Project controlling that works - tips & checklists
Budget, time & quality under control
The increasing importance of project controlling
In a constantly changing corporate world, the importance of projects as a value driver is increasing. A study by GPM found that projects accounted for almost 35% of total working time in Germany in 2022, which corresponds to a gross value added of 1.2 trillion euros. This development shows that professional project controlling is essential to ensure that projects achieve their goals and generate measurable benefits in the long term.
Project controlling: definition and tasks
According to DIN 69901, project controlling is the "assurance of the achievement of project goals through target/actual comparisons, identification of deviations, evaluation of consequences and proposal of corrective measures". A holistic approach expands this understanding by considering not only the success of the project during implementation, but also the sustainable benefits after project completion.
Success factors of effective project controlling
1. stakeholder analysis and communication
A well-founded stakeholder analysis helps to identify all relevant stakeholder groups at an early stage and incorporate their expectations into project management. This reduces resistance and increases acceptance of the project outcome.
Checklist: Stakeholder analysis
- Who are the most important stakeholders? (customers, employees, investors, etc.)
- What expectations do they have of the project?
- What risks can arise from stakeholders?
- How can they be involved and informed at an early stage?
2. business case as a controlling element
A business case defines the expected benefits from the outset and serves as a central theme for controlling. It contains not only financial aspects, but also qualitative objectives and framework conditions that need to be reviewed and adjusted throughout the course of the project.
Checklist: Business case creation
- What is the main objective of the project?
- What costs have been budgeted for
- What benefits are expected?
- Are there any risks that could jeopardize success?
- How will the benefits be measured at the end of the project?
3. benefit-oriented management
The actual success of a project is not only reflected in its completion on time, but above all in the lasting impact of the results. Effective controlling therefore also includes a review of the benefits realized.
Checkliste: Nutzenbewertung nach Projektabschluss
- Wurden die definierten Ziele erreicht?
- Ist der erwartete Nutzen eingetreten?
- Welche Anpassungen waren notwendig?
- Welche Learnings können für zukünftige Projekte genutzt werden?
4. choice of method: Agile, classic or hybrid?
The choice of project management method depends on the specific requirements. Agile methods, such as SCRUM, allow for quick adjustments, while classic approaches with detailed planning offer more stability. Hybrid models combine both methods and can therefore be the best solution for many projects.
Checklist: Choosing the right method
- Is the project easy to plan or are there many uncertainties?
- Are quick adjustments necessary?
- Is the team experienced in agile working?
- Are there fixed specifications that require classic planning?
5. change management as a success factor
Projects always mean change. Well thought-out change management accompanies the process to ensure acceptance and minimize resistance. This should not just begin in the implementation phase, but should be integrated as early as the planning phase.
Checklist: Successful change management
- Who will be affected by the changes
- What resistance could arise?
- How can the team be prepared for the changes?
- What communication strategy will be used?
Controlling perspective - What controllers and CFOs need to consider
Early involvement of controllers!
Controllers should not only be involved in cost control, but already in the planning phase. According to a study by Roland Berger (2021), up to 40% of projects fail due to a lack of financial control and a lack of transparency in the use of funds. An integrated approach ensures that costs, time and quality are continuously monitored.
Important key figures for project controlling:
- Earned Value (EV): How much value has already been created in relation to the planned costs?
- Cost Performance Index (CPI): Ratio between work performed and actual costs incurred.
- Schedule Performance Index (SPI): Assessment of the progress of the project compared to the planned time.
- Return on Investment (ROI): Evaluation of financial success after project completion.
Strategic management by CFOs
CFOs should view project controlling not only as an operational tool, but also as a strategic lever for corporate development. According to a study by McKinsey (2022), companies with active project portfolio management achieve an EBIT margin that is up to 25% higher.
Recommendations for CFOs:
- Establish a central Project Management Office (PMO) for coordination and control.
- Introduction of rolling forecasts for early detection of deviations.
- Use of scenario analyses to assess risks and opportunities.
- Integration of ESG criteria (environmental, social, governance) into project evaluation.
Digital tools and automation in project controlling
The use of digital controlling tools increases transparency and simplifies the management of complex projects. Tools such as CoPlanner enable real-time monitoring of budgets, milestones and resources as well as all financial processes.
Other helpful tools for project controlling can be:
- Power BI - Visualization and analysis of project key figures and
- JIRA - agile project management and progress control
- CoPlanner - Holistic corporate planning and control