How do resource smoothing and resource leveling differ from each other?
Resource smoothing aims to maintain original project deadlines while increasing project costs. On the other hand, resource leveling does not alter the existing resource capacity but instead emphasizes rescheduling, which may have an impact on project deadlines.
The accompanying diagram, sourced from the APM Body of Knowledge, provides a comparison between the two approaches.
Resource levelling and smoothing options (APM, 2019, p. 179)
© Association for Project Management (APM) (2019) APM Body of Knowledge (7th edn), Princes Risborough: APM.
At a more significant level of impact, certain projects undergo more than just rescheduling or resource allocation adjustments. They may undergo a reevaluation of their project scope by the project sponsor. This involves a broader analysis of the entire project and requires reconsideration of how time, cost, and quality interact within the project.
A prime example is the review of large-scale infrastructure projects like railways. Such projects often undergo rescaling due to increased costs, resulting in significant deviations from the original plans. The consequences of these revisions can affect the client and a wider range of stakeholders and may even result in the loss of subsequent work opportunities (Kerzner, 2009, p. 529).
Now, let’s consider MTD, the water installation events company, and the Glasgow event that you have been following in the course videos thus far. When examining the provided figure, do you think it would be feasible to implement a resource leveling approach in this scenario?
Share your thoughts and join the discussion below.
© The Open University
Considering the fact that the MTD water project is already planned and is existing, I would suggest a resource smoothing which is also a time-limited rescheduling should be initiated as the planned time-up for the project will not be extended, the tendency of additional cost is high though but can be managed to the barest minimum.
No, resource leveling won’t be suitable for MTD’s operation.
This is because the events companies must have undergone rigorous work to secure the time frame for their event. Use of resource leveling is most likely going to extend the deadline and won’t be acceptable, as they’d spend more in securing another date or even miss out for the whole of the year than they would in smoothing resources to fit into the available date.
The resource-leveling approach may not be suitable for MTD company as it may cause delays in the processes of their products. I believe the resource-smoothing approach would enable MTD to complete the project on time without any production delays.
Considerating thethe Water Project of MTD does, resource smoothing will be advisable so that deadlines will be met. The phases and project plans wouldn’t change that much except cost implications.
Given that the events been handled by both MTD (the water installation company) and Glasgow events company often times have fixed time frames( both start and end dates), it would be more advisable to adopt resource smoothing approach so as to be able to deliver within the given timeframe, tho it might come at a higher cost but the most important factor would be not to disappoint the sponsors of such events who might have spent much on putting it together within such given timeframes. As long as the end product or service meets up to the required quality and standard.
In my personal opinion, resource leveling can be effectively applied in MTD projects, given that these projects consist of multiple tasks that do not rely solely on one another, especially in the context of utilizing a hybrid or agile project method.
In my opinion, the best approach to adopt in this instance is resources smoothing where the agreed timline is retained. Its better to incure additional cost and satisfy the client by delivering the project ontime. This strengthens the clients trust in your Organisation’s abilities.
Adjust timelines based on resource constraints: Often, the most efficient way to level resources is to adjust the project schedule. This might mean shifting end dates out further to avoid assigning anyone overtime or shortening the project duration by assigning available resources more optimally.
Resources levelling isn’t advisable for MTD cause the project is meant for an event like Olympics whose start date has been fixed. Trying to adopt resources levelling would mean to disappoint the project sponsor. The best approach is to adopt resources smoothing where the planned deadline remain but new resources are being added and the project cost increase. Satisfying and delivering project in the agreed time with clients and stakeholders without disappointment is a value that an organization must have in order to earn the trust of the client.
Additional cost may be involved and variation can be sent later if possible to the project sponsor.
Conclusively, Resources smoothing is the best approach for both MTD and Glasgow
For MTD, resource smoothing is the best bet. For Glasgow, resource levelling could be adopted if the circumstances have been reviewed.
Implementing resources levelling is not feasible for the two companies. It might be risky and can cause rise and fall. The resources smoothing is the best approach to be adopted by MTD (the water installation events company) and the Glasgow event company, They need to incure additional cost and resource over time to avoid disappointing the customers and ensuring a more balanced and efficient workflow.