Project Management is one of the most sought-after careers mainly because it is knowledge
based and also because of the satisfaction it provides for project managers who direct the
course of the project, assess and take risks and achieve the objective with the support of the
team. The various qualities required of project managers are crucial to the results.
The demands of the industry have intensified and scientific methods of project execution
have made certification by an independent body a necessity for aspiring project managers.
Among all the certification courses for project management the Project Management
Professional (PMP) programme developed by the Project Management Institute is
considered one of the best. It is said that in the United States, where a PMP certification is
considered necessary, though not compulsory, the median advantage in salary and benefits
for a PMP is about 25% more than for a person without a certification. In India this increase
is in the region of 36% (Source: https://www.pmi.org/official-pmp-guide/why-the-pmp/higher-
What is PMP all about
The course covers new trends, core competencies and emerging practices in project management,
considered necessary for efficient management of projects. The key features include:
35 contact hours. These are considered as Professional Development Units or PDUs
8 industry-based case studies
For the individual a PMP certification is useful to get lucrative jobs in many industry sectors. For the
company, a PMP certified manager can show results that can be tangible and provide a good ROI.
We will go into this in a bit of detail later
Though PMI offers other related certifications like Programme Management Professional (PgMP)
and Portfolio Management Professional (PfMP), PMP is the most popular. All these programmes are
stand-alone and independent of each other.
The ROI Angle
For the organization it is important to assess the value of the training in tangible terms. And that
means assessing the returns in comparison to the efforts made in terms of costs expended for the
programme, or Return on Investment (ROI). One of the most popular methods of assessing the value
of project management training in terms of ROI is the Phillips ROI methodology
Among the salient features of this methodology are:
Analysis of Data
This is best done by selecting a group to impart training and assessing their performance post
training and then taking a decision to extend this to other project managers.
The following are to be established
Purpose of the training, namely delivering projects on time, within budget and developing
Determine data collection plan: Which data at what stage and also specify the projects
ROI plan: Set a target. For example, whether it should be 20% or 15% or some other number
Project plan: Treat this exercise as a project and define execution plans
Data Collection Phase
The data should be collected at two stages. The first should be on completion of the training and the
other at a defined period after the project managers apply what they have learnt
Data Analysis Phase
In this phase the data from the previous phase is analyzed with corrections for other factors and the
ROI calculation is done based on a formula. This formula expresses the savings as a percentage of
the cost expended on the project and arrives at an ROI figure.
For example, if the benefits of the programme are calculated as 150 units and the cost incurred is
400 units, the ROI will be 150/400 = 0.375 or 37.5%
As the title implies the data collected is to be presented to the company management with
inferences and suggestions as to what is to be done to derive the most from the learnings and how
to extend this learning to larger groups.
The information above has been written after reference to the following online publication:
The effect of regular and sustained training can be ascertained by using the same methodology on
the same group after a specified period to gauge the effects of how the group has imbibed the
training and whether the results they deliver are better.