For project managers, increasing productivity is an ongoing process and ever-present goal. The evolution of the project management discipline is positioning PMs for success. They should be prepared to face numerous challenges in 2018. In short, globalization, political and financial instability, increasing competition and environmental regulations will affect the shipbuilding industry. However, according to the Clarkson Research Services’ predictions, the protracted slump in the global shipbuilding industry is expected to recover. In-depth comprehension of the current situation and forecast of possible complications is crucial for starting new project portfolio. What is the primary market outlook in the shipbuilding industry for 2018? The overall situation in the market would be as follows.
What to Expect in 2018: Market Forecast
- Continue rapid globalization.
- Shipbuilding market for tanker and container will grow more intense compared to the market for a bulk carrier.
- 1,300 ships orders are expected to be placed in 2018.
- Despite the fact that shipbuilding industry has been traditionally dominated by the USA, France, Germany, Britain, China, Japan, and Korea, the growth of this sector will be driven mostly by the Asia-Pacific region, as well as Latin America and the Middle East.
- Due to the ultra-large vessels, the major growth in shipbuilding is expected to come from Asia-Pacific countries up to 2019.
- Asia-Pacific nations will develop their ports and improve infrastructure. Based on valuable shipping trade routes, they placed a strong position for growth.
- Autonomous ships are expected to emerge in the market. The first autonomous vessel in the world, Yara Birkeland is to be launched and tested in 2018. Moreover, several semi-autonomous ships will be tested this year.
- New tools and technologies will impact every aspect of the industry.
Managing Project: 8 Top Trends
As the industry and technology are rapidly changing, PMs must keep up with the times. The significant project management trends for the 2018 year involve implementing new techniques, the latest technologies, modern strategies, models, and competencies. The key thing that shipbuilding organizations must focus on this year is to ensure they are prepared for the future. The core of the innovation that should be implemented is digital transformation. PMs have to adopt new technologies and use the right tools and best PM software to be able to keep the processes efficiently.
1. Blend methodologies
Agile or classic methods? PMs are looking for the adequate method for their project management. Which of the existing approaches are the best? It is a quite controversial topic. But this year, we can observe a trend as blended methodologies becoming more and more common. It is the best way for the shipbuilding companies to control projects in 2018. Hybrid assimilates the best practices of different methods to manage projects successfully. Thus, to deliver results, companies need to blend agile and waterfall methodologies. While agile focuses on delivery and function, which help to make flexible adjustments during a project, the waterfall methodology takes a phase-based approach. As a result, the communication between teams and individuals is minimal. The key benefits are the ability to feedback immediately and improve predictability in a project. The most important thing is to analyze the requirements for each project and choose a suitable approach or combination of methods. In other words, the blended mythology is more empowered than traditional methodologies.
2. Project-scheduling management
It is a crucial factor that increases possible profits of shipbuilding companies. In 2018, focusing on scheduling management is the essential part of every project because if it fails, drawbacks (schedule delays, quality deterioration, etc.) might occur. Therefore, the required work process needs more labor, materials, and technology. To improve the project-scheduling management, many shipbuilding companies use critical chain project management. It deals with scheduling through a project buffer. As it is known, CCPM is recognized to be more efficient in project scheduling than other traditional project-scheduling techniques.
3. Digital transformation
New apps and tech tools bring greater transparency and communication to various projects. In this way, conventional project management tools will be kicked to the curb. In 2018, shipbuilding companies will touch the tech more than ever before. One of the most effective impacts from the concurrent trends is expected in the role of project management and project management software for shipbuilding.
4. Artificial intelligence
AI is going to affect the shipbuilding industry. As it is seen, it is gradually making the way into project management tools. Unfortunately, it will be the basic use of Artificial intelligence similar to the China Smart Ship. For example, look at options such as Forecast, Aurora, Rescoper, Clarizen, ClickUp, etc. They use artificial intelligence to automate project management tasks, including creating reports, reducing possible calculations and so on. The artificial intelligence will help to interpret the swaths of data which involves collaboration on a massive scale. For instance, it allows managing a complete dry docking project from work item collection.
5. Resource management
The most critical factor in project planning is the availability of a sufficient number of qualified staff involved in a particular project. In 2018, the struggle for the team in Central Europe will be intensified. Shipbuilding companies search for relevant personnel. However, it is a long process as it takes months until vacancies are filled. Moreover, there is another aspect of the issue. Shipyards must become more technologically innovative to attract the next generation of professional. On the other hand, seafarers have to obtain new skills and learn integrating modern technologies. In this way, project resource management tools are needed for effective managing. Putting the right staff in the right place is crucial for a project manager and any person who is running a business.
6. Project portfolio
Before making a solid decision what project to start next, PMs should deliver an in-depth assessment of the shipbuilding, paying attention to the available staff qualifications. This rule relates managing project portfolio as well because the successful outcome of any project depends on a proper team.
7. Focusing on team leaders
Speaking of resource management, the wisest way of developing is to emphasize on the team leaders as they are capable of planning and completing resource utilization.
8. Multi-project management
Handling different type of projects for multiple organizations is a challenge. But it is crucial in the shipbuilding industry to administrate multi-project environment efficiently. PMs have to implement numerous projects in parallel while drawing on the same resource pool.
In 2018, the shipbuilding industry is becoming more complex, both politically and technically. To remain competitive, PMs must develop utterly new business models. They should be prepared for some challenges. Be flexible. Get with the times. Be ready for digitization. Learn how to prioritize tasks and achieve your goals.