this course of Project Management training for banking and finance professionals. Surely it will turn you into the best project management professional in future.