4 Steps in Selecting the Best Project Management Software for Small Businesses!
By: Hajime Estanislao, PMP, CSM; Editor: Geram Lompon
Are missed deadlines, disorganized workflows, and poor communication holding back your projects? Without the right
Imagine having your tasks in timelines, team communication, and project repository in one place using free and paid plans.
What if you could track your project, work easily with your team, and not worry about missing deadlines? A good
Do not wait until disorganization becomes a problem. Explore
What is a Project Management Software?
Project management software is a digital tool that helps teams and businesses plan, execute, and track project tasks, timelines, and resources. It lets users assign tasks, manage deadlines, collaborate in real-time, track progress, and ensure that projects are completed within budget and on time.
These tools offer various features, from task management and file sharing to resource allocation and reporting, making them essential for businesses of all sizes.
Project management software is valuable for small businesses that need to coordinate various activities across limited staff and resources. Centralizing information and improving visibility into project workflows ensures that teams remain organized and aligned with business goals.
Examples of Project Management Software in Today’s Standard
Asana
Asana is highly regarded for its adaptability and user-friendly interface, which is particularly beneficial for small businesses. It provides comprehensive task monitoring, project visualization through timelines and Kanban boards, and collaborative capabilities, making it an excellent choice for overseeing team assignments and deadlines.
Asana stands out for its adaptable and robust task management functionalities. It offers diverse views, including list view, board view (reminiscent of Kanban), and timeline view (Gantt charts). This makes it a versatile tool suitable for businesses seeking both simplicity and the ability to conduct detailed project tracking.
Asana Key Features:
- Task Management includes creating, assigning, and prioritizing tasks with deadlines and subtasks.
- Project Views: Supports multiple views (list, board, and timeline), catering to various project needs.
- Automation: Asana automates repetitive tasks such as sending reminders or moving tasks through different stages.
- Collaboration: Real-time collaboration tools, including file sharing, comments, and notifications.
- Integrations: Integrates well with Slack, Google Workspace, Microsoft Teams, and more.
Asana Pros:
- Highly customizable, especially for task assignments.
- Easy to use for teams of varying sizes and project complexities.
- Multiple project views and robust reporting capabilities.
Asana Cons:
- Some users may find its interface overwhelming due to its range of features.
- Premium pricing can be high for small teams that only need basic features.
Trello
Trello is a Kanban-style project management tool that allows teams to visualize tasks as cards on boards. It is perfect for teams looking for a simple way to manage smaller projects or daily workflows.
Trello stands out as the most user-friendly option among the three. It employs a Kanban board system, which visually organizes tasks into columns, providing a clear and intuitive way to manage tasks. This makes it an excellent choice for small teams or businesses that may not require extensive
Trello Key Features:
- Kanban Boards: Visualize projects through task cards that move across columns representing different stages of work (e.g., To Do, In Progress, Done).
- Customization: Offers customizable boards and cards, allowing users to assign tasks, add due dates, attach files, and make comments.
- Integrations: Trello supports integrations (Power-Ups) with tools like Slack, Google Drive, and Dropbox.
- Butler Automation: Automates repetitive actions with Butler, allowing for tasks such as moving cards between boards or notifying team members of due dates.
Trello Pros:
- Setup intuitively for teams with no
project management experience. - The free plan offers robust features for small businesses.
- Visual layout is ideal for tracking tasks.
Trello Cons:
- Trello has limited functionality for complex projects requiring in-depth tracking.
- The tool lacks comprehensive reporting tools and resource management features.
- The free version restricts the number of Power-Ups (integrations) per board.
Monday.com
Monday.com is a versatile platform renowned for its highly customizable project views catering to various methodologies, from Agile to Waterfall. It is a favored technology solution for managing intricate workflows, resource allocation, and fostering collaboration within teams, all within a remarkably intuitive and user-friendly interface.
Monday.com Key Features:
- Task and Project Tracking: Like Asana,
Monday.com offers multiple views, including board, timeline, and calendar views. - Custom Workflows allow users to create customized workflows tailored to their project needs.
- Automation: Offers robust automation features to handle repetitive tasks, such as updating statuses and sending reminders.
- Collaboration: Includes real-time collaboration tools and robust reporting to track team progress.
- Integrations: Supports over 200 integrations, including Slack, Jira, Google Drive, and GitHub.
Monday.com Pros:
- Highly visual and customizable for a wide range of project types.
- Monday.com includes collaboration features for larger teams or businesses managing multiple projects.
- It offers excellent customer support and a library of tutorials and templates.
Monday.com Cons:
- The sheer number of features can lead to a steeper learning curve, especially for smaller businesses.
- Pricing can be higher than competitors for teams that need premium features.
What are the Advantages and Disadvantages of Using Project Management Software in Your Small Business?
Advantages of Using Project Management Software in Your Small Business
Flexibility
Project management software offers flexible tools to adapt to various workflows and project types. Whether you are managing a simple task list or a complex project with multiple dependencies, these tools will fit your business needs.
For instance, tools like Trello and Asana enable users to customize project views, such as Kanban boards or Gantt charts, to help small businesses efficiently organize their tasks.
Scalability
As your business grows,
Accessibility
Most modern
Robust Features
Project management software is full of features that help you get more done. It helps you assign tasks, keep track of deadlines, share files, track time, and create reports.
Automation features save time by doing repetitive tasks for you. Real-time collaboration tools keep teams connected and up-to-date.
Disadvantages of Using Project Management Software in Your Small Business
Licensing Costs
While many
For instance, tools like Wrike and Monday.com offer affordable entry-level plans. However, the cost can escalate as you add more users and access advanced features.
Complexity
Some
Resistance to Change
Adopting new software can sometimes be met with resistance from team members accustomed to traditional or manual task management. The attitude towards using the software may vary, and some employees might find it difficult to transition, which can initially affect productivity. Overcoming this reluctance requires proper training and a period of adjustment.
While
Reasons Why There’s a Need for Project Management Software
For small businesses, where resources are often limited and staff wears multiple hats,
Without a centralized system, managing multiple projects, meeting deadlines, and ensuring team collaboration can quickly lead to inefficiencies and missed opportunities.
Project management software helps small businesses structure their workflows, track progress, and manage resources effectively, allowing them to stay competitive and meet customer expectations.
- Improved Organization: Centralizes all tasks, documents, and communications in one place to reduce the risk of things slipping through the cracks.
- Enhanced Team Collaboration: Encourages better teamwork through shared platforms where everyone can contribute and track progress.
- Better Time Management: Helps teams stay on track by assigning deadlines and creating reminders for important tasks and milestones.
- Increased Efficiency: Automates repetitive tasks like assigning resources, updating task statuses, or sending reminders, saving time and reducing manual effort.
- Resource Allocation: Ensures that resources, such as personnel and budgets, are allocated efficiently across multiple projects.
- Transparency and Accountability: Provides a clear overview of who is responsible for which tasks, helping to hold team members accountable for their contributions.
- Data-Driven Decisions: Offers insights through reporting and analytics, enabling informed decision-making to optimize project success.
- Customer Satisfaction: Project management software helps improve overall customer satisfaction by ensuring projects are delivered on time and within scope.
Step-by-Step Instructions to Select the Optimal Project Management Software for Small Businesses
Selecting the right
Follow a structured approach and ensure that the
1. Identify Your Business Needs
Before proceeding with the selection process, it is important to understand what your business requires from
List specific needs, such as task tracking, collaboration, budget management, and reporting.
Consider current and future needs to ensure the software can scale with your business.
Get feedback from team members who will use the software to understand what features they find most important.
2. Set Your Budget and Prioritize Features
Not all
Determine a clear budget for what your business can afford, factoring in monthly or annual subscription costs.
Rank essential features in order of importance. For example, real-time collaboration and task automation might be critical, while advanced reporting could be a lower priority.
Be aware of hidden costs, such as additional fees for extra users, support, or integrations.
3. Test-Drive Your Top Choices
Once you have a shortlist of potential tools, it’s time to give them a test run. Most
Sign up for free trials of your top 2-3 choices. Involve key team members in the testing process to gather broader feedback.
Create a small test project to evaluate features like task assignment, collaboration, reporting, and ease of use.
Track how intuitive the software is and whether it improves your team’s productivity or presents unnecessary hurdles.
4. Make the Final Decision and Implement
Once the testing phase is complete, it’s time to decide and implement the chosen software across your team. This step includes onboarding your team, setting up projects, and configuring settings to fit your workflows.
Based on feedback from the trial phase, select the tool that best meets your business needs and offers good value for money.
Ensure smooth onboarding by providing training or tutorials to team members, either through the software’s resources or with your guidance.
Gradually integrate the software into your daily workflows by managing smaller tasks or projects, then scaling up as the team becomes more comfortable.
By following these structured steps, you will confidently choose a
Thoughts and Considerations For Successfully Implementing Changes
One consideration for implementing
Introduce the software slowly by initially using it for a few key projects. As the team becomes familiar with the platform, they can use it for larger, more complex tasks. This gradual approach minimizes overwhelm and gives everyone time to adapt.
Training and support are critical to smooth implementation. Even if a tool is user-friendly, not all employees will adopt it simultaneously. Offering resources through tutorials, webinars, or dedicated onboarding sessions ensures everyone can use the software effectively. Many
Ongoing review and optimization are cornerstones to ensure the software is used to its full potential. After the initial deployment, assess how well the tool functioned in practice. Gather feedback from team members to identify challenges or areas where the tool does not fit. This feedback allows you to adjust, whether that means further training or the tool’s configuration to suit the team’s workflow.
Establish a Small Project Management Office
A
In a small business, a PMO can play a critical role in encouraging the use of
Even in small organizations with few staff and locations, having a small PMO helps to make project execution more efficient, which is often better than having no formal structure. A small PMO can connect project requirements and outcomes, leading to better project delivery and higher success rates.
4 Steps to Establishing a Small PMO
1. Define the Purpose and Scope of the PMO
The first step in setting up a small PMO is defining its purpose and scope within your business. Clarify the role of the PMO, such as improving project outcomes, increasing accountability, or enhancing resource management. In a small business, the PMO might focus on project tracking, ensuring adherence to deadlines, and resource allocation rather than managing every aspect of the project lifecycle.
Begin by documenting the types of projects the PMO will manage, the processes it will standardize, and the metrics for success. Clearly outline responsibilities and goals, ensuring alignment with business objectives.
2. Establish Project Management Standards
To ensure project consistency, a small PMO should develop and implement standardized
Select a
3. Appoint a PMO Lead or Coordinator
In a small business, the PMO might consist of a single person or a small team responsible for overseeing
Choose someone with a good understanding of
4. Monitor Performance and Adapt
A successful small PMO must remain flexible and adaptive, especially in a small business setting. Regularly review the PMO’s performance by analyzing project outcomes, team feedback, and the utilization of
Implement a feedback loop to gather insights from project teams about the PMO’s efficiency. Periodically review project outcomes to determine whether the standards and tools are helping achieve business goals. Adjust your approach based on the insights you collect to improve the PMO’s effectiveness.
A small PMO helps unify the business approach to
Build versus Buy – Project Management Software
For small businesses, investing in packaged
These tools come with essential features like task tracking, collaboration, Gantt charts, and reporting, all available outright. Businesses can start using them immediately without a lengthy development process.
Moreover, building a custom
Packaged software, such as Asana, Trello, or Wrike, also offers the flexibility of scaling through various pricing tiers as your business grows, making them a cost-effective and agile option for small teams.
Building a custom solution is justified for larger businesses with specific needs that can’t be addressed by off-the-shelf products. These companies may have the resources to develop, maintain, and continuously improve the software to fit their long-term goals.
For small businesses, focus on immediate functionality and affordability, with custom solutions considered later as the organization expands and its needs evolve.
Use MoSCoW in Selecting Software
The MoSCoW method is a powerful prioritization technique that can help a small business PMO (Project Management Office) select the right
Must Have
The software must possess these essential basic features for it to function effectively within the PMO. These include:
Task management
The software must allow for assigning, tracking, and managing tasks across teams.
Collaboration tools
Real-time communication and file sharing are critical for collaboration, especially in small businesses with remote or hybrid teams.
User-friendliness
The tool should have an intuitive user interface so the team can adopt it quickly without extensive training.
Basic reporting
Generating basic reports to track progress and meet project milestones is essential for managing workflows.
Should Have
These are important but not critical features that will improve the PMO’s efficiency and effectiveness but aren’t deal-breakers if they are missing.
Resource management
Tools that track people, time, and resources across projects, helping to avoid bottlenecks.
Gantt charts
Visual timelines allow for better project planning and tracking, including phases and task dependencies.
Mobile access
Accessing the tool on mobile devices is highly beneficial for teams that need the flexibility to update tasks quickly and anywhere.
Could Have
These nice-to-have features would enhance the software’s functionality but are not necessary for the PMO’s core operations.
Advanced automation
Automating repetitive tasks, like sending reminders or updating project statuses, could streamline processes but might not be required for small, less complex projects.
Time tracking
While not essential for all teams, this feature is helpful if the business bills clients by the hour or tracks the time spent on tasks.
Customizable dashboards
Personalized dashboards for team members can improve individual productivity but are not critical for project delivery.
Won’t Have (This Time)
These features are either unnecessary for the current scope of the PMO or beyond the current business needs and budget.
Enterprise-level integrations
Integrations with enterprise resource planning (ERP) systems or customer relationship management (CRM) tools may not be necessary for small businesses.
Extensive analytics
While in-depth analytics are for large corporations, basic reporting may suffice for small businesses at this stage.
By applying the MoSCoW method, the small business PMO can focus on acquiring the best
Taking it to the Next Level: Utilize What is Already in Your Disposal
Businesses that want to manage projects effectively without additional investment can start by utilizing software already on their devices. For instance, Microsoft Excel, a tool available to many, can be adapted for
Excel allows teams to create task lists and Gantt charts and track timelines using available online templates. With conditional formatting and pivot tables, you can quickly transform Excel into a powerful project manager and tracker, making it a practical and cost-effective option for small businesses that may not yet need a dedicated
Another simple but effective tool is the Kanban board, which you can implement using free software like Trello. Kanban boards provide a visual workflow for managing tasks concisely.
Most free versions of these platforms are feature-rich enough for small businesses. They allow teams to organize projects into stages (e.g., To Do, In Progress, and Done) and collaborate without requiring a paid subscription. This helps businesses maintain structure without the need for complex
Additionally, Google Workspace tools, such as Google Sheets and Google Calendar, offer collaborative capabilities ideal for small teams. Google Sheets is used similarly to Excel but has the added advantage of real-time collaboration. Google Calendar integrates task scheduling, ensuring everyone works toward deadlines and is aware of meetings.
These tools, readily available and familiar to most users, help small businesses manage projects effectively without requiring new software purchases. By leveraging these existing technologies, businesses streamline their workflows while keeping costs low.
Alternatives: Good Ol’ Kanban Board and Gemba
One of the best alternatives to formal
The Kanban method breaks down tasks into visual cards, which are moved across columns like “To Do,” “In Progress,” and “Done.” This simplicity helps teams focus on their workflow and provides an immediate understanding of project progress. Many free digital versions, such as Trello and Jira, offer easy-to-use Kanban boards for managing small and large projects.
Another powerful alternative is implementing the concept of Gemba Walks from Lean management. Gemba means “the actual place” in Japanese and is where value is generated.
Whether on the factory floor or in an office workspace, conducting Gemba Walks involves managers and leaders going to the front, observing processes, and engaging with employees to understand workflow inefficiencies firsthand.
It encourages continuous improvement by identifying bottlenecks and areas where resources could be better allocated, making it an excellent method for
Together, Kanban boards and Gemba walks offer hands-on, practical approaches to managing projects without needing complex tools. Kanban focuses on visualizing workflows and improving task management, while Gemba enables direct observation and problem-solving through employee engagement. These methods can be especially beneficial for small businesses where flexibility and simplicity are critical to maintaining project momentum.
Wrapping Up: Project Management Software is Here to Stay
Project management software is no longer a luxury but a pathway to success for businesses of all sizes. As discussed, these tools offer flexible, scalable, and accessible solutions to manage tasks, collaborate effectively, and ensure project success.
Whether using feature-rich platforms like Asana or more straightforward tools like Trello, streamlining
Remember, selecting any one top
As your business evolves, how you manage projects must evolve, and
Ultimately, the value of
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Abdullahi, A. (2024, March 20). 10 best
Carroll, A. M. (2024, July 15). 7 best
Dadofalza, S. (2024, April 30). 7 best
