Finding the optimal balance between its resources is key to a business achieving its goals. Resource management refers to the planning, allocation and monitoring of your human and physical resources to achieve the business goals you have outlined in the business’ strategic plan. While it can sometimes be a trial and error process, neglecting to practice policies that promote effective resource management can not only cost the business money; it may be hindering its employees’ true potential. For example, 19.8 percent of an employee’s time is spent searching for information, according to an Intact report. That means employees spend 20 percent less time focused on their job roles. Whether it is planning for a new product launch or funding your business during difficult periods, good resource management helps the business achieve optimization and minimize waste. In other words, it helps management get the best out of their assets.

  1. Consolidate Your Resource Schedule

Resources management can get a bit complicated, particularly in smaller businesses where resources are shared between departments and business functions. This can often lead to scheduling conflicts, idle time, and in the long run, inefficiency and lowered team engagement. Consolidation can also help in resource forecasting and achieving optimal resource utilization, placing the right resources in the right place.

By practicing consolidation and project resource planning with the help of project management or resource planning software, management can gain an overview of what is going on all across the business. This helps them better anticipate resource allocation/movement. On the human resource front, it also helps with skill matching and ensures a great workload balance. Doing this is crucial to keeping employees engaged, motivated and retained. Disengaged employees cost businesses $3,400 for every $10,000 of salary – approximately 34 percent of their annual salary, according to a Gallup poll.

  1. Create Built-In Contingency Plans In Your Resource Management Strategy

Projects or business plans do not always go according to plan. Therefore, having a contingency or back up plan helps the business anticipate and better prepare for the possibility that it does not. This is particularly useful when applied to resource management, as a small deviation from the planned process of a project can sometimes result in disruption or a premature end and financial loss. For instance, the delay of raw materials from a foreign supplier can mean unmet production and delivery deadlines. This, in turn, creates ripple effects like wasted labor hours, disgruntled customers, and the potential cancellation of orders.

Before drafting contingency plans, a business must first work to identify potential risks. Once the key risks have been identified, the company can work to implement safeguards and alternative options, such as identifying local suppliers that may be able to supplement material shortages, identifying potential sources of emergency financing, or drafting a recruitment plan for temporary staff if demand overwhelms the business. Keep in mind that your contingency plan should be constantly revisited and amended, as the risks change.

  1. Utilize Technology To Streamline Your Resource Management

Streamlining your resources management process means your project managers are then able to keep track of operations/multiple projects better, maximize their time, and direct resources where they are needed the most. For instance, the recruitment and onboarding process for an ongoing project can be long, time-consuming, and tedious for many project managers or human resource managers. This is particularly heightened since they also have to keep track of current employees and ongoing deliverables.

According to the Society for Human Resource Management, companies lose one in six new employees within the first three months of their recruitment. This results in lost funds, human resources, and time spent on an employee that is no longer involved with the business. Automation of repetitive tasks such as scheduling can free up time for managers to focus on key tasks such as employee training. Some great technological tools and software on the market include eResource Scheduler, Float andTeamweek. Others, such as NetSuite, come with a skills profile feature, which aids in better skill management.

Lastly, resource management is an ongoing process. This means a business needs to constantly revisit and upgrade the way it manages its assets as its goals and competitive environment change. However, by implementing tips like these, businesses can enjoy the benefits of their resources and realize their true potential.

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