All entries for Saturday 09 July 2016

July 09, 2016

Resource Allocation Importance and bias

Every company in the world allocates resources. It is merely seen as an event where the resources are given to each team and project. Nonetheless, I've discovered that it is one of the most important processes of the company where even the CEO should participate in the higher levels (Charan 2013).

When I used to work, I remember every project champion fighting for resources. They wanted to get the most for them. I wonder if they ever cared if it was the best for the company as a whole which actually reminds me of Demming and the System of Profound Knowledge, specifically the part of The Knowledge of a System. Therefore, now that i think about it most of the resource allocation processes are biased because project champions can exaggerate information to obtain more resources or simply they present better than their colleagues and have a competitive advantage on it.

I think that there exists an important need for companies to develop a process where the allocation of resources be unbiased and based on the truly nature of the projects.

July 2016

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