Effective resource planning is the key to successful project management. No matter the industry or type of the project, you need to understand what the available project resources are and if they are the right fit for the project plan at hand.
Good resource planning is applicable for manufacturing project managers that work for large corporations but also beneficial for smaller companies that want to provide excellent customer service and improve communication between team members. Big corporations need to keep track of a wide variety of the right resources at each moment to make sure that the project resources are used in the most effective way.
On the other hand, small businesses and start-ups usually have resource constraints. For them, the challenge is to use the few available resources in a way to maximize their efficiency: what is the project that would need the least resources but provide the biggest positive effect. Resource planning can also be used on a smaller scale, such as leading a project and managing a team member.
In this article, we provide an overview of what effective resource planning is, what kind of benefits it creates for different businesses and how to choose the right resource management software.
What is resource planning?
Enterprise resource planning by definition is a process by which tasks are allocated to human and non-human resources in such a way that it maximizes the efficiency of the resources in hand while improving outputs.
What does it mean? As a business owner, you manage various resources. Resources are for example people, time, inventory, money, customer data, purchase history, vendor agreements, etc. Resource planning helps you to get the most out of each, so you have the right people and the necessary amount of inventory at the right time, so you can save time and/or money.
When it comes to resource planning and management, the main keyword is efficiency – how to get the most out of the available resources. It might sound easy, but working in an environment that is constantly changing, resource planning usually is a quite challenging area for business managers.
Resource management software is one of the most useful tools to help in that area as it provides project managers necessary data and tools for analyzing the situation and predicting the needs of resources for future projects. This helps to understand where more resources may be needed or where to change the allocation of resources. Understanding what your resources are and what is needed for a project helps to make smarter decisions.
Resource planning may be familiar for people who have been working on IT or project management, but the need can be found in all sectors. For example, when managing a restaurant, you need to have enough produce to provide meals that the customers ordered and enough waitresses to keep the service level up to standard. As a retail clothing store owner, you don’t want your seasonal bestselling products to be out of stock. Resource planning helps you to prevent this kind of situation.
Why resource management is important?
Efficient resource management helps your business save money and time as you are better able to understand your resources, their availability, and capacity. This helps to plan business development needs, such as what type of project should be on your project manager’s and team members’ pipeline next, what kind of timeline is needed for the project, and what additional resources you need for project success.
For example, if you order too much produce for your restaurant, but don’t have enough customers coming in, some of the items may run out of their expiration date. This means lost money for the business. If your café is most visited at lunchtime, but you schedule most of your waitresses to work in the evenings, customers may face longer waiting times and decide to eat somewhere else, and on the other hand, you are still paying for the waitresses time even though there may not be much work for them at the time. Again, the business loses money.
Resource management helps you analyze the existing resources and find out what type of resources, when, and where do you need them, so you are able to plan accordingly. Resource planning helps you make smarter business decisions by keeping track of what customers prefer when they are most likely to visit your business, how much inventory you have, and when would you need to stock up.
Resource planning is also a big part of effective project management within the company. The goal of a project manager is to develop the desired solution in the most cost-effective way. This usually includes resources such as team members, the need of outsourcing certain tasks, aligning the process and goal with general business targets, and all that according to an agreed timeframe. Resource management software is useful for project managers as it can track, schedule resources, and predict the resources needed for the project.
Main benefits of project resource planning
The goal of resource planning is to execute a project or a task in the most efficient way. By doing that, there are many beneficial outcomes from using your resources in an operative way to improving customer service.
Resource planning and management offer a company many benefits, like:
- It helps you manage resources more efficiently by avoiding over or under allocation
- It helps you analyze, predict, and plan future resources
- It helps you boost efficiency by having enough resources at the right time
- It helps you adapt faster to the changes in the business area as it provides you insights and data
- It helps you be proactive by predicting and planning future resources
- It helps you gain a competitive advantage as you can manage resources better and ultimately provide a better customer and employee experience.
Let’s take a more detailed look at the key benefits of resource planning.
Saving money
The first, and usually the most important benefit of resource planning for businesses is saving money. Maintaining sustainable cash flow is an important aspect of any business. Whether you are a small café, technology start-up, or seasoned manufacturer, positive cash flow is essential to a financially sustainable business.
Resource planning helps a business owner manage cash flow by smartly allocating resources. With accurate, real-time data you can predict demand more easily, with inventory management you know what and how many items you have in stock, how many people you have working in each shift, etc.
Resource management software helps project managers identify possible bottlenecks that may hamper production or leave customers with longer waiting times. With that knowledge you can find solutions on time, so you don’t risk losing customers due to longer waiting times or plan your manufacturing team to work on something that couldn’t be finished anyhow because some key pieces are missing.
Saving time with project managers
In addition to saving money, resource management software also saves your employees a lot of time. By having a clear overview of available resources, project managers can strategically plan for labor, material, and other necessary resources to be in the right place at the right time.
By knowing that Saturday evenings are the most popular time people visit your bar or restaurant, you can plan beforehand to have more people working on that day, rather than say, Sunday morning when there are very few people visiting. If a furniture manufacturer knows that a lot of people are redecorating their homes during springtime, they can have more materials available for popular items, so customers don’t have to face months-long delivery times.
You can also use slower periods to plan resources and prepare for busier times of the year, so the workforce is not burnt out.
Resource planning software usually also has many automation options. For many businesses, inventory is the key ingredient. Manufacturing companies need to have enough material, restaurants and cafes need to have enough produce to prepare food, retail stores need to have enough stock. With the right resource management tools, you can create notifications when stock has reached a critical level or, if you have a permanent vendor, even automate the restocking process.
Customer servicing businesses also can save time by providing self-service options for the customer. Conveniences such as self-service check it to a hotel or gym, ordering food in a restaurant by mobile app, booking tables and rooms online, are valued by the customer and easy to implement also. At the same time for the company, it frees up other resources, like personnel.
Improving customer service
Improving customer service and creating attractive experiences for the customer is one of the most differentiating factors that businesses must pay attention to. In today’s competitive market where customers have a large variety of options available at all times, creating outstanding experiences is one of the few ways to gain a competitive edge. This is why many forward-thinking companies have appointed a dedicated project manager and the team to the project.
Saving time and money is more of an internal benchmark, but ultimately businesses need to take care of their customers and if they do that well enough, money will follow. This is why we need to talk about customer service as well and how resource planning can influence that.
Resource planning helps to eliminate situations like you are out of stock of your bestselling items; customer needs to wait longer than expected to receive ordered items; customer needs to experience longer waiting time in a restaurant with restaurant pos system. All these things might seem like minor details, but when looking from the customer’s perspective, they influence the perceived experience with your business.
Resource planning allows you to know what is currently in the pipeline and you can proactively communicate updates to your customer. Your customer will value it!
Also, to create these experiences and providing excellent service, the project managers need to understand what drives the customer. With resource management software they will be able to analyze customer data, test different promotions with loyal customers, and automate some of the communication.
Improving teamwork
Resource planning is also important on a team level. Especially in times when more and more people work from home, to manage time and tasks more efficient way, the team members need to be on one page about who is doing what and when. Team and project managers need to find new ways how to keep the team working for the same goal even if they are not in the same room. Resource planning and resource management software are even more important than before.
A team works the best when there is clear communication, everyone understands what is their role and responsibility and how their work affects others, and the general outcome. Resource planning software offers teams tools that they can use to keep each other in the loop of what are they working on, when is something due, and how different tasks are dependent on each other. This way all the tasks of the team are aligned and it reduces friction and time lags.
Who needs resource planning?
Resource planning is quite common in IT project management and manufacturing, but it is also very useful in other fields such as distribution and logistics, healthcare, hospitality, food business, construction, and others. Every business goal should have a dedicated action and resource plan. While some smaller projects don’t need dedicated software, more complex projects certainly benefit from resource planning and management software.
Big corporations
The need for resource planning in big corporations is easily understandable. There is a large variety of resources, many projects are happening at the same time, many project managers may even compete for the time resource of the same team members. A project manager needs to align the need for resources with other teams as well.
A clear and shared resource plan helps your team in project management as it provides an overview of resources and team members available for the project. In big corporations where a lot is going on at the same time, it is easy to overlook smaller details. To make sure that there are resources to do the important projects, you need to pay attention to the allocation of resources.
Small companies
Resource planning in smaller companies may not be that extensive as in big corporations, but there are still many benefits. As small companies usually have a desire to grow, time may be one of the most important and at the same time most limited resources they have. Since there may be only a few employees and a limited budget, it is important to decide where to invest the existing resources. Resource planning helps you to direct your resources to the project that has the most potential and the most valuable outcome.
As agile ways of working and working from home become the new normal, businesses need to find digital solutions for managing their employees. Resource planning can also be looked at from the department or team level.
Resource planning for HR
Resource planning tools are valuable for HR if your employees work based on a work schedule or shifts. Allocating the right amount of people to work at certain times can be tricky but getting insights on when your business has the most customers visiting or requesting information, can help you make scheduling easier.
There is even a specific term: human resource planning (HRP) that refers to the process of predicting future needs of human resources and analyzing how current human resources can be used the best. Strategic planning of the workforce helps the management understand does their current human resources meet the demand or has it become a bottleneck of growth.
Maybe some people can be transferred to a department that needs more human resources? How do the qualifications of people meet the future demand? When managing different locations, is there a need for an additional workforce the same, or could it be optimized?
This is especially important for fast-growing businesses like start-ups, which need to rapidly onboard more people to keep up with the demand. Having enough right people is essential to achieving the objectives of the business.
Resource planning for purchasing managers
Deciding how many items to buy in stock is like walking the tightrope. Buy too few and you miss out on customers who would like to purchase it. Buy too many and you may have to resort to discounts at the end of the season to get rid of leftover stock.
Resource planning software can provide you valuable insights about stock movement. You will get notifications when there are only a few items left and you can decide ahead of time if to restock. You also get indications if some items are not moving as fast as they should. Then you will be able to make timely discounts.
With a smart resource planning solution, you will be able to even automate stock refills. This is convenient if you sell some items throughout the season. For cafés and restaurants, this might a very useful tool to make sure they never run out of key ingredients.
As even an experienced purchasing manager, always being on top of purchasing requests, tracking inventory, cooperating with different vendors, can at times feel stressful. And if you are working for a manufacturing business, there are even more small details that need to be ordered at the right time not to overstock the warehouse and not to delay manufacturing. Among other valuable features, resource planning software usually offers many important tools to streamline purchasing processes.
Resource planning makes it easier to manage purchase orders as there are many details to take into account. Resource management tools offer real-time data, analysis, and timely reminders when some items are going to be out of stock soon.
How to choose resource planning software?
The choice of resource planning software depends on your resources and your project manager’s needs. The three most important things to contemplate include features, price, and user interface. As a primary tool for the project manager the software needs to include all necessary features that help manage the project, the price needs to be affordable also in the long run, and the software has to be easy to use as it will be in daily use for the project manager.
Features
Depending on your area of business, you may be interested in different things. For example, manufacturing companies need to simultaneously plan human resources, inventory, production pipeline, project costs, and money. While marketing project manager may need only a good scheduling tool with CRM integration.
How to decide what features are important? The first step would be to understand what are the resources that you have. Your resources may be time, team members, availability of a dedicated project manager, time to execute the project, budget, inventory, customer data, production facility, etc. Based on the type of resources you have, you can choose the most compatible software to use in project management.
If you are a service provider, for example, running a consultation or creative service business, you need accurate resource plans for people, time, and projects. You may not need automatic inventory updates in the project management, but as a project manager, you do need to get a clear overview of the scope of the project and timeline, what your team members are working on currently, and do they have the necessary resources to complete the project on time.
To get a better understanding of what features you need the most, take a look at what are currently the bigger issues. Are projects constantly delayed? Is the manufacturing on hold because some parts are missing? Are there communication issues within your team?
People who are managing food businesses, like restaurants, cafes, and bars, are you experiencing produce leftovers? Do you need to take things down from the menu because you are out of ingredients? Are your waitresses sitting idly on certain days or times of the day? Is there a long waiting time for customers at some other times?
Identifying these kinds of bottlenecks helps you understand where resource management is the most needed. Based on this kind of analysis you may discover what is the project you need to work on the most. This helps you choose the one the is the right fit in the longer term.
If you have listed key features that are a must-have for your business and identified issues to work on in the future, you will have fewer options and it will be easier to choose the most suitable planning solution.
Price
As there are a growing number of resource planning and project management software solutions, the prices are overall quite reasonable and everyone should find a solution that fits their budget.
When opting for cloud-based software, there is usually a fixed monthly fee, that makes this available also for smaller businesses. This usually includes a fixed set of features. There may be small adjustments available, but tailor-made options usually do cost more. Another upside for cloud-based POS software in Dubai is that it is continuously improved. This means that there may be new features and updates along the way.
If you are looking for more customization options you should look into tailor-made solutions. But be prepared to pay a bit more since the software needs to be adjusted to match your specific needs. This might be a plausible option if you are managing a big manufacturing business and have very nuanced needs.
User experience
As this software will be an everyday tool for many people in your company, make sure you choose an option that offers a good user experience.
Intuitive design makes the tools easier to learn and use for the team members. This way you will have to spend much less time teaching the employees how to use it and when something is easy and convenient to use, people tend to be more adaptable to transferring to new software.
Cloud-based software makes it possible to access the system from various devices. You can use the desktop version while you are in the office or the mobile app while on the go. Cloud-based solution makes it also possible to link different devices with the software. For example, barcode scanners that make keeping inventory easier, or waiter apps and kitchen displays that restaurants can use for the waitresses to take orders from the table, and the information is automatically sent to the kitchen display for the cooks.
Another aspect that improves user experience with the resource planning software, is real-time updates. This way you always have accurate data about the inventory or the progress of the project your team is working on. This also means that the dashboards or calculations that you have created are updated automatically based on the current use of resources.
What solutions does CompuCash offer?
CompuCash offers a multifunctional POS system that works well in many industries, especially service-providing sectors like the F&B sector, hotel industry and we have a well developed retail POS system. These businesses require much more than just project planning features and CompuCash has been developed keeping in mind just these sectors’ specific needs.
Let’s take a look at some of the unique features that these sectors could benefit from.
Restaurants, Bars & Nightclubs
Taking orders at the table, having an overview of floor plans, management of kitchen orders, creating recipes and calculations, marking courses, and splitting invoices have never been easier than with CompuCash POS that is tailored for restaurants, cafes, bars, nightclubs, and other food providing businesses. Let’s take a look at some features that appeal the most to this area of business.
Defining product panel buttons
Manage up to 40,000 programs utilizing over 2,000 product variables and parameters. As this software has to be easy to navigate, it has a good, intuitive, and user-friendly design. All menu items can be easily accessible, so the customer experiences fast and seamless service even if your menu is packed with different items.
Real-time control
As a business manager, you want to be in the loop of what is going on. Dashboards that work on any Microsoft Windows, Android, or iOS device keep you updated when on the go. You don’t have to be chained to your desk to understand how your business is doing. Cloud-based solutions offer real-time updates.
Video integration
Security is important. You can choose to have video surveillance on your POS device so you can monitor real-time cash positions wherever you wish.
Digital e-menu & smart ordering
This safety measure is becoming more and more popular. QR codes provide customers contactless, touch-free menu viewing and ordering. It helps people keep their distance, but also makes the process of ordering faster and may even result in needing fewer waitresses, as with smart ordering people can order for themselves.
Mark courses and split invoices
POS software helps waitresses manage orders and split invoices to keep transactions simple. From the customers’ point of view, it helps to improve the level of service.
Offline/online support
Is cloud-based software reliable enough? What happens if there is no internet connection? Don’t worry, you can record the entire selling process in secure encrypted data that can be accessed even when offline. POS software should be designed to work both online and offline, so connectivity errors don’t interfere with running a business.
Sales promotions
As there was discussed before, resource planning helps to align internal processes but it is also important to think about the end customer and how you can create better experiences for them. Resource planning software that is tailored for restaurant businesses allows you to create sales promotions and discounts. This is a good way how to show your loyal customer how much you value them! Also, promotions may help you sell items that would otherwise create leftovers.
Delivery aggregators
Ordering food home has had a major increase during the last year and it seems to continue. Customers value the convenience of eating restaurant-quality food without the need to leave their house. This has created extra work for restaurants since you now have to manage online orders as well as on-spot orders.
Integrated online ordering enhances your food delivery process as orders reach the kitchen staff immediately – no middlemen needed! This way you are able to handle all orders in one centralized system and keep better track of the resources.
Occupancy overview & statistics
Smart business decisions are usually based on accurate data. One of the best options to gather and analyze data is resource planning software. Various report options ensure reporting matches your needs as a business operator.
When are the most popular times people visit your business? Do you have enough staff at all times to keep waiting time reasonable? What are the most popular dishes on the menu? Maybe it is time to revamp some less popular meals and try new ones instead? Accurate data about the resources help you understand these nuances and make decisions accordingly. Where to allocate more of the resources or what resources can be freed up for other projects.
Customer data registration
Customer data is the most valuable resource to have. Resource planning and management software enable you to monitor, analyze and predict transactions using a thorough analysis of sales statistics. This way you understand what your customers are buying, what is the business value of one customer, and how your promotions are working.
In project management, this real-time data can make all the difference. No need to predict what the customer wants. Your business decision can be based on real data.
Web-based booking option
As customers value convenience more and more, the option to book tables online can go a long way. This way, as a successful restaurant, you will have a better overview of what you can expect in upcoming weeks and maybe even months. If all tables are booked – great! If you see that there are too few bookings, you can think of a promotion or special offer to fulfill your place for dinner. This will help you to plan your resources accordingly, maximizing their efficiency.
Customer management and e-mails
If you are opting for a web-based booking option there is also necessary communication to be automated. Confirmations, summaries, or notifications are sent and saved automatically via e-mail to the customer. This helps to improve customer service.
Sports Clubs, Spas & Recreation
For sports clubs, spas, and recreation facilities to run smoothly they need membership cards, user restrictions, calendar and web app, training room management, and contract management – all that a resource planning software can provide.
Management of training rooms
Resource planning – training rooms, trainers, equipment, number of participants – can be easily managed with tailored software. This way you won’t have to worry about overbooking and your team know what is their schedule like and where they need to be at a certain time.
Calendar & web calendar
The calendar view is useful both for your team and customers alike. If you allow online booking, customers can book preferred timeslot without needing to call the facility and finding a common time over the phone. This saves time for the customer and money for the business as you may need fewer receptionists since customers can self-service.
Contract management
Define agreement parameters in documents that can be sent out or printed at any time. Contracts and agreements are important resources that need to be accessible but also secured safely.
Integrated access control system
You can give customers access to only the rooms they need. An integrated access control system allows you to even provide self-service: the members are able to check-in to a gym or other facility by themselves. Chip or membership cards are with personal access rights.
Retail stores
Dynamic price tag design with sales reporting & accountability, self-service, multiple barcode technology support are just a few features that resource management software provides for retail stores.
Different barcode technology support
Most popular types of scanners are supported, including QR and weight barcodes. This makes reading product information and keeping track of inventory a lot easier.
Critical storage quantity limits & ordering
Access precise inventories by using a storage system that measures stock quantities. This will help your team order additional items on time. You can set critical stock quantity and the system will notify you if that level is reached. This way you have enough time to reorder items and not run out.
Data terminals
From time to time, even if you manage your storage well, you need to make an inventory. Portable data terminals help you to count and control inventory every step of the way. This way you know exactly what you have in stock.
Better product grouping
Group product stock by type, color, size, and more to gain a better assessment of your business. This helps to understand what items are bestsellers and what may need a promotion to realize.
Supplier price agreements
Define corresponding price agreements for each product and supplier base in your network. The software will keep all important information in one accessible cloud-based system.
Key takeaways:
Project management is a systematic way to achieve large-scale business goals. When the goals are broken down into smaller projects with a clear scope and have a dedicated project manager, it is easier to plan for resource allocation and successfully execute the project.
Resource planning is a way to use existing resources in the most effective way, saving both money and time for a business in the long run. Every team has a variety of resources to use. Your resources are for example data, team members, machines, inventory, skills, time, and money, etc. The type of resources depends on the nature of your company and the type of project you or your team are working on.
Based on accurate, real-time data that resource management software provides, you can make smart decisions about the project you are working on to get the best result in the most effective way. The resource plan provides an overview of your resources, what your team is working on, and what the customer is ordering. This keeps your team aligned and ensures the project’s success is on track.
But also, resource planning is a way to improve customer service as well. When your internal processes run smoothly and your resources are managed effectively, it creates also a better customer experience. Creating unique and memorable customer experiences is a way to stand out from the competition and gain loyal customers who are happy to recommend your business to their friends.
Some teams may need a simple time planning software but if you are working in the food and beverage, retail, sports and spa, or hotel and lodging sector, you have many more resources to keep track of that regular project management software may not cover your needs.
For these businesses, your resources are rooms, spa treatments, and tables to book, your team that provides room service, membership agreements and cards, loyal customer promotions, stock, and so on. To do all this, you need a more advanced solution to manage the resource in the most effective way without compromising on usability.
CompuCash has tailored its resource planning software for these service-providing sectors and offers all necessary features. Book a demo to take a further look!
Looking for an easy POS solution?
Ask our specialist Marc for more info +971 50 566 5278 or write [email protected]
