In my previous articles, I talked about l what you need to know about project and project management in this article, I want to talk about factors that lead to project creation for any enterprise. Follow me as we are going to look at that together in this article.

Now the factors …

#1 New Technology

In this case, a project can be initiated as a result of advancement in new technology, take, for instance, an electronic firm authorises a new project to develop a faster, cheaper and smaller laptop based on advances in computer memory and electronics technology.

#2 Competitive forces

Another factor that can lead to creation happens when your competitor comes up with something more superior to what you have. You might carry out such a project because you don’t want to be left behind.

Take, for instance, lower pricing on products by a competitor can result in the need to lower production costs to remain competitive.

#3 Material issues

In this case, a municipal bridge developed cracks in some support members resulting in a project to fix the problems.

#4 Political changes

It can also be as a result of a change in government. Let’s take, for example, a newly elected official instigating project funding changes to a current project because he felt that the actual cost of the project has been inflated.

#5 Market demand

In this case, a car company can authorise a project to build more fuel-efficient cars in response to a gasoline shortage. In recent times, the Nigerian government was talking about designing some cars in the government fleet to run on gas which seems to be cheaper.

#6 Economic changes

Also, an economic downturn can result in changes in the priorities for a current project. Take for instance, in the proposed 2021 budget, the Nigerian government has decided that they will not embark on a new project. They will rather work on how to finish all ongoing projects.

#7 Customers requests

A project can also be initiated as a result of customer requests. Take, for instance, an electric utility company that can authorize a project to build a substation to serve as a new industrial park for industries.

#8 Stakeholders’ demands

This happens when a stakeholder requires that a new output be produced by the organisation.

#9 legal requirements

This happens when a chemical manufacturer authorises a project to establish guidelines for the proper handling of new toxic material.

#10 Business process improvements

A project can also be initiated in order to improve business processes. It happens when an organisation implements a project resulting from a Lean Six Sigma value stream mapping exercise.

#11 Strategic opportunity or business need

A project can also come up as a result of the strategic or business needs of the organisation. A good example of that is a training company that authorises a project to create a new course to increase its revenue.

#12 Social need

A project can also come up as a result of social needs. A good example is a non-governmental organisation that is in a developing country authorising a project to provide a potable water system, latrines, and sanitation education to communities suffering from a high rate of infectious disease.

#13 Environmental Consideration

Above all, projects might also be executed as a result of environmental considerations. Take, for example, a public company that authorises a project to create a new service for electric car-sharing to reduce pollution.

CRMNuggetsis committed to fact-checking in a fair, transparent, and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.

Hi, I now use RavenBank to send, receive and save money. I also pay my bills with ease,you should try it out too

OUR MISSION

To create well-reached contents that will increase the intellectual prowess of our readers.

OUR VISION

To become a reference point in the blogging space by the year 2030. We want to be among the first 30 blogs in Nigeria.

Official Social Media Pages for crmnuggets.com

To Get Email Updates when we post new content,Click Here.