Project growth sectors to watch

APM and PwC’s study of the contribution of project management to the UK’s economy was published last year in The Golden Thread. New research, to be published in early July, takes a deep dive into three growth sectors for project management – healthcare and pharmaceuticals/life sciences, charities, and small- and medium-sized enterprises (SMEs).

It’s important to note that the research was undertaken before the COVID-19 pandemic took hold, so while this research sets out the current position of project management, it will be some time before the long-term effects of the COVID-19 pandemic and resulting economic slowdown are visible. It is without doubt, however, that the response to COVID-19 will require both an increased focus on the importance of health, but also a major rethink of how countries, both individually and globally, prepare for the future and possible further outbreaks.

The research found that the three sectors are fertile ground for project management not only because of their increasing uptake of project management methodologies, but also because of the ways in which project professionals within them are adapting approaches and processes to fit sector needs.

For charities and life-science organisations, project management facilitates funding and grant applications to evidence that the organisation has a structured approach underlying its work and planning. Project professionals in charities are also using techniques like impact assessments to help them precisely measure the impact their work is having. SME project professionals stated that processes like risk management can be easily incorporated into their business as usual and offer great benefits to their ways of working.

Healthcare and pharmaceuticals/life sciences

Within healthcare, analysis from Health Education England has highlighted that recruitment within project delivery for the NHS as a whole has nearly doubled over the last six years, from 2,500 to 4,500 annual recruits. There are 7,500 project professionals working within the NHS. There is also anecdotal evidence that the healthcare sector is taking a more structured and focused approach to project management.

In the pharmaceutical sector, strong project management is recognised as a valuable asset in the process of developing new pharmaceuticals, testing them and bringing them to market efficiently and effectively. Project management is also well established in private-sector life-science projects, and there is evidence that it is moving into the research sector as project managers are increasingly specified and sought after by funders, especially on larger projects.

Charities

A major portion of charities’ work is project-based, and the adoption of project management approaches is relatively recent, but on the increase. Charity-sector experts interviewed for the research stated that the use of project management is increasingly established throughout the UK’s large charities, with some now employing dedicated project professionals. Smaller charities are following suit, training staff on project management approaches and introducing documentation and theories of change to underpin their work.

Project management approaches are relatively new in the charity sector but are being adapted and embedded. This trend is driven by a ‘filtration effect’ from local authorities as project management benefits become more widely known, wider recognition of project management in the charity sector, and grant decision-makers increasingly requesting evidence of project management approaches in bids.

SMEs

The types of project that SMEs run include IT/digital transformation, new product development, organisational transformation, fixed capital projects, events-based projects, creative media projects and mergers and acquisitions. On average, an SME undertakes 16 projects a year, with a median project budget of £30,000.

The research found that SME projects are often run by managers with limited formal training in project management techniques. With finite resources to hire dedicated project managers, a need was highlighted for further training and guidance for these professionals, particularly in key processes including risk management, change management and time management.

Several key SME sub-sectors were identified where project management can potentially provide a significant contribution to upscaling productivity, including the creative and media industry. The job functions and objectives of creative production managers, for example, are well placed to benefit from project management tools and methodologies.